Summary Plan Disclosure Notice

Transcription

1 Summary Plan Disclosure Notice Plan Information as of 11/13/2017 Jamestown College (ND) 403(b) Plan

2 Notice Summary Federal regulation requires that your retirement Plan Sponsor provide you with specific information about Plan fees and investments to help you manage your retirement plan account. This Notice includes important information to help you compare the investment options in your retirement plan. If you want additional information about your investment options, you can login to your account or contact your benefits manager or designated retirement plan service provider. This report document has three sections. Section 1 is an overview of the service providers assigned to your Plan and the potential fees and expenses that may be applied. Section 2 - Part I describes how you may direct investments in your plan account, any restrictions that may apply to that investment direction, and whether you have voting rights associated with any plan investments. Part II of this section consists of historical performance information for the plan investment options and shows you the fees and expenses you will pay for each investment option. Section 3 is a glossary of terminology that describes the investment risk definitions and overall investment and retirement plan related terms. This glossary is designed to help you understand some of the more common investment and plan administration terms you may encounter. Report Sections Section 1 Service Providers Overview Part I - Investment Management Service Providers Part II - Administration/Recordkeeping Service Providers Part III - Other Service Providers Part IV - Individual Transaction Expenses Section 2 Plan Investing Information Part I - Directing Investment, Proxy Voting & Disclosures Part II - Investment Performance & Expenses Section 3 Glossary of Terminology Part I - Investment Risk Definitions Part II - Glossary of Investment & Administration Related Terms

3 Section 1 Service Providers Overview Your retirement plan may have any number of Service Providers. Your Plan s recordkeeping system facilitates the reporting of any number of Service Provider profiles with detailed listings of specific services and compensation structures that cover the required disclosures. For reporting purposes a Service Provider is assigned to one of the following categories. Investment Management Investment Management is inclusive of services relating to the selection and monitoring of the Plan s investments; custody, trading and transaction settlement; Trustee fees; and any fees applicable to specific types of investment vehicles such as annuities, collective investment funds or unitized asset allocation models. This category does not include the investment management fees inherent in the expense ratio of traditional mutual funds. Administration/Recordkeeping Administration/Recordkeeping is inclusive of Plan documents, compliance testing, government reporting, general administrative transaction processing (loans and distributions) and recordkeeping of Plan and participant regarding transactions details and investments balances. Other Other service providers is very broad and includes banking, consulting, insurance, investment advice, enrollment meetings, education and various professional services applicable to the Plan.. Within a Service Provider Category a Service Provider Type is assigned. CATEGORY SERVICE PROVIDER TYPE Investment Management: - Investment Advisory - Custody/Trust - Other Administration/Recordkeeping: - Third Party Administrator - Plan Recordkeeper - Other Other: - Communications/Education - Legal/Consulting/Insurance - Other Listed by provider category and type each Service Provider will have profile containing their company overview and a detail of service(s) listing that describes and itemizes the following: - Service Name - specific name of service. - Service Description - detailed description of stated service. - Compensation Formula - indicates compensation structure for stated service. PLEASE NOTE!! This Summary Plan Disclosure Notice does not include specific payment transactions that have been charged for services to the Plan. The Notice is designed to provide the required Service Providers disclosures regarding services provided and compensation formulas. Some of the Plan Expenses described in this Notice may be paid directly by (a) your employer, (b) possible revenue sharing arrangements, or (c) by the Plan s forfeiture account, and thus not paid by a charge to your account. You may review your account statement and online transaction history records for a detailed disclosure of the dollar amounts, if any, actually charged to your account for these services and a description of the services to which these fees relate.

4 Part I - Investment Management Service Provider Profiles Service Provider Name: Overview of Company: Detail of Service(s)

5 Part II - Administration/Recordkeeping Service Provider Profiles Service Provider Name: Overview of Company: Detail of Service(s)

6 Part III - Other Service Provider Profiles Service Provider Name: Overview of Company: Detail of Service(s) Part IV - Individual Transaction Expenses Your account will be subject to additional fees if you select one of the following plan services. Please also review your account statement for a detailed disclosure of the dollar amount actually charged to your account for these services and a description of the services to which these fees relate. CATEGORY DESCRIPTION Loan Transaction Fees Loan Origination Fee: $ Annual Loan Maintenance Fee: $0.00 Distribution Transaction Fees Distribution Type Termination of Employment Transaction Fee $75.00 In-Service Withdrawal $75.00 Normal Retirement Age $75.00 Required Minimum Distribution $75.00 Disability $75.00 Death Benefit $75.00 QDRO $75.00 Return of Excess $0.00 Investment fees charged at account Investments available in your plan may charge additional fees to your account for investment administration and other investment transactions, such as fund administrative charges, commissions, sales loads, sales charges, deferred sales charges, redemption fees, surrender charges, exchange fees, account fees, or purchase fees. Please review the complete investment fee and performance chart contained in this notice to determine whether these fees may be assessed for an investment option, and review your account statement for a detailed disclosure of the dollar amount actually charged to your account each quarter that is attributable to these fees

