Real Estate Stock Fund

Class - N


Fund Objective

The Fund seeks to maximize total return from capital appreciation and dividends. A secondary investment objective of the Fund is to exceed, over the long-term, the total return available from direct ownership of real estate with less risk than direct ownership.

Sub-Advisor Background

Barings Real Estate Advisers LLC ("Cornerstone") located at One Financial Plaza, Hartford, CT 06103-2604, is an investment adviser registered with the Securities and Exchange Commission under the Investment Advisers Act of 1940, as amended. Established in 1994, Cornerstone provides investment management and advisory services relating to investments in real estate.

Tickers & Cusips

Ticker DNREX
Cusip 265458828
Share Class N-Shares
Fund Code 103

Fund Information

Dividend Frequency Annual*
Capital Gains Paid December*
Fund Inception 12/10/2004
FISCAL Year-End October
* If applicable

Risk Tolerance Spectrum


Minimum Investments

There is no minimum initial investment on a per Fund basis for Class N shares. However, the minimum initial investment in Class N shares of the Dunham Funds, on an aggregate basis, is $100,000 for taxable accounts and $50,000 for tax-deferred accounts ("MIN"). The MIN can be waived if the investor has, in the opinion of the Adviser, adequate intent and availability of assets to reach a future level of investment among the Funds that is equal to or greater than the MIN. The MIN can also be waived by the Adviser for shareholders investing through a wrap program or similar arrangement. There is no minimum subsequent investment amount for Class N shares. If a Class N shareholder's investment in the Dunham Funds falls below the MIN for reasons other than depreciation of the investment, the investor may receive a notice from the Adviser and will be given a reasonable amount of time to cure the deficiency. If the deficiency is not cured within such time, the Adviser reserves the right to convert the account to Class A shares (on a load waived basis) or take other appropriate measures.


Price & YTD Total Return (10/18/2019)

Net Asset Value (NAV): NAV Change: NAV Percentage Change:
$18.64 $0.16 0.87 %
Net Asset Value (NAV): $18.64
NAV Change: $0.16
NAV Percentage Change: 0.87 %
YTD Return at NAV:
28.55 %
YTD Return at NAV: 28.55 %

Performance Inception Date (As of 12/10/2004)

Most recent
month-end (as of 9/30/2019)
1 Yr 3 Yr 5 Yr 10 Yrs Since
Fund Performance 18.23 % 5.90 % 9.14 % 11.97 % 7.21 %
Average Annual
Total Return (as of 9/30/2019)
1 Yr 3 Yr 5 Yr 10 Yrs Since
Fund Performance 18.23 % 5.90 % 9.14 % 11.97 % 7.21 %
Most recent
month-end (as of 9/30/2019)
1 Yr 18.23 %
3 Yr 5.90 %
5 Yr 9.14 %
10 Yrs 11.97 %
Since Inception 7.21 %
Average Annual Total Return
(as of 9/30/2019)
1 Yr 18.23 %
3 Yr 5.90 %
5 Yr 9.14 %
10 Yrs 11.97 %
Since Inception 7.21 %
Per prospectus dated 2/28/2019
Expense Ratio: 1.10 %
Per prospectus dated 2/28/2019
Expense Ratio:
1.10 %

Prices and returns quoted represent past results and are no guarantee of future results. Current performance may be higher or lower than the performance shown. Investment return and principal value will fluctuate, so your shares, when redeemed, may be worth more or less than their original cost.


Date $/Share Type
12/27/2018 $0.29 Dividend
12/27/2017 $0.12 Long-Term Capital Gain
12/27/2017 $0.12 Dividend
12/28/2016 $0.70 Short-Term Capital Gain
12/28/2016 $2.12 Long-Term Capital Gain
12/28/2016 $0.36 Dividend
12/29/2015 $0.68 Short-Term Capital Gain
12/29/2015 $1.08 Long-Term Capital Gain
12/29/2015 $0.21 Dividend
12/29/2014 $0.55 Short-Term Capital Gain
12/29/2014 $0.38 Long-Term Capital Gain
12/29/2014 $0.11 Dividend
12/27/2013 $0.20 Dividend
12/27/2013 $0.39 Long-Term Capital Gain
12/27/2012 $0.23 Dividend
12/27/2012 $0.53 Long-Term Capital Gain
12/28/2011 $0.12 Dividend
12/28/2010 $0.16 Dividend
12/29/2009 $0.11 Dividend
12/29/2008 $0.18 Dividend
12/27/2007 $0.19 Short-Term Capital Gain
12/27/2007 $0.78 Long-Term Capital Gain
12/27/2007 $0.19 Dividend

