Blue Chip Investor Funds

02/25/2026 | Press release | Distributed by Public on 02/25/2026 12:52

Annual Report by Investment Company (Form N-CSR)

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES
Investment Company Act file number 811-10571
BLUE CHIP INVESTOR FUNDS
(Exact name of registrant as specified in charter)
1939 Friendship Drive, Suite C, El Cajon, CA 92020
(Address of principal executive offices) (Zip code)
James Craft
1939 Friendship Drive, Suite C, El Cajon, CA 92020
(Name and address of agent for service)
Registrant's telephone number, including area code: (619) 588-9700
Date of fiscal year end: December 31
Date of reporting period: December 31, 2025

Item 1. Reports to Stockholders.

Blue Chip Investor Fund

TICKER: BCIFX

Annual Shareholder Report

December 31, 2025

This annual shareholder reportcontains important information about the Blue Chip Investor Fund ("Fund") for the period of January 1, 2025 to December 31, 2025. You can find additional information about the Fund at https://www.bcifx.com/literature. You can also request this information by contacting us at 1-877-673-3119.

What were the Fund costs for the last year?
(based on a hypothetical $10,000 investment)
Fund Costs of a $10,000 Investment Costs Paid as a Percentage of a $10,000 Investment
Blue Chip Investor Fund $108 1.00%
Management's Discussion of Fund Performance

In 2025, the Fund returned 15.4%, versus 17.9% for the S&P 500. We're pleased with our results. This brings our 5-year and 10-year annualized returns to 11.8% and 9.6%, respectively, which is inline with our long-term goal of 10%. The S&P 500 over this period returned 14.4% and 14.8%, respectively. The market continues to be driven by only a handful of highly valued, large technology companies, particularly those benefiting from the "AI Boom" (e.g., Nvidia and Broadcom).

The Fund's value-oriented investment approach has kept us from most of these "highflyer" stocks. However, we did enter the year with a significant position in Alphabet (formerly Google)-a leader in the AI field that trades at what we believe is a much more reasonable valuation-which was the largest contributor to the Fund's returns in 2025, rising 64.8% to $313.80 per share. Alphabet gained as its price-to-earnings ratio expanded from approximately 22.5 to 28.7 and per-share earnings increased an estimated 31%.

We acquired Alphabet in June 2019 at an average price of $54.89. We haven't since bought or sold a single share for the Fund, and at year-end Alphabet accounted for 15.1% of assets, reflecting significant appreciation in its market value. We believe Alphabet isn't as mispriced as it was in 2019, but we still believe the stock represents good value at the current price, and we're pleased to maintain a large position in the Fund.

Other major contributors to the Fund's performance included AerCap (returned 50.2% in 2025), Markel (24.5%), Brookfield Corporation (19.8%) and Berkshire Hathaway (10.9%). Wayfair was the Fund's highest achiever (126.6%) but constitutes a smaller percentage of the Fund, therefore its gain had less impact on overall performance.

The Fund's only detractors in 2025 were CarMax (-53.3%), LKQ (-7.2%), and FedEx (-6.0%). We continue to hold LKQ but sold CarMax and FedEx. CarMax faces serious competitive challenges, notably from online used-car retailer Carvana, which caused us to reassess the holding. FedEx was sold primarily due to valuation considerations, in light of increasing headwinds related to tariffs and global trade. The Fund also sold Suncor during the year, as the gap between our fair-value estimate and market price narrowed.

We purchased only one new stock in 2025: Jefferies Financial Group, a leading investment banking and capital markets firm. Jefferies' share price fell dramatically in September and October for dubious reasons (in our view), and we were able to buy the stock at just over 1x book value, at what we believe is an attractive valuation. The Fund also added to Sirius XM at less than 5x our estimate for 2027 free cashflow.

As we look to 2026 and beyond, we're encouraged by our portfolio of industry-leading companies run by talented, shareholder-friendly managers. Accordingly, based on present valuations, we believe the Fund is well-positioned to deliver on our long-term objectives.

How did the Fund perform over the past 10 years?