7 Section 2: Plan Investing Information Part I - Directing Investment, Proxy Voting & Disclosures A. How to direct your plan investments Your plan gives you the right to direct some or all of your plan investments. You can direct your plan investments using one of the two convenient methods listed below. For a list of the designated investment alternatives offered in your plan and any designated investment managers, please refer to the complete investment fee and performance chart contained in this notice. 1) Online. Log on to your account day or night 7 days a week. If you have not signed up for secure online account access, contact your benefits manager or designated retirement plan service provider. 2) With personal assistance. Contact your designated retirement plan service provider Client Services center from your account login website or at the number printed on your statement. Transaction requests (e.g., a contribution, exchange, or redemption) must be in good order. Good order means that your recordkeeper has determined that (1) your transaction request includes complete information and (2) appropriate assets are already in your account or new assets have been received. Your plan s recordkeeper will determine the necessary processing time frames for your transaction request before submission to the fund(s). Your transaction will then be based on the next-determined net asset value (NAV) of the investment s shares. If your transaction request is received in good order on a business day before the close of regular trading on the New York Stock Exchange (NYSE) (generally 4 p.m., Eastern time), you will receive that day s NAV and trade date. If your transaction request is received in good order while the NYSE is closed, you will receive the next business day s NAV and trade date. If your transaction involves one or more investments with an early cutoff time for processing or another trading restriction, your entire transaction will be subject to that cutoff time when the trade date for your transaction is determined. If an early cutoff time applies to an investment available in your plan, please review the next section for additional information. You may not cancel any transaction request once processing has begun. Please be careful when placing a transaction request. Proxy voting The plan sponsor or other named fiduciaries for the plan exercises voting, tender, and similar rights with respect to the mutual funds in the plan. Investment disclosures The Investment Performance Summary section provides a performance overview of the Plan's designated investments alternatives. The information in the next section provides important details about your investment options. The performance data shown represents past performance, which is not a guarantee of future results. Investment returns and principal value will fluctuate, so investors shares, when sold, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data cited. The table below focuses on the performance of investment options that do not have a fixed or stated rate of return. This table shows how these options have performed over time and allows you to compare them with an appropriate benchmark for the same time periods. Past performance does not guarantee how the investment option will perform in the future. Your investment in these options could lose money. Information about a designated investment alternative principal risk is available on the website or upon request. This table also shows fee and expense information for the investment options listed below. This table shows the total annual operating expenses of each investment option listed below. Total annual operating expenses are expenses that reduce the rate of return of the investment option. This table also shows shareholder-type fees. These fees are in addition to total annual operating expenses. The table also shows any restrictions or limitations that may be applicable to purchase, transfer, or withdrawal of the investment. Investments available in your plan may charge additional fees to your account for investment administration and other investment transactions, such as fund administrative charges, commissions, sales loads, sales charges, deferred sales charges, redemption fees, surrender charges, exchange fees, account fees, or purchase fees. Please review the complete investment fee and performance chart contained in this notice and in the investment prospectuses to determine whether these fees may be assessed for an investment option, and review your account statement for a detailed disclosure of the dollar amount actually charged to your account each quarter that is attributable to these fees. The cumulative effect of fees and expenses can substantially reduce the growth of your retirement plan account. Visit the Department of Labor s website for an example showing the long-term effect of fees and expenses at Fees and expenses are only one of many factors to consider when you decide to invest in options offered in your employer's plan. You may also want to think about whether an investment in a particular option, along with your other investments, will help you achieve your retirement goals.

8 Part II - Investment Performance & Expenses The table below contains important information regarding the available Designated Investment Alternatives available within your Plan. To assist you with understanding the terminology used, please see the Investment Risk Definitions and Glossary of Investment & Administration Related Terms contained within the next section of this report. AB Conservative Wealth Strategy R (APPRX) Morningstar Mod Con Tgt Risk TR USD Allocation--30% to 50% Equity Balanced Inception Date: 02/17/ Cost Per $1,000: Credit and Counterparty 13-Currency 14-Emerging Markets 16-Foreign Securities 18-Loss of Money 19-Not FD Insured 29-Active Management 36-Interest Rate 37-Market/Market Volatility 47-High-Yield Securities 58-Underlying Fund/Fund of Funds 65-Derivatives 66-Leverage 91-Management AB Equity Income R (AUIRX) Morningstar US Large Val TR USD Large Value Equity-Income Inception Date: 03/01/ Cost Per $1,000: Currency 16-Foreign Securities 18-Loss of Money 19-Not FDIC Insured 29-Active Management 37-Market/Market Volatility 65-Derivatives AB Wealth Appreciation Strategy R (AWARX) Morningstar Gbl Mkts GR USD World Large Stock Growth Inception Date: 02/17/ Cost Per $1,000: Currency 14-Emerging Markets 16-Foreign Securities 18-Loss of Money 19-Not FDIC Insured 24-Capitalizatio 37-Market/Market Volatility 58-Underlying Fund/Fund of Funds