Year-End Distribution

Mutual funds typically distribute taxable capital gains to shareholders each December. Click below to view the year-end distribution factors (per share) for the Dunham Funds.


Top 10 Holdings (As of 8/30/2019)

Security % of Net Assets
Equinix Inc. 6.64 %
American Tower REIT Inc 6.10 %
Equity Residential 5.79 %
Prologis Inc. 5.10 %
Welltower Inc 4.79 %
Mid-America Apartment Communit 4.73 %
Crown Castle International Corp 4.71 %
Boston Properties, Inc. 4.13 %
AvalonBay Communities Inc 3.90 %
Regency Centers Corp 3.41 %

Fund Sector Allocation (As of 8/30/2019)

Apartment (14.43%)
Infrastructure (10.81%)
Healthcare (9.89%)
Office (9.84%)
Industrial (9.72%)
Free Standing (9.38%)
Data Center (7.42%)
Single Family (5.67%)
Specialty (4.7%)
Shopping Centers (3.41%)
Hotels (2.65%)
Commercial Finance (2.11%)
Residential Finance (1.97%)
Regional Mall (1.87%)
Cash (1.84%)
Timber (1.46%)
Manufactured Homes (0.99%)
Diversified (0.96%)
Self-Storage (0.88%)

Investors should consider the investment objectives, risk factors, charges, and expenses of the Dunham Funds carefully before investing. This and other important information is contained in the Dunham Funds’ summary prospectus and/or prospectus, which may be obtained by contacting your financial advisor, or by calling toll free (800) 442‐4358. Please read prospectus materials carefully before investing or sending money. Investing involves risk, including possible loss of principal.

Dunham Funds are distributed by Dunham & Associates Investment Counsel, Inc., a Registered Investment Adviser and Broker/Dealer. Member FINRA / SIPC.

Returns for Class A Shares include the maximum sales charge (5.75% for equity funds and 4.50% for fixed income funds). Net Asset Value (NAV) returns exclude these charges, which would have reduced returns.

Average annual total return is the annual compound return for the indicated period. It reflects the change in share price and the reinvestment of all dividends and capital gains. Returns for periods of less than one year are cumulative total returns.

Liquidity Risk - The markets for high-yield, convertible and certain lightly traded equity securities (particularly small cap issues) are often not as liquid as markets for higher-rated securities or large cap equity securities. For example, relatively few market makers characterize the secondary markets for high-yield debt securities, and the trading volume for high-yield debt securities is generally lower than that for higher-rated securities. Accordingly, these secondary markets (generally or for a particular security) could contract under real or perceived adverse market or economic conditions. These factors may have an adverse effect on the Fund’s ability to dispose of particular portfolio investments and may limit the ability of the Fund to obtain accurate market quotations for purposes of valuing securities and calculating net asset value. Less liquid secondary markets also may affect the Fund’s ability to sell securities at their fair value. The Fund may invest in illiquid securities, which are more difficult to value and to sell at fair value. If the secondary markets for lightly-traded securities contract due to adverse economic conditions or for other reasons, certain liquid securities in the Fund’s portfolio may become illiquid, and the proportion of the Fund’s assets invested in illiquid securities may increase. Smaller, unseasoned companies (those with less than a three-year operating history) and recently-formed public companies may not have established products, experienced management, or an earnings history. As a result, their stocks may lack liquidity. Investments in foreign securities may lack liquidity due to heightened exposure to potentially adverse local, political, and economic developments such as war, political instability, hyperinflation, currency devaluations, and overdependence on particular industries. In addition, government interference in markets such as nationalization and exchange controls, expropriation of assets, or imposition of punitive taxes may result in a lack of liquidity. Possible problems arising from accounting, disclosure, settlement, and regulatory practices and legal rights that differ from U.S. standards might reduce liquidity. The chance that fluctuations in foreign exchange rates will decrease the investment’s value (favorable changes can increase its value) will also impact liquidity. These risks are heightened for investments in developing countries.