The Fund's past performance is not a good predictor of the Fund's future performance.The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

Average Annual Total Returns
One Year Five Years Ten Years
Blue Chip Investor Fund 15.40% 11.78% 9.64%
S&P 500 17.88% 14.42% 14.82%
Fund Statistics
Net Assets ($) $45,613,790
Number of Portfolio Holdings 14
Portfolio Turnover Rate (%) 5%
Total Advisory Fees Paid ($) $265,277
Total Advisory Fees Before Waiver ($) $424,092

1

What did the Fund invest in?
Top Ten Holdings (% of Net Assets)
Berkshire Hathaway Inc. - Class A 24.82%
Alphabet Inc. - Class C 15.13%
AerCap Holdings N.V. 11.60%
Markel Group, Inc. 8.25%
Brookfield Corporation - Class A 8.16%
First Citizens BancShares, Inc. - Class A 4.71%
Sirius XM Holdings Inc. 4.34%
The Walt Disney Company 4.24%
LKQ Corporation 4.10%
Goldman Sachs Financial Square Government Fund Institutional Class 3.44%
Sectors (% of Net Assets)

*

Net Assets represent cash equivalents and liabilities in excess of other assets.

Availability of Additional Information about the Fund

For additional information about the Fund, including its Prospectus, Statement of Additional Information, financial statements, holdings and proxy information, please visit https://www.bcifx.com/literature.

