Supplement Dated May 31, 2016 to Prospectus Dated May 1, 2016

Transcription

1 Registration No Act File No Filed Pursuant to Rule 497(e) HEARTLAND GROUP, INC. Heartland Select Value Fund Heartland Mid Cap Value Fund Heartland Value Plus Fund Heartland Value Fund Heartland International Value Fund Supplement Dated May 31, 2016 to Prospectus Dated May 1, 2016 The Prior Performance for Similar Accounts provided on page 28 of the Statutory Prospectus is amended and restated with the following: PRIOR PERFORMANCE FOR SIMILAR ACCOUNTS. The following tables contain certain performance information for accounts managed by Heartland Advisors with objectives, policies and strategies substantially similar to the Mid Cap Value Fund, known as the Heartland Mid Cap Value Composite (the Composite ). This Composite was created in 1993 and consists of fully discretionary equity portfolios primarily invested in mid-capitalization companies, as defined by those in the market capitalization range of the Russell MidCap Index. The Composite seeks long-term capital appreciation and modest current income. The minimum account size for this composite is $500,000. As of March 31, 2016 the Composite consisted of 7 accounts. The performance information is limited and may not reflect performance in all economic cycles. The accounts in the Composite were not subject to certain investment limitations, diversification requirements, and tax and other restrictions imposed on registered investment companies such as the Mid Cap Value Fund, including those under the Investment Company Act of 1940, as amended, and the Internal Revenue Code of 1986, as amended, which, if applicable, might have adversely affected the performance of the private accounts in the Composite. Composite performance reflects the deduction of all fees and expenses charged by Heartland Advisors and any transaction costs. The Composite s performance would have been lower than that shown if the accounts included in the Composite had been subject to the fees and expenses of the Mid Cap Value Fund s Investor Class shares. The U.S. Dollar is the currency used to express performance. The investment management fee schedule for the Composite is as follows: 1.00% per annum on the first $5,000,000 and 0.85% per annum on the next $10,000,000. Fees on accounts over $15,000,000 are negotiable. Actual investment advisory fees may vary. Further information on the fees can be found in Part 2A of Heartland Advisors Form ADV. The Composite s results are time-weighted rates of return, calculated monthly. Net returns presented are net of advisory fees and transaction costs (if any). This methodology differs from the guidelines of the SEC for calculating performance of mutual funds. This performance information is not the historical performance of the Mid Cap Value Fund. Past performance is no guarantee of future results, and the past performance of the Composite is not indicative of the future performance of the Mid Cap Value Fund. The tables compare the Composite s returns to that of a broad-based securities market index that is unmanaged. It is not possible to invest directly in an index.

2 MID CAP VALUE COMPOSITE AVERAGE ANNUAL TOTAL RETURNS FOR THE PERIODS ENDED MARCH 31, Year 3 Years 5 Years 10 Years Composite Net -7.36% 9.22% 7.01% 8.74% Russell Midcap Value Index (reflects no deduction for fees, expenses or taxes) MID CAP VALUE COMPOSITE CALENDAR YEAR TOTAL RETURNS Composite Net Russell Midcap Value Index (reflects no deduction for fees, expenses or taxes) 2016 (1) 2.10% 3.92% (1) For the period from January 1, 2016 March 31, Heartland Advisors, Inc. ( the Firm ) claims compliance with the Global Investment Performance Standards (GIPS ). The Firm is a wholly owned subsidiary of Heartland Holdings, Inc. and is registered with the Securities and Exchange Commission. For a complete list and description of Heartland Advisors composites, additional information regarding policies for valuing portfolios and calculating performance, and/or a complete presentation that adheres to the GIPS standards, contact Institutional Sales at Heartland Advisors, Inc., 789 N. Water Street, Suite 500, Milwaukee, WI or call

3 Consistent Discipline, Fundamental Value PROSPECTUS May 1, 2016 Select Value Fund Share Class: Investor I Ticker: HRSVX Share Class: Institutional I Ticker: HNSVX Mid Cap Value Fund Share Class: Investor I Ticker: HRMDX Share Class: Institutional I Ticker: HNMDX Share Class: Investor I Share Class: Institutional I Value Plus Fund Ticker: HRVIX Ticker: HNVIX Value Fund Share Class: Investor I Ticker: HRTVX Share Class: Institutional I Ticker: HNTVX International Value Fund Share Class: Investor I Ticker: HINVX The Securities and Exchange Commission has not approved or disapproved these securities or determined if this Prospectus is truthful or complete. Any representation to the contrary is a criminal offense.

