ACCOUNT/APPLICATION QUESTIONS

 

What is the minimum investment?

$1,000 is the minimum investment

 

What’s the minimum age to open a Forefront Income Trust account?

You must be 18 years old or older to open a personal Forefront Income Trust account. An UGMA can be set up for a minor of any age by an adult

 

Can I withdraw my investment at any time?

Investors can withdraw investments when FIT makes quarterly offers to repurchase its shares. FIT intends to repurchase up to 5% of its shares outstanding on the quarterly repurchase request deadline. Shares tendered for repurchase within 180 days (6 months) from the date of the original issuance of the shares will be subject to a repurchase fee of 2%. 

(Virtually after 180 days, 6 months) 

 

Can I invest directly online?

           Yes, one can easily invest online by visiting our website at www.forefrontgroup.com

We want to make your experience as seamless as possible so if at any time you need assistance filling out the application, please call a member of our team at 888-484-4348

  • If you are opening up an IRA online there might be additional paperwork required. However, if you are transferring or rolling over from an IRA to an IRA, you should check with your current custodian to see if they require original paperwork, medallion stamped to transfer funds.  You can then get the required medallion stamp and mail the application to the address on the form.  One can fund all other types of accounts by a wire or ACH directly online.  MEDALLION STAMP, is NOT A NOTARY.  A special stamp gotten at a financial institution, bank, trust company, broker that is needed to transfer securities.  

 

Are wires an acceptable payment method?

Yes, investment can be made my wire or check. 

 

Can I manage my account online?

Yes, shortly after you open your account you will receive a confirmation email giving you instructions to obtain online access. One can also obtain their account number immediately by calling -1-888-484-4348

 

Can I get an application mailed to me?

Yes,  please email or call a Forefront representative and one will be mailed to you within 3 business days.

 

To Mail applications or transfer paperwork, mail directly to Forefront Income Trust Administration:

           641 Lexington Ave, 29th Floor, New York, NY 10022

 

For Customer Service Regarding an existing account or opening a new account:

           Please call 888-484-4348

 

How often will I receive statements?

FIT will either email or mail statements to investors quarterly depending on the investors preference. While setting up an account the investor will be asked if they prefer physical or digital statements.

 

CAN I SYSTEMATICALLY INVEST IN FIT?

When you are completing your application, there is a section to systematically direct deposits at your direction, or you mail may your checks to Forefront at their address any time you wish to purchase more shares.

 

When are distributions made?

The Trust intends to make distributions to its shareholders of its net investment income, after expenses and provisions, at least annually, (end of calendar year) and make them as often as quarterly.  

 

Is this distribution taxable?

Each investor should consult with his/her tax advisor to determine taxes owed.  Since FIT is a RIC, this distribution can be considered a “Qualified Dividend,” and as such is subject to a lower tax rate. 

 

How will my distribution be received?

Distributions can be received in cash or reinvested in the fund.  At the time of your investment in the fund you would have been required to select a distribution preference. The distribution method can be changed later if desired. 


IRA or RETIREMENT ACCOUNT QUESTIONS

What is the process when transferring an IRA to FIT?  

Self directing a retirement plan of any type may require printing and submitting the original application by mail, including having your signature medallion stamped. One should check with their current custodian to meet their requirements prior to their transfer.

 

How am I taxed if I transfer money from an IRA?

You should consult your tax advisor to be advised of any tax consequence, however direct transfers from custodian to custodian or (rollovers, one per calendar year) usually do not generate a tax.

 

How do you handle RMD’S?    

A letter is sent to you the beginning of the calendar year that you turn 70 ½ advising you of the IRS requirement to start taking your RMD.  It is up to the individual investor to request their RMD from Nottingham by completing the IRA Distribution form found on the website, or have one mailed to you.

 

Can I transfer money from my 401K? 403B?  

One must check with their Human Resource Department to see if their current plan allows for a transfer.  Usually if the employee has separated from service, they can transfer their 401K plan (self directed IRA), or if the employee is currently employed and participating in a company plan, sometimes a portion or a one time transfer is permitted.

 

Are 401k transfers taxed?

Your tax advisor should be consulted, however if your transfer is a direct Transfer from custodian to custodian, there should not be a tax consequence.

 

If I transfer my 401K, is it still a 401K?

If you transfer all or even a portion of your 401k, it is no longer a participating part of your current 401k, it then becomes a self-directed IRA.  You self direct out your 401k to an individual IRA.


Additional information, advanced questions

GENERAL DISTRIBUTION QUESTIONS

 

If I invested in FIT in December 2016, how will my distribution be treated?

Investments made after December 30, 2016 are not eligible for the annual distribution made on 12/31/2016, however, such investments are eligible for the next distribution if holding is retained by investor. 

 

How will my ownership in FIT be affected by the distribution?

Depending on your distribution preference, your number of fund shares will either remain the same if a cash distribution was elected, or increase by the amount of distribution divided by the new post-distribution share price.   

 

What opportunities have accredited investors benefited from?

Secure loans, micro-financing opportunities, as well as other high yield investment structures are often only available to accredited investors. Forefront Income Trust is an investment company designed to provide the non-accredited investment community with similar opportunities as the 1%. 

 

What is FIT’s investment objective?

FIT’s investment objective is to seek current income, primarily by investing in high-yielding loans and debt instruments with maturities of generally not more than three years. These Fixed Income Securities will have maturities less than three years, and will often have more frequent interest payments then other available investments in order to enhance the overall liquidity of FIT’s portfolio. 

 

DISTRIBUTION QUESTIONS (Advanced)

 

Why am I receiving a distribution on my Forefront Income Trust investment?

In order for Forefront Income Trust (FIT) to maintain its tax status as a Registered Investment Company (RIC), the fund must dividend at least 90% of its income annually.  Additionally, to avoid a 4% federal excise tax, the fund must distribute 98% of net ordinary income, 98.2% of capital gain net income, and 100% of any income or gains recognized, but not distributed, in preceding years.