UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES
Investment Company Act file number 811-03023
FORUM FUNDS
Three Canal Plaza, Suite 600
Portland, Maine 04101
Zachary Tackett, Principal Executive Officer
Three Canal Plaza, Suite 600
Portland, Maine 04101
207-347-2000
Date of fiscal year end December 31
Date of reporting period: January 1, 2024 – December 31, 2024
ITEM 1. REPORT TO SHAREHOLDERS.
(a) A copy of the report transmitted to stockholders pursuant to Rule 30e-1 under the Investment Company Act, as amended (“Act”), is attached hereto.
Annual Shareholder Report - December 31, 2024
Polaris Global Value Fund
This annual shareholder report contains important information about the Polaris Global Value Fund for the period of January 1, 2024, to December 31, 2024. You can find additional information about the Fund at https://polarisfunds.com/resources/. You can also request this information by contacting us at (888) 263-5594.
What were the Fund's costs for the last year?
(based on a hypothetical $10,000 investment)
| Fund Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Polaris Global Value Fund | $102 | 0.99% |
|---|
How did the Fund perform in the last year?
While the fourth quarter faltered slightly, annual results for the MSCI World Index landed in resoundingly positive territory, up 18.67% for the year. A more comprehensive breakout of Index results showed that growth and U.S. stocks prevailed while small-cap, value and non-U.S. companies lagged. This proved out among the large-cap technology and consumer stocks such as Nvidia, Amazon.com and Apple, which drove Index results. And the Index skewed heavily toward U.S. stocks (at nearly 74%), while the more diversified Polaris Global Value Fund held only 42% of U.S. stocks. That diversity extended throughout the portfolio, with more small/mid-cap names and markedly more value plays than the Index, resulting in underperformance for the year, with the Polaris Global Value Fund returning 5.34%.
At the sector level, the Fund had double-digit gains from financials, consumer staples and utilities sectors, partially offset by negative results in two sectors: information technology and consumer discretionary. From a country perspective, the U.S. contributed most to the Fund's gains, but a significant underweight limited impact. Holdings in Germany, Ireland, Singapore and a handful of out-of-benchmark countries posted double-digit gains. Detractors were notable in countries suffering geopolitical turmoil, including France, South Korea and Canada.
Allison Transmission Holdings, Inc.
United Therapeutics Corp.
Samsung Electronics Co., Ltd.
Magna International, Inc.
Total Return Based on a $10,000 Investment
| Date | Polaris Global Value Fund | MSCI World Index |
|---|
| 12/31/14 | $10,000 | $10,000 |
|---|
| 03/31/15 | $10,517 | $10,231 |
|---|
| 06/30/15 | $10,607 | $10,263 |
|---|
| 09/30/15 | $9,673 | $9,396 |
|---|
| 12/31/15 | $10,155 | $9,913 |
|---|
| 03/31/16 | $10,227 | $9,878 |
|---|
| 06/30/16 | $9,891 | $9,978 |
|---|
| 09/30/16 | $10,798 | $10,463 |
|---|
| 12/31/16 | $11,340 | $10,657 |
|---|
| 03/31/17 | $11,880 | $11,337 |
|---|
| 06/30/17 | $12,497 | $11,793 |
|---|
| 09/30/17 | $12,964 | $12,364 |
|---|
| 12/31/17 | $13,676 | $13,045 |
|---|
| 03/31/18 | $13,336 | $12,878 |
|---|
| 06/30/18 | $13,513 | $13,101 |
|---|
| 09/30/18 | $13,745 | $13,753 |
|---|
| 12/31/18 | $11,945 | $11,908 |
|---|
| 03/31/19 | $13,185 | $13,394 |
|---|
| 06/30/19 | $13,604 | $13,930 |
|---|
| 09/30/19 | $13,445 | $14,005 |
|---|
| 12/31/19 | $14,668 | $15,203 |
|---|
| 03/31/20 | $10,012 | $12,003 |
|---|
| 06/30/20 | $11,880 | $14,326 |
|---|
| 09/30/20 | $12,398 | $15,462 |
|---|
| 12/31/20 | $15,644 | $17,621 |
|---|
| 03/31/21 | $17,347 | $18,488 |
|---|
| 06/30/21 | $17,815 | $19,920 |
|---|
| 09/30/21 | $17,627 | $19,919 |
|---|
| 12/31/21 | $18,052 | $21,465 |
|---|
| 03/31/22 | $17,218 | $20,359 |
|---|
| 06/30/22 | $14,991 | $17,064 |
|---|
| 09/30/22 | $13,603 | $16,008 |
|---|
| 12/31/22 | $15,883 | $17,571 |
|---|
| 03/31/23 | $16,329 | $18,930 |
|---|
| 06/30/23 | $16,607 | $20,222 |
|---|
| 09/30/23 | $16,237 | $19,522 |
|---|
| 12/31/23 | $18,229 | $21,751 |
|---|
| 03/31/24 | $19,307 | $23,683 |
|---|
| 06/30/24 | $19,119 | $24,306 |
|---|
| 09/30/24 | $20,397 | $25,853 |
|---|
| 12/31/24 | $19,202 | $25,812 |
|---|
The above chart represents historical performance of a hypothetical $10,000 investment over the past 10 years.
Average Annual Total Returns
| | One Year | Five Year | Ten Year |
|---|
| Polaris Global Value Fund | 5.34% | 5.53% | 6.74% |
|---|
| MSCI World Index | 18.67% | 11.17% | 9.95% |
|---|
The Fund’s past performance is not a good predictor of how the Fund will perform in the future. The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.
| Total Net Assets | $408,925,326 |
|---|
| # of Portfolio Holdings | 97 |
|---|
| Portfolio Turnover Rate | 17% |
|---|
| Investment Advisory Fees (Net of fees waived) | $3,359,527 |
|---|
Top Ten Holdings
(% total investments)*
| Allison Transmission Holdings, Inc. | 2.14% |
| Smurfit WestRock PLC | 1.68% |
| United Therapeutics Corp. | 1.59% |
| Capital One Financial Corp. | 1.59% |
| Cullen/Frost Bankers, Inc. | 1.57% |
| JPMorgan Chase & Co. | 1.57% |
| Northern Trust Corp. | 1.56% |
| SLM Corp. | 1.56% |
| Methanex Corp. | 1.55% |
| The Carlyle Group, Inc. | 1.51% |
* excluding cash equivalents
Country Weightings
(% total investments)*
| Value | Value |
|---|
| United States | 42.1% |
| Japan | 8.4% |
| France | 7.1% |
| South Korea | 6.1% |
| Germany | 5.9% |
| Canada | 5.4% |
| United Kingdom | 4.6% |
| Switzerland | 3.7% |
| Norway | 3.5% |
| Ireland | 3.3% |
| Sweden | 2.1% |
| Netherlands | 1.4% |
| Puerto Rico | 1.4% |
| Italy | 1.3% |
| Singapore | 1.3% |
| Taiwan | 0.9% |
| China | 0.6% |
| Chile | 0.5% |
| Colombia | 0.4% |
| Russia | 0.0% |
* excluding cash equivalents
Sector Weightings
(% total investments)*
| Value | Value |
|---|
| Financials | 27.8% |
| Industrials | 13.2% |
| Consumer Discretionary | 13.1% |
| Health Care | 11.3% |
| Materials | 8.0% |
| Information Technology | 7.1% |
| Consumer Staples | 5.9% |
| Communication Services | 5.5% |
| Energy | 5.2% |
| Utilities | 1.5% |
| Real Estate | 1.4% |
* excluding cash equivalents
Additional information is available by scanning the QR code or at https://polarisfunds.com/resources/, including its:
prospectus
financial information
holdings
proxy information
Annual Shareholder Report - December 31, 2024
(b) Not applicable.
ITEM 2. CODE OF ETHICS.
(a) As of the end of the period covered by this report, Forum Funds (the “Registrant”) has adopted a code of ethics, which applies to its Principal Executive Officer and Principal Financial Officer (the “Code of Ethics”).
