The Reaves Utility Income Fund is a closed-end fund and closed-end funds do not continuously issue shares for sale as open-end mutual funds do. Since the initial public offering, the Fund now trades in the secondary market. Investors wishing to buy or sell shares need to place orders through an intermediary or broker. The share price of a closed-end fund is based on the market's value. The Fund's investment objective is fundamental and may not be changed without the vote of the Fund's shareholders.

An investor should consider the investment objectives, risks, charges and expenses carefully before investing. Please click on the respective link to obtain an annual report or semi annual report which contains this and other information, or call 1-800-644-5571. Read them carefully before investing.

* Qualified dividends are defined as dividends from shares in domestic corporations and certain qualified foreign corporations which have been held for at least a specified minimum period of time, known as a holding period. A nonqualified dividend is one that doesn't meet IRS requirements to qualify for a lower tax rate. These dividends are also known as ordinary dividends and are taxed as ordinary income. Long-term capital gains tax is a tax on profits from the sale of an asset held for more than a year. The tax rate on such a gain is lower than that of a short-term capital gain held for less than a year. Section 199A allows taxpayers to deduct 20 percent of their qualified REIT dividends. Please consult your tax advisor about the impact of qualified, non-qualified dividends, Section 199A and capital gains.

Closed-end Funds: Not FDIC Insured No Bank or Other Guarantee May Lose Money

Paralel Distributors LLC: FINRA Member Firm

Paralel Distributors LLC is a wholly-owned subsidiary of Paralel Technologies LLC. Neither are affiliated with Reaves Asset Management.