Management Risk - Each Fund is subject to management risk because it is an actively managed investment portfolio. The Sub-Adviser’s judgments about the attractiveness and potential appreciation of a security, whether selected under a “value”, “growth” or other investment style, may prove to be inaccurate and may not produce the desired results. The Adviser and Sub-Adviser will apply its investment techniques and risk analyses in making investment decisions for the Funds, but there is no guarantee that its decisions will produce the intended result. The successful use of hedging and risk management techniques may be adversely affected by imperfect correlation between movements in the price of the hedging vehicles and the securities being hedged.

Non-Diversification Risk - A Fund that is a non-diversified investment company means that more of the Fund’s assets may be invested in the securities of a single issuer than a diversified investment company. This may make the value of the Fund’s shares more susceptible to certain risk than shares of a diversified investment company. As a non-diversified fund, the Fund has a greater potential to realize losses upon the occurrence of adverse events affecting a particular issuer.

Portfolio Turnover Risk - The frequency of a Fund’s transactions will vary from year to year. Increased portfolio turnover may result in higher brokerage commissions, dealer mark-ups and other transaction costs and may result in taxable capital gains. Higher costs associated with increased portfolio turnover may offset gains in a Fund’s performance.

Real Estate Industry Concentration Risk - By concentrating in a single sector, the Fund carries much greater risk of adverse developments in that sector than a fund that invests in a wide variety of industries. Real estate values rise and fall in response to a variety of factors, including local, regional and national economic conditions, interest rates and tax considerations. When economic growth is slow, demand for property decreases and prices may decline. Property values may decrease because of overbuilding, increases in property taxes and operating expenses, changes in zoning laws, environmental regulations or hazards, uninsured casualty or condemnation losses, or a general decline in neighborhood values.

Real Estate Investment Trust Risk (REIT) - Equity REITs may be affected by any changes in the value of the properties owned and other factors, and their prices tend to go up and down. A REIT’s performance depends on the types and locations of the properties it owns and on how well it manages those properties. A decline in rental income may occur because of extended vacancies, increased competition from other properties, tenants’ failure to pay rent or poor management. A REIT’s performance also depends on the company’s ability to finance property purchases and renovations and manage its cash flows. Because REITs typically are invested in a limited number of projects or in a particular market segment, they are more susceptible to adverse developments affecting a single project or market segment than more broadly diversified investments.

Securities Lending Risk - Portfolio securities may be loaned to brokers, dealers and financial institutions to realize additional income under guidelines adopted by the Board of Trustees. A risk of lending portfolio securities, as with other extensions of credit, is the possible loss of rights in the collateral should the borrower fail financially. The Fund might not be able to recover the securities or their value. In determining whether to lend securities, the Adviser or its agent, will consider all relevant facts and circumstances, including the creditworthiness of the borrower.

Small and Medium Capitalization Risk - The Fund’s investments in smaller and medium-sized companies carry more risks than investments in larger companies. Companies with small and medium size market capitalization often have narrower markets, fewer products or services to offer and more limited managerial and financial resources than do larger, more established companies. Investing in lesser-known, small and medium capitalization companies involves greater risk of volatility of the Fund’s net asset value than is customarily associated with larger, more established companies. Often smaller and medium capitalization companies and the industries in which they are 81 focused are still evolving and, while this may offer better growth potential than larger, more established companies, it also may make them more sensitive to changing market conditions. Small cap companies may have returns that can vary, occasionally significantly, from the market in general.

Stock Market Risk - Stock markets can be volatile. In other words, the prices of stocks can fall rapidly in response to developments affecting a specific company or industry, or to changing economic, political or market conditions. The Fund’s investments may decline in value if the stock markets perform poorly. There is also a risk that the Fund’s investments will underperform either the securities markets generally or particular segments of the securities markets.