2

Item 2. Code of Ethics.
The registrant has adopted a code of ethics that applies to the registrant's principal executive officer and the principal financial officer. The registrant has not made any amendments to its code of ethics during the covered period. The registrant has not granted any waivers from any provisions of the code of ethics during the covered period. A copy of the registrant's Code of Ethics is filed herewith.
Item 3. Audit Committee Financial Expert.
The registrant's Board of Trustees has determined that Cannon I. Nikzad is an audit committee financial expert. Mr. Nikzad is independent for purposes of this Item 3.
Item 4. Principal Accountant Fees and Services.
(a-d) The following table details the aggregate fees billed for each of the last two fiscal years for audit fees, audit-related fees, tax fees and other fees by the principal accountant to the registrant. The principal accountant has provided no services to the adviser or any entity controlled by, or under common control with the adviser that provides ongoing services to the registrant.
FYE 12/31/25 FYE 12/31/24
Audit Fees $15,550 $15,250
Audit-Related Fees $0 $0
Tax Fees $3,000 $3,000
All Other Fees $750 $750
Nature of Tax Fees: preparation of Excise Tax Statement and 1120 RIC.
All Other Fees: Semi-Annual Report Review
(e) (1) The audit committee approves all audit and non-audit related services and, therefore, has not adopted pre-approval policies and procedures described in paragraph (c)(7) of Rule 2-01 of Regulation S-X.
(e) (2) None of the services described in paragraph (b) through (d) of this Item were approved by the audit committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.
(f) All of the principal accountant's hours spent on auditing the registrant's financial statements were attributed to work performed by full-time permanent employees of the principal accountant.
(g) The following table indicates the aggregate non-audit fees billed by the registrant's principal accountant for services to the registrant , the registrant's investment adviser (not sub-adviser), and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant, for the last two years.
Non-Audit Fees FYE 12/31/25 FYE 12/31/24
Registrant $3,750 $3,750
Registrant's Investment Adviser $0 $0
(h) The principal accountant provided no services to the investment adviser or any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant.
(i) Not applicable.
(j) Not applicable.
Item 5. Audit Committee of Listed Companies.
Not applicable.
Item 6. Investments.
Blue Chip Investor Fund
Schedule of Investments
December 31, 2025
Shares Fair Value % of Net Assets
COMMON STOCKS
Asset Manager
81,150 Brookfield Corporation - Class A (Canada) $ 3,723,974 8.16%
Commercial Printing
19,700 Cimpress PLC (Netherlands) * 1,311,823 2.88%
Diversified Companies
15 Berkshire Hathaway Inc. - Class A * 11,322,000 24.82%
Fire, Marine & Casualty Insurance
1,750 Markel Group, Inc. * 3,761,887 8.25%
Internet Content & Information
22,000 Alphabet Inc. - Class C 6,903,600 15.13%
Radio Broadcasting Stations
99,000 Sirius XM Holdings Inc. 1,979,505 4.34%
Retail - Catalog & Mail-Order Houses
8,800 Wayfair Inc. - Class A * 883,608 1.94%
Security Brokers, Dealers & Flotation Companies
23,600 Jefferies Financial Group Inc. 1,462,492 3.21%
Services - Equipment Rental & Leasing, NEC
36,800 AerCap Holdings N.V. (Ireland) 5,290,368 11.60%
Services - Miscellaneous Amusement & Recreation
17,000 The Walt Disney Company 1,934,090 4.24%
State Commercial Banks
1,000 First Citizens BancShares, Inc. - Class A 2,146,180 4.71%
Sugar & Confectionery Products
8,200 The Hershey Company 1,492,236 3.27%
Wholesale - Motor Vehicles & Motor Vehicle Parts & Supplies
62,000 LKQ Corporation 1,872,400 4.10%
Total for Common Stocks (Cost $20,045,276) 44,084,163 96.65%
Money Market Funds
1,569,240 Goldman Sachs Financial Square Government Fund
Institutional Class - 3.61% ** 1,569,240 3.44%
(Cost - $1,569,240)
Total Investments 45,653,403 100.09%
(Cost - $21,614,516)
Liabilities in Excess of Other Assets (39,613) -0.09%
Net Assets $ 45,613,790 100.00%
* Non-Income producing securities.
** The Yield Rate shown represents the 7-day yield at December 31, 2025.
The accompanying notes are an integral part of these financial statements.
Item 7. Financial Statements and Financial Highlights for Open-End Management Investment Companies.
Blue Chip Investor Fund
Statement of Assets and Liabilities
December 31, 2025
Assets:
Investments at Fair Value $ 45,653,403
(Cost - $21,614,516)
Cash 500
Dividends Receivable 16,930
Prepaid Expenses 2,522
Total Assets 45,673,355
Liabilities:
Investment Advisory Fee Payable 25,716
Administration Fee Payable 2,500
Other Accrued Expenses 22,858
Payable for Shareholder Redemptions 8,491
Total Liabilities 59,565
Net Assets $ 45,613,790
Net Assets Consist of:
Paid In Capital $ 21,574,903
Total Distributable Earnings 24,038,887
Net Assets, for 197,168 Shares Outstanding $ 45,613,790
(Unlimited shares authorized, without par value)
Net Asset Value, Offering Price and Redemption Price
Per Share ($45,613,790/197,168 shares) $ 231.34
Statement of Operations
For the fiscal year ended December 31, 2025
Investment Income:
Dividends (Net of foreign withholding tax of $24,466) $ 403,602
Total Investment Income 403,602
Expenses:
Investment Advisory Fees 424,092
Transfer Agent & Accounting Fees 42,696
Administrative Fees 29,475
Legal Fees 24,111
Registration Fees 17,018
Audit & Tax Fees 18,550
Other Fees 15,853
Custody Fees 4,482
Trustee Fees 4,200
Insurance Expense 1,181
Printing and Postage Expense 1,249
Total Expenses 582,907
Less: Advisory Fee Waiver (158,815)
Net Expenses 424,092
Net Investment Loss (20,490)
Net Realized and Unrealized Gain on Investments:
Net Realized Gain on Investments 1,357,532
Net Change in Unrealized Appreciation on Investments 4,897,115
Net Realized and Unrealized Gain on Investments 6,254,647
Net Increase in Net Assets from Operations $ 6,234,157
The accompanying notes are an integral part of these financial statements.
Blue Chip Investor Fund
Statements of Changes in Net Assets
1/1/2025 1/1/2024
to to
12/31/2025 12/31/2024
From Operations:
Net Investment Gain (Loss) $ (20,490) $ 34,358
Net Realized Gain on Investments 1,357,532 3,775,650
Net Change in Unrealized Appreciation on Investments 4,897,115 2,628,275
Net Increase in Net Assets from Operations 6,234,157 6,438,283
From Distributions to Shareholders: (1,391,890) (3,775,650)
From Capital Share Transactions:
Proceeds From Sale of Shares 1,440,387 2,423,621
Shares Issued on Reinvestment of Dividends 1,391,890 3,775,650
Cost of Shares Redeemed (3,556,632) (4,172,869)
Net Increase (Decrease) from Shareholder Activity (724,355) 2,026,402
Net Increase in Net Assets 4,117,912 4,689,035
Net Assets at Beginning of Year 41,495,878 36,806,843
Net Assets at End of Year $ 45,613,790 $ 41,495,878
Share Transactions:
Issued 6,758 11,476
Reinvested 5,983 18,295
Redeemed (16,296) (20,156)
Net Increase (Decrease) in Shares (3,555) 9,615
Shares Outstanding Beginning of Year 200,723 191,108
Shares Outstanding End of Year 197,168 200,723
The accompanying notes are an integral part of these financial statements.
Blue Chip Investor Fund
Financial Highlights
Selected data for a share outstanding 1/1/2025 1/1/2024 1/1/2023 1/1/2022 1/1/2021
throughout the year: to to to to to
12/31/2025 12/31/2024 12/31/2023 12/31/2022 12/31/2021
Net Asset Value -
Beginning of Year $ 206.73 $ 192.60 $ 169.56 $ 206.84 $ 162.09
Net Investment Income (Loss) (a) (0.10) 0.19 (0.31) (0.29) (0.74)
Net Gains or (Losses) on Investments
(realized and unrealized) (b) 31.97 34.60 32.37 (34.17) 48.15
Total from Investment Operations 31.87 34.79 32.06 (34.46) 47.41
Distributions (From Net Investment Income) (0.18) - - - -
Distributions (From Capital Gains) (7.08) (20.66) (9.02) (2.82) (2.66)
Total Distributions (7.26) (20.66) (9.02) (2.82) (2.66)
Net Asset Value -
End of Year $ 231.34 $ 206.73 $ 192.60 $ 169.56 $ 206.84
Total Return (c) 15.40% 18.08% 18.88% (16.64)% 29.25%
Ratios/Supplemental Data
Net Assets - End of Year (Thousands) $ 45,614 $ 41,496 $ 36,807 $ 38,443 $ 47,028
Before Reimbursement
Ratio of Expenses to Average Net Assets 1.37% 1.38% 1.39% 1.37% 1.34%
Ratio of Net Investment Loss to
Average Net Assets -0.42% -0.29% -0.55% -0.52% -0.72%
After Reimbursement
Ratio of Expenses to Average Net Assets (d) 1.00% 1.00% 1.00% 1.01% 1.00%
Ratio of Net Investment Income (Loss) to
Average Net Assets (d) -0.05% 0.09% -0.17% -0.16% -0.38%
Portfolio Turnover Rate 5.14% 17.20% 6.23% 2.42% 13.33%
(a) Per share amounts calculated using the average shares method.
(b) Realized and unrealized gains and losses per share in this caption are balancing amounts necessary
to reconcile the change in net asset value for the period and may not reconcile with the aggregate gains and
losses in the Statement of Operations due to share transactions for the period.
(c) Total return represents the rate that the investor would have earned or lost on an investment in the Fund
assuming reinvestment of all dividends and distributions.
(d) The ratio of expenses to average net assets includes interest expenses. The after reimbursement ratio of
expense excluding interest expense was 1.00%, 1.00%, 1.00%, 1.00% and 1.00% for calendar years
ended 2021, 2022, 2023, 2024, and 2025 respectively.
The after reimbursement ratio of net investment income (loss) excluding interest expense is -0.38%, -0.15%
-0.17%, 0.09%, and -0.05% for the calendar years ended; 2021, 2022, 2023, 2024, and 2025, respectively.
The accompanying notes are an integral part of these financial statements.
NOTES TO THE FINANCIAL STATEMENTS
BLUE CHIP INVESTOR FUND
December 31, 2025
1.) ORGANIZATION
Blue Chip Investor Fund (the "Fund") is a non-diversified series of the Blue Chip Investor Funds (the "Trust"), formerly Premier Funds. The Trust is an open-end investment company under the Investment Company Act of 1940, as amended (the "1940 Act"). The Trust was organized in Ohio as a business trust on November 1, 2001, and may offer shares of beneficial interest in a number of separate series, each series representing a distinct fund with its own investment objectives and policies. The Fund commenced operations on January 1, 2002. At present, the Fund is the only series authorized by the Trust. The Fund's investment objective is to seek long-term growth of capital. The Advisor to the Fund is Check Capital Management, Inc. (the "Advisor").
2.) SIGNIFICANT ACCOUNTING POLICIES
The Fund is an investment company and accordingly follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board ("FASB") Accounting Standards Codification Topic 946 Financial Services - Investment Companies. The financial statements are prepared in conformity with accounting principles generally accepted in the United States of America ("GAAP").
The Fund follows the significant accounting policies described in this section.
OPERATING SEGMENTS
The Fund is deemed to be an individual reporting segment and is not part of a consolidated reporting entity. The objective and strategy of the Fund is used by the investment manager to make investment decisions, and the results of the operations, as shown in the statements of operations and the financial highlights for the Fund is the information utilized for its day-to-day management. The Fund is party to the expense agreements as disclosed in the notes to the financial statements and resources are not allocated based on performance measurements. Due to the significance of oversight and his role, the Chief Investment Officer of the Advisor is deemed to be the Chief Operating Decision Maker.
