Fund Operations

• Turnover: A measure of trading activity during the previous year, expressed as a percentage of the average total assets of the fund.

Fees and Expenses

• Total Expense Ratio: The percentage of the assets spent to run a mutual fund. This includes expenses such as management and advisory fees, overhead costs, and 12b-1 (distribution and advertising) fees. The expense ratio does not include brokerage costs for trading the portfolio, although these are reported as a percentage of assets to the SEC by the funds in a Statement of Additional Information (SAI). The SAI is available to shareholders on request. Neither the expense ratio nor the SAI includes the transaction costs of spreads, normally incurred in unlisted securities and foreign stocks. These two costs can add significantly to the reported expenses of a fund. The expense ratio is often termed "Operating Expense Ratio" (OER).
• 12b1 Fee: The percent of a mutual fund's assets used to defray marketing and distribution expenses.
• Max Front End Sales Charge: Denotes a fund's maximum initial sales charge or load (if any). This figure is expressed as a percentage of the initial investment and is incurred upon purchase of fund shares.
• Max Deferred Sales Charge: Denotes either a fund's maximum deferred sales charge or load (if any). For deferred sales charges (also known as back-end loads or contingent deferred sales charges (CDSCs)), the amount charged is based on the lesser of the initial or final value of the shares sold.