4 table of contents FUND SUMMARY SECTION Heartland Select Value Fund...1 Heartland Mid Cap Value Fund...3 Heartland Value Plus Fund...5 Heartland Value Fund...7 Heartland International Value Fund...9 MANAGEMENT OF THE FUNDS Heartland Group Heartland Advisors Portfolio Managers PRINCIPAL INVESTMENT STRATEGIES AND INVESTMENT RISKS The Heartland Investment Philosophy Heartland s 10 Principles of Value Investing TM Heartland Select Value Fund Heartland Mid Cap Value Fund Heartland Value Plus Fund Heartland Value Fund Heartland International Value Fund Principal Investment Risks Temporary Positions Portfolio Turnover Portfolio Holdings OTHER INVESTMENT STRATEGIES AND INVESTMENT RISKS HISTORICAL PERFORMANCE PRIOR PERFORMANCE FOR SIMILAR ACCOUNTS HOW TO INVEST Purchasing Shares of the Funds Purchasing Investor Class Shares Purchasing Institutional Class Shares Purchasing Shares Generally How to Purchase Shares HOW TO REDEEM Redeeming Shares Generally How to Redeem Shares ACCOUNT POLICIES How to Receive Account Information Exchanging Shares Other Policies Share Price SHAREHOLDER INFORMATION AND REPORTING Heartlandadvisors.com Investment Reports and Prospectuses E-Delivery of Fund Documents Net Investment Income and Net Capital Gain Distributions Taxes Privacy Policy Financial Highlights This Prospectus contains information you should know about Heartland Group, Inc. (the Funds or Heartland Funds ) before you invest. Unless otherwise stated, the investment objectives discussed in this Prospectus and in the Funds Statement of Additional Information may be changed without shareholder approval.

5 heartland select value fund INVESTMENT GOAL The Select Value Fund seeks long-term capital appreciation. FEES AND EXPENSES OF THE SELECT VALUE FUND This table describes the fees and expenses that you may pay if you buy and hold Investor or Institutional Class Shares of the Select Value Fund. SHAREHOLDER FEES (fees paid directly from your investment) Investor Class Shares Institutional Class Shares Maximum Sales Charge (Load) Imposed on Purchases None None Maximum Deferred Sales Charge (Load) None None Maximum Sales Charge (Load) Imposed on Reinvested Distributions Redemption Fee (as a percentage of the net asset value of any shares that are redeemed or exchanged within 10 days after they were purchased) None None 2% 2% Exchange Fee None None ANNUAL FUND OPERATING EXPENSES (expenses that you pay each year as a percentage of the value of your investment) Investor Class Shares Institutional Class Shares Management Fees 0.75% 0.75% Distribution (12b-1) Fees 0.25 None Other Expenses Total Annual Fund Operating Expenses 1.20% 0.94% EXAMPLE. This Example is intended to help you compare the cost of investing in the Select Value Fund with the cost of investing in other mutual funds. The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem all of your shares at the end of those periods. The Example also assumes that your investment has a 5% return each year and that the Fund s operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be: One Year Three Years Five Years Ten Years Investor Class Shares $122 $381 $659 $1,453 Institutional Class Shares ,154 PORTFOLIO TURNOVER The Select Value Fund pays transaction costs, such as commissions, when it buys and sells securities (or turns over its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account. These costs, which are not reflected in Annual Fund Operating Expenses or in the example, affect the Fund s performance. During the most recent fiscal year, the Fund s portfolio turnover rate was 40% of the average value of its portfolio. PRINCIPAL INVESTMENT STRATEGIES OF THE SELECT VALUE FUND The Select Value Fund invests primarily in a concentrated number (generally 40 to 60) of common stocks of all sizes, selected on a value basis and whose current market prices, in Heartland Advisors, Inc. s ( Heartland Advisors ) judgment, are undervalued relative to their intrinsic value. They normally have market capitalizations in excess of $500 million at the time of purchase. The median market capitalization of the Fund is expected to fluctuate over time depending on Heartland Advisors perceptions of relative valuations, future prospects, and market conditions. The Fund utilizes Heartland Advisors disciplined and time-tested 10 Principles of Value Investing TM framework to identify securities with the potential for appreciation and a potential margin of safety to limit downside risk. The 10 Principles of Value Investing are: catalyst for recognition, low price in relation to earnings, low price in relation to cash flow, low price in relation to book value, financial soundness, positive earnings dynamics, sound business strategy, capable management and insider ownership, value of the company, and positive technical analysis. PRINCIPAL RISKS OF INVESTING IN THE SELECT VALUE FUND The Select Value Fund is designed for investors who seek long term capital appreciation from a diversified, actively managed portfolio of stocks of all sizes. It is constructed as a core value holding for investors who can accept the volatility and other investment risks of the broad based equity markets, but want to manage these risks by investing in companies believed to be undervalued relative to their intrinsic value. The principal risk of investing in the Select Value Fund is that its share price and investment return will fluctuate, and you could lose money. Additional principal investment risks of the Fund include: MANAGEMENT RISK. The ability of the Fund to meet its investment objective is directly related to Heartland Advisors investment strategies for the Fund. GENERAL MARKET RISK. The market value of a security may move up or down, sometimes rapidly and unpredictably. These fluctuations may cause a security to be worth less than the price originally paid for it, or less than it was worth at an earlier time. EQUITY MARKET RISK. Common stocks are susceptible to general stock market fluctuations and to volatile increases and decreases in value as market confidence in and perceptions of their issuers change. VALUE-STYLE INVESTING RISK. Value stocks can perform differently from the market as a whole and from other types of stocks. Value investments are subject to the risk that their intrinsic value may not be recognized by the broad market. SMALLER COMPANY SECURITIES RISK. Equity securities of the smaller companies in which the Fund may invest generally involve a higher degree of risk than investments in the broad based equity markets. The security prices of smaller companies generally are more volatile than those of larger companies, they generally will have less market liquidity, and they may be more likely to be adversely affected by poor economic or market conditions. 1