SECURITY VALUATION
All investments in securities are recorded at their fair value, as described in Note 3.
FEDERAL INCOME TAXES
The Fund's policy is to continue to comply with the requirements of the Internal Revenue Code that are applicable to regulated investment companies and to distribute all of its taxable income to shareholders. Therefore, no federal income tax provision is required. It is the Fund's policy to distribute annually, prior to the end of the calendar year, dividends sufficient to satisfy excise tax requirements of the Internal Revenue Code. This Internal Revenue Code requirement may cause an excess of distributions over the book year-end accumulated income. In addition, it is the Fund's policy to distribute annually, after the end of the fiscal year, any remaining net investment income and net realized capital gains.
The Fund recognizes the tax benefits of certain tax positions only where the position is "more likely than not" to be sustained assuming examination by tax authorities. Management has analyzed the Fund's tax positions, and has concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions taken on returns filed for open tax years. The Fund identifies its major tax jurisdictions as U.S. Federal tax authorities; however the Fund is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will change materially in the next twelve months. The Fund recognizes interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the Statement of Operations. During the fiscal year ended December 31, 2025, the Fund did not incur any interest or penalties.
In December 2023, the FASB issued Accounting Standards Update 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which amends quantitative and qualitative income tax disclosure requirements in order to increase disclosure consistency bifurcate income tax information by jurisdiction and remove information that is no longer beneficial. As a result of the Fund's continued compliance with the IRC requirements of regulated investment companies and the Fund's limited, exposure to foreign withholding taxes on dividends received, management has determined that there is no material impact of the ASU on the Fund's financial statements. As part of its assessment, management noted that foreign withholding taxes were approximately 0.05% of the Fund's net assets and therefore, further disclosure regarding foreign withholding taxes on dividend income was considered immaterial.
SHARE VALUATION
The net asset value (the "NAV") is generally calculated as of the close of trading on the New York Stock Exchange (the "Exchange") (normally 4:00 p.m. Eastern time) every day the Exchange is open. The NAV is calculated by taking the total value of the Fund's assets, subtracting its liabilities, and then dividing by the total number of shares outstanding, rounded to the nearest cent. The offering price and redemption price per share are equal to the net asset value per share.
DISTRIBUTIONS TO SHAREHOLDERS
Distributions to shareholders, which are determined in accordance with income tax regulations, are recorded on the ex-dividend date. The treatment for financial reporting purposes of distributions made to shareholders during the year from net investment income or net realized capital gains may differ from their ultimate treatment for federal income tax purposes. These differences are caused primarily by differences in the timing of the recognition of certain components of income, expenses or realized capital gain for federal income tax purposes. Where such differences are permanent in nature, they are reclassified in the components of the net assets based on their ultimate characterization for federal income tax purposes. Any such reclassifications will have no effect on net assets, results of operations or net asset value per share of the Fund.
USE OF ESTIMATES
The financial statements are prepared in accordance with GAAP, which requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.
OTHER
The Fund records security transactions based on trade date. Dividend income is recognized on the ex-dividend date. Non-cash dividends, if any, are recorded at the fair value of the asset received. Interest income and interest expense, if any, are recognized on an accrual basis. The Fund uses the specific identification method in computing gain or loss on sale of investment securities. Withholding taxes on foreign dividends have been provided for in accordance with the Fund's understanding of the applicable country's tax rules and regulations.
3.) SECURITIES VALUATIONS
The Fund utilizes various methods to measure the fair value of its investments on a recurring basis. GAAP establishes a hierarchy that prioritizes inputs to valuation methods. The three levels of inputs are:
Level 1 - Unadjusted quoted prices in active markets for identical assets or liabilities that the Fund has the ability to access.
Level 2 - Observable inputs other than quoted prices included in level 1 that are observable for the asset or liability, either directly or indirectly. These inputs may include quoted prices for the identical instrument on an inactive market, prices for similar instruments, interest rates, prepayment speeds, credit risk, yield curves, default rates and similar data.
Level 3 - Unobservable inputs for the asset or liability, to the extent relevant observable inputs are not available, representing the Fund's own assumptions about the assumptions a market participant would use in valuing the asset or liability, and would be based on the best information available.