(c) There have been no amendments to the Registrant’s Code of Ethics during the period covered by this report.
(d) There have been no waivers to the Registrant’s Code of Ethics during the period covered by this report.
(e) Not applicable.
(f)(1) A copy of the Code of Ethics is being filed under Item 19(a)(1) hereto.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
(a)(1) The Board of Trustees has determined that the Registrant has an audit committee financial expert, as defined in Item 3 of Form N-CSR, serving on its audit committee.
(a)(2) The audit committee financial expert, Mr. Mark Moyer, is a non-“interested” Trustee (as defined in Item 3(a)(2) of Form N-CSR.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
(a) Audit Fees - The aggregate fees billed for each of the last two fiscal years (the “Reporting Periods”) for professional services rendered by the Registrant’s principal accountant for the audit of the Registrant’s annual financial statements, or services that are normally provided by the principal accountant in connection with the statutory and regulatory filings or engagements for the Reporting Periods, were $19,900 in 2024 and $18,700 in 2023.
(b) Audit-Related Fees – The aggregate fees billed in the Reporting Periods for assurance and related services rendered by the principal accountant that were reasonably related to the performance of the audit of the Registrant’s financial statements and are not reported under paragraph (a) of this Item 4 were $0 in 2024 and $0 in 2023.
(c) Tax Fees - The aggregate fees billed in the Reporting Periods for professional services rendered by the principal accountant to the Registrant for tax compliance, tax advice and tax planning were $3,600 in 2024 and $3,500 in 2023. These services consisted of review or preparation of U.S. federal, state, local and excise tax returns.
(d) All Other Fees - The aggregate fees billed in the Reporting Periods for products and services provided by the principal accountant to the Registrant, other than the services reported in paragraphs (a) through (c) of this Item, were $0 in 2024 and $0 in 2023.
(e)(1) The Audit Committee reviews and approves in advance all audit and “permissible non-audit services” (as that term is defined by the rules and regulations of the U.S. Securities and Exchange Commission) to be rendered to a series of the Registrant (each, a “Series”). In addition, the Audit Committee reviews and approves in advance all “permissible non-audit services” to be provided to an investment adviser (not including any sub-adviser) of a Series, or an affiliate of such investment adviser, that is controlling, controlled by or under common control with the investment adviser and provides on-going services to the Registrant (“Affiliate”), by the Series’ principal accountant if the engagement relates directly to the operations and financial reporting of the Series. The Audit Committee considers whether fees paid by a Series’ investment adviser or an Affiliate to the Series’ principal accountant for audit and permissible non-audit services are consistent with the principal accountant’s independence.
(e)(2) No services included in (b) - (d) above were approved pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.
(f) Not applicable
(g) The aggregate non-audit fees billed by the principal accountant for services rendered to the Registrant for the Reporting Periods were $0 in 2023 and $0 in 2024. There were no fees billed in either of the Reporting Periods for non-audit services rendered by the principal accountant to the Registrant’s investment adviser or any Affiliate.
(h) During the Reporting Period, the Registrant's principal accountant provided no non-audit services to the investment advisers or any entity controlling, controlled by or under common control with the investment advisers to the series of the Registrant to which this report relates.
(i) Not applicable. The Registrant has not retained, for the preparation of the audit report on the financial statements included in the Form N-CSR, a registered public accounting firm that has a branch or office that is located in a foreign jurisdiction and that the Public Company Accounting Oversight Board (the “PCAOB”) has determined that the PCAOB is unable to inspect or investigate completely because of a position taken by an authority in the foreign jurisdiction.
(j) Not applicable. The Registrant is not a “foreign issuer,” as defined in 17 CFR 240.3b-4.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
Not applicable.
ITEM 6. INVESTMENTS.
(a) Included as part of financial statements filed under Item 7(a).
(b) Not applicable.
ITEM 7. FINANCIAL STATEMENTS AND FINANCIAL HIGHLIGHTS FOR OPEN-END MANAGEMENT INVESTMENT COMPANIES.
(a)
Annual
Financials
and
Other
Information
DECEMBER
31,
2024
Schedule
of
Investments
1
Statement
of
Assets
and
Liabilities
4
Statement
of
Operations
5
Statements
of
Changes
in
Net
Assets
6
Financial
Highlights
7
Notes
to
Financial
Statements
8
Report
of
Independent
Registered
Public
Accounting
Firm
15
Important
Tax
Information
(Unaudited)
16
Other
Information
(Unaudited)
17
Polaris
Global
Value
Fund
SCHEDULE
OF
INVESTMENTS
DECEMBER
31,
2024
See
Notes
to
Financial
Statements.
Shares
Security
Description
Value
Common
Stock
-
99.2%
Canada
-
5.4%
48,707
Canadian
Tire
Corp.,
Ltd.,
Class A
$
5,123,985
436,400
Lundin
Mining
Corp.
3,755,447
81,219
Magna
International,
Inc.
3,394,649
125,937
Methanex
Corp.
6,293,127
119,900
OpenText
Corp.
3,393,184
21,960,392
Chile
-
0.5%
132,350,500
Latam
Airlines
Group
SA
1,827,176
China
-
0.6%
177,300
Vipshop
Holdings,
Ltd.,
ADR
2,388,231
Colombia
-
0.4%
22,200
Tecnoglass,
Inc.
1,760,904
France
-
7.0%
153,100
Cie
Generale
des
Etablissements
Michelin
SCA
5,043,117
39,907
IPSOS
SA
1,898,225
56,776
Publicis
Groupe
SA
6,057,575
45,600
Sanofi
SA
4,427,785
35,091
Teleperformance
SE
3,021,329
77,200
TotalEnergies
SE
4,267,871
39,553
Vinci
SA
4,086,444
28,802,346
Germany
-
5.8%
135,400
Daimler
Truck
Holding
AG
5,168,362
189,548
Deutsche
Telekom
AG
5,672,356
138,941
flatexDEGIRO
AG
2,126,448
19,700
Hannover
Rueck
SE
4,926,066
11,600
Muenchener
Rueckversicherungs-
Gesellschaft
AG
in
Muenchen,
Class R
5,852,924
23,746,156
Ireland
-
3.3%
1,036,300
Greencore
Group
PLC
(a)
2,514,252
33,900
Jazz
Pharmaceuticals
PLC
(a)
4,174,785
126,652
Smurfit
WestRock
PLC
6,821,477
13,510,514
Italy
-
1.3%
300,400
Eni
SpA
4,073,206
4,371,673
TREVI
-
Finanziaria
Industriale
SpA
(a)
1,247,573
5,320,779
Japan
-
8.4%
355,100
Daicel
Corp.
3,174,223
119,000
ITOCHU
Corp.
5,923,340
145,100
KDDI
Corp.
4,649,618
61,500
Macnica
Holdings,
Inc.
721,334
Shares
Security
Description
Value
Japan
-
8.4%
(continued)
283,700
Marubeni
Corp.
$
4,313,783
221,400
ORIX
Corp.
4,795,394
285,500
Sony
Group
Corp.
6,112,997
172,200
Takeda
Pharmaceutical
Co.,
Ltd.
4,575,730
34,266,419
Netherlands
-
1.4%
177,200
Koninklijke
Ahold
Delhaize
NV
5,780,071
Norway
-
3.4%
211,196
DNB
Bank
ASA
4,209,671
329,537
SpareBank
1
Sor-Norge
ASA
4,243,910
158,654
Sparebanken
Vest
1,974,917
135,700
Yara
International
ASA
3,585,797
14,014,295
Puerto
Rico
-
1.4%
61,300
Popular,
Inc.
5,765,878
Russia
-
0.0%
3,148,600
Alrosa
PJSC
(b)
277
Singapore
-
1.3%
195,650
United
Overseas
Bank,
Ltd.
5,204,822
South
Korea
-
6.0%
26,700
F&F
Co.,
Ltd./New
(a)
984,825
61,100
Kia
Corp.