6 heartland select value fund LIMITED PORTFOLIO RISK. As the Fund invests in a limited number of stocks, a change in the value of any single holding may have a more pronounced effect on the Fund s net asset value ( NAV ) and performance than would be the case if it held more positions. This generally will increase the volatility of the Fund s NAV and investment return. An investment in a Fund is not a deposit of a bank, nor insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other governmental agency. It is not designed to be a complete investment program, and while you may make money, you can also lose money. Each Fund s share price will fluctuate. PAST PERFORMANCE The following tables show historical performance of the Select Value Fund and provide some indication of the risks of investing in the Fund. Table I shows how the total returns before taxes for the Fund s Investor Class Shares have varied from year to year for the past 10 years. Table II shows how the Fund s average annual total returns compare to those of a securities market index. Performance information for the Institutional Class Shares prior to May 1, 2008 is based on the performance of the Investor Class. Past performance (before and after taxes) does not guarantee future results. Recent performance information for the Fund is available on the Fund s website at heartlandadvisors.com or by calling TABLE I SELECT VALUE FUND - INVESTOR CLASS SHARES - YEAR-BY-YEAR TOTAL RETURNS 40% % 4.02% % Best Quarter: 38.63% 17.77% -6.68% 13.06% 35.03% Worst Quarter: 4.07% -4.16% rd Quarter of % 4th Quarter of % TABLE II SELECT VALUE FUND - AVERAGE ANNUAL TOTAL RETURNS [FOR THE PERIODS ENDED 12/31/15] INVESTOR CLASS SHARES: One Year Five Years Ten Years Lifetime (since ) Return Before Taxes -4.16% 7.28% 6.83% 9.88% Return After Taxes on Distributions Return After Taxes on Distributions and Sale of Fund Shares INSTITUTIONAL CLASS SHARES: Return Before Taxes Russell 3000 Value Index (reflects no deduction for fees, expenses or taxes) After-tax returns are calculated using the highest historical individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on an investor s tax situation and may differ from those shown, and after-tax returns shown are not relevant to investors who hold their Fund shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. In addition, after-tax returns are shown only for Investor Class Shares, and after-tax returns for the Institutional Class Shares will vary. The differences in beforetax returns and after-tax returns on distributions and sale of Fund shares are due to adjustments incorporated into the after-tax returns for qualified taxable dividend income and qualifying foreign tax credits. In some instances, the after-tax return on distributions and sale of Fund shares may be higher than other return figures when Fund shares are sold at a loss that provides an assumed tax benefit to the shareholder. INVESTMENT ADVISOR Heartland Advisors serves as the investment advisor to the Select Value Fund. PORTFOLIO MANAGERS The Select Value Fund is managed by a team of investment professionals, which consists of William ( Will ) R. Nasgovitz, David C. Fondrie, and Colin P. McWey. Mr. Will Nasgovitz has served as a Portfolio Manager of the Select Value Fund since May Mr. Will Nasgovitz is the Chief Executive Officer and a Director of Heartland Advisors and Chief Executive Officer of Heartland Funds. Mr. Fondrie has served as a Portfolio Manager of the Select Value Fund since March Mr. Fondrie is a Senior Vice President of Heartland Advisors. Mr. McWey has served as a Portfolio Manager of the Select Value Fund since February Mr. McWey is a Vice President of Heartland Advisors. For important information about the purchase and sale of Fund shares, tax information, and financial intermediary compensation, please turn to Purchase and Sale of Fund Shares, Tax Information, and Payments to Broker-Dealers and Other Financial Intermediaries on page 12 of this Prospectus. 2

7 heartland mid cap value fund INVESTMENT GOAL The Mid Cap Value Fund seeks long-term capital appreciation and modest current income. FEES AND EXPENSES OF THE MID CAP VALUE FUND This table describes the fees and expenses that you may pay if you buy and hold Investor or Institutional Class Shares of the Mid Cap Value Fund. SHAREHOLDER FEES (fees paid directly from your investment) Investor Class Shares Institutional Class Shares Maximum Sales Charge (Load) Imposed on Purchases None None Maximum Deferred Sales Charge (Load) None None Maximum Sales Charge (Load) Imposed on Reinvested Distributions Redemption Fee (as a percentage of the net asset value of any shares that are redeemed or exchanged within 10 days after they were purchased) None None 2% 2% Exchange Fee None None ANNUAL FUND OPERATING EXPENSES (expenses that you pay each year as a percentage of the value of your investment) Investor Class Shares Institutional Class Shares Management Fees 0.75% 0.75% Distribution (12b-1) Fees 0.25 None Other Expenses Total Annual Fund Operating Expenses 3.55% 3.41% Fee Waiver and/or Expense Reimbursement Total Annual Fund Operating Expenses After Fee Waiver and/or Expense Reimbursement (1) 1.25% 0.99% (1) Pursuant to an operating expense limitation agreement between Heartland Advisors, Inc. ( Heartland Advisors or the Advisor ) and the Fund, Heartland Advisors has agreed to waive its management fees and/or pay expenses of the Fund to ensure that the Fund s total annual fund operating expenses (excluding front-end or contingent deferred sales loads, taxes, leverage, interest, brokerage commissions, expenses incurred in connection with any merger or reorganization, dividends or interest expenses on short positions, acquired fund fees and expenses, or extraordinary expenses) do not exceed 1.25% of the Fund s average net