HECO Strategy Shares EcoLogical Strategy ETF

JOINT INSURED AGREEMENT

 

Mutual Fund & Variable Insurance Trust

Strategy Shares

AlphaCentric Prime Meridian Income Fund

 

Pursuant to Section 270.71(g)-1(f) of the Regulations issued under the Investment Company Act of 1940;

 

WHEREAS, Mutual Fund & Variable Insurance Trust ("Trust I"), Strategy Shares ("Trust II"), and AlphaCentric Prime Meridian Income Fund (“Trust III”) wish to or have obtained a larceny and embezzlement bond, each pursuant to the direction of their respective Board of Trustees; and

 

WHEREAS, Trust I, Trust II, and Trust III (each a "Fund") are desirous of setting forth their relationship in regards to said bond;

 

NOW THEREFORE, BE IT AGREED AS FOLLOWS:

 

In the event recovery on the bond is received as a result of loss sustained by more than one named insured, each Fund shall receive an equitable and proportionate share of the recovery, but at least equal to the amount which it would have received had it provided and maintained a single insured bond with a minimum coverage required by 270.17(g)(1) of the regulations issued pursuant to the Investment Company Act of 1940.

 

 

MUTUAL FUND &VARIABLE INSURANCE TRUST         By: /s/ Jerry Szilagyi Name: Jerry Szilagyi Title: President

STRATEGY SHARES             By: /s/ Jerry Szilagyi Name: Jerry Szilagyi Title: President

AlphaCentric Prime Meridian Income Fund         By: /s/ George Amrhein Name: George Amrhein Title: President

 

 

DATED as of the 13^th day of December, 2019.

 

MINUTES EXCERPT

QUARTERLY MEETING OF THE BOARD OF TRUSTEES

OF STRATEGY SHARES

DECEMBER 13, 2019

 

 

Approval of the Renewal of the Trust’s Joint Fidelity Bond and Joint Insured Fidelity Bond Agreement

WHEREAS, the Board has determined that it is in the best interests of the Trust to obtain fidelity bond coverage covering the Trust against larceny and embezzlement by, among others, officers and employees of the Trust, in accordance with the requirements of Rule 17g-1 promulgated by the SEC under Section 17(g) of 1940 Act, in such form and amounts which would cover gross assets in a range that would be appropriate for the Trust;

 

IT IS THEREFORE RESOLVED, that a fidelity bond with Travelers Casualty & Surety Company having an aggregate coverage of $1,600,000 is approved, it having been determined to be reasonable in form and amount, after giving due consideration to all factors deemed relevant by this Board, including, among other things, the value of the assets of the Covered Trusts to which any covered person may have access, the arrangements for custody and safekeeping of such assets and the nature of the securities in the portfolios of the Covered Trusts; and

 

FURTHER RESOLVED, that the Board, and in particular, the Independent Trustees, hereby approves the amount of the premium allocated to, and to be paid by the Trust, as well as the Trust’s participation, as being fair and reasonable; and

 

FURTHER RESOLVED, that the appropriate officers of the Trust are authorized, empowered and directed to make the Securities and Exchange Commission (“SEC”) filings and give the notices required by Rule 17g-1 under the 1940 Act; and

 

FURTHER RESOLVED, that the Trust’s participation in a joint insurance agreement between the Covered Trusts is approved in order to ensure that the Trust receives its proportionate and equitable share of any insurance proceeds; and

 

FURTHER RESOLVED, that pursuant to Rule 17g-1 under the 1940 Act, as amended, the Board, including the Independent Trustees, hereby finds that:

 

(1) After considering all relevant factors, including the number of funds named as insureds, the business activities of the funds, the amount of the bond, the premium, the ratable allocation, and the extent to which the share of the premium allocated to the Trust is less than if purchased separately, the Trust’s participation in the joint fidelity bond is in the best interest of the Trust; and

 

(2) The premium for the joint fidelity bond allocated to the Trust based upon the Trust's net assets is fair and reasonable to the Trust; and, therefore, the allocation and payment is approved; and

 

FURTHER RESOLVED, that the Secretary of the Trust is authorized to file or cause to be filed the fidelity bond with the SEC and give the notices required under Paragraph (1) of Rule 17g-1 under the 1940 Act.