4,179,445
70,500
LG
Electronics,
Inc.
3,998,743
133,758
Samsung
Electronics
Co.,
Ltd.
4,833,696
166,800
Shinhan
Financial
Group
Co.,
Ltd.
5,398,920
44,500
SK
Hynix,
Inc.
5,256,632
24,652,261
Sweden
-
2.1%
119,300
Duni
AB,
Class A
1,016,824
100,203
Loomis
AB
3,046,705
240,300
SKF
AB,
Class B
4,508,944
8,572,473
Switzerland
-
3.6%
2,953
Barry
Callebaut
AG
3,917,593
20,544
Chubb,
Ltd.
5,676,307
49,400
Novartis
AG
4,828,142
10,840
Sandoz
Group
AG
443,968
14,866,010
Taiwan
-
0.9%
1,090,000
Chailease
Holding
Co.,
Ltd.
3,756,958
United
Kingdom
-
4.6%
296,611
Inchcape
PLC
2,857,363
12,913
Linde
PLC
5,406,286
238,712
Mondi
PLC
3,562,214
45,528
Next
PLC
5,413,527
Polaris
Global
Value
Fund
SCHEDULE
OF
INVESTMENTS
DECEMBER
31,
2024
See
Notes
to
Financial
Statements.
The
following
is
a
summary
of
the
inputs
used
to
value
the
Fund's investments
as
of
December
31,
2024.
The
inputs
or
methodology
used
for
valuing
securities
are
not
necessarily
an
indication
of
the
risks
associated
with
investing
in
those
securities.
For
more
information
on
valuation
inputs,
and
their
aggregation
into
the
levels
used
in
the
table
below,
please
refer
to
the
Security
Valuation
section
in
Note
2
of
the
accompanying
Notes
to
Financial
Statements.
Shares
Security
Description
Value
United
Kingdom
-
4.6%
(continued)
85,600
Nomad
Foods,
Ltd.
$
1,436,368
18,675,758
United
States
-
41.8%
30,451
AbbVie,
Inc.
5,411,143
80,500
Allison
Transmission
Holdings,
Inc.
8,698,830
35,000
Arrow
Electronics,
Inc.
(a)
3,959,200
36,100
Capital
One
Financial
Corp.
6,437,352
44,776
Crocs,
Inc.
(a)
4,904,315
47,400
Cullen/Frost
Bankers,
Inc.
6,363,450
55,600
CVS
Health
Corp.
2,495,884
62,335
Dime
Community
Bancshares,
Inc.
1,915,866
70,375
Eastern
Bankshares,
Inc.
1,213,969
11,100
Elevance
Health,
Inc.
4,094,790
114,600
Gaming
and
Leisure
Properties,
Inc.
REIT
5,519,136
21,067
General
Dynamics
Corp.
5,550,944
63,000
Gilead
Sciences,
Inc.
5,819,310
42,200
Ingredion,
Inc.
5,805,032
94,563
International
Bancshares
Corp.
5,972,599
26,500
JPMorgan
Chase
&
Co.
6,352,315
105,000
LKQ
Corp.
3,858,750
25,800
M&T
Bank
Corp.
4,850,658
33,282
Marathon
Petroleum
Corp.
4,642,839
14,100
Microsoft
Corp.
5,943,150
44,900
MKS
Instruments,
Inc.
4,687,111
84,576
NextEra
Energy,
Inc.
6,063,253
61,800
Northern
Trust
Corp.
6,334,500
205,000
NOV,
Inc.
2,993,000
46,600
Premier
Financial
Corp.
1,191,562
351,529
Sally
Beauty
Holdings,
Inc.
(a)
3,673,478
38,100
Science
Applications
International
Corp.
4,258,818
228,700
SLM
Corp.
6,307,546
121,300
The
Carlyle
Group,
Inc.
6,124,437
143,700
The
Interpublic
Group
of
Cos.,
Inc.
4,026,474
81,200
Tyson
Foods,
Inc.,
Class A
4,664,128
18,300
United
Therapeutics
Corp.
(a)
6,456,972
6,368
UnitedHealth
Group,
Inc.
3,221,317
106,738
Webster
Financial
Corp.
5,894,072
92,400
Williams
Cos.,
Inc.
5,000,688
170,706,888
Total
Common
Stock
(Cost
$308,378,976)
405,578,608
Shares
Security
Description
Exercise
Price
Exp.
Date
Value
Warrants
-
0.0%
10,863
TREVI
-
Finanziaria
Industriale
SpA
(a)
(Cost
$1,001,311)
$
1.30
05/05/25
$
11,252
Shares
Security
Description
Value
Money
Market
Fund
-
0.8%
3,521,139
Northern
Institutional
Treasury
Portfolio
Premier
Shares,
4.26%
(c)
(Cost
$3,521,139)
3,521,139
Investments,
at
value
-
100.0%
(Cost
$312,901,426)
$
409,110,999
Other
Assets
&
Liabilities,
Net
-
0.0%
(185,673)
Net
Assets
-
100.0%
$
408,925,326
ADR
American
Depositary
Receipt
PJSC
Public
Joint
Stock
Company
PLC
Public
Limited
Company
REIT
Real
Estate
Investment
Trust
(a)
Non-income
producing
security.
(b)
Security
fair
valued
in
accordance
with
procedures
adopted
by
the
Board
of
Trustees.
At
the
period
end,
the
value
of
these
securities
amounted
to
$277
or
0.0%
of
net
assets.
(c)
Dividend
yield
changes
daily
to
reflect
current
market
conditions.
Rate
was
the
quoted
yield
as
of
December
31,
2024.
Polaris
Global
Value
Fund
SCHEDULE
OF
INVESTMENTS
DECEMBER
31,
2024
See
Notes
to
Financial
Statements.
The
following
is
a
reconciliation
of
Level
3
investments
for
which
significant
unobservable
inputs
were
used
to
determine
fair
value.
Level
1
Level
2
Level
3
Total
Investments
at
Value
Common
Stock
Canada
$
21,960,392
$
–
$
–
$
21,960,392
Chile
1,827,176
–
–
1,827,176
China
2,388,231
–
–
2,388,231
Colombia
1,760,904
–
–
1,760,904
France
28,802,346
–
–
28,802,346
Germany
23,746,156
–
–
23,746,156
Ireland
13,510,514
–
–
13,510,514
Italy
5,320,779
–
–
5,320,779
Japan
34,266,419
–
–
34,266,419
Netherlands
5,780,071
–
–
5,780,071
Norway
14,014,295
–
–
14,014,295
Puerto
Rico
5,765,878
–
–
5,765,878
Russia
–
–
277
277
Singapore
5,204,822
–
–
5,204,822
South
Korea
24,652,261
–
–
24,652,261
Sweden
8,572,473
–
–
8,572,473
Switzerland
14,866,010
–
–
14,866,010
Taiwan
3,756,958
–
–
3,756,958
United
Kingdom
18,675,758
–
–
18,675,758
United
States
170,706,888
–
–
170,706,888
Warrants
11,252
–
–
11,252
Money
Market
Fund
3,521,139
–
–
3,521,139
Investments
at
Value
$
409,110,722
$
–
$
277
$
409,110,999
Common
Stock
Balance
as
of
12/31/23
$
353
Change
in
Unrealized
Appreciation/(Depreciation)
(76)
Balance
as
of
12/31/24
$
277
Net
change
in
unrealized
depreciation
from
investments
held
as
of
12/31/24
$
(76)
PORTFOLIO
HOLDINGS
(Unaudited)
%
of
Total
Investments
Communication
Services
5.5%
Consumer
Discretionary
12.9%
Consumer
Staples
5.9%
Energy
5.1%
Financials
27.6%
Health
Care
11.2%
Industrials
13.1%
Information
Technology
7.0%
Materials
8.0%
Real
Estate
1.3%
Utilities
1.5%
Warrants
0.0%
Money
Market
Fund
0.9%
100.0%
Polaris
Global
Value
Fund
STATEMENT
OF
ASSETS
AND
LIABILITIES
DECEMBER
31,
2024
See
Notes
to
Financial
Statements.