assets for the Investor Class Shares and 0.99% for the Institutional Class Shares through at least October 31, 2017, and subject to annual re-approval of the agreement by the Board of Directors, thereafter. This operating expense limitation agreement can be terminated only by, or with the consent of, the Board of Directors. EXAMPLE. This Example is intended to help you compare the cost of investing in the Mid Cap Value Fund with the cost of investing in other mutual funds. The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem all of your shares at the end of those periods. The Example also assumes that your investment has a 5% return each year and that the Fund s operating expenses remain the same. The fee waiver/expense reimbursement arrangement discussed in the previous table is reflected through October 31, Although your actual costs may be higher or lower, based on these assumptions your costs would be: One Year Three Years Five Years Ten Years Investor Class Shares $127 $874 $1,643 $3,662 Institutional Class Shares ,565 3,526 PORTFOLIO TURNOVER The Mid Cap Value Fund pays transaction costs, such as commissions, when it buys and sells securities (or turns over its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account. These costs, which are not reflected in Annual Fund Operating Expenses or in the example, affect the Fund s performance. During the most recent fiscal year, the Fund s portfolio turnover rate was 46% of the average value of its portfolio. PRINCIPAL INVESTMENT STRATEGIES OF THE MID CAP VALUE FUND Under normal circumstances, at least 80% of the Mid Cap Value Fund s net assets are invested in equity securities of mid-capitalization companies. For purposes of this test, Heartland Advisors considers securities in the market capitalization range of the Russell MidCap Index as mid-capitalization companies. As of March 31, 2016, the largest market capitalization of a company in the Russell MidCap Index was $30.1 billion and the weighted average market capitalization was $12.5 billion. The median market capitalization of the Fund is expected to fluctuate over time depending on Heartland Advisors perceptions of relative valuations, future prospects, and market conditions. The Mid Cap Value Fund invests primarily in a concentrated number (generally 30 to 60) of mid-capitalization equity securities selected on a value basis and whose current market prices, in Heartland Advisors judgment, are undervalued relative to their intrinsic value. A majority of its assets are generally invested in dividend-paying common stocks. The Fund utilizes Heartland Advisors disciplined and time-tested 10 Principles of Value Investing TM framework to identify securities with the potential for appreciation and a potential margin of safety to limit downside risk. The 10 Principles of Value Investing are: catalyst for recognition, low price in relation to earnings, low price in relation to cash flow, low price in relation to book value, financial soundness, positive earnings dynamics, sound business strategy, capable management and insider ownership, value of the company, and positive technical analysis. PRINCIPAL RISKS OF THE MID CAP VALUE FUND The Mid Cap Value Fund is designed for investors who seek long term capital appreciation from mid-capitalization stocks that may produce modest dividend income to the Fund. It is constructed as a core value holding for investors who can accept the volatility and other investment risks of the broad based equity markets, but want to manage these risks by investing in companies believed to be undervalued relative to their intrinsic value. The principal risk of investing in the Mid Cap Value Fund is that its share price and investment return will fluctuate, and you could lose money. Additional principal investment risks of the Fund include: NEW FUND RISK. There can be no assurance that the Fund will grow to or maintain an economically viable size. MANAGEMENT RISK. The ability of the Fund to meet its investment objective is directly related to Heartland Advisors investment strategies for the Fund. 3

8 heartland mid cap value fund GENERAL MARKET RISK. The market value of a security may move up or down, sometimes rapidly and unpredictably. These fluctuations may cause a security to be worth less than the price originally paid for it, or less than it was worth at an earlier time. EQUITY MARKET RISK. Common stocks are susceptible to general stock market fluctuations and to volatile increases and decreases in value as market confidence in and perceptions of their issuers change. VALUE-STYLE INVESTING RISK. Value stocks can perform differently from the market as a whole and from other types of stocks. Value investments are subject to the risk that their intrinsic value may not be recognized by the broad market. SMALLER COMPANY SECURITIES RISK. Equity securities of the smaller companies in which the Fund may invest generally involve a higher degree of risk than investments in the broad based equity markets. The security prices of smaller companies generally are more volatile than those of larger companies, they generally will have less market liquidity, and they may be more likely to be adversely affected by poor economic or market conditions. LIMITED PORTFOLIO RISK. As the Fund invests in a limited number of stocks, a change in the value of any single holding may have a more pronounced effect on the Fund s net asset value ( NAV ) and performance than would be the case if it held more positions. This generally will increase the volatility of the Fund s NAV and investment return. An investment in a Fund is not a deposit of a bank, nor insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other governmental agency. It is not designed to be a complete investment program, and while you may make money, you can also lose money. Each Fund s share price will fluctuate. PAST PERFORMANCE The following tables show historical performance of the Mid Cap Value Fund and provide some indication of the risks of investing in the Fund. Table I shows how the total returns before taxes for the Fund s Investor Class Shares have varied from year to year. Table II shows how the Fund s average annual total returns compare to those of a securities market index. Past performance (before and after