The availability of observable inputs can vary from security to security and is affected by a wide variety of factors, including, for example, the type of security, whether the security is new and not yet established in the marketplace, the liquidity of markets, and other characteristics particular to the security. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in level 3.
The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement falls in its entirety, is determined based on the lowest level input that is significant to the fair value measurement in its entirety.
FAIR VALUE MEASUREMENTS
A description of the valuation techniques applied to the Fund's major categories of assets measured at fair value on a recurring basis follows.
Equity securities (common stocks). Equity securities generally are valued by using market quotations, but may be valued on the basis of prices furnished by a pricing service when the Fund believes such prices accurately reflect the fair value of such securities. Securities that are traded on an exchange or on the NASDAQ over-the-counter market are generally valued at the last quoted sale price. Lacking a last sale price, an equity security is generally valued by the pricing service at its last bid price. Generally, if the security is traded in an active market and is valued at the last sale price, the security is categorized as a level 1 security, and if an equity security is valued by the pricing service at its last bid, it is generally categorized as a level 2 security. If market prices are not available or, in the opinion of Fund management including as informed by the Advisor's opinion, market prices do not reflect fair value, or if events occur after the close of trading (but prior to the time the NAV is calculated) that materially affects fair value, the Fund through the Advisor may value the Fund's assets at their fair value according to policies approved by the Fund's Board of Trustees (the "Trustees" or the "Board"). Such securities are categorized in level 2 or level 3, when appropriate.
Money market funds. Money market funds are valued at net asset value provided by the fund and are classified in level 1 of the fair value hierarchy.
The following table summarizes the inputs used to value the Fund's assets measured at fair value as of December 31, 2025:
Valuation Inputs of Assets Level 1 Level 2 Level 3 Total
Common Stocks $ 44,084,163 $ - $ - $ 44,084,163
Money Market Funds 1,569,240 - - $ 1,569,240
Total $ 45,653,403 $ - $ - $ 45,653,403
The Fund did not hold any level 3 assets during the fiscal year ended December 31, 2025.
The Fund did not invest in any derivative instruments during the fiscal year ended December 31, 2025.
4.) INVESTMENT ADVISORY AGREEMENT
The Fund has entered into an investment advisory agreement (the "Management Agreement") with the Advisor, Check Capital Management, Inc. Under the terms of the Management Agreement, the Advisor manages the investment portfolio of the Fund, subject to policies adopted by the Trustees. Under the Management Agreement, the Advisor, at its own expense and without reimbursement from the Trust, furnishes office space and all necessary office facilities, equipment and executive personnel necessary for managing the assets of the Fund. The Advisor also pays the salaries and fees of all of its officers and employees that serve as officers and trustees of the Trust. For its services, the Advisor receives an annual investment management fee from the Fund of 1.00% of the average daily net assets of the Fund which is payable monthly. As a result of the above calculation, for the fiscal year ended December 31, 2025, the Advisor earned management fees totaling $424,092, before the waiver of fees and/or reimbursement of expenses described below. The Advisor has contractually agreed to waive management fees and reimburse expenses to the extent necessary to maintain total annual operating expenses of the Fund (excluding brokerage fees, commissions, interest and other borrowing expenses, taxes, extraordinary expenses and the indirect costs of investing in acquired funds) at 1.00% of its average daily net assets through April 30, 2026. There are no provisions for recoupment for any of the contractual waivers entered into by the Advisor. The Advisor waived expenses of $158,815 for the fiscal year ended December 31, 2025. At December 31, 2025, the Fund owed the Advisor $25,716.
5.) RELATED PARTY TRANSACTIONS
The Fund has entered into an administration servicing agreement with Premier Fund Solutions, Inc. (the "Administrator"). The Fund pays 0.07% on the first $200 million of assets, 0.05% on the next $500 million of assets and 0.03% on average daily net assets of the Fund thereafter subject to a minimum monthly fee of $2,000. The Fund also pays all out-of-pocket expenses directly attributable to the Fund. Certain officers and a Trustee of the Trust are also officers of Premier Fund Solutions, Inc. (the "Administrator"). For the fiscal year ended December 31, 2025, the Administrator earned $29,475. At December 31, 2025, the Fund owed the Administrator $2,500.
6.) PURCHASES AND SALES OF SECURITIES
For the fiscal year ended December 31, 2025, purchases and sales of investment securities other than U.S. Government obligations and short-term investments aggregated $2,141,719 and $5,634,706 respectively. Purchases and sales of U.S. Government obligations aggregated $0 and $0, respectively.
7.) CONTROL OWNERSHIP
The beneficial ownership, either directly or indirectly, of more than 25% of the voting securities of a fund creates a presumption of control of a fund, under Section 2(a)(9) of the 1940 Act. As of December 31, 2025, Charles Schwab & Co. Inc., located at 101 Montgomery Street, San Francisco, California, held for the benefit of others, in aggregate, 56.73% of the Fund, and thus may be deemed to control the Fund. Also, National Financial Services, LLC, located at 200 Liberty Street, New York, New York, held for the benefit of others, in aggregate, 42.37% of the Fund, and thus may be deemed to control the Fund.