*
Shares
redeemed
or
exchanged
within
180
days
of
purchase
are
charged
a
1.00%
redemption
fee.
ASSETS
Investments,
at
value
(Cost
$312,901,426)
$
409,110,999
Cash
76,967
Receivables:
Fund
shares
sold
111,446
Dividends
885,624
Prepaid
expenses
13,759
Total
Assets
410,198,795
LIABILITIES
Payables:
Fund
shares
redeemed
495,524
Distributions
payable
387,549
Accrued
Liabilities:
Investment
adviser
fees
268,524
Fund
services
fees
38,850
Other
expenses
83,022
Total
Liabilities
1,273,469
NET
ASSETS
$
408,925,326
COMPONENTS
OF
NET
ASSETS
Paid-in
capital
$
307,743,550
Distributable
Earnings
101,181,776
NET
ASSETS
$
408,925,326
SHARES
OF
BENEFICIAL
INTEREST
AT
NO
PAR
VALUE
(UNLIMITED
SHARES
AUTHORIZED)
13,235,498
NET
ASSET
VALUE,
OFFERING
AND
REDEMPTION
PRICE
PER
SHARE*
$
30.90
Polaris
Global
Value
Fund
STATEMENT
OF
OPERATIONS
YEAR
ENDED
DECEMBER
31,
2024
See
Notes
to
Financial
Statements.
INVESTMENT
INCOME
Dividend
income
(Net
of
foreign
withholding
taxes
of
$883,978)
$
11,700,819
Total
Investment
Income
11,700,819
EXPENSES
Investment
adviser
fees
4,276,530
Fund
services
fees
516,978
Custodian
fees
66,536
Registration
fees
25,127
Professional
fees
82,521
Trustees'
fees
and
expenses
21,481
Other
expenses
214,083
Total
Expenses
5,203,256
Fees
waived
(969,503)
Net
Expenses
4,233,753
NET
INVESTMENT
INCOME
7,467,066
NET
REALIZED
AND
UNREALIZED
GAIN
(LOSS)
Net
realized
gain
(loss)
on:
Investments
21,657,614
Foreign
currency
transactions
(85,291)
Written
options
18,735
Net
realized
gain
21,591,058
Net
change
in
unrealized
appreciation
(depreciation)
on:
Investments
(6,736,636)
Foreign
currency
translations
(44,472)
Net
change
in
unrealized
appreciation
(depreciation)
(6,781,108)
NET
REALIZED
AND
UNREALIZED
GAIN
14,809,950
INCREASE
IN
NET
ASSETS
RESULTING
FROM
OPERATIONS
$
22,277,016
Polaris
Global
Value
Fund
STATEMENTS
OF
CHANGES
IN
NET
ASSETS
See
Notes
to
Financial
Statements.
For
the
Years
Ended
December
31,
2024
2023
OPERATIONS
Net
investment
income
$
7,467,066
$
6,797,237
Net
realized
gain
21,591,058
8,747,877
Net
change
in
unrealized
appreciation
(depreciation)
(6,781,108)
39,074,455
Increase
in
Net
Assets
Resulting
from
Operations
22,277,016
54,619,569
DISTRIBUTIONS
TO
SHAREHOLDERS
Total
Distributions
Paid
(22,341,484)
(6,875,779)
CAPITAL
SHARE
TRANSACTIONS
Sale
of
shares
3,938,144
8,920,743
Reinvestment
of
distributions
21,266,750
6,534,905
Redemption
of
shares
(31,887,789)
(39,617,690)
Redemption
fees
16,099
4,775
Decrease
in
Net
Assets
from
Capital
Share
Transactions
(6,666,796)
(24,157,267)
Increase
(Decrease)
in
Net
Assets
(6,731,264)
23,586,523
NET
ASSETS
Beginning
of
Year
415,656,590
392,070,067
End
of
Year
$
408,925,326
$
415,656,590
SHARE
TRANSACTIONS
Sale
of
shares
120,830
314,141
Reinvestment
of
distributions
662,798
211,144
Redemption
of
shares
(979,567)
(1,392,511)
Decrease
in
Shares
(195,939)
(867,226)
Polaris
Global
Value
Fund
FINANCIAL
HIGHLIGHTS
See
Notes
to
Financial
Statements.
These
financial
highlights
reflect
selected
data
for
a
share
outstanding
throughout
each
year
.
For
the
Years
Ended
December
31,
2024
2023
2022
2021
2020
NET
ASSET
VALUE,
Beginning
of
Year
$
30.95
$
27.42
$
32.26
$
29.12
$
27.72
INVESTMENT
OPERATIONS
Net
investment
income
(a)
0.57
0.49
0.50
0.48
0.32
Net
realized
and
unrealized
gain
(loss)
1.12
3.56
(4.37)
3.97
1.53
Total
from
Investment
Operations
1.69
4.05
(3.87)
4.45
1.85
DISTRIBUTIONS
TO
SHAREHOLDERS
FROM
Net
investment
income
(0.61)
(0.52)
(0.43)
(0.50)
(0.34)
Net
realized
gain
(1.13)
–
(0.54)
(0.81)
(0.11)
Total
Distributions
to
Shareholders
(1.74)
(0.52)
(0.97)
(1.31)
(0.45)
REDEMPTION
FEES(a)
0.00(b)
0.00(b)
0.00(b)
0.00(b)
0.00(b)
NET
ASSET
VALUE,
End
of
Year
$
30.90
$
30.95
$
27.42
$
32.26
$
29.12
TOTAL
RETURN
5.34%
14.77%
(12.01)%
15.36%
6.68%
RATIOS/SUPPLEMENTARY
DATA
Net
Assets
at
End
of
Year
(000s
omitted)
$
408,925
$
415,657
$
392,070
$
492,795
$
450,739
Ratios
to
Average
Net
Assets:
Net
investment
income
1.75%
1.72%
1.74%
1.47%
1.34%
Net
expenses
0.99%
0.99%
0.99%
0.99%
0.99%
Gross
expenses
(c)
1.22%
1.22%
1.23%
1.21%
1.24%
PORTFOLIO
TURNOVER
RATE
17%
14%
19%
19%
57%
(a)
Calculated
based
on
average
shares
outstanding
during
each
year.
(b)
Less
than
$0.01
per
share.
(c)
Reflects
the
expense
ratio
excluding
any
waivers
and/or
reimbursements.
Expense
waivers
and/or
reimbursements
would
decrease
the
total
return
had
such
reductions
not
occurred.
Polaris
Global
Value
Fund
NOTES
TO
FINANCIAL
STATEMENTS
DECEMBER
31,
2024
Note
1.
Organization
The
Polaris
Global
Value
Fund
(the
“Fund”)
is
a
diversified
portfolio
of
Forum
Funds
(the
“Trust”).
The
Trust
is
a
Delaware
statutory
trust
that
is
registered
as
an
open-end,
management
investment
company
under
the
Investment
Company
Act
of
1940,
as
amended
(the
“Act”).
Under
its
Trust
Instrument,
the
Trust
is
authorized
to
issue
an
unlimited
number
of
the
Fund’s
shares
of
beneficial
interest
without
par
value.
The
Fund
commenced
operations
June
1,
1998
after
it
acquired
the
net
assets
of
Global
Value
Limited
Partnership
(the
“Partnership”),
in
exchange
for
Fund
shares.
The
Partnership
commenced
operations
on
July
31,
1989.
The
Fund
seeks
capital
appreciation.
The
Fund
included
herein
is
deemed
to
be
an
individual
reporting
segment
and
is
not
part
of
a
consolidated
reporting
entity.
The
objective
and
strategy
of
the
Fund
is
used
by
the
Adviser,
as
defined
in
Note
3,
to
make
investment
decisions,
and
the
results
of
the
operations,
as
shown
on
the
Statement
of
Operations
and
the
financial
highlights
for
the
Fund
is
the
information
utilized
for
the
day-to-day
management
of
the
Fund.