taxes) does not guarantee future results. Recent performance information for the Fund is available on the Fund s website at heartlandadvisors.com or by calling TABLE I MID CAP VALUE FUND - INVESTOR CLASS SHARES - YEAR-BY-YEAR TOTAL RETURNS 10% % 2015 Best Quarter: 4th Quarter of % TABLE II MID CAP VALUE FUND - AVERAGE ANNUAL TOTAL RETURNS [FOR THE PERIODS ENDED 12/31/15] INVESTOR CLASS SHARES: Worst Quarter: 3rd Quarter of % One Year Lifetime (since ) Return Before Taxes -7.08% -4.80% Return After Taxes on Distributions Return After Taxes on Distributions and Sale of Fund Shares INSTITUTIONAL CLASS SHARES: Return Before Taxes Russell MidCap Value Index (reflects no deduction for fees, expenses or taxes) -4.78% -2.03% After-tax returns are calculated using the highest historical individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on an investor s tax situation and may differ from those shown, and after-tax returns shown are not relevant to investors who hold their Fund shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. In addition, after-tax returns are shown only for Investor Class Shares, and after-tax returns for the Institutional Class Shares will vary. The differences in beforetax returns and after-tax returns on distributions and sale of Fund shares are due to adjustments incorporated into the after-tax returns for qualified taxable dividend income and qualifying foreign tax credits. In some instances, the after-tax return on distributions and sale of Fund shares may be higher than other return figures when Fund shares are sold at a loss that provides an assumed tax benefit to the shareholder. INVESTMENT ADVISOR Heartland Advisors serves as the investment advisor to the Fund. PORTFOLIO MANAGERS The Fund is managed by a team of investment professionals, which consists of Colin P. McWey and Will Nasgovitz. Mr. McWey has served as a Portfolio Manager of the Mid Cap Value Fund since its inception in October Mr. McWey is a Vice President of Heartland Advisors. Mr. Will Nasgovitz has served as a Portfolio Manager of the Mid Cap Value Fund since February Mr. Will Nasgovitz is the Chief Executive Officer and a Director of Heartland Advisors and Chief Executive Officer of Heartland Funds. For important information about the purchase and sale of Fund shares, tax information, and financial intermediary compensation, please turn to Purchase and Sale of Fund Shares, Tax Information, and Payments to Broker-Dealers and Other Financial Intermediaries on page 12 of this Prospectus.

9 heartland value plus fund INVESTMENT GOAL The Value Plus Fund seeks long-term capital appreciation and modest current income. FEES AND EXPENSES OF THE VALUE PLUS FUND This table describes the fees and expenses that you may pay if you buy and hold Investor or Institutional Class Shares of the Value Plus Fund. SHAREHOLDER FEES (fees paid directly from your investment) Investor Class Shares Institutional Class Shares Maximum Sales Charge (Load) Imposed on Purchases None None Maximum Deferred Sales Charge (Load) None None Maximum Sales Charge (Load) Imposed on Reinvested Distributions Redemption Fee (as a percentage of the net asset value of any shares that are redeemed or exchanged within 10 days after they were purchased) None None 2% 2% Exchange Fee None None ANNUAL FUND OPERATING EXPENSES (expenses that you pay each year as a percentage of the value of your investment Investor Class Shares Institutional Class Shares Management Fees 0.70% 0.70% Distribution (12b-1) Fees 0.25 None Other Expenses Total Annual Fund Operating Expenses 1.16% 0.90% EXAMPLE. This Example is intended to help you compare the cost of investing in the Value Plus Fund with the cost of investing in other mutual funds. The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem all of your shares at the end of those periods. The Example also assumes that your investment has a 5% return each year and that the Fund s operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be: One Year Three Years Five Years Ten Years Investor Class Shares $118 $368 $638 $1,408 Institutional Class Shares ,107 PORTFOLIO TURNOVER The Value Plus Fund pays transaction costs, such as commissions, when it buys and sells securities (or turns over its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account. These costs, which are not reflected in Annual Fund Operating Expenses or in the example, affect the Fund s performance. During the most recent fiscal year, the Fund s portfolio turnover rate was 22% of the average value of its portfolio. PRINCIPAL INVESTMENT STRATEGIES OF THE VALUE PLUS FUND The Value Plus Fund invests primarily in a concentrated number (generally 40 to 70) of small-capitalization equity securities selected on a value basis. A majority of its assets are generally invested in dividend-paying common stocks. The Fund primarily invests in companies with market capitalizations between $250 million and $4 billion at the time of purchase. The Fund utilizes Heartland Advisors disciplined and time-tested 10 Principles of Value Investing TM framework to identify securities with the potential for appreciation and a potential margin of safety to limit downside risk. The 10 Principles of Value Investing are: catalyst for recognition, low price in relation to earnings, low price in relation to cash flow, low price in relation to book value, financial soundness, positive earnings dynamics, sound business strategy, capable management and insider ownership, value of the company, and positive technical analysis. PRINCIPAL RISKS OF INVESTING IN THE VALUE PLUS FUND The Value Plus Fund is designed for investors who seek capital appreciation from small company stocks that may produce modest dividend income to the Fund. It is designed for long term investors who can tolerate the greater investment risk and market volatility associated with smaller companies, but want to manage these risks by investing in companies believed to be undervalued relative to their intrinsic value. The principal risk of investing in the Value Plus Fund is that its share price and investment return will fluctuate, and you could lose money. Additional principal investment risks of the Fund include: MANAGEMENT RISK. The ability of the Fund to meet its investment objective is directly related to Heartland