Special Letter to the Shareholders: May 4, 2018

Dear Shareholder:

With profound sadness and deep regret, I write to inform you that our founder and mentor, Thomas P. Dupree, Sr., passed away on April 29, 2018. All of us here at Dupree Mutual Funds are very proud of Tom’s many accomplishments, his generosity, and the mutual fund company he founded 39 years ago. While we will miss him dearly, I want each of you to know we are dedicated to the legacy Tom leaves behind, including his great intellect and humor, and we will continue to operate Dupree Mutual Funds in the same manner Tom would have if he were still with us.

I consider myself very fortunate to have spent the past 13 years learning this business first-hand from Tom: a man who truly embodied the concept of integrity and who was also a master of detail. Tom spent years assembling a talented team of professionals to help him run his business, both before and after his death, and his highest priority was doing what is best for shareholders. I can assure you that all of us here at Dupree Mutual Funds will continue to uphold that tradition and legacy.

In his letter to shareholders dated December 31, 2005, Tom wrote as follows:

I am grateful for this support, and I want to tell you what we are going to do in return.  First, I have arranged my estate planning in such a manner that it will be unnecessary for my heirs to sell the company.  That means the same people should be here, providing the same level of service for years to come, long after I am gone.  We will not only have the same portfolio management style which has resulted in five star ratings for most of our outstanding series, but we will be continuing to do the mundane things like answering our telephone with live people, instead of dragging you through a menu program.  We will continue to have Series 7 licenses advisors to give you the same level of advice as other firms, and they are salaried, not commissioned. To the extent you will let us, we are going to try to treat you like family.

Rest assured, we will continue to be a family owned and operated business, committed to the continuity of shareholder service Tom would have wanted. It’s important that you know we value each and every one of our shareholders and we genuinely appreciate your business.

Please know that we are always here to answer any questions you may have and to assist you with any of your investment needs.


Very truly yours,

Allen E. Grimes, III
Executive Vice President