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GE INSTITUTIONAL FUNDS
U.S. EQUITY FUND
U.S. LARGE-CAP CORE EQUITY FUND
PREMIER GROWTH EQUITY FUND
SMALL-CAP EQUITY FUND
S&P 500 INDEX FUND
INTERNATIONAL EQUITY FUND
STRATEGIC INVESTMENT FUND1600 Summer Street Stamford, Connecticut 06905 SUPPLEMENT DATED MARCH 30, 2016
TO PROSPECTUS, SUMMARY PROSPECTUSES AND STATEMENT OFADDITIONAL INFORMATION DATED JANUARY 28, 2016 On March 29, 2016, General Electric Company (“GE”) agreed to sell to State Street Corporation (“SSC”) the asset management and advisory services business conducted by GE Asset Management Incorporated (“GEAM”) and certain of its subsidiaries (the “Transaction”). The Transaction is not expected to result in any change in the investment objectives or policies of any of the series portfolios of the GE Institutional Funds (together, the “Funds”).
GEAM is the investment adviser to each of the Funds. The closing of the Transaction will result in the automatic termination of each Fund’s investment management agreement and subadvisory agreement (for Funds with sub-advisers). It is anticipated that the board of trustees of the Funds (the “Board”) will consider a new investment management agreement with SSGA Funds Management, Inc. (“SSGA FM”), an affiliate of SSC, for each of the Funds, and where applicable, sub-advisory agreements between SSGA FM and the current sub-advisers (collectively, “New Agreements”). If approved by the Board, the New Agreements will be presented to the Funds’ shareholders for approval. Subject to requisite approval by the shareholders of the Funds, the New Agreements would take effect upon termination of the current management and sub-advisory agreements when the Transaction closes.
The Transaction is expected to close in the third quarter of 2016 pending receipt of certain regulatory approvals and subject to the satisfaction of other customary closing conditions. There can be no assurance that the Transaction will be consummated as contemplated or that necessary conditions will be satisfied.
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PLEASE RETAIN THIS SUPPLEMENT FOR FUTURE REFERENCE.
STATEMENT OF ADDITIONAL INFORMATIONJanuary 28, 2016
GE INSTITUTIONAL FUNDSFor information, call 1-800-242-0134 Investment Service
Equity Funds U.S. Equity Fund
U.S. Large-Cap Core Equity Fund
Premier Growth Equity Fund
Small-Cap Equity Fund
S&P 500 Index Fund
International Equity Fund
Income FundIncome Fund
Asset Allocation Fund Strategic Investment Fund
This Statement of Additional Information (“SAI”) supplements the information contained in the statutory prospectus of GE Institutional Funds (the “Trust”) dated January 28, 2016, as it may be revised from time to time (the “Prospectus”), and should be read in conjunction with the Prospectus. This SAI, although not a prospectus, is incorporated in its entirety by reference into the Prospectus. Copies of the Prospectus describing each series of the Trust listed above (each, a “Fund” and collectively, the “Funds”) may be obtained without charge by calling the Trust at the telephone number listed above.
The Trust’s financial statements for the fiscal year ended September 30, 2015, and the Auditor’s Reports thereon, are incorporated herein by reference to the Trust’s Annual Report dated September 30, 2015. The Annual Report may be obtained without charge by calling the Trust at the toll-free telephone number listed above.
Information regarding the status of shareholder accounts may be obtained by calling the Trust at the tollfree telephone number listed above or by writing to the Trust at c/o U.S. Bancorp Funds Services, LLC, P.O.
Box 701, Milwaukee, WI 53201-0701. If you have invested through an Authorized Firm, you should call that firm for information on the status of your account. Terms that are defined in the Prospectus shall have the same meanings in this SAI.
INVESTMENT STRATEGIES AND RISKS AND PORTFOLIO HOLDINGSThis section supplements the information contained in the Prospectus concerning the investment objectives and principal investment strategies and risks of the following diversified open-end funds: the U.S. Equity Fund, the U.S. Large-Cap Core Equity Fund, the Premier Growth Equity Fund (the “Premier Fund”), the Small-Cap Equity Fund, the S&P 500 Index Fund1, the International Equity Fund (the “International Fund”), the Income Fund and the Strategic Investment Fund. In addition to the Funds identified, the Trust is also comprised of the following series: the High Yield Fund and the Small-Cap Growth Equity Fund. These series had not commenced operations as of the date of this SAI and are not currently being offered to investors.
