Correspondence 0001680359-24-000342 from BRIDGEWAY FUNDS INC (CIK 0000916006)
BRIDGEWAY FUNDS INC (CIK 0000916006)
Date: Oct. 11, 2024 · CIK: 0000916006 · Accession: 0001680359-24-000342
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File numbers found in text: 811-08200
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CORRESP
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Stradley Ronon Stevens & Young, LLP
2000 K Street, NW, Suite 700
Washington, DC 20006
Telephone 202.822.9611
Fax 202.822.0140
www.stradley.com
Christopher J. Zimmerman
202.419.8402
czimmerman@stradley.com
October 11, 2024
Filed via EDGAR
Mr. Aaron Brodsky
U.S. Securities and Exchange Commission
100 F Street, NE
Washington, DC 20549
Re:
Bridgeway Funds, Inc. (the “Registrant”)
Registration Statement on Form N-1A
File Nos.: 033-72416/811-08200
Dear Mr. Brodsky:
On behalf of the Registrant, submitted herewith via the EDGAR system are the responses to the supplemental comments of the staff (the “Staff”) of
the U.S. Securities and Exchange Commission (the “Commission”) provided to Prufesh R. Modhera and Christopher J. Zimmerman on October 4, 2024 with regard to Post-Effective Amendment Nos. 64 to the Trust’s Registration Statement on Form N-1A (the
“Amendment”), which was filed with the Commission on July 22, 2024 under the Securities Act of 1933 (the “1933 Act”) and the Investment Company Act of 1940 (the “1940 Act”). The Amendment was filed to register shares of common stock (“Shares”) in
the Global Opportunities Fund (the “Fund”), a series of Bridgeway Funds, Inc. (the “Corporation”). The Staff provided initial comments regarding the Amendment to the Registrant on September 4, 2024, and the Registrant addressed the Staff’s initial
comments in a response letter (the “Response Letter”) filed with the Commission on October 4, 2024. The Staff’s supplemental comments are summarized below, followed by the Registrant’s responses thereto. Terms not defined herein have the meaning
set forth for that term in the Amendment.
1.
Comment: In response to Prior Response 1 regarding the use of
“global” within the fund’s name, please specify the criteria that the Fund will use to determine whether a company is “global” (i.e., the location, etc.).
Response: Registrant has defined “global” to include “foreign
securities.” Foreign securities are disclosed in the Item 9 required disclosure: “For purposes of the Fund’s investments, “foreign securities” means those
securities issued by companies: (i) that are domiciled in a country other than the US; and (ii) that derive 50% or more of their total revenue from activities outside of the US.” In response to the SEC Staff’s comment, Registrant
will also include such criteria in the Item 4 required disclosure.
2.
Comment: In the Item 9 revised disclosure, please clarify the nature
of “risk control” in the sentence, “The Adviser will rarely take long or short positions in securities that are neither bearish or bullish, except the Adviser may include neutral stocks as part of risk control in the long and short
portfolios.” Is risk control referring to risk within the strategy or a different type of risk?
Response: Risk control is referring to risk management within the
strategy. Registrant has revised the statement as follows:
The Adviser will rarely take long or short positions in securities that are neither bearish or bullish, except the Adviser may
include neutral stocks as part of its risk control management strategy in the long and short portfolios.
3.
Comment: In the Item 9 revised disclosure, please disclose whether
the Adviser’s belief that the stock price movement is not driven by company financials and forecasts of company financials is the only instance where the Adviser may override the rule-based stock screening process.
Response: Registrant confirms that this is the only instance and has
revised the statement as follows:
The Adviser may override the rules-based stock screening process only when the Adviser believes the stock price movement is not driven by company financials and forecasts of company financials.
4.
Comment: In the fees and expenses table, please confirm
supplementally whether the reduction of gross expenses will be for at least one year after the date of the prospectus.
Response: Registrant confirms that gross expenses will be reduced for
at least one year after the date of the prospectus.
5.
Comment: In response to Prior Response 21, please confirm whether any
such charitable contributions will be made in the current fiscal year.
Response: The Adviser anticipates that it will make charitable
contributions in the current fiscal year.
6.
Comment: In response to Prior Response 21, please disclose the
circumstances the Adviser may terminate its charitable obligations (emphasis added).
Response: The Registrant has revised the following sentence: “While
the Adviser may terminate or change the level of its
donations in the future, it does not have any current intention to do so.”
Please do not hesitate to contact me at the above-referenced telephone number if you have any questions or wish to discuss any of
the above responses presented above.
Sincerely,
/s/ Christopher J. Zimmerman
Christopher J. Zimmerman
cc:
Deborah L. Hanna,
Treasurer, Principal Financial Officer, and Principal Accounting Officer
Prufesh R. Modhera, Esq.
Conor Courtney, Esq.
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