Also, N shares will remain open to new shareholders who purchase directly.
I'm wondering whether PRPFX will remain NTF at brokerages. If it does, the N class shares will remain available to new shareholders who purchase through brokerages. Often when share classes with 12b-1 fees are added, the no 12b-1 fee share class is no longer offered NTF.
Maybe it will remain NTF, maybe the A shares (that cost more than N shares because of an extra 12b-1 fee) will be offered NTF (load-waived).

Looking at cumulative returns (1, 3, 5 year) is good, but it's also informative to look year by year. If the last year has been particularly good (or bad), it can skew all the numbers. Just look at Sequoia (SEQUX).
As with that fund, if the last year is out of line, you have to ask - is this an anomaly, or does it represent the way the fund is being managed going forward?
BIV has done well in the past year because, as John Bogle has said, it's overweighted in Treasuries (more than half). A managed fund is not going to hold that much in Treasuries - yields are just too low, with too great an expectation that they'll go up (or at least not go down). So in that sense, I consider last year's relative performance an anomaly.
See how Treasury funds have done relative to any other taxable bond funds here:
http://news.morningstar.com/fund-category-returns/ (sort on 1 year returns)
Since we're looking at 1,3, 5 year returns and looking for a replacement for DODIX, it seems worthwhile to compare MWTRX with DODIX over those periods. MWTRX wins every one of them. So by that metric, it seems like a good replacement.
Curiously, while MWTRX holds over 1/4 in Treasuries, DODIX holds virtually none (though it is about 1/2 in high grade corporates). I do consider DODIX the more conservative of the two funds, with low turnover (24% vs. 246%), slightly shorter maturity, and because it seems to hold more premium bonds, lower duration as well. But both funds are excellent in their own ways.
Since the motivating factor seems to be avoiding the $5/transaction charge for buying more shares (at Fidelity once you have a position, adding more with AIP costs $5), BIV would appear to be out as well. That costs $7.95 at Fidelity to add shares, and you can't even add a fixed dollar amount (you have to buy a whole number of shares).

Pretty hard to beat BIV in this space, and doing so would be a lucky guess that could go the other way. It's #1 on MS ytd, 1yr, 3yr and 5yr. Only one down year since 2008 and that was down 3.58 in 2013. It was up in 2008 (my gold standard for a quality bond fund). Good luck.

If that's your outlook, why not something like HAP? That's something that will do well in an inflation scenario, real or perceived. I believe the last time there was an inflation scare was 2013. That year AGG down 1.98%, VIPSX DOWN 8.2%; HAP up 6.1%.

BIV Simple and just plain works.

Certainly does look like a good ETF with a portfolio of corporates and treasuries.

Gas in my area is back up to $2.00 range, from $1.76 just a couple months ago. That's about a 12% increase in such a short time. Food has been going up for the last year or 2.
There is a time when TIPs will be dogs and there is a time when they will do quite well. I think we may be getting to the quite well place. If oil continues to rise as it has been lately, inflation could surprise. I'm thinking of buying a tips fund.

@hank
Shareholders who owned shares of any Portfolio prior to May 31, 2016 may continue to purchase Class N shares of any Portfolio.

Hi all,
I'm moving my 401K from one employer plan to another and it allows me to invest in Fidelity's brokerage, all funds. I'm looking for a bond fund that may act as a substitute for DODIX, which is a TF fund at Fidelity. I own DBLTX and PIMIX already, so I'm looking for something to offset them with more treasuries, corporates and higher quality holdings. Thanks in advance.
Will