9 American Funds AMCAP R3 (RAFCX) Morningstar US Large Growth TR USD Large Growth Growth Inception Date: 06/04/ Cost Per $1,000: Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 29-Active Management 33-Issuer 37-Market/Market Volatility American Funds American Balanced R3 (RLBCX) Morningstar Mod Tgt Risk TR USD Allocation--50% to 70% Equity Balanced Inception Date: 06/04/ Cost Per $1,000: Foreign Securities 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 29-Active Management 31-Income 33-Issuer 37-Market/Market Volatility 51-Mortgage-Backed and Asset-Backed Securities 57-Restricted/Illiquid Securities 64-U.S. Government Obligations 68-Fixed-Income Securities American Funds American Hi Inc Tr R3 (RITCX) BBgBarc US Agg Bond TR USD High Yield Bond Corporate Bond - High Yield Inception Date: 06/21/ Cost Per $1,000: Foreign Securities 18-Loss of Money 19-Not FDIC Insured 29-Active Management 33-Issuer 37-Market/Marke Volatility 47-High-Yield Securities 57-Restricted/Illiquid Securities 65-Derivatives 68-Fixed-Income Securities American Funds American Mutual R3 (RMFCX) Morningstar US Large Val TR USD Large Value Growth and Income Inception Date: 06/06/ Cost Per $1,000: Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 29-Active Management 31-Income 33-Issuer 37-Market/Market Volatility 68-Fixed-Income Securities

10 American Funds Bond Fund of Amer R3 (RBFCX) Morningstar US Core Bd TR USD Intermediate-Term Bond Income Inception Date: 06/04/ Cost Per $1,000: Inflation-Protected Securities 16-Foreign Securities 18-Loss of Money 19-Not FDIC Insured 29-Active Management 33-Issuer 37-Market/Market Volatility 46-Futures 51-Mortgage-Backed and Asset-Backed Securities 57-Restricted/Illiquid Securities 64-U.S. Government Obligations 65-Derivatives 68-Fixed-Income Securities American Funds Capital Inc Bldr R3 (RIRCX) Morningstar Mod Tgt Risk TR USD World Allocation Equity-Income Inception Date: 06/04/ Cost Per $1,000: Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 29-Active Management 31-Income 33-Issuer 37-Market/Market Volatility 68-Fixed-Income Securities American Funds Capital World Bond R3 (RCWCX) Morningstar Gbl xus Gov Bd TR LCL World Bond Worldwide Bond Inception Date: 07/16/ Cost Per $1,000: Currency 14-Emerging Markets 16-Foreign Securities 18-Loss of Money 19-Not FDIC Insured 26-Nondiversification 29-Active Management 33-Issuer 37-Market/Market Volatility 47-High-Yield Securities 57-Restricted/Illiquid Securities 65-Derivatives 68-Fixed-Income Securities American Funds Capital World G/I R3 (RWICX) Morningstar Gbl Mkts GR USD World Large Stock Growth and Income Inception Date: 06/06/ Cost Per $1,000: Emerging Markets 16-Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 29-Active Management 31-Income 33-Issuer 37-Market/Market Volatility

11 American Funds EuroPacific Gr R3 (RERCX) Morningstar Gbl Mkts xus GR USD Foreign Large Growth Foreign Stock Inception Date: 05/21/ Cost Per $1,000: Emerging Markets 16-Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 29-Active Management 33-Issuer 37-Market/Market Volatility American Funds Fundamental Invs R3 (RFNCX) Morningstar US Large Cap TR USD Large Blend Growth and Income Inception Date: 06/04/ Cost Per $1,000: Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 29-Active Management 31-Income 33-Issuer 37-Market/Market Volatility American Funds Growth Fund of Amer R3 (RGACX) Morningstar US Large Growth TR USD Large Growth Growth Inception Date: 05/21/ Cost Per $1,000: Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 29-Active Management 33-Issuer 37-Market/Market Volatility American Funds Inc Fund of Amer R3 (RIDCX) Morningstar Mod Agg Tgt Risk TR USD Allocation--70% to 85% Equity Income Inception Date: 06/04/ Cost Per $1,000: Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 29-Active Management 31-Income 33-Issuer 37-Market/Market Volatility 47-High-Yield Securities 68-Fixed-Income Securities

12 American Funds Interm Bd Fd of Amer R3 (RBOCX) Morningstar US Shrt Core Bd TR USD Short-Term Bond Income Inception Date: 06/26/ Cost Per $1,000: Inflation-Protected Securities 18-Loss of Money 19-Not FDIC Insured 29-Active Management 33-Issuer 37-Market/Market Volatility 46-Futures 51-Mortgage-Backed and Asset-Backed Securities 57-Restricted/Illiquid Securities 64-U.S. Government Obligations 65-Derivatives 68-Fixed-Income Securities American Funds Invmt Co of Amer R3 (RICCX) Morningstar US Large Cap TR USD Large Blend Equity-Income Inception Date: 06/04/ Cost Per $1,000: Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 29-Active Management 31-Income 33-Issuer 37-Market/Market Volatility American Funds New Economy R3 (RNGCX) Morningstar US Large Growth TR USD Large Growth Growth Inception Date: 06/25/ Cost Per $1,000: Emerging Markets 16-Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 20-Country or Region 25-Growth Investing 29-Active Management 31-Income 33-Issuer 37-Market/Marke Volatility 48-Industry and Sector Investing 106-Small Cap American Funds New Perspective R3 (RNPCX) Morningstar Gbl Mkts GR USD World Large Stock World Stock Inception Date: 06/04/ Cost Per $1,000: Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 29-Active Management 33-Issuer 37-Market/Market Volatility

