00128087
SCHRODER MUTUAL FUNDS
2014 IMPORTANT TAX REPORTING INFORMATION
This letter contains important tax information specific to your investment in the Schroder Mutual Funds for use in preparing your 2014 tax return.
If you require further information, please call our Investor Services Representatives at (800) 464-3108.
Qualified Dividend Income
Qualified Dividend Income (“QDI”) is taxed at the lower long-term capital gain rates. QDI is reported on Form 1099-DIV, Box 1b. The QDI amount
in Box 1b will only apply if you held the fund for more than 60 days during the 121-day period beginning 60 days before the fund’s ex-dividend date
of the distribution. To assist in determining whether you have met this holding period requirement, the ex-dividend date is provided in the list
below.
To take advantage of beneficial tax rate changes affecting both qualifying dividends and capital gains, you will need to complete the Qualified
Dividends and Capital Gain Tax Worksheet in the Instructions for Form 1040 to compute your taxes. Funds with Qualified Dividend Income are
reflected below.
FUND
Ex-Dividend Dates For Ordinary Income and
Short-Term Capital Gain Distributions
North American Equity Fund
U.S. Small and Mid-Cap Opportunities Fund
Emerging Market Equity Fund
Emerging Markets Multi-Cap Equity Fund
International Alpha Fund
International Multi-Cap Value Fund
Global Multi-Cap Equity Fund
Global Multi-Asset Income Fund
December 10
December 10
December 10
March 28, June 27, September 29, December 10, December 30
December 10
March 28, June 27, September 29, December 10, December 30
December 10
July 30, August 28, September 29, October 30, November 26, December 30
Important State Tax Information
United States Government Interest. Please check with your state or local tax office or your tax advisor to determine whether your state allows you
to exclude some or all of the income you earn from mutual funds that invest in direct U.S. government obligations. If so, multiply the income
percentage listed in the chart below by the amount in Box 1a of your Form 1099-DIV to determine the amount of exempt interest. Due to certain
statutory limitations, shareholders of the funds listed in the table below that are residents of California, Connecticut or New York are not permitted to
exclude the portion of ordinary income that represents direct U.S. government obligations from their state income taxes. Data is provided only for
those funds that earned interest from U.S. government obligations during 2014.
FUND
Total Return Fixed Income Fund
Emerging Markets Multi-Sector Bond Fund
Broad Tax-Aware Value Bond Fund
FUND
8.00%
0.00 %
6.27 %
Absolute Return EMD and Currency Fund
Long Duration Investment-Grade Bond Fund
4.00 %
5.57 %
Corporate Dividends Received Deduction
A corporation is entitled to a special deduction from gross income for dividends received from a domestic corporation that is subject to U.S. income
tax. Listed below is the percentage of dividends received that qualifies for the corporate dividends received deduction for each of the respective
funds. This information is for use by corporations with a calendar tax year end.
FUND
Corporate Dividends Received Deduction Percentage
North American Equity Fund
U.S. Small and Mid Cap Opportunities Fund
Global Multi-Cap Equity Fund
Emerging Market Equity Fund
Global Multi-Asset Income Fund
99.50 %
24.18 %
16.97 %
1.32 %
5.16 %
The enclosed is furnished for information purposes only. Please consult your tax advisor for assistance regarding your
specific tax situation.
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00128087
SCHRODER MUTUAL FUNDS
2014 IMPORTANT TAX REPORTING INFORMATION
Foreign Tax Credit and Foreign Source Income
The funds listed below qualified for, and elected to pass through, foreign tax credits to their shareholders. Accordingly, shareholders of those funds
are entitled to claim either a foreign tax credit or take an itemized deduction on your federal income tax return for your share of the taxes indicated in
Box 6 of your 2014 Form 1099-DIV. Refer to IRS Publication 514, Foreign Tax Credit for Individuals for additional information.
To be eligible to claim a foreign tax credit, a shareholder must have held shares in the applicable fund for more than 15 days within a 31-day period
that begins 15 days before the shares become ex-dividend. The ex-dividend date for those funds potentially impacted by this provision has been
provided below. If you are unable to use the foreign tax credit, you still may be able to claim the amount as an itemized deduction.