http://www.sec.gov/Archives/edgar/data/1032423/000119312516525838/d137367d497.htm
497 1 d137367d497.htm 497 - SUPPLEMENT DATED MARCH 31, 2016 TO PROSPECTUS DATED FEBRUARY 28, 2016
DIAMOND HILL FUNDS
Diamond Hill Small Cap Fund
Diamond Hill Small-Mid Cap Fund
Diamond Hill Mid Cap Fund
Diamond Hill Large Cap Fund
Diamond Hill Select Fund
Diamond Hill Long-Short Fund
Diamond Hill Research Opportunities Fund
Diamond Hill Financial Long-Short Fund
Diamond Hill Corporate Credit Fund
Diamond Hill High Yield Fund
Supplement Dated March 31, 2016 to Prospectus Dated February 28, 2016
Effective April 30, 2016 at 4:00 pm Eastern Time, the Diamond Hill Small-Mid Cap Fund (the “Fund”) will close to most new investors.
The Fund will remain open to additional investments under the following circumstances:
•Existing shareholders of the Fund may add to their accounts, including through reinvestment of distributions.
•Qualified defined contribution retirement plans, such as a 401(k), 403(b) or 457 plans, utilizing the Fund as an investment option on April 30, 2016 may continue to establish new participant accounts in the Fund for those Plans.
•Financial Advisors who have clients invested in the Fund as of April 30, 2016 may establish new positions in the Fund for new clients where operationally feasible.
•Investors may purchase the Fund through certain intermediary sponsored fee-based model programs, provided that the sponsor has received permission from Diamond Hill Funds that shares of the Fund may continue to be offered through the program. Approved or recommended lists are not considered model portfolios.
• Trustees, Directors, and employees of Diamond Hill Funds or Diamond Hill Investment Group, Inc. and their immediate family members may open new accounts and purchase shares of the Fund.
In general, the Fund will look to the financial intermediary to prevent a new account from being opened within an omnibus account at that intermediary. The Fund’s ability to monitor new accounts that are opened through omnibus accounts or other nominee accounts is limited and the ability to limit a new account to those that meet the above criteria with respect to financial intermediaries may vary depending upon the capabilities and cooperation of those intermediaries.
The Fund reserves the right to make additional exceptions or otherwise modify the foregoing closure policy at any time. The Fund also reserves the right to reject any purchase or refuse any exception, including those detailed above for any reason.
This Supplement and the Statutory Prospectus dated February 28, 2016, provide the information a prospective investor ought to know before investing and should be retained for future reference.

Who knows, the Baby Boomers drove stocks in the 80s and 90s as they were in the accumulation phase. Maybe they will drive bond funds of all sorts and varieties as they are in the retirement income stage.

Very interesting comment Junkster. Most financial pundits see bonds stagnant or losing money over the next 10 years. But your pondering statement makes sense.

Thanks TSP-Transfer One of PIMCO's TIPs funds is up almost 7% YTD. I have never held so many bond funds preferring to be 100% in either junk munis or junk corporates - whichever is working best. But now holding bond funds in emerging markets, junk corp, junk muni, and bank loan. Might have to look harder at a TIPS fund. Who knows, the Baby Boomers drove stocks in the 80s and 90s as they were in the accumulation phase. Maybe they will drive bond funds of all sorts and varieties as they are in the retirement income stage.

More Jumping In
Money poured into fixed-income ETFs in Q1
Mar 31 2016, 14:56 ET
Fixed-income E T F net inflows of $32.5B in Q1 were nearly triple the average of the prior 12 quarters according to Marketfield Asset Management. A notable beneficiary of the trend was the iShares Core. U.S. Aggregate Bond E T F (NYSEARCA:AGG) with about 10% of that $32.5B. This BlackRock (NYSE:BLK) stalwart has pulled in a "remarkable" 14% of all fixed-income E T F flows over the last three years and now has A U M of $34.8B.
The Vanguard Total Bond Market E T F (NYSEARCA:BND) is growing more slowly, but has the 2nd-fastest 3-year growth rate and A U M of $28.4B.
The cash, says Marketfield's Michael Shaoul, doesn't appear to be coming from other fixed-income ETFs, but instead continues a shift from actively-managed to passive funds. Shaoul also notes that flows weren't limited to those benchmark E T Fs, but also included strong moves into Treasury, investment-grade, and high-yield E T Fs.
http://seekingalpha.com/news/3170768-money-poured-fixed-income-etfs-q1
BND
Vanguard Total Bond Market E T F Experiences Big Inflow
March 29, 2016
Read more: http://www.nasdaq.com/article/vanguard-total-bond-market-etf-experiences-big-inflow-cm598895#ixzz44VbpRLWA
Looking today at week-over-week shares outstanding changes among the universe of E T Fs covered at E T F Channel , one standout is the Vanguard Total Bond Market E T F (Symbol: BND) where we have detected an approximate $172.7 million dollar inflow -- that's a 0.6% increase week over week in outstanding units
Read more: http://www.nasdaq.com/article/vanguard-total-bond-market-etf-experiences-big-inflow-cm598895#ixzz44Va5TjtL
The chart below shows the one year price performance of BND, versus its 200 day moving average:

Read more: http://www.nasdaq.com/article/vanguard-total-bond-market-etf-experiences-big-inflow-cm598895#ixzz44VTWvGFz
VTIP
"A Fed less concerned about [inflation] shifts risk to a price breakout," says F T N Financial's Jim Vogel, quickly summing up the bull case on TIPS.
Yellen's dovish remarks yesterday - especially in the face of core CPI up 2.3% Y/Y in February - sent the five-year T I P S yield lower by 15 basis points. It's off another four bps today to negative 0.33%. TIPS have returned more than 4% Y T D, outperforming most vanilla Treasurys, according to Barclays.
Pimco and BlackRock are among those bullish on the paper, and TIPS E T Fs have raked in a record $2.14B this quarter.
http://seekingalpha.com/news/3170373-tips-stay-popular-yellen
Vanguard Short-Term Inflation-Protected Securities Index Fund Stock Chart
Read more: http://www.nasdaq.com/symbol/vtip/stock-chart#ixzz44VYWxf5Z

FYI: With U.S. gasoline selling under $2 a gallon, food prices relatively flat and Wall Street
bond traders betting on 1.5 percent annual inflation as far the
eye can see, it may seem like the wrong time to worry about
rising consumer prices.
But some voices - including a few at the policy-setting
Federal Reserve - are suggesting consumer inflation could take
off faster than expected.
Regards,
Ted
http://www.reuters.com/article/stern-advice-idUSL2N1710K7
M*TIP Fund Returns:
http://news.morningstar.com/fund-category-returns/inflation-protected-bond/$FOCA$IP.aspx

The first three months has been a bondholder's dream. From government and world bonds to emerging markets (all up 4% to 6%+ YTD) to corporate and even junk. Emerging markets have come to life with a vengeance the past month. Even some stodgy bank loan funds are up over 2% YTD.
And it sure isn't because equities are in a bear market. All we have heard is about the great bear of 2016. But have you seen some of the domestic major index and equity sector returns? A lot more black than red with even energy sector funds up YTD.

FYI: Why this on-trend fund may not be a great investment. Any bets on how long this fund will last ?
Regards,
Ted
http://www.marketwatch.com/story/a-videogame-etf-save-your-cash-2016-03-30/print
M* Snapshot GAMR:
http://www.morningstar.com/etfs/arcx/gamr/quote.html

FYI: Looking for deeper insight on global markets and economics? We look at seasonality around April Fool’s Day.
Regards,
Ted
https://www.bespokepremium.com/wp-content/uploads/2016/03/033016-The-Closer-Sample.png

FYI: It’s probably no surprise that the S&P 500 high quality index has outperformed the S&P 500. But what is surprising, to me anyway is that the S&P 500 low quality index has also outperformed the S&P 500 (as well as the high quality index!). How is this possible? It has everything to do with the structure of the index; interesting things happen once you break the link between size and weighting. For example, Boston Scientific, the largest weighting in the low quality index, is just the 188th biggest stock in the S&P 500 index.
Regards,
Ted
http://theirrelevantinvestor.com/2016/03/30/before-you-trash-smart-beta/

Not surprising, since PRPFX has lost $14 billion (or more than 80%) of its assets since 2012. That's bottom 8% for 3 yrs and bottom 5% for 5 yrs. Yeah, this year in top 1%, but that's because of its gold allocation. So nothing changes in this fund's allocation, and there is next to nothing going on from an active management standpoint, but annual expenses have actually increased each of the last three years. Perhaps with sales by commission brokers the fund will gain some assets? But for many advisors who left the fund, the A & C shares are a desperate measure to even stay afloat as a company. The fund company's other three funds have gone nowhere. Even it's Short-Term Treasury fund has lost money every year for the past 7 years. That is pretty hard to do.

Six months in, the healthcare version has a grand total of $16 million in assets and trades at a tiny volume of 7,000 shares (yesterday at a scorching clip of 2,200). Unless there are others in the stable with reasonable volume, I'd suggest forgetting 'em for now, and if possibly interested look again later, say in another six months to a year.

The fund that makes the most money going forward would be your best inflation hedge - be it in technology, utilities or watermelons. :)
There are many funds whose promotional literature and/or prospectuses claim to be good inflation hedges. There's a dilemma here in that the U.S. hasn't really experienced serious inflation for over a decade. That means that the 10-year performance records on these funds don't tell us much. In fact, the best of them probably lagged the broader markets over that period.
Hell, my guess is as good as yours. I'd guess a fund like PRNEX might work in a period of serious inflation (despite the fact that its manager doesn't think you should currently own it). Commodities funds and gold funds might do well during such a period, Funds investing in foreign currencies should do better than those holding U.S. denominated bonds. One thing you would not want to own during a period of heavy inflation (10%+ per year) would be a long-term bond fund loaded with bonds yielding 2 and 3%. Umm ... Don't overlook cash. Many money market funds yielded 15-20% during the heady inflation days of the 80s.
I have no favorite (but dabble in several) and, as I said, choosing one is tough if you're looking at 10-year returns. Won't tell you a damned thing.