Pacific Income Advisers, Inc.

At Pacific Income Advisers (“PIA”), preserving and protecting the privacy and confidentiality of each of our customer’s nonpublic personal and financial information is a top priority. You are receiving this privacy notice because you are either a customer of one or more of the PIA companies listed on the cover of this notice, or you are considering becoming our customer. We are sending you this privacy notice to help you understand how we handle the personal information about you that we collect and disclose.

Most importantly, we do not sell any customer information to anyone or disclose customer information to marketing companies. Your information is used by PIA only to complete transactions that you request.

PIA’s privacy policy includes mutual funds and asset management. This policy applies to all of our related companies. Our privacy policy applies to current as well as former customers, unless otherwise noted. As required by federal law, we will notify you of PIA’s privacy policy annually. We reserve the right to modify this policy at any time, but if we do change it, we will inform you promptly.

To assure the continued privacy and confidentiality of your personal and financial information, PIA observes the following policies and practices.

The Information We Collect About You

PIA collects only the customer information necessary to provide you with financial products and services and serve your financial needs. We collect information about our customers primarily in two ways.

First, we collect information that you provide to us when you open an account, fill out an application or register for one of our services. The information we collect may include name, address, phone number, email address, Social Security number, assets, income and information about your interests, investments, financial objectives and investment experience.

Second, once you have an account with PIA, in order to better administer your account, execute transactions and better serve you, we collect and maintain personal information about your transactions, including balances, positions, activity and history.

What We Do With Your Information

PIA will not sell any customer information to anyone or disclose customer information to marketing companies. We will also not share or disclose customer information within the PIA family of related companies. PIA will disclose customer information to certain third parties we may contract with to perform services for us, as described below.

• In certain instances, we may contract with non-affiliated companies to perform services for us related to processing or administering your account. In all such cases, we provide the third party with only the information necessary to carry out its contracted responsibilities and only for that purpose. We also require such third parties to follow appropriate standards of security and confidentiality with customer information.

• In order to complete certain transactions or account changes that you direct, it may be necessary for us to provide identifying information to companies that are not affiliated with PIA. For example, if you ask to transfer assets from another financial institution to PIA, we will need to provide certain information about you to that company to complete the transaction.

• We will release information about you if you direct us to do so, or if we are required by law or regulation to do so; for example, in response to a subpoena, to prevent fraud, and to comply with rules of, or inquiries from, industry regulators.

• Vermont Residents: except as permitted by law, we will not share information we collect about you with non-affiliated third parties or within the PIA family of related companies.

• California Residents: except as permitted by law, we will not share information we collect about you with non-affiliated third parties.

How We Safeguard Your Information

PIA restricts access to your personal information to those PIA employees who need to know the information to provide products and services to you. They are required to respect the confidentiality of all customer information. Moreover, we maintain physical, electronic, and procedural safeguards that comply with federal standards to protect your personal information.

Should you want to discuss this notice or PIA’s privacy policy at anytime please feel free to contact us at (888) 742-7869. Our privacy policy may also be found on our web site at http://www.pacificincome.com.

Currently, PIA does not dispose or direct the disposal of any client information, including, but not limited to, any consumer report information of which PIA may be in possession.