FUND
Emerging Market Equity Fund
Emerging Markets Multi-Cap Equity Fund
Emerging Markets Multi-Cap Equity Fund
Emerging Markets Multi-Cap Equity Fund
Emerging Markets Multi-Cap Equity Fund
International Alpha Fund
International Multi-Cap Value Fund
International Multi-Cap Value Fund
International Multi-Cap Value Fund
International Multi-Cap Value Fund
Global Multi-Cap Equity Fund
Global Strategic Bond Fund
Global Multi-Asset Income Fund
Global Multi-Asset Income Fund
Global Multi-Asset Income Fund
Global Multi-Asset Income Fund
Global Multi-Asset Income Fund
Absolute Return EMD and Currency Fund
Ex-Dividend Date
December 10
March 28
June 27
September 29
December 30
December 10
March 28
June 27
September 29
December 30
December 10
August 28
July 30
August 28
September 29
November 26
December 30
December 10
31 – Day Period
Beginning Date
Ending Date
November 25
March 13
June 12
September 14
December 15
November 25
March 13
June 12
September 14
December 15
November 25
August 13
July 15
August 13
September 14
November 11
December 15
November 25
December 25
April 12
July 12
October 14
January 14, 2015
December 25
April 12
July 12
October 14
January 14, 2015
December 25
September 12
August 14
September 12
October 14
December 11
January 14, 2015
December 25
The enclosed is furnished for information purposes only. Please consult your tax advisor for assistance regarding your
specific tax situation.
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00128087
SCHRODER MUTUAL FUNDS
2014 IMPORTANT TAX REPORTING INFORMATION
Tax-Exempt Interest
• Federal Tax Treatment
Federal tax law generally allows income from mutual funds investing in municipal obligations to be considered tax-exempt income.
Any income distribution that qualifies as tax-exempt interest is reported on your Form 1099-DIV Box 10. You must report this
amount on Line 8b of your 2014 Form 1040. The amount reported in Box 11 of Form 1099-DIV must be used in preparing Form
6251 to determine if you are subject to Alternative Minimum Tax. Any income distribution that is taxable income is included on your
Form 1099-DIV Box 1a. This amount must be reported on Line 9a of Form 1040.
• State and Local Tax Treatment
Some of the Federal tax-exempt income may also be exempt from state and local taxes, depending on where you file your return.
Listed below is the percentage of income earned by state for each fund. As state and local tax regulations vary from state to state, not
all permit such exclusion. For example, Illinois does not exempt the portion of dividends from state or local obligations held indirectly
through a mutual fund. If the tax laws of your state provide for the exemption, multiply the amount in Box 10 of Form 1099-DIV by
the appropriate percentage below. This amount can be excluded and the remaining balance should be reported on your state tax return.
For Residents of California and Minnesota all of the income distribution is subject to state income tax.
State
Alabama
Alaska
Arizona
Arkansas
California
Colorado
Connecticut
Delaware
District of Columbia
Florida
Georgia
Hawaii
Idaho
Illinois
Indiana
Iowa
Kansas
Kentucky
Louisiana
Maine
Maryland
Massachusetts
Michigan
Minnesota
Mississippi
Missouri
Broad Tax-Aware
Value Bond Fund
0.00%
0.66%
3.44%
0.00%
34.70%
0.00%
0.48%
0.00%
0.35%
5.74%
1.31%
0.00%
0.00%
4.65%
0.25%
0.00%
0.03%
0.00%
0.52%
0.00%
0.00%
3.89%
0.27%
0.55%
0.00%
3.88%
State
Montana
Nebraska
Nevada
New Hampshire
New Jersey
New Mexico
New York
North Carolina
North Dakota
Ohio
Oklahoma
Oregon
Pennsylvania
Rhode Island
South Carolina
South Dakota
Tennessee
Texas
Utah
Vermont
Virginia
Washington
West Virginia
Wisconsin
Wyoming
US Territories & Other
Broad Tax-Aware
Value Bond Fund
0.00%
0.00%
0.00%
0.00%
6.90%
0.61%
13.61%
1.23%
0.00%
6.65%
0.00%
0.07%
0.00%
0.00%
0.11%
0.00%
0.40%
8.90%
0.00%
0.00%
0.00%
0.80%
0.00%
0.00%
0.00%
0.00%
The enclosed is furnished for information purposes only. Please consult your tax advisor for assistance regarding your
specific tax situation.
Page 3 of 3