The
Fund
is
party
to
the
expense
agreements
as
disclosed
in
the
Notes
to
the
Financial
Statements
and
there
are
no
resources
allocated
to
the
Fund
based
on
performance
measurements.
Due
to
the
significance
of
oversight
and
their
role,
the
Adviser
is
deemed
to
be
the
Chief
Operating
Decision
Maker.
Note
2.
Summary
of
Significant
Accounting
Policies
The
Fund
is
an
investment
company
and
follows
accounting
and
reporting
guidance
under
Financial
Accounting
Standards
Board
Accounting
Standards
Codification
Topic
946,
“Financial
Services
–
Investment
Companies.”
These
financial
statements
are
prepared
in
accordance
with
accounting
principles
generally
accepted
in
the
United
States
of
America
(“GAAP”),
which
require
management
to
make
estimates
and
assumptions
that
affect
the
reported
amounts
of
assets
and
liabilities,
the
disclosure
of
contingent
liabilities
at
the
date
of
the
financial
statements,
and
the
reported
amounts
of
increases
and
decreases
in
net
assets
from
operations
during
the
fiscal
year.
Actual
amounts
could
differ
from
those
estimates.
The
following
summarizes
the
significant
accounting
policies
of
the
Fund:
Security
Valuation
–
Securities
are
recorded
at
fair
value
using
last
quoted
trade
or
official
closing
price
from
the
principal
exchange
where
the
security
is
traded,
as
provided
by
independent
pricing
services
on
each
Fund
business
day.
In
the
absence
of
a
last
trade,
securities
are
valued
at
the
mean
of
the
last
bid
and
ask
price
provided
by
the
pricing
service.
Forward
currency
contracts
are
generally
valued
based
on
interpolation
of
forward
curve
data
points
obtained
from
major
banking
institutions
that
deal
in
foreign
currencies
and
currency
dealers.
Shares
of
non-exchange
traded
open-end
mutual
funds
are
valued
at
net
asset
value
per
share
(“NAV”).
Short-term
investments
that
mature
in
sixty
days
or
less
may
be
recorded
at
amortized
cost,
which
approximates
fair
value.
Pursuant
to
Rule
2a-5
under
the
Investment
Company
Act,
the
Trust’s
Board
of
Trustees
(the
“Board”)
has
designated
the
Adviser
as
the
Fund’s
valuation
designee
to
perform
any
fair
value
determinations
for
securities
and
other
assets
held
by
the
Fund.
The
Adviser
is
subject
to
the
oversight
of
the
Board
and
certain
reporting
and
other
requirements
intended
to
provide
the
Board
the
information
needed
to
oversee
the
Adviser’s
fair
value
determinations.
The
Adviser
is
responsible
for
determining
the
fair
value
of
investments
for
which
market
quotations
are
not
readily
available
in
accordance
with
policies
and
procedures
that
have
been
approved
by
the
Board.
Under
these
procedures,
the
Adviser
convenes
on
a
regular
and
ad
hoc
basis
to
review
such
investments
and
considers
a
number
of
factors,
including
valuation
methodologies
and
significant
Polaris
Global
Value
Fund
NOTES
TO
FINANCIAL
STATEMENTS
DECEMBER
31,
2024
unobservable
inputs,
when
arriving
at
fair
value.
The
Board
has
approved
the
Adviser’s
fair
valuation
procedures
as
a
part
of
the
Fund’s
compliance
program
and
will
review
any
changes
made
to
the
procedures.
The
Adviser
provides
fair
valuation
inputs.
In
determining
fair
valuations,
inputs
may
include
market-based
analytics
that
may
consider
related
or
comparable
assets
or
liabilities,
recent
transactions,
market
multiples,
book
values
and
other
relevant
investment
information.
Adviser
inputs
may
include
an
income-based
approach
in
which
the
anticipated
future
cash
flows
of
the
investment
are
discounted
in
determining
fair
value.
Discounts
may
also
be
applied
based
on
the
nature
or
duration
of
any
restrictions
on
the
disposition
of
the
investments.
The
Adviser
performs
regular
reviews
of
valuation
methodologies,
key
inputs
and
assumptions,
disposition
analysis
and
market
activity.
Fair
valuation
is
based
on
subjective
factors
and,
as
a
result,
the
fair
value
of
an
investment
may
differ
from
the
security’s
market
price
and
may
not
be
the
price
at
which
the
asset
may
be
sold.
Fair
valuation
could
result
in
a
different
NAV
than
a
NAV
determined
by
using
market
quotes.
GAAP
has
a
three-tier
fair
value
hierarchy.
The
basis
of
the
tiers
is
dependent
upon
the
level
of
various
“inputs”
used
to
determine
the
value
of
the
Fund’s
investments.
These
inputs
are
summarized
in
the
three
broad
levels
listed
below:
Level
1
-
Quoted
prices
in
active
markets
for
identical
assets
and
liabilities.
Level
2
-
Prices
determined
using
significant
other
observable
inputs
(including
quoted
prices
for
similar
securities,
interest
rates,
prepayment
speeds,
credit
risk,
etc.).
Short-term
securities
are
valued
at
amortized
cost,
which
approximates
market
value,
are
categorized
as
Level
2
in
the
hierarchy.
Municipal
securities,
long-term
U.S.
government
obligations
and
corporate
debt
securities
are
valued
in
accordance
with
the
evaluated
price
supplied
by
a
pricing
service
and
generally
categorized
as
Level
2
in
the
hierarchy.
Other
securities
that
are
categorized
as
Level
2
in
the
hierarchy
include,
but
are
not
limited
to,
warrants
that
do
not
trade
on
an
exchange,
securities
valued
at
the
mean
between
the
last
reported
bid
and
ask
quotation
and
international
equity
securities
valued
by
an
independent
third
party
with
adjustments
for
changes
in
value
between
the
time
of
the
securities’
respective
local
market
closes
and
the
close
of
the
U.S.
market.
Level
3
-
Significant
unobservable
inputs
(including
the
Fund’s
own
assumptions
in
determining
the
fair
value
of
investments).
The
aggregate
value
by
input
level,
as
of
December
31,
2024,
for
the
Fund’s
investments
is
included
at
the
end
of
the
Fund’s
Schedule
of
Investments.
Security
Transactions,
Investment
Income
and
Realized
Gain
and
Loss
–
Investment
transactions
are
accounted
for
on
the
trade
date.
Dividend
income
is
recorded
on
the
ex-dividend
date.
Non-cash
dividend
income
is
recorded
at
the
fair
market
value
of
the
securities
received.
Foreign
dividend
income
is
recorded
on
the
ex-dividend
date
or
as
soon
as
possible
after
determining
the
existence
of
a
dividend
declaration
after
exercising
reasonable
due
diligence.
Income
and
capital
gains
on
some
foreign
securities
may
be
subject
to
foreign
withholding
taxes,
which
are
accrued
as
applicable.
Interest
income
is
recorded
on
an
accrual
basis.
Premium
is
amortized
to
the
next
call
date
above
par,
and
discount
is
accreted
to
maturity
using
the
effective
interest
method
and
included
in
interest
income.
Identified
cost
of
investments
sold
is
used
to
determine
the
gain
and
loss
for
both
financial
statement
and
federal
income
tax
purposes.
Polaris
Global
Value
Fund
NOTES
TO
FINANCIAL
STATEMENTS
DECEMBER
31,
2024
Written
Options
–
When
a
fund
writes
an
option,
an
amount
equal
to
the
premium
received
by
the
fund
is
recorded
as
a
liability
and
is
subsequently
adjusted
to
the
current
value
of
the
option
written.
Premiums
received
from
writing
options
that
expire
unexercised
are
treated
by
the
Fund
on
the
expiration
date
as
realized
gain
from
written
options.