13 American Funds New World R3 (RNWCX) Morningstar EM GR USD Diversified Emerging Mkts Diversified Emerging Markets Inception Date: 06/06/ Cost Per $1,000: Emerging Markets 16-Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 29-Active Management 33-Issuer 37-Market/Market Volatility 47-High-Yield Securities 57-Restricted/Illiquid Securities 68-Fixed-Income Securities 106-Small Cap American Funds SMALLCAP World R3 (RSLCX) MSCI ACWI Ex USA NR USD World Small/Mid Stock Small Company Inception Date: 06/20/ Cost Per $1,000: Emerging Markets 16-Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 29-Active Management 33-Issuer 37-Market/Market Volatility 106-Small Cap American Funds ST Bd Fd of America R3 (RAMCX) Morningstar US Shrt Core Bd TR USD Short-Term Bond Income Inception Date: 11/22/ Cost Per $1,000: Inflation-Protected Securities 16-Foreign Securities 18-Loss of Money 19-Not FDIC Insured 29-Active Management 33-Issuer 37-Market/Market Volatility 51-Mortgage-Backed and Asset-Backed Securities 57-Restricted/Illiquid Securities 64-U.S. Government Obligations 65-Derivatives 68-Fixed-Income Securities American Funds Trgt Date Ret 2010 R3 (RCATX) Morningstar Lifetime Mod 2010 TR USD Target-Date Asset Allocation Inception Date: 02/01/ Cost Per $1,000: Emerging Markets 16-Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 29-Active Management 33-Issuer 37-Market/Market Volatility 44-Equity Securities 46-Futures 47-High-Yield Securities 51-Mortgage-Backed and Asset-Backed Securities 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 64-U.S. Government Obligations 65-Derivatives 68-Fixed-Income Securities 91-Management 106-Small Cap

14 American Funds Trgt Date Ret 2015 R3 (RCJTX) Morningstar Lifetime Mod 2015 TR USD Target-Date 2015 Asset Allocation Inception Date: 02/01/ Cost Per $1,000: Emerging Markets 16-Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 29-Active Management 33-Issuer 37-Market/Market Volatility 44-Equity Securities 46-Futures 47-High-Yield Securities 51-Mortgage-Backed and Asset-Backed Securities 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 64-U.S. Government Obligations 65-Derivatives 68-Fixed-Income Securities 91-Management 106-Small Cap American Funds Trgt Date Ret 2020 R3 (RCCTX) Morningstar Lifetime Mod 2020 TR USD Target-Date 2020 Asset Allocation Inception Date: 02/01/ Cost Per $1,000: Emerging Markets 16-Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 29-Active Management 33-Issuer 37-Market/Market Volatility 44-Equity Securities 46-Futures 47-High-Yield Securities 51-Mortgage-Backed and Asset-Backed Securities 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 64-U.S. Government Obligations 65-Derivatives 68-Fixed-Income Securities 91-Management 106-Small Cap American Funds Trgt Date Ret 2025 R3 (RCDTX) Morningstar Lifetime Mod 2025 TR USD Target-Date 2025 Asset Allocation Inception Date: 02/01/ Cost Per $1,000: Emerging Markets 16-Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 29-Active Management 33-Issuer 37-Market/Market Volatility 44-Equity Securities 46-Futures 47-High-Yield Securities 51-Mortgage-Backed and Asset-Backed Securities 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 64-U.S. Government Obligations 65-Derivatives 68-Fixed-Income Securities 91-Management 106-Small Cap

15 American Funds Trgt Date Ret 2030 R3 (RCETX) Morningstar Lifetime Mod 2030 TR USD Target-Date 2030 Asset Allocation Inception Date: 02/01/ Cost Per $1,000: Emerging Markets 16-Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 29-Active Management 33-Issuer 37-Market/Market Volatility 44-Equity Securities 46-Futures 47-High-Yield Securities 51-Mortgage-Backed and Asset-Backed Securities 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 64-U.S. Government Obligations 65-Derivatives 68-Fixed-Income Securities 91-Management 106-Small Cap American Funds Trgt Date Ret 2035 R3 (RCFTX) Morningstar Lifetime Mod 2035 TR USD Target-Date 2035 Asset Allocation Inception Date: 02/01/ Cost Per $1,000: Emerging Markets 16-Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 29-Active Management 33-Issuer 37-Market/Market Volatility 44-Equity Securities 46-Futures 47-High-Yield Securities 51-Mortgage-Backed and Asset-Backed Securities 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 64-U.S. Government Obligations 65-Derivatives 68-Fixed-Income Securities 91-Management 106-Small Cap American Funds Trgt Date Ret 2040 R3 (RCKTX) Morningstar Lifetime Mod 2040 TR USD Target-Date 2040 Asset Allocation Inception Date: 02/01/ Cost Per $1,000: Emerging Markets 16-Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 29-Active Management 33-Issuer 37-Market/Market Volatility 44-Equity Securities 46-Futures 47-High-Yield Securities 51-Mortgage-Backed and Asset-Backed Securities 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 64-U.S. Government Obligations 65-Derivatives 68-Fixed-Income Securities 91-Management 106-Small Cap

