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 &lt;font style="FONT-FAMILY: ARIAL" size="2"&gt;&lt;b&gt;Note 1.
 Organization&lt;/b&gt;&lt;/font&gt;&lt;/p&gt;
 &lt;p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; MARGIN-LEFT: 8%" align="justify"&gt;&lt;font style="FONT-FAMILY: Times New Roman" size="2"&gt;U.S. Global Investors, Inc. (the &amp;#x201C;Company&amp;#x201D; or
 &amp;#x201C;U.S. Global&amp;#x201D;) serves as investment adviser to U.S.
 Global Investors Funds (&amp;#x201C;USGIF&amp;#x201D; or the
 &amp;#x201C;Funds&amp;#x201D;), a Delaware statutory trust that is a no-load,
 open-end investment company offering shares in numerous mutual
 funds to the investing public. The Company also provides
 administrative services, distribution, and transfer agency
 functions to USGIF. For these services, the Company receives fees
 from USGIF. The Company also provides advisory services to three
 offshore clients.&lt;/font&gt;&lt;/p&gt;
 &lt;p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; MARGIN-LEFT: 8%" align="justify"&gt;&lt;font style="FONT-FAMILY: Times New Roman" size="2"&gt;U.S. Global formed the following companies to provide
 supplementary services to USGIF: United Shareholder Services, Inc.
 (&amp;#x201C;USSI&amp;#x201D;) and U.S. Global Brokerage, Inc.
 (&amp;#x201C;USGB&amp;#x201D;).&lt;/font&gt;&lt;/p&gt;
 &lt;p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; MARGIN-LEFT: 8%" align="justify"&gt;&lt;font style="FONT-FAMILY: Times New Roman" size="2"&gt;The Company formed two subsidiaries utilized primarily for
 corporate investment purposes: U.S. Global Investors (Guernsey)
 Limited (&amp;#x201C;USGG&amp;#x201D;), incorporated in Guernsey (on
 August&amp;#xA0;3, 2013, USGG was dissolved), and U.S. Global Investors
 (Bermuda) Limited (&amp;#x201C;USBERM&amp;#x201D;), incorporated in Bermuda.
 A third subsidiary, U.S. Global Investors (Canada) Limited
 (&amp;#x201C;USCAN&amp;#x201D;), was formed in March 2013 for corporate
 investment purposes as well. In addition, in July 2013, the Company
 created U.S. Global Indices, LLC, a Texas limited liability
 company, of which the Company is the sole member. U.S. Global
 Indices, LLC did not have operations during fiscal year
 2013.&lt;/font&gt;&lt;/p&gt;
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