8.) TAX MATTERS
For Federal income tax purposes, the cost of investments owned at December 31, 2025, was $21,614,516. At December 31, 2025, the composition of unrealized appreciation (the excess of value over tax cost) and depreciation (the excess of tax cost over value) was as follows:
Appreciation Depreciation Net Appreciation/(Depreciation)
$25,013,563 ($974,676) $24,038,887
As of December 31, 2025, there were no differences between book basis and tax basis unrealized appreciation.
The tax character of distributions paid during the fiscal year ended December 31, 2025, and the fiscal year 2024 was as follows.
Fiscal Year Fiscal Year
Ended 2025 Ended 2024
Ordinary Income $ 34,358 $ 352
Long-Term Capital Gains 1,357,532 3,775,298
$ 1,391,890 $ 3,775,650
As of December 31, 2025, the components of distributable earnings on a tax basis were as follows:
Unrealized Appreciation $ 24,038,887
$ 24,038,887
As of December 31, 2025, total distributable earnings was increased by $20,490 and paid in capital was decreased by $20,490. The adjustment was primarily related to the reclassification of net operating loss.
9.) SUBSEQUENT EVENTS
Subsequent events after the date of the Statement of Assets and Liabilities have been evaluated through the date the financial statements were issued. Management has concluded that there is no impact requiring adjustment to or disclosure in the financial statements.
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Shareholders and Board of Trustees of
Blue Chip Investor Funds
Opinion on the Financial Statements
We have audited the accompanying statement of assets and liabilities, including the schedule of investments, of Blue Chip Investor Funds comprising Blue Chip Investor Fund (the "Fund") as of December 31, 2025, the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights for each of the five years in the period then ended, and the related notes (collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund as of December 31, 2025, the results of its operations for the year then ended, the changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America.
Basis for Opinion
These financial statements are the responsibility of the Fund's management. Our responsibility is to express an opinion on the Fund's financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) ("PCAOB") and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement whether due to error or fraud.
Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2025, by correspondence with the custodian. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.
We have served as the Fund's auditor since 2004.
/s/ Cohen & Company, Ltd.
COHEN & COMPANY, LTD.
Milwaukee, Wisconsin
February 20, 2026
Item 8. Changes in and Disagreements with Accountants for Open-End Management Investment
Companies.
None.
Item 9. Proxy Disclosures for Open-End Management Investment Companies.
Not applicable.
Item 10. Remuneration Paid to Directors, Officers, and Others of Open-End Management
Investment Companies.
Included under Item 7. The registrant paid the Chief Compliance Officer $0 for the fiscal year ended December 31, 2025.
Item 11. Statement Regarding Basis for Approval of Investment Advisory Contract.
On December 3, 2025, the Board of Trustees (the "Board" or the "Trustees") considered the renewal of the Management Agreement (the "Agreement") between the Advisor and the Trust, on behalf of the Fund. The Board reviewed the memorandum provided by legal counsel, noting that, in consideration of the continuance of the management agreement, the Board should review as much information as is reasonably necessary to evaluate the terms of the contract and determine whether it is fair to the Fund and its shareholders. The Board also reviewed the information provided by the Advisor to the Trustees for evaluation of continuance of the Agreement.
In renewing the Management Agreement, the Board of Trustees received material from the Advisor (the "Report") addressing the following factors: (i) the investment performance of the Fund and the Advisor; (ii) the nature, extent and quality of the services provided by the investment Advisor to the Fund; (iii) the cost of the services to be provided and the profits to be realized by the Advisor and its affiliates from the relationship with the Fund; (iv) the extent to which economies of scale will be realized as the fund grows; and (v) whether the fee levels reflect these economies of scale to the benefit of shareholders.
As to the performance of the Fund, the Report included information regarding the performance of the Fund compared to a group of funds of similar size, style and objective (the "Peer Group") as well as the Morningstar category average for the Fund. The Report also included comparative performance information for other accounts managed by the Advisor and the Fund's benchmark index, the S&P 500® Index (the "Index"), and the Peer Group for the period ended September 30, 2025. The Advisor discussed the difference in performance for the Fund and the other accounts managed by the Advisor having a comparable mandate which was attributed to different position sizes of the same stocks due to mutual fund diversification rules. The data showed that the Fund had similar performance to other accounts managed by the Advisor having a comparable mandate. The data showed that the Fund underperformed the Index, , but was in-line with the Morningstar category average and Peer Group average for the one-year period ended September 30, 2025. The data also showed the Fund's similar relative performance for the three-year, five-year, and ten-year periods, as compared to the category average and Peer Group average, with some outperformance and some periods of underperformance. Next, the Trustees considered the Advisor's description of its investment mandate for the Fund noting that it is not an index fund, maintains a value focus and that the Fund will tend to lag an index such as the S&P 500 when performance of an index is highly concentrated such as in the so-called Magnificent seven. The Trustees reviewed the information and concluded that the Fund's performance was nonetheless acceptable.