16 American Funds Trgt Date Ret 2045 R3 (RCHTX) Morningstar Lifetime Mod 2045 TR USD Target-Date 2045 Asset Allocation Inception Date: 02/01/ Cost Per $1,000: Emerging Markets 16-Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 29-Active Management 33-Issuer 37-Market/Market Volatility 44-Equity Securities 46-Futures 47-High-Yield Securities 51-Mortgage-Backed and Asset-Backed Securities 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 64-U.S. Government Obligations 65-Derivatives 68-Fixed-Income Securities 91-Management 106-Small Cap American Funds Trgt Date Ret 2050 R3 (RCITX) Morningstar Lifetime Mod 2050 TR USD Target-Date 2050 Asset Allocation Inception Date: 02/01/ Cost Per $1,000: Emerging Markets 16-Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 29-Active Management 33-Issuer 37-Market/Market Volatility 44-Equity Securities 46-Futures 47-High-Yield Securities 51-Mortgage-Backed and Asset-Backed Securities 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 64-U.S. Government Obligations 65-Derivatives 68-Fixed-Income Securities 91-Management 106-Small Cap American Funds US Government Sec R3 (RGVCX) Morningstar US Inter Gov Bd TR USD Intermediate Government Government Bond - General Inception Date: 06/06/ Cost Per $1,000: Inflation-Protected Securities 18-Loss of Money 19-Not FDIC Insured 29-Active Management 33-Issuer 37-Market/Market Volatility 46-Futures 51-Mortgage-Backed and Asset-Backed Securities 64-U.S. Government Obligations 65-Derivatives 68-Fixed-Income Securities American Funds US Govt Money Market R3 (RACXX) USTREAS T-Bill Auction Ave 3 Mon Money Market - Taxable Money Mkt - Government Inception Date: 05/01/ Cost Per $1,000: Loss of Money 19-Not FDIC Insured 29-Active Management 36-Interest Rate 37-Market/Market Volatility 56-Repurchase Agreements 64-U.S. Government Obligations 119-Money Market

17 American Funds Washington Mutual R3 (RWMCX) Morningstar US Large Val TR USD Large Value Growth and Income Inception Date: 06/04/ Cost Per $1,000: Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 29-Active Management 31-Income 33-Issuer 37-Market/Market Volatility Federated Kaufmann R (KAUFX) Morningstar US Mid Core TR USD Mid-Cap Growth Aggressive Growth Inception Date: 02/21/ Cost Per $1,000: Credit and Counterparty 13-Currency 16-Foreign Securities 18-Loss of Money 19-Not FDIC Insured 20-Country Region 25-Growth Investing 36-Interest Rate 37-Market/Market Volatility 41-Depositary Receipts 44-Equity Securities 48-Industry and Sector Investing 57-Restricted/Illiquid Securities 65-Derivatives 66-Leverage 86-Custody 91-Management 106-Small Cap 107-Mid-Cap From [0 - + ] Years, Redemption Fee = % The Fund's Board has approved policies and procedures intended to discourage excessive frequent or short-term trading of the Fund's Shares. The Fund's fair valuation procedures are intended in part to discourage short-term trading strategies by reducing the potential for these strategies to succeed. Federated Prime Cash Obligations R (PTRXX) USTREAS T-Bill Auction Ave 3 Mon Prime Money Market Money Mkt - Taxable Inception Date: 06/02/ Cost Per $1,000: Credit and Counterparty 10-Prepayment (Call) 16-Foreign Securities 18-Loss of Money 19-Not FDIC Insured 31-Income 33-Issuer 36-Interest Rate 37-Market/Market Volatility 48-Industry and Sector Investing 57-Restricted/Illiquid Securities 76-Increase in Expenses 78-Shareholder Activity 79-Amortized Cost 91-Managemen 119-Money Market The Fund's Board has approved policies and procedures intended to discourage excessive frequent or short-term trading of the Fund's Shares. The Fund's fair valuation procedures are intended in part to discourage short-term trading strategies by reducing the potential for these strategies to succeed.

18 Franklin Balance Sheet Investment R (FBSRX) Morningstar US Mid Val TR USD Mid-Cap Value Growth and Income Inception Date: 01/02/ Cost Per $1,000: Foreign Securities 18-Loss of Money 19-Not FDIC Insured 28-Value Investing 29-Active Management 37-Market/Market Volatility 106-Small Cap 107-Mid-Cap 110-Real Estate/REIT Sector Franklin Income R (FISRX) Morningstar Mod Con Tgt Risk TR USD Allocation--30% to 50% Equity Balanced Inception Date: 01/02/ Cost Per $1,000: Credit and Counterparty 10-Prepayment (Call) 16-Foreign Securities 18-Loss of Money 19-Not FDIC Insured 28-Value Investing 29-Active Management 31-Income 36-Interest Rate 37-Market/Market Volatility 47-High-Yield Securities 98-Portfolio Diversification 99-Structured Products Franklin Mutual Global Discovery R (TEDRX) Morningstar Gbl Mkts GR USD World Large Stock World Stock Inception Date: 01/02/ Cost Per $1,000: Event-Driven Investment/Arbitrage Strategies 16-Foreign Securities 18-Loss of Money 19-Not FDIC Insured 20-Country or Region 28-Value Investing 29-Active Management 37-Market/Market Volatility 57-Restricted/Illiquid Securities 65-Derivatives 106-Small Cap 107-Mid-Cap Franklin Mutual Shares R (TESRX) Morningstar Agg Tgt Risk TR USD Allocation--85%+ Equity Growth and Income Inception Date: 01/02/ Cost Per $1,000: Event-Driven Investment/Arbitrage Strategies 16-Foreign Securities 18-Loss of Money 19-Not FDIC Insured 28-Value Investing 29-Active Management 37-Market/Market Volatility 57-Restricted/Illiquid Securities 65-Derivatives 106-Small Cap 107-Mid-Cap

