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Dollar-Cost Averaging Dollar-Cost Averaging Many funds allow an initial investment as low as $250-$1,000 and can provide convenient reinvestment of dividends and capital gains. Many also allow you to take advantage of a proven investment discipline called dollar-cost averaging—investing the same number of dollars at regular intervals—through convenient payroll deduction. We offer a variety of stock, bond, and balanced (stock-and-bond) mutual funds from several companies—including municipal-bond funds designed to yield maximum tax-exempt income. We also offer unit investment trusts (UITs), which provide diversified portfolios of municipal, public debt, and equity securities. Advantages of Mutual Fund Investing Professional management. When you invest in a mutual fund you are hiring full-time professional managers to buy, sell and monitor your investments. Most mutual funds also employ research analysts who follow companies closely and interview corporate executives, suppliers and customers of companies in order to identify the best possible investments. Diversification. In a mutual fund, your money is invested in dozens or even hundreds of securities, a costly and cumbersome process if you do it on your own. Owning a diverse mix of securities doesn't eliminate risk, but can reduce it, as the ups and downs of the individual securities often offset each other. Quick access to your money. In most cases, fund shareholders can sell some or all of their shares at any time and receive the current market value of their investment. A wide range of convenient services. You can make your financial life easier by using the special services offered by most mutual funds: automatic investing and withdrawal, reinvestment of fund distributions and electronic transfer of funds. Mutual Fund Pricing Options Class A shares are sold with an up-front sales charge, which declines as the investment amount increases. For many shareholders—especially those with significant account balances—this remains the most cost-effective way to own mutual fund shares. Class B shares have no up-front sales charge but have higher expenses than Class A shares. You may pay a fee if you sell shares within six years of purchase. These shares convert to Class A shares after eight years, with lower expenses and no redemption fee. Class C shares do not have an up-front sales charge, but investors are subject to a 1% contingent deferred sales charge on shares sold within 12 months of purchase. In addition, investors pay higher expenses than on Class A shares. Speak with your Investment Officer to see which type of shares would be right for you and your investment goals. Types Of Mutual Funds Available
Systematic investing does not assure a profit or protect against loss in a declining market. The value of mutual funds fluctuates, so that, when liquidated they may be worth more or less than the original cost.
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