Important Disclosures for Founder Funds Trust ETFs
Distributor and Adviser Information Vigilant Distributors LLC serves as the distributor for the Founder Funds Trust. Founder ETFs LLC acts as the investment adviser to the Founder Funds Trust. Vigilant Distributors LLC is not affiliated with Founder ETFs LLC or any other entities mentioned in these disclosures, including index providers such as Solactive AG or Nasdaq.
Prospectus and Summary Prospectus Before investing in any Fund within the Founder Funds Trust, investors should carefully consider the Fund's investment objectives, risks, charges, and expenses. This and other important information is contained in the Fund's prospectus and summary prospectus, which can be obtained free of charge by visiting FounderETFs.com or by calling 1-866-315-5322. Please read the prospectus and summary prospectus carefully before investing. The prospectus provides detailed information about the Fund's strategies, holdings, fees, and potential risks.
Investment Risks Investing in the Funds involves risks, including the possible loss of principal. There is no guarantee that any Fund will achieve its investment objectives. In addition to the normal risks associated with investing in equities, such as market volatility, economic downturns, and interest rate changes, the Funds may be subject to additional specific risks:
- Limited Operating History: Certain Funds have been in operation for less than one year, which may limit the availability of historical performance data and increase uncertainty regarding future performance. Newer funds may also face challenges in establishing liquidity and attracting assets under management.
- Sector Concentration Risks: Funds with a concentration in the software industry or related technology sectors are subject to heightened risks, including rapid technological advancements, intense competition among companies, rapid obsolescence of products and services, potential loss of intellectual property protections, evolving industry standards, frequent introduction of new products, fluctuations in business cycles, and changes in government regulations (e.g., data privacy laws, antitrust scrutiny, or export controls). These factors could lead to significant price volatility and underperformance relative to broader market indices.
- ETF-Specific Risks: Shares of ETFs may trade at prices above (premium) or below (discount) their net asset value (NAV). Premiums or discounts may widen during periods of market stress, illiquidity, or high volatility. Authorized Participants may cease creation or redemption activities, exacerbating premiums/discounts. The Fund's arbitrage mechanism may not always function efficiently, potentially leading to deviations between market price and NAV.
- Market and Liquidity Risks: The Funds's investments may be subject to liquidity risks, particularly in volatile markets or with less liquid securities. This could make it difficult to buy or sell shares without impacting prices. Geopolitical events, pandemics, or economic recessions could further amplify these risks.
- Other Risks: Additional risks include cybersecurity threats, counterparty risks in derivatives (if used), foreign investment risks (if applicable), and inflation risks. For a complete list of risks, refer to the Fund's prospectus.
ETF Trading and Pricing Information Shares of the Funds are bought and sold on secondary markets at market prices rather than NAV and are not individually redeemed from the Fund. Investors will incur brokerage commissions on purchases and sales, which will reduce returns. Market price returns are calculated using the official closing price of an ETF share. If the official closing price is not available, the market price is based on the midpoint between the national best bid and national best offer (NBBO) as of the time the ETF calculates its current NAV per share. These market price returns do not represent the returns an investor would receive if shares were traded at other times throughout the day. NAVs are calculated daily using prices as of 4:00 PM Eastern Time (ET). The Funds disclose their full portfolio holdings daily on FounderETFs.com before the opening of regular trading on the exchange. This transparency is intended to support the arbitrage process and inform investors.
Premium/Discount and Bid-Ask Spread Information Pursuant to SEC Rule 6c-11, the Funds disclose historical premium/discount information, median bid-ask spreads over the most recent 30 calendar days, and instances where premiums or discounts exceed 2% on their website. This information is updated daily and is designed to help investors understand the efficiency of the Fund's arbitrage mechanism and potential trading costs. Bid-ask spreads represent the difference between the highest price a buyer is willing to pay (bid) and the lowest price a seller is willing to accept (ask), and wider spreads may increase trading costs.
Index Information The Funds may seek to track or outperform certain indices, such as the Solactive indices, S500T (S&P 500 Technology or similar), or QQQ (Invesco QQQ Trust, tracking the Nasdaq-100 Index). Indices are unmanaged and do not include the effect of fees, expenses, or sales charges. Investors cannot invest directly in an index. Performance of a Fund may differ from that of its underlying index due to tracking error, fees, and other factors. Solactive indices, S500T, and QQQ have been licensed for use by Founder ETFs LLC from Solactive AG and Nasdaq, respectively. The Founder ETFs are not sponsored, endorsed, issued, sold, or promoted by Solactive AG, Nasdaq, or their affiliates. These entities make no representations or warranties regarding the advisability of investing in the Founder ETFs, nor do they have any liability for any errors, omissions, or interruptions in the indices. Neither Vigilant Distributors LLC nor Founder ETFs LLC is affiliated with Solactive AG, Nasdaq, or any related entities.
Distribution and Service Fees The Funds may pay distribution (12b-1) fees and shareholder servicing fees as described in the prospectus. These fees are used to compensate brokers and other intermediaries for services provided to shareholders.
Brokerage Services Client brokerage services are not offered by Founder ETFs LLC or Vigilant Distributors LLC. For information about brokerage services, please consult the relevant third-party provider's website or contact your broker directly. Founder ETFs LLC does not provide investment advice or brokerage services.
Tax Considerations Distributions from the Funds may be taxable as ordinary income, qualified dividend income, or capital gains. Investors should consult their tax advisors regarding the tax implications of investing in the Funds. The Funds intend to distribute income and gains to minimize corporate-level taxes, but there is no assurance they will qualify as regulated investment companies under the Internal Revenue Code.
Regulation FD and Social Media Disclosures In accordance with SEC Regulation FD, all material nonpublic information is disclosed fairly and simultaneously to the public. Disclosures on social media or other platforms are intended for informational purposes only and do not constitute an offer to sell or a solicitation to buy shares. Any social media post referencing the Funds must be accompanied by a link to these full disclosures or the prospectus. The use of social media complies with FINRA and SEC guidelines, including pre-approval of content where required. Third-party posts on firm-sponsored sites are monitored, but the Funds are not responsible for their content.
Additional Website Disclosures As required under SEC rules, including Rule 6c-11 for ETFs, the following information is available daily on FounderETFs.com:
- Full portfolio holdings.
- NAV per share.
- Premium/discount history (as a percentage).
- Median bid-ask spread (over 30 days).
- Basket composition for creations/redemptions (if applicable).
This information is provided in a prominent location on the website and is free of charge.
No Guarantees Past performance is no guarantee of future results. The value of investments can fluctuate, and investors may get back less than they invested.
Contact Information For more information, visit FounderETFs.com or contact Vigilant Distributors LLC at [contact info]. This disclosure is current as of January 11, 2026, and is subject to change. Please check the website for updates. These disclosures are provided in compliance with applicable SEC rules, including those under the Securities Act of 1933, the Investment Company Act of 1940, and Regulation FD. For the most complete and up-to-date information, always refer to the Fund's prospectus.