19 Franklin US Government Secs R (FUSRX) Morningstar US Inter Gov Bd TR USD Intermediate Government Government Bond - Mortgage Inception Date: 01/02/ Cost Per $1,000: Credit and Counterparty 7-Extension 10-Prepayment (Call) 18-Loss of Money 19-Not FDIC Insured 29-Active Management 31-Income 36-Interest Rate 37-Market/Market Volatility 64-U.S. Government Obligations Invesco Equity and Income R (ACESX) Morningstar Mod Tgt Risk TR USD Allocation--50% to 70% Equity Equity-Income Inception Date: 10/01/ Cost Per $1,000: Foreign Securities 18-Loss of Money 19-Not FDIC Insured 28-Value Investing 29-Active Management 37-Market/Market Volatility 40-Convertible Securities 41-Depositary Receipts 55-Preferred Stocks 59-Warrants 65-Derivatives 68-Fixed-Income Securities 105-Zero-Coupon Bond 106-Small Cap 107-Mid-Cap 110-Real Estate/REIT Sector Invesco Growth and Income R (ACGLX) Morningstar US Large Val TR USD Large Value Growth and Income Inception Date: 10/01/ Cost Per $1,000: Foreign Securities 18-Loss of Money 19-Not FDIC Insured 28-Value Investing 29-Active Management 37-Market/Market Volatility 40-Convertible Securities 41-Depositary Receipts 48-Industry and Sector Investing 65-Derivatives 106-Small Cap 107-Mid-Cap 110-Real Estate/REIT Sector

20 MFS Aggressive Growth Allocation R2 (MAWAX) Morningstar Agg Tgt Risk TR USD Allocation--85%+ Equity Aggressive Growth Inception Date: 10/31/ Cost Per $1,000: Credit and Counterparty 13-Currency 14-Emerging Markets 16-Foreign Securities 18-Loss of Money 19-Not FD Insured 25-Growth Investing 28-Value Investing 33-Issuer 37-Market/Market Volatility 44-Equity Securities 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 65-Derivatives 66-Leverage 91-Management 98-Portfolio Diversification 110-Real Estate/REIT Sector The MFS funds reserve the right to restrict, reject, or cancel, without any prior notice, any purchase or exchange order, including transactions believed to represent frequent or other disruptive trading activity. MFSC will generally restrict, rejec or cancel purchase and exchange orders into the fund if MFSC determines that an accountholder has made two exchanges, each in an amount of $15,000 or more, out of an account in the fund during a calendar quarter ( two exchange limit ). MFS Conservative Allocation R2 (MCARX) Morningstar Mod Con Tgt Risk TR USD Allocation--30% to 50% Equity Balanced Inception Date: 10/31/ Cost Per $1,000: Credit and Counterparty 7-Extension 9-Inflation-Protected Securities 10-Prepayment (Call) 13-Currency 14-Emerging Markets 16-Foreign Securities 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 28-Value Investing 33-Issuer 36-Interest Rate 37-Market/Market Volatility 44-Equity Securities 52-Municipal Obligations, Leases, and AMT-Subject Bonds 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 65-Derivatives 66-Leverage 68-Fixed-Income Securities 91-Management 98-Portfolio Diversification 110-Real Estate/REIT Sector The MFS funds reserve the right to restrict, reject, or cancel, without any prior notice, any purchase or exchange order, including transactions believed to represent frequent or other disruptive trading activity. MFSC will generally restrict, rejec or cancel purchase and exchange orders into the fund if MFSC determines that an accountholder has made two exchanges, each in an amount of $15,000 or more, out of an account in the fund during a calendar quarter ( two exchange limit ). MFS Growth Allocation R2 (MGALX) Morningstar Mod Agg Tgt Risk TR USD Allocation--70% to 85% Equity Balanced Inception Date: 10/31/ Cost Per $1,000: Credit and Counterparty 7-Extension 9-Inflation-Protected Securities 10-Prepayment (Call) 13-Currency 14-Emerging Markets 16-Foreign Securities 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 28-Value Investing 33-Issuer 36-Interest Rate 37-Market/Market Volatility 44-Equity Securities 52-Municipal Obligations, Leases, and AMT-Subject Bonds 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 65-Derivatives 66-Leverage 68-Fixed-Income Securities 91-Management 98-Portfolio Diversification 110-Real Estate/REIT Sector The MFS funds reserve the right to restrict, reject, or cancel, without any prior notice, any purchase or exchange order, including transactions believed to represent frequent or other disruptive trading activity. MFSC will generally restrict, rejec or cancel purchase and exchange orders into the fund if MFSC determines that an accountholder has made two exchanges, each in an amount of $15,000 or more, out of an account in the fund during a calendar quarter ( two exchange limit ).