The
difference
between
the
premium
and
the
amount
paid
on
effecting
a
closing
purchase
transaction,
including
brokerage
commissions,
is
also
treated
as
a
realized
gain,
or
if
the
premium
is
less
than
the
amount
paid
for
the
closing
purchase
transaction,
as
a
realized
loss.
If
a
call
option
is
exercised,
the
premium
is
added
to
the
proceeds
from
the
sale
of
the
underlying
security
in
determining
whether
the
Fund
has
realized
a
gain
or
loss.
If
a
put
option
is
exercised,
the
premium
reduces
the
cost
basis
of
the
securities
purchased
by
the
Fund.
The
Fund,
as
writer
of
an
option,
bears
the
market
risk
of
an
unfavorable
change
in
the
price
of
the
security
underlying
the
written
option.
Written
options
are
non-income
producing
securities.
The
values
of
each
individual
written
option
outstanding
as
of
December
31,
2024,
if
any,
are
disclosed
in
the
Fund’s
Schedule
of
Investments.
Purchased
Options
–
When
a
fund
purchases
an
option,
an
amount
equal
to
the
premium
paid
by
the
fund
is
recorded
as
an
investment
and
is
subsequently
adjusted
to
the
current
value
of
the
option
purchased.
If
an
option
expires
on
the
stipulated
expiration
date
or
if
the
fund
enters
into
a
closing
sale
transaction,
a
gain
or
loss
is
realized.
If
a
call
option
is
exercised,
the
cost
of
the
security
acquired
is
increased
by
the
premium
paid
for
the
call.
If
a
put
option
is
exercised,
a
gain
or
loss
is
realized
from
the
sale
of
the
underlying
security,
and
the
proceeds
from
such
sale
are
decreased
by
the
premium
originally
paid.
Purchased
options
are
non-income
producing
securities.
The
values
of
each
individual
purchased
option
outstanding
as
of
December
31,
2024,
if
any,
are
disclosed
in
the
Fund’s
Schedule
of
Investments.
Foreign
Currency
Translations
–
Foreign
currency
amounts
are
translated
into
U.S.
dollars
as
follows:
(1)
assets
and
liabilities
at
the
rate
of
exchange
at
the
end
of
the
respective
period;
and
(2)
purchases
and
sales
of
securities
and
income
and
expenses
at
the
rate
of
exchange
prevailing
on
the
dates
of
such
transactions.
The
portion
of
the
results
of
operations
arising
from
changes
in
the
exchange
rates
and
the
portion
due
to
fluctuations
arising
from
changes
in
the
market
prices
of
securities
are
not
isolated.
Such
fluctuations
are
included
with
the
net
realized
and
unrealized
gain
or
loss
on
investments.
Foreign
Currency
Transactions
–
The
Fund
may
enter
into
transactions
to
purchase
or
sell
foreign
currency
contracts
and
options
on
foreign
currency.
Forward
currency
contracts
are
agreements
to
exchange
one
currency
for
another
at
a
future
date
and
at
a
specified
price.
A
fund
may
use
forward
currency
contracts
to
facilitate
transactions
in
foreign
securities,
to
manage
a
fund’s
foreign
currency
exposure
and
to
protect
the
U.S.
dollar
value
of
its
underlying
portfolio
securities
against
the
effect
of
possible
adverse
movements
in
foreign
exchange
rates.
These
contracts
are
intrinsically
valued
daily
based
on
forward
rates,
and
a
fund’s
net
equity
therein,
representing
unrealized
gain
or
loss
on
the
contracts
as
measured
by
the
difference
between
the
forward
foreign
exchange
rates
at
the
dates
of
entry
into
the
contracts
and
the
forward
rates
at
the
reporting
date,
is
recorded
as
a
component
of
NAV.
These
instruments
involve
market
risk,
credit
risk,
or
both
kinds
of
risks,
in
excess
of
the
amount
recognized
in
the
Statement
of
Assets
and
Liabilities.
Risks
arise
from
the
possible
inability
of
counterparties
to
meet
the
terms
of
their
contracts
and
from
movement
in
currency
and
securities
values
and
interest
rates.
Due
to
the
risks
associated
with
these
transactions,
a
fund
could
incur
losses
up
to
the
entire
contract
amount,
which
may
exceed
the
net
unrealized
value
included
in
its
NAV.
Polaris
Global
Value
Fund
NOTES
TO
FINANCIAL
STATEMENTS
DECEMBER
31,
2024
Distributions
to
Shareholders
–
The
Fund
declares
any
dividends
from
net
investment
income
and
pays
them
annually.
Any
net
capital
gains
and
foreign
currency
gains
realized
by
the
Fund
are
distributed
at
least
annually.
Distributions
to
shareholders
are
recorded
on
the
ex-dividend
date.
Distributions
are
based
on
amounts
calculated
in
accordance
with
applicable
federal
income
tax
regulations,
which
may
differ
from
GAAP.
These
differences
are
due
primarily
to
differing
treatments
of
income
and
gain
on
various
investment
securities
held
by
the
Fund,
timing
differences
and
differing
characterizations
of
distributions
made
by
the
Fund.
Federal
Taxes
–
The
Fund
intends
to
continue
to
qualify
each
year
as
a
regulated
investment
company
under
Subchapter
M
of
Chapter
1,
Subtitle
A,
of
the
Internal
Revenue
Code
of
1986,
as
amended
(“Code”),
and
to
distribute
all
of
its
taxable
income
to
shareholders.
In
addition,
by
distributing
in
each
calendar
year
substantially
all
of
its
net
investment
income
and
capital
gains,
if
any,
the
Fund
will
not
be
subject
to
a
federal
excise
tax.
Therefore,
no
federal
income
or
excise
tax
provision
is
required.
The
Fund
recognizes
interest
and
penalties,
if
any,
related
to
unrecognized
tax
benefits
as
income
tax
expense
in
the
Statement
of
Operations.
During
the
year,
the
Fund
did
not
incur
any
interest
or
penalties.
The
Fund
files
a
U.S.
federal
income
and
excise
tax
return
as
required.
The
Fund’s
federal
income
tax
returns
are
subject
to
examination
by
the
Internal
Revenue
Service
for
a
period
of
three
fiscal
years
after
they
are
filed.
As
of
December
31,
2024,
there
are
no
uncertain
tax
positions
that
would
require
financial
statement
recognition,
de-recognition
or
disclosure.
Income
and
Expense
Allocation
–
The
Trust
accounts
separately
for
the
assets,
liabilities
and
operations
of
each
of
its
investment
portfolios.
Expenses
that
are
directly
attributable
to
more
than
one
investment
portfolio
are
allocated
among
the
respective
investment
portfolios
in
an
equitable
manner.
Redemption
Fees
–
A
shareholder
who
redeems
or
exchanges
shares
within
180
days
of
purchase
will
incur
a
redemption
fee
of
1.00%
of
the
current
NAV
of
shares
redeemed
or
exchanged,
subject
to
certain
limitations.
The
fee
is
charged
for
the
benefit
of
the
remaining
shareholders
and
will
be
paid
to
the
Fund
to
help
offset
transaction
costs.
The
fee
is
accounted
for
as
an
addition
to
paid-in
capital.
The
Fund
reserves
the
right
to
modify
the
terms
of
or
terminate
the
fee
at
any
time.
There
are
limited
exceptions
to
the
imposition
of
the
redemption
fee.
Redemption
fees
incurred
for
the
Fund,
if
any,
are
reflected
on
the
Statements
of
Changes
in
Net
Assets.
Commitments
and
Contingencies
–
In
the
normal
course
of
business,
the
Fund
enters
into
contracts
that
provide
general
indemnifications
by
the
Fund
to
the
counterparty
to
the
contract.
The
Fund’s
maximum
exposure
under
these
arrangements
is
dependent
on
future
claims
that
may
be
made
against
the
Fund
and,
therefore,
cannot
be
estimated;
however,
based
on
experience,
the
risk
of
loss
from
such
claims
is
considered
remote.