Advisors investment strategies for the Fund. GENERAL MARKET RISK. The market value of a security may move up or down, sometimes rapidly and unpredictably. These fluctuations may cause a security to be worth less than the price originally paid for it, or less than it was worth at an earlier time. EQUITY MARKET RISK. Common stocks are susceptible to general stock market fluctuations and to volatile increases and decreases in value as market confidence in and perceptions of their issuers change. VALUE-STYLE INVESTING RISK. Value stocks can perform differently from the market as a whole and from other types of stocks. Value investments are subject to the risk that their intrinsic value may not be recognized by the broad market. SMALLER COMPANY SECURITIES RISK. Equity securities of the smaller companies in which the Fund may invest generally involve a higher degree of risk than investments in the broad based equity markets. The security prices of smaller companies generally are more volatile than those of larger companies, they generally will have less market liquidity, and they may be more likely to be adversely affected by poor economic or market conditions. 5

10 heartland value plus fund LIMITED PORTFOLIO RISK. As the Fund invests in a limited number of stocks, a change in the value of any single holding may have a more pronounced effect on the Fund s net asset value ( NAV ) and performance than would be the case if it held more positions. This generally will increase the volatility of the Fund s NAV and investment return. An investment in a Fund is not a deposit of a bank, nor insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other governmental agency. It is not designed to be a complete investment program, and while you may make money, you can also lose money. Each Fund s share price will fluctuate. PAST PERFORMANCE The following tables show historical performance of the Value Plus Fund and provide some indication of the risks of investing in the Fund. Table I shows how the total returns before taxes for the Fund s Investor Class Shares have varied from year to year for the past 10 years. Table II shows how the Fund s average annual total returns compare to those of a securities market index. Performance information for the Institutional Class Shares prior to May 1, 2008 is based on the performance of the Investor Class. Past performance (before and after taxes) does not guarantee future results. Recent performance information for the Fund is available on the Fund s website at heartlandadvisors.com or by calling TABLE I VALUE PLUS FUND - INVESTOR CLASS SHARES - YEAR-BY-YEAR TOTAL RETURNS 40% % 4.73% Best Quarter: 28.50% 26.37% -5.37% 11.38% 34.15% Worst Quarter: -2.70% % % th Quarter of % 3rd Quarter of % TABLE II VALUE PLUS FUND - AVERAGE ANNUAL TOTAL RETURNS [FOR THE PERIODS ENDED 12/31/15] INVESTOR CLASS SHARES: One Year Five Years Ten Years Lifetime (since ) Return Before Taxes % 2.59% 6.07% 9.61% Return After Taxes on Distributions Return After Taxes on Distributions and Sale of Fund Shares INSTITUTIONAL CLASS SHARES: Return Before Taxes Russell 2000 Value Index (reflects no deduction for fees, expenses or taxes) After-tax returns are calculated using the highest historical individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on an investor s tax situation and may differ from those shown, and after-tax returns shown are not relevant to investors who hold their Fund shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. In addition, after-tax returns are shown only for Investor Class Shares, and after-tax returns for the Institutional Class Shares will vary. The differences in beforetax returns and after-tax returns on distributions and sale of Fund shares are due to adjustments incorporated into the after-tax returns for qualified taxable dividend income and qualifying foreign tax credits. In some instances, the after-tax return on distributions and sale of Fund shares may be higher than other return figures when Fund shares are sold at a loss that provides an assumed tax benefit to the shareholder. INVESTMENT ADVISOR Heartland Advisors serves as the investment advisor to the Value Plus Fund. PORTFOLIO MANAGERS The Value Plus Fund is managed by a team of investment professionals, which consists of Bradford A. Evans and Andrew J. Fleming. Mr. Evans has served as a Portfolio Manager of the Value Plus Fund since May Mr. Evans is a Senior Vice President and Director of Heartland Advisors. Mr. Fleming has served as a Portfolio Manager of the Value Plus Fund since February Mr. Fleming is a Vice President of Heartland Advisors. For important information about the purchase and sale of Fund shares, tax information, and financial intermediary compensation, please turn to Purchase and Sale of Fund Shares, Tax Information, and Payments to Broker-Dealers and Other Financial Intermediaries on page 12 of this Prospectus. 6

11 heartland value fund INVESTMENT GOAL The Value Fund seeks long term capital appreciation through investing in small companies. FEES AND EXPENSES OF THE VALUE FUND This table describes the fees and expenses that you may pay if you buy and hold Investor or Institutional Class Shares of the Value Fund. SHAREHOLDER FEES (fees paid directly from your investment) Investor Class Shares Institutional Class Shares Maximum Sales Charge (Load) Imposed on Purchases None None Maximum Deferred Sales Charge (Load) None None Maximum Sales Charge (Load) Imposed on Reinvested Distributions Redemption Fee (as a percentage of the net asset value of any shares that are redeemed or exchanged within 10 days after they were purchased) None None 2% 2% Exchange Fee None None ANNUAL FUND OPERATING EXPENSES (expenses that you pay each year as a percentage of the value of your investment) Investor Class Shares Institutional Class Shares Management Fees 0.75% 0.75% Distribution (12b-1) Fees 0.15 None Other Expenses Total Annual Fund Operating Expenses 1.06% 0.91% EXAMPLE. This Example is intended to help you compare the cost of investing in the Value Fund with the cost of investing in other mutual funds. The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem all of your shares at the end of those periods. The Example also assumes that your investment has a 5% return each year and that the Fund s operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be: One Year Three Years Five Years Ten Years Investor Class Shares $108 $337 $584 $1,293 Institutional Class Shares ,119 PORTFOLIO TURNOVER The Value Fund pays transaction costs, such as commissions, when it buys and sells securities (or turns over its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account. These costs, which are not reflected in Annual Fund Operating Expenses or in the example, affect the Fund s performance. During the most recent fiscal year, the Fund s portfolio turnover rate was 52% of the average value of its portfolio. PRINCIPAL INVESTMENT STRATEGIES OF THE VALUE FUND The Value Fund invests primarily in common stocks of small companies with market capitalizations of less than $2 billion selected on a value basis, and may invest a significant portion of its assets in micro-capitalization securities, generally those with market capitalizations of less than $300 million at the time of purchase. The Fund utilizes Heartland Advisors disciplined and time-tested 10 Principles of Value InvestingTM framework to identify securities with the potential for appreciation and a potential margin of safety to limit downside risk. The 10 Principles of Value Investing are: catalyst for recognition, low price in relation to earnings, low price in relation to cash flow, low price in relation to book value, financial soundness, positive earnings dynamics, sound business strategy, capable management and insider ownership, value of the company, and positive technical analysis. PRINCIPAL RISKS OF INVESTING IN THE VALUE FUND The Value Fund is designed for investors who seek long term capital appreciation from small company stocks. It is designed for investors who can tolerate the greater investment risk and market volatility associated with smaller companies, but want to manage these risks by investing in companies believed to be undervalued relative to their intrinsic value. The principal risk of investing in the Value Fund is that its share price and investment return will fluctuate, and you could lose money. Additional principal investment risks of the Fund include: MANAGEMENT RISK. The ability of the Fund to meet its investment objective is directly related to Heartland Advisors investment strategies for the Fund. GENERAL MARKET RISK. The market value of a security may move up or down, sometimes rapidly and unpredictably. These fluctuations may cause a security to be worth less than the price originally paid for it, or less than it was worth at an earlier time. EQUITY MARKET RISK. Common stocks are susceptible to general stock market fluctuations and to volatile increases and decreases in value as market confidence in and perceptions of their issuers change. VALUE-STYLE INVESTING RISK. Value stocks can perform differently from the market as a whole and from other types of stocks. Value investments are subject to the risk that their intrinsic value may not be recognized by the broad market. SMALLER COMPANY SECURITIES RISK. Equity securities of the smaller companies in which the Fund may invest generally involve a higher degree of risk than investments in the broad based equity markets. The security prices of smaller companies generally are more volatile than those of larger companies, they generally will have less market liquidity, and they may be more likely to be adversely affected by poor economic or market conditions. An investment in a Fund is not a deposit of a bank, nor insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other governmental agency. It is not designed to be a complete investment program, and while 7

12 heartland value fund you may make money, you can also lose money. Each Fund s share price will fluctuate. PAST PERFORMANCE The following tables show historical performance of the Value Fund and provide some indication of the risks of investing in the Fund. Table I shows how the total returns before taxes for the Fund s Investor Class Shares have varied from year to year for the past 10 years. Table II shows how the Fund s average annual total returns compare to those of a securities market index. Performance information for the Institutional Class Shares prior to May 1, 2008 is based on the performance of the Investor Class. Past performance (before and after taxes) does not guarantee future results. Recent performance information for the Fund is available on the Fund s website at heartlandadvisors.com or by calling TABLE I VALUE FUND - INVESTOR CLASS SHARES - YEAR-BY-YEAR TOTAL RETURNS 60% % -5.53% % Best Quarter: 44.49% 21.28% -6.92% 13.83% 32.11% Worst Quarter: 2.22% % nd Quarter % 4th Quarter of % retirement accounts. In addition, after-tax returns are shown only for Investor Class Shares and after-tax returns for the Institutional Class Shares will vary. The differences in beforetax returns and after-tax returns on distributions and sale of Fund shares are due to adjustments incorporated into the after-tax returns for qualified taxable dividend income and qualifying foreign tax credits. In some instances, the after-tax return on distributions and sale of Fund shares may be higher than other return figures when Fund shares are sold at a loss that provides an assumed tax benefit to the shareholder. INVESTMENT ADVISOR Heartland Advisors serves as the investment advisor to the Value Fund. PORTFOLIO MANAGERS The Value Fund is managed by a team of investment professionals, which consists of William ( Bill ) J. Nasgovitz and Eric J. Miller. Mr. Bill Nasgovitz has been a Portfolio Manager of the Value Fund since commencement of its operations in Mr. Bill Nasgovitz is the Chairman and Chief Investment Officer of Heartland Advisors and is the President and a Director of Heartland Funds. Mr. Miller has served as a Portfolio Manager of the Value Fund since February Mr. Miller is a Vice President of Heartland Advisors. For important information about the purchase and sale of Fund shares, tax information, and financial intermediary compensation, please turn to Purchase and Sale of Fund Shares, Tax Information, and Payments to Broker-Dealers and Other Financial Intermediaries on page 12 of this Prospectus. TABLE II VALUE FUND - AVERAGE ANNUAL TOTAL RETURNS [FOR THE PERIODS ENDED 12/31/15] INVESTOR CLASS SHARES: One Year Five Years Ten Years 8 Lifetime (since ) Return Before Taxes % 4.94% 5.02% 11.82% Return After Taxes on Distributions Return After Taxes on Distributions and Sale of Fund Shares INSTITUTIONAL CLASS SHARES: Return Before Taxes Russell 2000 Value Index (reflects no deduction for fees, expenses or taxes) After-tax returns are calculated using the highest historical individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on an investor s tax situation and may differ from those shown, and after-tax returns shown are not relevant to investors who hold their Fund shares through tax-deferred arrangements, such as 401(k) plans or individual