21 MFS Moderate Allocation R2 (MARRX) Morningstar Mod Tgt Risk TR USD Allocation--50% to 70% Equity Asset Allocation Inception Date: 10/31/ Cost Per $1,000: Credit and Counterparty 7-Extension 9-Inflation-Protected Securities 10-Prepayment (Call) 13-Currency 14-Emerging Markets 16-Foreign Securities 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 28-Value Investing 33-Issuer 36-Interest Rate 37-Market/Market Volatility 44-Equity Securities 52-Municipal Obligations, Leases, and AMT-Subject Bonds 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 65-Derivatives 66-Leverage 68-Fixed-Income Securities 91-Management 98-Portfolio Diversification 110-Real Estate/REIT Sector The MFS funds reserve the right to restrict, reject, or cancel, without any prior notice, any purchase or exchange order, including transactions believed to represent frequent or other disruptive trading activity. MFSC will generally restrict, rejec or cancel purchase and exchange orders into the fund if MFSC determines that an accountholder has made two exchanges, each in an amount of $15,000 or more, out of an account in the fund during a calendar quarter ( two exchange limit ). MFS Research International R2 (MRSRX) Morningstar Gbl Mkts xus GR USD Foreign Large Blend Foreign Stock Inception Date: 10/31/ Cost Per $1,000: Currency 14-Emerging Markets 16-Foreign Securities 18-Loss of Money 19-Not FDIC Insured 20-Country or Region 33-Issuer 37-Market/Market Volatility 44-Equity Securities 48-Industry and Sector Investing 57-Restricted/Illiquid Securities 91-Management The MFS funds reserve the right to restrict, reject, or cancel, without any prior notice, any purchase or exchange order, including transactions believed to represent frequent or other disruptive trading activity. MFSC will generally restrict, rejec or cancel purchase and exchange orders into the fund if MFSC determines that an accountholder has made two exchanges, each in an amount of $15,000 or more, out of an account in the fund during a calendar quarter ( two exchange limit ). Oppenheimer Fundamental Alternatives R (QOPNX) Morningstar Mod Tgt Risk TR USD Multialternative Asset Allocation Inception Date: 03/01/ Cost Per $1,000: Event-Driven Investment/Arbitrage Strategies 3-Hedging Strategies 4-Lending 5-Short Sale 16-Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 28-Value Investing 37-Market/Market Volatility 38-Bank Loans 39-Commodity 44-Equity Securities 47-High-Yield Securities 48-Industr and Sector Investing 51-Mortgage-Backed and Asset-Backed Securities 58-Underlying Fund/Fund of Funds 65-Derivatives 68-Fixed-Income Securities 71-Sovereign Debt 91-Management 106-Small Cap 107-Mid-Cap 120-Money Market Fund Ownership

22 Oppenheimer Global Strategic Inc R (OSINX) BBgBarc US Agg Bond TR USD Multisector Bond Multisector Bond Inception Date: 03/01/ Cost Per $1,000: Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 37-Market/Market Volatility 47-High-Yield Securities 48-Industry and Sector Investing 51-Mortgage-Backed and Asset-Backed Securities 58-Underlying Fund/Fund of Funds 65-Derivatives 68-Fixed-Income Securities 71-Sovereign Debt 72-Regulation/Government Intervention 91-Management Oppenheimer Gold & Special Minerals R (OGMNX) MSCI ACWI NR USD Equity Precious Metals Specialty - Precious Metals Inception Date: 03/01/ Cost Per $1,000: Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 26-Nondiversification 37-Market/Market Volatility 39-Commodity 44-Equity Securities 45-ETF 48-Industr and Sector Investing 58-Underlying Fund/Fund of Funds 65-Derivatives 91-Management 106-Small Cap 107-Mid-Cap Oppenheimer International Bond R (OIBNX) Morningstar Gbl xus Gov Bd TR LCL World Bond Worldwide Bond Inception Date: 03/01/ Cost Per $1,000: Foreign Securities 17-Long-Term Outlook and Projections 18-Loss of Money 19-Not FDIC Insured 26-Nondiversification 37-Market/Market Volatility 47-High-Yield Securities 58-Underlying Fund/Fund of Funds 65-Derivatives 68-Fixed-Income Securities 71-Sovereign Debt 72-Regulation/Government Intervention 91-Management 106-Small Cap 107-Mid-Cap Oppenheimer Main Street All Cap R (OMSNX) Morningstar US Large Cap TR USD Large Blend Growth Inception Date: 03/01/ Cost Per $1,000: Foreign Securities 18-Loss of Money 19-Not FDIC Insured 25-Growth Investing 28-Value Investing 37-Market/Market Volatility 44-Equity Securities 48-Industry and Sector Investing 75-Suitability 91-Management 106-Small Cap 107-Mid-Cap