The
Fund
has
determined
that
none
of
these
arrangements
requires
disclosure
on
the
Fund’s
Statement
of
Assets
and
Liabilities.
Note
3.
Fees
and
Expenses
Investment
Adviser
–
Polaris
Capital
Management,
LLC
(the
“Adviser”)
is
the
investment
adviser
to
the
Fund.
Pursuant
to
an
investment
advisory
agreement,
the
Adviser
receives
an
advisory
fee,
payable
monthly,
from
the
Fund
at
an
annual
rate
of
1.00%
of
the
Fund’s
average
daily
net
assets.
Polaris
Global
Value
Fund
NOTES
TO
FINANCIAL
STATEMENTS
DECEMBER
31,
2024
Distribution
–
Foreside
Fund
Services,
LLC,
a
wholly
owned
subsidiary
of
Foreside
Financial
Group,
LLC
(d/b/a
ACA
Group)
(the
“Distributor”),
acts
as
the
agent
of
the
Trust
in
connection
with
the
continuous
offering
of
shares
of
the
Fund.
The
Fund
does
not
have
a
distribution
(12b-1)
plan;
accordingly,
the
Distributor
does
not
receive
compensation
from
the
Fund
for
its
distribution
services.
The
Adviser
compensates
the
Distributor
directly
for
its
services.
The
Distributor
is
not
affiliated
with
the
Adviser
or
Atlantic
Fund
Administration,
LLC,
a
wholly
owned
subsidiary
of
Apex
US
Holdings
LLC
(d/b/a
Apex
Fund
Services)
(“Apex”)
or
their
affiliates.
Other
Service
Providers
–
Apex
provides
fund
accounting,
fund
administration,
compliance
and
transfer
agency
services
to
the
Fund.
The
fees
related
to
these
services
are
included
in
Fund
services
fees
within
the
Statement
of
Operations.
Apex
also
provides
certain
shareholder
report
production
and
EDGAR
conversion
and
filing
services.
Pursuant
to
an
Apex
Services
Agreement,
the
Fund
pays
Apex
customary
fees
for
its
services.
Apex
provides
a
Principal
Executive
Officer,
a
Principal
Financial
Officer,
a
Chief
Compliance
Officer
and
an
Anti-Money
Laundering
Officer
to
the
Fund,
as
well
as
certain
additional
compliance
support
functions.
Trustees
and
Officers
–
Each
Independent
Trustee’s
annual
retainer
is
$45,000
($55,000
for
the
Chairman).
The
Audit
Committee
Chairman
receives
an
additional
$2,000
annually.
Effective
January
1,
2025,
each
Independent
Trustee’s
annual
retainer
is
$60,000
($70,000
for
the
Chairman),
and
the
Audit
Committee
Chairman
receives
an
additional
$5,000
annually.
The
Trustees
and
the
Chairman
may
receive
additional
fees
for
special
Board
meetings.
Each
Trustee
is
also
reimbursed
for
all
reasonable
out-of-pocket
expenses
incurred
in
connection
with
his
or
her
duties
as
a
Trustee,
including
travel
and
related
expenses
incurred
in
attending
Board
meetings.
The
amount
of
Trustees’
fees
attributable
to
the
Fund
is
disclosed
in
the
Statement
of
Operations.
Certain
officers
of
the
Trust
are
also
officers
or
employees
of
the
above
named
service
providers,
and
during
their
terms
of
office
received
no
compensation
from
the
Fund.
Note
4.
Fees
Waived
The
Adviser
has
contractually
agreed
to
waive
its
fee
and/or
reimburse
Fund
expenses
to
limit
Total
Annual
Fund
Operating
Expenses
After
Fee
Waiver
and/or
Expense
Reimbursement
(excluding
all
taxes,
interest,
portfolio
transaction
expenses,
dividend
and
interest
expense
on
short
sales,
acquired
fund
fees
and
expenses,
proxy
expenses
and
extraordinary
expenses)
to
0.99%,
through
at
least
April
30,
2025
(“Expense
Cap”).
The
Expense
Cap
may
only
be
raised
or
eliminated
with
the
consent
of
the
Board
of
Trustees.
Other
Fund
service
providers
have
agreed
to
waive
a
portion
of
their
fees
and
such
waivers
may
be
changed
or
eliminated
with
the
approval
of
the
Board
of
Trustees
of
the
Trust.
For
the
year
ended
December
31,
2024,
fees
waived
were
as
follows:
The
Adviser
may
be
reimbursed
by
the
Fund
for
fees
waived
and
expenses
reimbursed
by
the
Adviser
pursuant
to
the
Expense
Cap
if
such
payment
is
made
within
three
years
of
the
fee
waiver
or
expense
reimbursement,
and
does
not
cause
the
Total
Annual
Fund
Operating
Expenses
After
Fee
Waiver
and/or
Expense
Reimbursement
to
exceed
the
lesser
of
(i)
the
then-current
expense
cap,
or
(ii)
the
expense
cap
in
place
at
the
time
the
fees/expenses
were
waived/reimbursed.
As
of
December
31,
2024,
$2,722,256
is
subject
to
recapture
by
the
Adviser.
Other
waivers
are
not
eligible
for
recoupment.
Investment
Adviser
Fees
Waived
Other
Waivers
Total
Fees
Waived
$
917,003
$
52,500
$
969,503
Polaris
Global
Value
Fund
NOTES
TO
FINANCIAL
STATEMENTS
DECEMBER
31,
2024
Note
5.
Security
Transactions
The
cost
of
purchases
and
proceeds
from
sales
of
investment
securities
(including
maturities),
other
than
short-term
investments
during
the
year
ended
December
31,
2024,
were
$72,388,736
and
$94,920,756,
respectively.
Note
6.
Summary
of
Derivative
Activity
The
Fund’s
use
of
derivatives
during
the
year
ended
December
31,
2024,
was
limited
to
written
options.
The
volume
of
open
derivative
positions
may
vary
on
a
daily
basis
as
the
Fund
transacts
derivative
contracts
in
order
to
achieve
the
exposure
desired
by
the
Adviser.
Premiums
received
on
purchased
and
written
options
for
the
year
ended
December
31,
2024,
for
any
derivative
type
that
was
held
during
the
year
is
as
follows:
Realized
and
unrealized
gains
and
losses
on
derivative
contracts
during
the
year
ended
December
31,
2024,
by
the
Fund
are
recorded
in
the
following
locations
on
the
Statement
of
Operations:
Note
7.
Federal
Income
Tax
As
of
December
31,
2024,
the
cost
of
investments
for
federal
income
tax
purposes
is
$313,674,701 and
the
components
of
net
unrealized appreciation were
as
follows:
Distributions
paid
during
the
fiscal
years
ended
as
noted
were
characterized
for
tax
purposes
as
follows:
As
of
December
31,
2024,
distributable
earnings
on
a
tax
basis
were
as
follows:
Written
Options
$
(348,700)
Location:
Equity
Contracts
Net
realized
gain
(loss)
on:
Written
options
$
18,735
Total
net
realized
gain
(loss)
$
18,735
Gross
Unrealized
Appreciation
$
128,602,308
Gross
Unrealized
Depreciation
(33,166,010)
Net
Unrealized
Appreciation
$
95,436,298
2024
2023
Ordinary
Income
$
7,941,040
$
6,875,779
Long-Term
Capital
Gain
14,400,444
–
$
22,341,484
$
6,875,779
Polaris
Global
Value
Fund
NOTES
TO
FINANCIAL
STATEMENTS
DECEMBER
31,
2024
The
difference
between
components
of
distributable
earnings
on
a
tax
basis
and
the
amounts
reflected
in
the
Statement
of
Assets
and
Liabilities
are
primarily
due
to
real
estate
investment
trusts,
passive
foreign
investment
company
transactions,
wash
sales,
and
return
of
capital
on
equity
securities.
During
the
year
ended
December
31,
2024,
the
Fund
utilized
$1,726,731
of
capital
loss
carryforwards
to
offset
capital
gains.
