A Message to Our Shareholders About Coronavirus (03/13/2020)

Dear Shareholder,

As the coronavirus spreads across the United States, we need to make the right decisions to ensure the safety of our employees while also limiting the impact of changes to our shareholders. I’d like to take the time to update you and reassure you that we’re acting swiftly to address the situation.

We’re closely monitoring and following guidance from the Centers for Disease Control and Prevention, the World Health Organization and local governments to make the necessary adjustments to our operations as new information continues to unfold.

Washington, D.C. and Virginia have both declared a state of emergency. The office of RE Advisers, the investment advisor and/or administrator of Homestead Funds, is located in Arlington, VA, which is in the metro Washington, D.C. region. Given our location, I have made the decision that, to keep our employees safe during this time, our staff will start working remotely effective Monday, March 16, 2020.

To our shareholders, we are committed to bringing you the same level of service that you expect. As always, you will be able to call 800.258.3030, option 1, and speak to a representative to request transactions and get account information. You can also log in to your account for self-service transactions and account information.

If you would like to speak with one of Homestead Funds’ client services associates for account guidance or education, you will be asked to leave a message to receive a callback from one of our team members. We value all of our shareholders, so in order for our client services team to respond to your inquiries in a timely manner, please provide both your phone number and email address if you wish to receive a callback. You can also contact us at invest@homesteadfunds.com with any questions or concerns.

For the latest updates, please visit our website.

Thank you for your confidence and we that hope all of our shareholders are safe.

Best,

Mark Santero

President and CEO of Homestead Funds

Investing in mutual funds involves risk, including the possible loss of principal. Past performance does not guarantee future results.

Investors should carefully consider fund objectives, risks, charges and expenses before investing. The prospectus contains this and other information about the funds and should be read carefully before investing. To obtain a prospectus, call 800.258.3030 or download a PDF of it now.

Homestead Funds’ investment advisor and/or administrator, RE Advisers Corporation, and distributor, RE Investment Corporation, are indirect, wholly owned subsidiaries of NRECA. RE Investment Corporation, Distributor. 03/20