23 Oppenheimer Real Estate R (ORENX) Morningstar US Real Estate TR USD Real Estate Specialty - Real Estate Inception Date: 10/01/ Cost Per $1,000: Loss of Money 19-Not FDIC Insured 26-Nondiversification 37-Market/Market Volatility 44-Equity Securities 48-Industry and Sector Investing 75-Suitability 91-Management 110-Real Estate/REIT Sector Pioneer Disciplined Value R (CVRFX) Morningstar US Large Val TR USD Large Value Growth Inception Date: 12/15/ Cost Per $1,000: Foreign Securities 18-Loss of Money 19-Not FDIC Insured 28-Value Investing 30-High Portfolio Turnover 33-Issuer 37-Market/Market Volatility 48-Industry and Sector Investing 49-IPO 55-Preferred Stocks 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 59-Warrants 65-Derivatives 66-Leverage 67-Pricing 68-Fixed-Income Securities 76-Increase in Expenses 78-Shareholder Activity 91-Management 106-Sma Cap 107-Mid-Cap 110-Real Estate/REIT Sector Pioneer Emerging Markets R (PEMRX) Morningstar EM GR USD Diversified Emerging Mkts Diversified Emerging Markets Inception Date: 04/01/ Cost Per $1,000: Currency 16-Foreign Securities 18-Loss of Money 19-Not FDIC Insured 20-Country or Region 28-Value Investing 30-High Portfolio Turnover 33-Issuer 37-Market/Market Volatility 48-Industry and Sector Investing 49-IPO 55-Preferred Stocks 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 59-Warrants 65-Derivatives 66-Leverage 67-Pricing 68-Fixed-Income Securities 76-Increase in Expenses 78-Shareholder Activi 81-China Region 89-Forwards 91-Management 106-Small Cap 107-Mid-Cap 110-Real Estate/REIT Sector

24 Pioneer R (PIORX) Morningstar US Large Cap TR USD Large Blend Growth and Income Inception Date: 04/01/ Cost Per $1,000: Foreign Securities 18-Loss of Money 19-Not FDIC Insured 28-Value Investing 37-Market/Market Volatility 48-Industry and Sector Investing 49-IPO 55-Preferred Stocks 57-Restricted/Illiquid Securities 58-Underlying Fund/Fund of Funds 59-Warrants 65-Derivatives 66-Leverage 67-Pricing 68-Fixed-Income Securities 76-Increase in Expenses 78-Shareholder Activity 91-Management 110-Real Estate/REIT Sector

25 Section 3: Glossary of Terminology Part I - Investment Risk Definitions Correlation Event-Driven Investment/Arbitrage Securities Hedging Strategies Lending Short Sale Credit and Counterparty Extension Inflation/Deflation Inflation-Protected Securities Interest Rate Prepayment (Call) Reinvestment The value of the derivative may not correlate perfectly with either the overall market or the underlying asset from which the derivative's value is derived. Investing in risk arbitrage securities may not be successful if the merger, restructuring, tender offer or other major corporate event proposed or pending at the time of investment is not completed on the terms contemplated. Hedging strategies and other strategic transactions may increase volatility and result in a significant loss of value if a transaction fails. Since these transactions usually involve a small investment relative to the magnitude of market, counterparty, credit, interest and other risks assumed, the resulting gain or loss from the transaction will be disproportionately magnified. These transactions may result in a loss if the counterparty to the transaction does not perform as promised. Investing in loans creates risk for the borrower, lender and any other participants. A borrower may fail to make payments of principal, interests and other amounts in connection with loans of cash or securities or fail to return a borrowed security in a timely manner, which may lead to impairment of the collateral provided by the borrower. Investments in loan participations may be subject to increased credit, pricing and liquidity risks, with these risks intensified for below-investment grade loans. Selling securities short may be subject to the risk that an advisor does not correctly predict the movement of the security, resulting in a loss if a security must be purchased on the market above its initial borrowing price to return to the lender, in addition to interest paid to the lender for borrowing the security. The issuer or guarantor of a fixed-income security, counterparty to an OTC derivatives contract or other borrower may not be able to make timely principal, interest or settlement payments on an obligation. In this event, the issuer of a fixed-income security may have their credit rating downgraded or default, which may reduce the potential for income and value of the portfolio. The issuer of a security may repay principal more slowly than expected due to rising interest rates. In this event, short and medium-duration securities are effectively converted into longer-duration securities, increasing their sensitivity to interest rate changes and causing their prices to decline. Inflation may cause the present value of future payments to decrease, causing a decline in the future value of assets or income. Deflation causes prices to decline throughout the economy over time, impacting issuers' creditworthiness and increasing their risk for default, which may reduce the value of the portfolio. Unlike other fixed-income securities, the values of inflation-protected securities are not materially affected by inflation expectations because their interest rates are adjusted for inflation. Generally, the value of inflation-protected securities will fall when real interest rates rise and rise when real interest rates fall. The issuer of a debt security may be able to repay principal prior to the security's maturity, due to an improvement in their credit quality or falling interest rates. In this event, this principal may have to be reinvested in securities with lower interest rates than the original securities, reducing the potential for income. Payments from debt securities may have to be reinvested in securities with lower interest rates than the original securities.