Welcome to the U.S. Global Investors Webcast; U.S. Global Investors Earnings Announcement for First Quarter 2014. Please note that the slides you see on your screen are controlled by the presenters. You may submit questions during the webcast. Simply enter your questions in the dialogue box at the bottom of the screen and click “submit.” Also, you may now download any PDF of today’s slides by clicking on the Resources tab in the top center area of your screen. You can also download some of the U.S. Global Investors’ latest research on the Resource tab, to switch back to the presentation just click the slide tab. Please note that today’s conference is being recorded. We would like to begin by introducing Ms. Susan Filyk, Investor Relations at U.S. Global Investors. Ms. Filyk, you may begin.

Thank you. Welcome everyone to our webcast announcing results for the first quarter ended September 30, 2013. The presenters for today’s program are Frank Holmes, U.S. Global Investors’ CEO and Chief Investment Officer; Susan McGee, President and General Counsel; and Lisa Callicotte, Chief Financial Officer. During this webcast, we may make forward-looking statements about our relative business outlook. Any forward-looking statements and all other statements made during this webcast that don’t pertain to historical facts are subject to risks and uncertainties that may materially affect actual results. Please refer to our press release and corresponding Form 10-Q filings for more detail on factors that could cause actual results to differ materially from any described today in forward-looking statements. Any such statements are made as of today and U.S. Global Investors accepts no obligation to update them in the future. If you have a question for us, you can submit it at anytime during the webcast. Simply type your question in the dialogue box at the bottom of the screen and click “submit.” If we aren’t able to answer your question during the live presentation, we will follow up with you individually. Now, let’s go to Frank Holmes, CEO and CIO for an overview of the year. Frank?

Thank you, Susan. Well, good morning everyone. This past quarter was another quarter in transition for emerging markets and resource funds as where we are streamlining and repositioning, I will try to walk you through what we are doing for the changes. Capital market formation has changed and regulatory costs etcetera in all these factors as we are also changing and adapting to them. We remain still a boutique of publicly listed investment advisors specializing in gold, natural resource, and emerging markets and looking for opportunities around the world. The strengths still I believe remain go to stock for exposure to emerging markets and resources, debt-free strong balance sheet with reflexive cost structure, monthly dividends of return on equity discipline. Top institutional holders for GROW, Royce and Associates, Financial and Investment Management Group, Perritt Capital Management, The Vanguard Group, BlackRock Fund Advisors. GROW is a company that continues to pay dividends, it consistently paid for more than six years, current per month starting at January 2013 we will have $0.01 per share, current yield 2.2%. The next visual, I will just give a chuckle, because it’s the rising cost of regulation and it’s interesting to hear large asset managers that did comments regarding boutique investment managers, this thing is strangling me, I need something to help take the strain off; I can’t run my business says the little guy, I need something to provide the infrastructure to make this work. So we are all going through change, we are all adopters of markets. What’s positive part right now is the stock market continues to make all-time highs and a comment on previous presentations and on the website investor alert many times just follow the money to understand where the money is going and why, but in particular, our expertise and…

Thank you, Frank. Good morning. I would like to summarize the results of operations for the quarter ending September 30, 2013. Beginning of page 30, we reported operating revenues of $3.05 million for the quarter. This is down 31% from the $4.41 million we reported last year, primarily as a result of lower asset under management. On page 31 operating expenses for the quarter were $4.13 million a decrease of $328,000 or 7%. This is mainly due to the following. Employee compensation and benefit decreased $275,000 or 13% primarily as a result of lower performance based bonuses and fewer employees. Performance fee decreased $207,000 to 29% as a result of lower asset through broker dealer platform. On the other hand general and administrative expenses increased to $185,000 or 14%. This is mostly due to expenses related to strategic fund changes as Frank discussed. Included in G&A expenses were approximately [$550,000] [ph] or onetime cost related to streamlining our products. Excluding these onetime expenses G&A would have decreased $165,000 or 12%. Page 32 showed other income for the three months ending September 30, 2013. This increase $853,000 or 425% compared to the three months ended September 30, 2012. And this is due to gains realized upon sale of securities. And as discussed earlier, the company has decided to exit the transfer agency business, so that we can focus on our core strength on investment management. The transfer agency had a loss from discontinuing operations of $29,000. But by 2014, we anticipate no additional losses related to the transfer agency business. Net loss for the quarter was $37,413 which ramps down to flat $0.00 earnings per share. Moving on to the balance sheet, on Page 34, we continue to have a high level of cash almost $19 million, and cash and securities combined make up 83% of our total assets. And as you can see on Page 35, we still have no long-term debt. The company has a net working capital of $24 million and a current ratio of 13.2 to 1. With that, I will turn it over to Susan.

Thank you, Lisa and thank you to everyone listening in this morning. There have been a few noteworthy events and achievements at U.S. Global over the past quarter and I would like to spend the next few moments discussing them with you. I am pleased to share that several of funds continue to be recognized for their outstanding performance. Since 2000, our funds have received about 29 Lipper performance award certificates and top rankings. And as of the September quarter, two of our funds, the Global Resources Fund and the Emerging Europe Fund were ranked in the top 20% out of the entire mutual fund universe for the 10-year period. We have three funds that hold the top Lipper Leader Rating. And this rating is based on investor center criteria. On a scale upon the five Lipper Leader Funds that ratifies are in the top 20% of their category. For the three, five and 10-year and overall time period, our All American Equity Funds received a rating of 5 for preservation. The Near-Term Tax Free Fund rates a 5 for preservation and tax efficiency and the Tax Free Fund rates at five for tax efficiency and we find that preservation and tax efficiency are particularly sought by investors in the current environment. And we are pleased that these two funds are highly ranked in those categories. We had four funds that continued to be highly ranked by Morningstar. And at the end of September, the Near-Term Tax Free Fund and the Gold and Precious Metals Fund had overall ratings of four stars in their respective categories. And then the Global Resources Fund and the All American Equity Fund had overall ratings of three stars among their respective peers. U.S. Global also continues to be highly recognized of our marketing and…

