0001413042-20-000058.txt : 20200305 0001413042-20-000058.hdr.sgml : 20200305 20200305165920 ACCESSION NUMBER: 0001413042-20-000058 CONFORMED SUBMISSION TYPE: N-CEN PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20191231 FILED AS OF DATE: 20200305 DATE AS OF CHANGE: 20200305 EFFECTIVENESS DATE: 20200305 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PARADIGM FUNDS CENTRAL INDEX KEY: 0001196878 IRS NUMBER: 000000000 STATE OF INCORPORATION: OH FILING VALUES: FORM TYPE: N-CEN SEC ACT: 1940 Act SEC FILE NUMBER: 811-21233 FILM NUMBER: 20691511 BUSINESS ADDRESS: STREET 1: NINE ELK STREET CITY: ALBANY STATE: NY ZIP: 12207 BUSINESS PHONE: 5184313516 0001196878 S000005314 Paradigm Value Fund C000014505 Paradigm Value Fund PVFAX 0001196878 S000005316 Paradigm Select Fund C000014507 Paradigm Select Fund PFSLX 0001196878 S000020362 Paradigm Micro-Cap Fund C000057148 Paradigm Micro-Cap Fund PVIVX N-CEN 1 primary_doc.xml X0201 N-CEN LIVE 0001196878 XXXXXXXX N-1A S000005314 C000014505 S000005316 C000014507 S000020362 C000057148 PARADIGM FUNDS 811-21233 0001196878 549300PJ2B0KCKLXZR09 NINE ELK STREET ALBANY 12207 US-NY US 5184313500 PARADIGM FUNDS NINE ELK STREET ALBANY 12207 5184313500 All accounts, books and documents required to be maintained by the Registrant, pursuant to Section 31(a) of the Investment Company Act of 1940 and Rules 31a-1 through 31a-3, except all records relating to the activities of the Funds' Custodian. MUTUAL SHAREHOLDER SERVICES, LLC 8000 TOWN CENTRE DRIVE, SUITE 400 BROADVIEW HEIGHTS 44147 4409220066 All accounts, books and documents required to be maintained by the Transfer Agent, Fund Accounting Agent and Shareholder Servicing Agent pursuant to Section 31(a) of the Investment Company Act of 1940 and Rules 31a-1 through 31a-3. US BANK, N.A. 425 WALNUT STREET CINCINNATI 45202 5136324140 All accounts, books and documents relating to the activities of the Funds' Custodian. N N N N-1A 3 Y CANDACE KING WEIR 000269796 Y CARL A. FLORIO, CPA N/A Y GARY GREENHOUSE N/A N PETER H. HEERWAGEN N/A N WILLIAM P. PHELAN N/A N GEORGE M. PHILIP N/A N THOMAS H. SIGNOR N/A NINE ELK STREET ALBANY 12207 XXXXXX Y N N N N N N COHEN & COMPANY, LTD. 925 N/A N N N N N N N Paradigm Value Fund S000005314 549300NPWLUY0KJ0VJ69 N 1 0 0 N/A N N Y N N/A N/A N/A Rule 32a-4 (17 CFR 270.32a-4) N N N N PARADIGM FUNDS ADVISOR LLC 801-64574 000136481 N/A N MUTUAL SHAREHOLDER SERVICES, LLC 084-05821 549300TSNG2XMCUGTB05 N N N FIS N/A N N U.S. BANK, NA 6BYL5QZYBDK8S7L73M02 N N Bank - section 17(f)(1) (15 U.S.C. 80a-17(f)(1)) N MUTUAL SHAREHOLDER SERVICES, LLC 549300TSNG2XMCUGTB05 N N N PREMIER FUND SOLUTIONS, INC. N/A N N N C.L. King & Associates, Inc. 008-17025 000006183 549300LY7AXPXQMUO474 0 STEPHENS 008-01927 000003496 213800LH6T9XDYZCA534 1254 STIFEL, NICOLAUS & COMPANY, INCORPORATED 008-01447 000000793 5WUVMA08EYG4KEUPW589 5235 RAYMOND JAMES & ASSOCIATES, INC. 008-10999 000000705 U4ONQX15J3RO8XCKE979 3297 PIPER JAFFRAY & CO. 008-15204 000000665 549300GRQCWQ3XGH0H10 1200 D.A. DAVIDSON & CO. 008-02399 000000199 549300094RQ5A7DYLF51 1179 LIQUIDNET, INC. 008-52461 000103987 213800HSKBBO1GCVRG79 1317 WEEDEN & CO.L.P. 008-37267 000016835 549300OYBLKSN8M8EW67 1321 COWEN AND COMPANY 008-22522 000007616 549300WR155U7DVMIW58 2814 WILLIAM BLAIR 008-02698 000001252 549300J0P7XYE8BMZ775 4866 KEYBANC CAPITAL MARKETS INC. 008-30177 000000566 2EQWV0180Z211YVAD813 1386 30938 0 N 53016184 N N N N Paradigm Select Fund S000005316 549300MOWYRO1YRYAC56 N 1 0 0 N/A N N Y N N/A N/A N/A Rule 32a-4 (17 CFR 270.32a-4) Y Y N N PARADIGM FUNDS ADVISOR LLC 801-64574 000136481 N/A N MUTUAL SHAREHOLDER SERVICES, LLC 084-05821 549300TSNG2XMCUGTB05 N N N FIS N/A N N U.S. BANK, NA 6BYL5QZYBDK8S7L73M02 N N Bank - section 17(f)(1) (15 U.S.C. 80a-17(f)(1)) N MUTUAL SHAREHOLDER SERVICES, LLC 549300TSNG2XMCUGTB05 N N N PREMIER FUND SOLUTIONS, INC. N/A N N N C.L. King & Associates, Inc. 008-17025 000006183 549300LY7AXPXQMUO474 0 STEPHENS 008-01927 000003496 213800LH6T9XDYZCA534 1488 RAYMOND JAMES & ASSOCIATES, INC. 008-10999 000000705 U4ONQX15J3RO8XCKE979 591 NEEDHAM & COMPANY, LLC 008-33772 000016360 254900J2GFQ4J4NK1J89 489 CANTOR FITZGERALD & CO. 008-00201 000000134 5493004J7H4GCPG6OB62 1027 PIPER JAFFRAY & CO. 008-15204 000000665 549300GRQCWQ3XGH0H10 306 STIFEL, NICOLAUS & COMPANY, INCORPORATED 008-01447 000000793 5WUVMA08EYG4KEUPW589 1667 SUNTRUST ROBINSON HUMPHREY, INC. 008-17212 000006271 CSVTK36R0PNGXEM7NS14 1020 ROBERT W. BAIRD & CO. 008-00497 000008158 549300772UJAHRD6LO53 762 WELLS FARGO SECURITIES, LLC 008-65876 000126292 VYVVCKR63DVZZN70PB21 354 D.A. DAVIDSON & CO. 008-02399 000000199 549300094RQ5A7DYLF51 279 9212 0 N 28805130 N N N N Paradigm Micro-Cap Fund S000020362 549300AZMFEW9Z3JAB86 N 1 0 0 N/A N N Y N N/A N/A N/A Rule 32a-4 (17 CFR 270.32a-4) N N N N PARADIGM FUNDS ADVISOR LLC 801-64574 000136481 N/A N MUTUAL SHAREHOLDER SERVICES, LLC 084-05821 549300TSNG2XMCUGTB05 N N N FIS N/A N N U.S. BANK, NA 6BYL5QZYBDK8S7L73M02 N N Bank - section 17(f)(1) (15 U.S.C. 80a-17(f)(1)) N MUTUAL SHAREHOLDER SERVICES, LLC 549300TSNG2XMCUGTB05 N N N PREMIER FUND SOLUTIONS, INC. N/A N N N C.L. King & Associates, Inc. 008-17025 000006183 549300LY7AXPXQMUO474 0 RAYMOND JAMES & ASSOCIATES, INC. 008-10999 000000705 U4ONQX15J3RO8XCKE979 21391 STIFEL, NICOLAUS & COMPANY, INCORPORATED 008-01447 000000793 5WUVMA08EYG4KEUPW589 19946 STEPHENS 008-01927 000003496 213800LH6T9XDYZCA534 24991 PIPER JAFFRAY & CO. 008-15204 000000665 549300GRQCWQ3XGH0H10 25954 LIQUIDNET, INC. 008-52461 000103987 213800HSKBBO1GCVRG79 13717 CANTOR FITZGERALD & CO. 008-00201 000000134 5493004J7H4GCPG6OB62 12615 NEEDHAM & COMPANY, LLC 008-33772 000016360 254900J2GFQ4J4NK1J89 11338 OPPENHEIMER & CO. INC. 008-04077 000000249 254900VH02JQR2L8XD64 9973 LEERINK SWANN LLC 008-48535 000039011 549300AAH7U76CEUBI94 7944 COWEN AND COMPANY 008-22522 000007616 549300WR155U7DVMIW58 7914 238222 0 N 49900552 N N N N false false true false false false INTERNAL CONTROL RPT 2 paradigmfundsinternalcontrol.htm Paradigm Funds


REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM


To the Shareholders and Board of Trustees of

Paradigm Funds


In planning and performing our audit of the financial statements of Paradigm Funds, comprising Paradigm Value Fund, Paradigm Select Fund, and Paradigm Micro‐Cap Fund (the “Funds”) as of and for the year ended December 31, 2019, in accordance with the standards of the Public Company Accounting Oversight Board (United States), we considered the Funds’ internal control over financial reporting, including controls over safeguarding securities, as a basis for designing our auditing procedures for the purpose of expressing our opinion on the financial statements and to comply with the requirements of Form N-CEN, but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting.  Accordingly, we express no such opinion.


The management of the Funds is responsible for establishing and maintaining effective internal control over financial reporting.  In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of controls.  A fund’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles (GAAP).  A fund’s internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the fund; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with GAAP, and that receipts and expenditures of the fund are being made only in accordance with authorizations of management and trustees of the fund; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of a fund’s assets that could have a material effect on the financial statements.  


Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements.  Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.


A deficiency in internal control over financial reporting exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect misstatements on a timely basis.  A material weakness is a deficiency, or combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of the Funds’ annual or interim financial statements will not be prevented or detected on a timely basis.


Our consideration of the Funds’ internal control over financial reporting was for the limited purpose described in the first paragraph and would not necessarily disclose all deficiencies in internal control that might be material weaknesses under standards established by the Public Company Accounting Oversight Board (United States).  However, we noted no deficiencies in the Funds’ internal control over financial reporting and its operation, including controls over safeguarding securities, that we consider to be a material weakness as defined above as of December 31, 2019.


This report is intended solely for the information and use of management and the Board of Trustees of the Funds and the Securities and Exchange Commission and is not intended to be and should not be used by anyone other than these specified parties.



/s/Cohen & Company

COHEN & COMPANY, LTD.

Cleveland, Ohio

February 20, 2020