Dodge & Cox Funds Statutoary Prospectus dated May 1, 2013

was anticipated, delaying the return of principal to theFund and affecting its ability to reinvest at higheryields. In addition, changes in the rate of prepaymentalso affect the price and price volatility of a mortgagerelatedsecurity. Securities issued by certain U.S.government sponsored enterprises (GSEs) (such asFannie Mae, Freddie Mac, the Federal Home LoanBanks, and the Federal Farm Credit Banks) are notissued or guaranteed by the U.S. Treasury. In the eventthat these GSEs cannot meet their obligations, therecan be no assurance that the U.S. government willcontinue to provide support, and the Fund’sperformance could be adversely impacted.▪ Non-U.S. issuer risk. Securities may decline in valuebecause of political, economic, or market instability; theabsence of accurate information about the companies;risks of internal and external conflicts; or unfavorablegovernment actions, including expropriation andnationalization. Non-U.S. securities are sometimes lessliquid, more volatile, and harder to value than securitiesof U.S. issuers. Lack of uniform accounting, auditing, andfinancial reporting standards, with less governmentalregulation and oversight than U.S. companies, mayincrease risk. Some countries also may have different legalsystems that may make it difficult for the Fund to exercisecreditor rights and pursue legal remedies with respect toinvestments. Certain of these risks may also apply tosecurities of U.S. companies with significant non-U.S.operations.▪ Emerging market risk. Non-U.S. issuer risk may beparticularly high to the extent the Fund invests inemerging market securities. Emerging market securitiesmay present issuer, market, currency, liquidity, legal,political and other risks different from, and potentiallygreater than, the risks of investing in securities andinstruments tied to developed non-U.S. issuers. Emergingmarket securities may also be more volatile, less liquid andmore difficult to value than securities economically tied todeveloped non-U.S. issuers.▪ Sovereign debt risk. Sovereign debt includes investmentsin securities issued or guaranteed by a foreign sovereigngovernment or its agencies, authorities, or politicalsubdivisions. An investment in sovereign debtobligations can involve a high degree of risk, includingspecial risks not present in corporate debt obligations.The issuer of the sovereign debt or the governmentalauthorities that control the repayment of the debt maybe unable or unwilling to repay principal or interestwhen due. Holders of sovereign debt may be requestedto participate in the rescheduling of such debt and toextend further loans to governmental entities. In theevent of a default by a governmental entity on asovereign debt obligation, there may be few or noeffective legal remedies for collecting on such debt.▪ Leveraging risk. Certain Fund transactions, such asderivatives, may give rise to a form of leverage and mayexpose the Fund to greater risk of loss. Leverage tendsto magnify the effect of any decrease or increase in thevalue of the Fund’s portfolio securities, and thereforemay cause the Fund’s performance to be more volatile.The use of leverage may cause the Fund to liquidateportfolio positions when it would not be advantageousto do so in order to satisfy its obligations.An investment in the Fund is not a deposit of abank and is not insured or guaranteed by the FederalDeposit Insurance Corporation or any othergovernment agency.PERFORMANCE INFORMATIONThe following bar chart and table are intended to helpyou understand the risks of investing in the Fund. The barchart shows changes in the Fund’s returns from year toyear. The table shows how the Fund’s average annual totalreturns for one, five, and ten years compare to those of abroad measure of market performance.D ODGE & C OX F UNDS ▪ PAGE 19