Thank you, Susan, I just highlight couple of comeback to recent May that our presentation is just to recognize the cost of advisor as mentioned earlier to maintain the $1 NAV in those money funds has been the extremely expensive, exceedingly expensive and that should even though the revenue changed the expense associated with people there that will began at the same time will no longer be supporting from the advisor million dollars a year of supporting that cost so I feel they support to recognize the shift – the shift is start to show up next quarter and the benefits of the strategic changes. The other factor that is really important recognizes is called you RIAs and investors has changed dramatically since 2008 just one report I read that something like 90% of people went on sleep medicine and anxiety medicine, the RIA space have been deal to rebound and missing it allowed us the significant move that taken place for stock market leading all time high as many investors played bonds. They’ve missed the spectacular move in equities and we’ve tried to comment on it followed the money presentations and because we do have funds and participating in the speculator movement in the overall stock market. But the psychology is changed and the psychology is very important factor not only for the PE ratios, evaluations or cash or multiples etcetera but the psychologist changed from being asset allocators to being tactical. There is much more tactical activity taking place and this is another factor that they are all jumping in out of EPS. And you are seeing smart data EPS coming out etcetera and something that will be more in line with we’ll be doing as to serve intelligent rationale, what are the five value drivers that impact…

Thank you, Frank. Now we will take some questions. (Operator Instructions) I’ll start with a couple of questions for (indiscernible) related to the transition. At what point where the transfer agency services move to the outside service provider.

Right now we are planning on December – the first week of December change that we will be providing services to the month of October and November for the quarter.

One of the restructurings you mentioned was no longer sponsoring the money market trend with your high percentage shareholder is coming to a carefully (indiscernible) shareholder get access to money market fund to our exchange purposes.

Yes we do think that is important for shareholders as they are moving a month, the equity on the fixed income to have a money markets unavailable to put down to be able to put money and they want to see out of the market. So, we partnered that with fidelity to offer to a treasury on the money market fund and that will be available once we made the transition?

Thank you. Frank, we’re seeing mixed reports in our China’s economy improving. Do you think the recent announcements on China’s growth, is not just for a growth environment for resources?

I think that the huge mega projects that we’re taking place in China along with the huge housing bloomers taking place in America and the economic expansion in Europe. They were all synchronized like we had in 2003 to 2007 as global economies lined up. I don’t think we are going to see that sort of a surge across the board like we have seen previously. I do see that there is going to be change of moving from coal in China to natural gas to nuclear. I do see that there will be rotations like that. So, one has to be very selective as you see different asset classes move. And we are seeing that food stocks in the U.S. are spectacularly well. Many of these food stocks are up 60%. So if corn prices fall and import prices like soybeans and wheat fall these companies do exceptionally well, and they are exporting and China is a buyer, so I think that this is important to see to put those things in that context. But any type of an upturn in the economic activity for China is important for some of the commodities and particular when we take a look at iron, we are seeing iron prices, steel prices all picking up as the economy is picking up in China. And I think there are the next big ways and I have commented many times it was delayed, but it’s not over not far from it. It’s a huge infrastructure build like interstate highways under President Clinton, a high speed light rail. This is $300 billion program, this is significant. But most important it will be able to connect the bottom half of the GDP growth per person, that person will be able to travel at 300 kilometer an…

Thank you. Many larger firms remain various resources and commodities and portfolios are often under spaces, what reactions you are in contrary getting from RIA?

Well, I think that when the things are extremely oversold and contrary and people need them every day, so the gas tanker drive new car that it makes easier for us. There is going to be a change. We do get tractions from that investor that understands key companies and key commodities, that’s contrarian. We are getting very positive traction with that RIA. And I think the more important factors that the 50 days above the 200 day now and it does amount to who they are all everyone is a trend follower to certain degree, but if something is still dramatically undervalue and the price to earnings, price to book value and the trend is now the wind is again backed on your face then there is a higher level of confidence. So, I think that we probably witness that change. We have to make sure that the money active managers outperform the benchmark, that’s the real key factor that relative basis. So, the fund itself has got the right direction to, but it still has to show that alpha, the alpha that we showed in 2001, 2002, 2003, 2004, 2005, 2006, 2007.

And finally, the economy has developed, European countries are improving, how closely you enter the emerging European countries to the developed countries?

They are very much connected. You have to take a look at banking, you can go pay the best way to pay Croatia is through an Austrian bank, which we own. The Swiss banking system has been predominant mortgage lender in Poland. So, it’s important to recognize that economic in one country leads to economic activity on another. And the cost for labor there, the economist countries are extremely well educated, especially when you compare them to the overall education level in Latin America or Africa, it is – it’s really quite remarkable skill sets that you have in Eastern Europe. If you take a look at number from PhDs to car mechanics, it’s just a substantially greater number that are educated with college degrees. And with that being a skill set not just for education to be a doctor or lawyer or a scientist, they are very skilled at manufacturing and that lends itself at you have seen German companies outsource lot of activity to Poland to the Czech Republic. And so that as the – and their cost for labor per hour is roughly one-third of the cost and sometimes one quarter what a cost of manufacturer something in France or Italy or Germany. So you do see this cascading that’s so positive going out to these other countries.

Thank you for the questions. This concludes U.S. Global Investors earnings webcast for the first quarter 2014. This presentation will be available for replay on our website at usfunds.com. Thank you all for your participation today.

Thanks.