Capital Gains Distribution Update:

The table below lists estimated year-end distributions for the Conestoga Funds.  The distributions have a record date of Tuesday, December 2, 2025, and an ex-date of Wednesday, December 3 , 2025.  Please note that these figures are not final and are subject to change.  Updated figures will be available in early November.

 

Fund (all share classes) Estimated Distribution Per Share
Short-Term Capital Gain Long-Term Capital Gain Total Distribution
Conestoga Small Cap Fund $ – $ 3.371185 $ 3.371185
Conestoga SMid Cap Fund $ – $ 0.496295 $ 0.496295
Conestoga Mid Cap Fund $ – $ – $ –
Conestoga Discovery Fund $ – $ – $ –

 

Distribution of capital gains can have a material effect on the returns that taxable investors experience.  At Conestoga, we believe our investment approach and loss-harvesting should help to defer and limit the capital gains experienced by our Funds’ shareholders.

First, our investment approach is built on identifying companies which we believe can grow their earnings sustainably over the long term. When we analyze companies for investment, we evaluate their business models over the next three to five years. After our research and deep due diligence, those companies that meet our investment criteria and are purchased into the Funds may be held for many years. As a result, our investment turnover is low and gains may be unrealized until we determine there are better opportunities or a company’s market capitalization exceeds the upper bounds of the strategy.  This deferral of realized gains creates long-term gains (which currently have lower tax rates than short-term gains) and pushes the taxation of those gains further into the future.

Second, we also consider loss-harvesting to limit the realized gains within the Funds each year. Portfolio managers periodically review those stocks with significant losses and may trim or sell positions to realize losses, which can offset realized gains. While this is a secondary focus relative to our primary objective of seeking long-term capital appreciation, we believe tactical loss-harvesting further benefits the taxable investors in our Conestoga Funds.

Disclosures

An investor should consider investment objectives, risks, charges, and expenses carefully before investing. Download a prospectus, which contains this information or call toll free 1-800-494-2755. Read the prospectus carefully before investing or sending money.

Important Risk Information:
Mutual Fund Investing involves risk, principal loss is possible. For more information about the Funds, including the Funds’ objectives, charges, expenses and risks, please read the prospectus.

Ultimus Fund Distributors, LLC. (Member FINRA & SIPC) serves as the Distributor to the Conestoga Funds.

Ultimus Fund Distributors, LLC. (Member FINRA & SIPC) and Conestoga Funds are non-affiliated.