13 heartland international value fund INVESTMENT GOAL The International Value Fund seeks long-term capital appreciation with modest current income. FEES AND EXPENSES This table describes the fees and expenses that you may pay if you buy and hold shares of the International Value Fund. SHAREHOLDER FEES (fees paid directly from your investment) Maximum Sales Charge (Load) Imposed on Purchases Maximum Deferred Sales Charge (Load) Maximum Sales Charge (Load) Imposed on Reinvested Distributions Redemption Fee (as a percentage of the net asset value of any shares that are redeemed or exchanged within 90 days after they were purchased) Exchange Fee ANNUAL FUND OPERATING EXPENSES (expenses that you pay each year as a percentage of the value of your investment) Investor Class Shares None None None 2% None Management Fees 0.85% Distribution (12b-1) Fees 0.25 Other Expenses 0.71 Total Annual Fund Operating Expenses 1.81% Fee Waiver and/or Expense Reimbursement Total Annual Fund Operating Expenses After Fee Waiver and/or Expense Reimbursement (1) 1.49% (1) Pursuant to an operating expense limitation agreement between the Fund s investment advisor, Heartland Advisors, and the International Value Fund, Heartland Advisors has agreed to waive its management fees and/or reimburse expenses of the Fund to ensure that Total Annual Fund Operating Expenses (excluding front-end or contingent deferred sales loads, taxes, leverage, interest, brokerage commissions, expenses incurred in connection with any merger or reorganization, dividends or interest expenses on short positions, acquired fund fees and expenses or extraordinary expenses) do not exceed 1.49% of the Fund s average net assets (the Expense Cap ), through at least May 1, 2017 and, subject to annual re-approval of the agreement by the Funds Board of Directors, thereafter. The operating expense limitation agreement may be terminated only by, or with the consent of, the Funds Board of Directors. Heartland Advisors is permitted to be reimbursed for management fee waivers and/or expense payments made in the prior three fiscal years, subject to the Expense Cap. EXAMPLE. This Example is intended to help you compare the cost of investing in the International Value Fund with the cost of investing in other mutual funds. The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem all of your shares at the end of those periods. The Example also assumes that your investment has a 5% return each year and that the Fund s operating expenses remain the same. The fee waiver/expense reimbursement arrangement discussed in the table above is reflected only through May 1, Although your actual costs may be higher or lower, based on these assumptions your costs would be: PORTFOLIO TURNOVER The International Value Fund pays transaction costs, such as commissions, when it buys and sells securities (or turns over its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account. These costs, which are not reflected in Annual Fund Operating Expenses or in the example, affect the Fund s performance. During the most recent fiscal year, the Fund s portfolio turnover rate was 62% of the average value of its portfolio. PRINCIPAL INVESTMENT STRATEGIES The International Value Fund primarily invests in non-u.s. and U.S. equity securities, selected on a value basis and whose current market prices, in Heartland Advisors judgment, are undervalued relative to their true worth. At least a majority of its assets are invested in dividend-paying equity securities, which may provide modest income to the Fund. Under normal circumstances, the Fund primarily invests in a concentrated number of non-u.s. and U.S. equity securities, including common stock, preferred stock, depositary receipts ( DRs ), and options, of companies with market capitalizations up to $5 billion at the time of purchase. The median market capitalization is expected to fluctuate over time depending on Heartland Advisors perceptions of relative valuations, future prospects, and market conditions. The Fund may invest up to 50% of its net assets at market value at the time of purchase in emerging and less developed markets. At least 40% of the Fund s net assets, calculated at the time of purchase, will be invested in foreign securities. The Fund does not invest more than 35% of its net assets at market value at the time of purchase in companies from any single country, including the United States. Up to 10% of the Fund s net assets, measured at the time of purchase, may be invested in American Depositary Receipts (ADRs). The Fund utilizes Heartland Advisors disciplined and time-tested 10 Principles of Value InvestingTM framework to identify securities with the potential for appreciation and a potential margin of safety to limit downside risk. The 10 Principles of Value Investing are: catalyst for recognition, low price in relation to earnings, low price in relation to cash flow, low price in relation to book value, financial soundness, positive earnings dynamics, sound business strategy, capable management and insider ownership, value of the company, and positive technical analysis. PRINCIPAL RISKS OF INVESTING IN THE INTERNATIONAL VALUE FUND The International Value Fund is designed for investors who seek long term capital appreciation from a diversified, actively managed portfolio of international stocks. It is constructed for investors who can accept the volatility and other investment risks of the broad based international equity markets, but want to manage these risks by investing in companies believed to be undervalued relative to their intrinsic value. One Year Three Years Five Years Ten Years $152 $538 $950 $2,098 9