As for the nature, extent and quality of the services provided by the Advisor, the Trustees discussed the Advisor's experience and capabilities. The representatives of the Advisor reviewed and discussed with the Board the Advisor's Form ADV and the 17j-1 certifications. They summarized the information provided in the Report regarding matters such as the Advisor's financial condition and investment personnel. The Trustees noted that while the Advisor had employed a line of credit, it did not represent excessive leverage. They also discussed each portfolio manager's background and investment management experience. Furthermore, they reviewed the Advisor's financial information and discussed the firm's ability to meet its obligations under the Agreement. The Board concluded that the nature and extent of the services provided by the Advisor were consistent with their expectations, that they were satisfied with the quality of services provided by the Advisor, satisfied with the Advisor's cybersecurity program, and that the Advisor has the resources to meet its obligations under the Agreement. They noted that both the portfolio management and the Chief Compliance Officer services were acceptable.
As to the fee charged and costs of the services provided, the Board reviewed the fees under the Agreement compared to the Peer Group, the Fund's category average and fees charged to other clients of the Advisor. The Board noted that the current net expense ratio was slightly higher than the Peer Group and the category average, and within the reasonable range of net expenses. The Board noted that the advisory fee was similar to that charged to other clients of the Advisor, although not directly comparable because of the greater regulatory demands of the Fund on the Advisor. The Board concluded that the advisory fee, which was within the reasonable range of fees charged for the Peer Group and category, was reasonable, particularly in light of the Fund's size and the net management fees received after waivers. The Board also reviewed a profit and loss analysis prepared by the Advisor that analyzed the expenses incurred by the Advisor in managing the Fund and the total revenue derived by the Advisor from the Fund. The Trustees noted that the Advisor did not utilize an affiliated broker and received no soft dollar benefits. The Trustees concluded that the Advisor was not overly profitable.
As to the economies of scale, it was noted that the Advisor capped the Fund's expenses during the period, excluding certain expenses, and will cap the Fund's expenses for an additional one year period. The Trustees also noted they will revisit the issue of economies of scale as Fund assets grow. Next, the Independent Trustee met in executive session with counsel to discuss the continuation of the Agreement. The Officers of the Trust were excused during this discussion.
Upon reconvening the meeting, it was the consensus of the Trustees, including the disinterested Trustees, that renewal of the Management Agreement would be in the best interests of the Fund and the shareholders.
Item 12. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not applicable.
Item 13. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable.
Item 14. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
Not applicable.
Item 15. Submission of Matters to a Vote of Security Holders.
There have been no material changes to the procedures by which shareholders may recommend nominees to the registrant's Board of Trustees.
Item 16. Controls and Procedures.
(a) The Registrant's president and chief financial officer concluded that the disclosure controls and procedures (as defined in Rule 30a-3(c) under the Act (17 CFR 270.30a -3(c))) as of a date within 90 days of the filing date of the report that includes the disclosure required by this paragraph, based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the Act (17 CFR 270.30a -3(b)) and Rules 13a-15(b) or 15d-15(b) under the Exchange Act (17 CFR 240.13a -15(b) or 240.15d -15(b)) are effective in design and operation.
(b) There were no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a -3(d)) that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting.
Item 17. Disclosure of Securities Lending Activities for Closed-End Management Investment
Companies.
Not applicable.
Item 18. Recovery of Erroneously Awarded Compensation.
Not applicable.
Item 19. Exhibits.
(a)(1) Code of Ethics. Filed herewith.
(a)(2) Not applicable.
(a)(3) Certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. Filed herewith.
(b) Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. Filed herewith.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Blue Chip Investor Funds
By: /s/ James Craft
James Craft
President
Date: 2/25/2026
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By: /s/ James Craft
James Craft
President (Principal Executive Officer)
Date: 2/25/2026
By: /s/ Jeffrey R. Provence
Jeffrey R. Provence
Chief Financial Officer (Principal Financial Officer)
Date: 2/25/2026
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