Note
8.
Subsequent
Events
Subsequent
events
occurring
after
the
date
of
this
report
through
the
date
these
financial
statements
were
issued
have
been
evaluated
for
potential
impact,
and
the
Fund
has
had
no
such
events.
Undistributed
Ordinary
Income
$
60,142
Undistributed
Long-Term
Gain
5,744,219
Net
Unrealized
Appreciation
95,436,298
Other
Temporary
Differences
(58,883)
Total
$
101,181,776
REPORT
OF
INDEPENDENT
REGISTERED
PUBLIC
ACCOUNTING
FIRM
To
the
Shareholders
of
Polaris
Global
Value
Fund
and
the
Board
of
Trustees
of
Forum
Funds
Opinion
on
the
Financial
Statements
We
have
audited
the
accompanying
statement
of
assets
and
liabilities,
including
the
schedule
of
investments,
of
Polaris
Global
Value
Fund
(the
“Fund”),
a
series
of
Forum
Funds,
as
of
December
31,
2024,
the
related
statement
of
operations
for
the
year
then
ended,
the
statements
of
changes
in
net
assets
and
the
financial
highlights
for
each
of
the
two
years
in
the
period
then
ended,
and
the
related
notes
(collectively
referred
to
as
the
“financial
statements”).
In
our
opinion,
the
financial
statements
present
fairly,
in
all
material
respects,
the
financial
position
of
the
Fund
as
of
December
31,
2024,
the
results
of
its
operations
for
the
year
then
ended,
and
the
changes
in
net
assets
and
the
financial
highlights
for
each
of
the
two
years
in
the
period
then
ended,
in
conformity
with
accounting
principles
generally
accepted
in
the
United
States
of
America.
The
Fund’s
financial
highlights
for
the
years
ended
December
31,
2022,
and
prior,
were
audited
by
other
auditors
whose
report
dated
February
24,
2023,
expressed
an
unqualified
opinion
on
those
financial
highlights.
Basis
for
Opinion
These
financial
statements
are
the
responsibility
of
the
Fund’s
management.
Our
responsibility
is
to
express
an
opinion
on
the
Fund’s
financial
statements
based
on
our
audits.
We
are
a
public
accounting
firm
registered
with
the
Public
Company
Accounting
Oversight
Board
(United
States)
(“PCAOB”)
and
are
required
to
be
independent
with
respect
to
the
Fund
in
accordance
with
the
U.S.
federal
securities
laws
and
the
applicable
rules
and
regulations
of
the
Securities
and
Exchange
Commission
and
the
PCAOB.
We
conducted
our
audits
in
accordance
with
the
standards
of
the
PCAOB.
Those
standards
require
that
we
plan
and
perform
the
audit
to
obtain
reasonable
assurance
about
whether
the
financial
statements
are
free
of
material
misstatement
whether
due
to
error
or
fraud.
Our
audits
included
performing
procedures
to
assess
the
risks
of
material
misstatement
of
the
financial
statements,
whether
due
to
error
or
fraud,
and
performing
procedures
that
respond
to
those
risks.
Such
procedures
included
examining,
on
a
test
basis,
evidence
regarding
the
amounts
and
disclosures
in
the
financial
statements.
Our
procedures
included
confirmation
of
securities
owned
as
of
December
31,
2024,
by
correspondence
with
the
custodian
and
broker.
Our
audits
also
included
evaluating
the
accounting
principles
used
and
significant
estimates
made
by
management,
as
well
as
evaluating
the
overall
presentation
of
the
financial
statements.
We
believe
that
our
audits
provide
a
reasonable
basis
for
our
opinion.
We
have
served
as
the
Fund’s
auditor
since
2023.
COHEN
&
COMPANY,
LTD.
Philadelphia,
Pennsylvania
February
18,
2025
Polaris
Global
Value
Fund
IMPORTANT
TAX
INFORMATION
(Unaudited)
DECEMBER
31,
2024
Federal
Tax
Status
of
Dividends
Declared
during
the
Fiscal
Year
For
federal
income
tax
purposes,
dividends
from
short-term
capital
gains
are
classified
as
ordinary
income.
The
Fund
designates
43.21
%
of
its
income
dividend
distributed
as
qualifying
for
the
corporate
dividends-received
deduction
and
100.00
%
for
the
qualified
dividend
rate
as
defined
in
Section
1(h)(11)
of
the
Code.
Pursuant
to
Section
852(b)(3)
of
the
Internal
Revenue
Code,
the
Fund
designated
$14,400,444
as
long-term
capital
gain
dividends.
Polaris
Global
Value
Fund
OTHER
INFORMATION
(Unaudited)
DECEMBER
31,
2024
Changes
in
and
Disagreements
with
Accountants
(Item
8
of
Form
N-CSR)
N/A
Proxy
Disclosure
(Item
9
of
Form
N-CSR)
N/A
Remuneration
Paid
to
Directors,
Officers,
and
Others
(Item
10
of
Form
N-CSR)
Please
see
financial
statements
in
Item
7.
Statement
Regarding
the
Basis
for
the
Board’s
Approval
of
Investment
Advisory
Contract
(Item
11
of
Form
N-CSR)
N/A
Annual
Financials
and
Other
Information
DECEMBER
31,
2024
INVESTMENT
ADVISER
Polaris
Capital
Management,
LLC
121
High
Street
Boston,
MA
02110-2475
TRANSFER
AGENT
Apex
Fund
Services
P.O.
Box
588
Portland,
ME
04112
www.apexgroup.com
This
report
is
submitted
for
the
general
information
of
the
shareholders
of
the
Fund.
It
is
not
authorized
for
distribution
to
prospective
investors
unless
preceded
or
accompanied
by
an
effective
prospectus,
which
includes
information
regarding
the
Fund’s
risks,
objectives,
fees
and
expenses,
experience
of
its
management
and
other
information.
225-ANR-1224
(b) Included as part of financial statements filed under Item 7(a).
ITEM 8. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS FOR OPEN-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable.
ITEM 9. PROXY DISCLOSURES FOR OPEN-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable.
ITEM 10. REMUNERATION PAID TO DIRECTORS, OFFICERS, AND OTHERS OF OPEN-END MANAGEMENT INVESTMENT COMPANIES.
Included as part of financial statements filed under Item 7(a).
ITEM 11. STATEMENT REGARDING BASIS FOR APPROVAL OF INVESTMENT ADVISORY CONTRACT.
Not applicable.
ITEM 12. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable.
ITEM 13. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable.
ITEM 14. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.
Not applicable.
ITEM 15. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
The Registrant does not accept nominees to the Board of Trustees from shareholders.
ITEM 16. CONTROLS AND PROCEDURES
(a) The Registrant’s Principal Executive Officer and Principal Financial Officer have concluded that the Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Act are effective, based on their evaluation of the controls and procedures required by Rule 30a-3(b) under the Act and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as of a date within 90 days of the filing date of this report.
(b) There were no changes in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Act) that occurred during the Reporting Period that have materially affected, or are reasonably likely to materially affect, the Registrant’s internal control over financial reporting.
ITEM 17. DISCLOSURE OF SECURITIES LENDING ACTIVITIES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable.
ITEM 18. RECOVERY OF ERRONEOUSLY AWARDED COMPENSATION.
Not applicable.
ITEM 19. EXHIBITS.
(a)(2) Not applicable.
(a)(4) Not applicable.
(a)(5) Not applicable.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Registrant Forum Funds
| By: | /s/ Zachary Tackett | |
| | Zachary Tackett, Principal Executive Officer | |
| | | |
| Date: | February 12, 2025 | |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated.
| By: | /s/ Zachary Tackett | |
| | Zachary Tackett, Principal Executive Officer | |
| | | |
| Date: | February 12, 2025 | |
| By: | /s/ Karen Shaw | |
| | Karen Shaw, Principal Financial Officer | |
| | | |
| Date: | February 12, 2025 | |