The investment objective or objectives of a Fund are fundamental and cannot be changed without the approval of a majority of the outstanding voting shares of beneficial interest of that Fund. Certain investment restrictions also are fundamental and cannot be changed without shareholder approval. In contrast, certain other investment restrictions, as well as the investment policies, of each Fund are not fundamental and may be changed by the Trust’s Board of Trustees (the “Board”) without shareholder approval.
The S&P 500 Index Fund is not sponsored, endorsed, sold or promoted by Standard & Poor’s Ratings Services, a division of The McGraw-Hill Companies, Inc. (“S&P”). S&P makes no representation or warranty, express or implied, to the investors of the Fund or any member of the public regarding the advisability of investing in securities generally or in the Fund particularly or the ability of the S&P 500® Composite Stock Index (the “S&P 500® Index”) to track general stock market performance. S&P’s only relationship to the Fund is the licensing of certain trademarks and trade names of S&P and of the S&P 500 ® Index which is determined, composed and calculated by S&P without regard to the Fund. S&P has no obligation to take the needs of the Fund or the investors in the Fund into consideration in determining, composing or calculating the S&P 500 ® Index. S&P is not responsible for and has not participated in the determination of the prices or composition of the Fund or the timing of the issuance or sale of the shares of that Fund. S&P has no obligation or liability in connection with the administration, marketing or trading of the Fund.
S&P DOES NOT GUARANTEE THE ACCURACY AND/OR THE COMPLETENESS OF THE S&P 500 ® INDEX OR ANY
DATA INCLUDED THEREIN, AND S&P SHALL HAVE NO LIABILITY FOR ANY ERRORS, OMISSIONS, OR
INTERRUPTIONS THEREIN. S&P MAKES NO WARRANTY, EXPRESS OR IMPLIED, AS TO THE RESULTS TO BE
OBTAINED BY THE FUND, INVESTORS IN THE FUND, OR ANY OTHER PERSON OR ENTITY FROM THE USE OF
THE S&P 500® INDEX OR ANY DATA INCLUDED THEREIN. S&P MAKES NO EXPRESS OR IMPLIED WARRANTIES,
AND EXPRESSLY DISCLAIMS ALL WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR
PURPOSE OR USE WITH RESPECT TO THE S&P 500® INDEX OR ANY DATA INCLUDED THEREIN. WITHOUT
LIMITING ANY OF THE FOREGOING, IN NO EVENT SHALL S&P HAVE ANY LIABILITY FOR ANY SPECIAL,
PUNITIVE, INDIRECT OR CONSEQUENTIAL DAMAGES (INCLUDING LOST PROFITS), EVEN IF NOTIFIED OF THE
POSSIBILITY OF SUCH DAMAGES.There can be no assurance that any Fund will achieve its investment objective or objectives. Investors should not consider any one Fund alone to be a complete investment program. All of the Funds are subject to the risk of changing economic conditions, as well as the risk inherent in the ability of the portfolio manager to make changes in the composition of a Fund in anticipation of changes in economic, business, and financial conditions. As with any security, a risk of loss is inherent in an investment in the shares of any of the Funds.
The different types of securities, investments, and investment practices used by each Fund all have attendant risks of varying degrees. For example, with respect to equity securities, there can be no assurance of capital appreciation and there is a substantial risk of decline in the value of the securities. With respect to debt securities, there exists the risk that the issuer of a security may not be able to meet its obligations on interest or principal payments at the time required by the instrument. In addition, the value of debt instruments generally rises and falls inversely with prevailing current interest rates. As described below, an investment in certain of the Funds entails special additional risks as a result of their ability to invest a substantial portion of their assets in foreign securities.
The stock and bond markets in the United States and internationally have experienced unprecedented volatility in recent years. Some countries, sectors and industries also have seen periods of greater declines than the broader securities markets. For example, the financial crisis in 2008-2009 caused a significant decline in the value and liquidity of many securities. More recently, the stocks of many energy companies suffered severe declines in 2015 when oil prices declined. Despite gains that can occur in some markets after steep declines, negative conditions and price declines may return unexpectedly and dramatically. In these types of situations, it may not be possible to identify all significant risks and opportunities using past investment strategies or models.
Overview of Dodd-Frank Act On July 21, 2010, President Obama signed the Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”) into law. The Dodd-Frank Act significantly impacts the financial services industry and includes provisions that regulate the operation of depository institutions and their holding companies.