Past performance is no guarantee of future results. Returns are at net asset value, without the imposition of any sales charges but with dividends and capital gains reinvested from each time period. If sales charges were included, returns would be lower. This information is provided to assist you in assessing the risks of investing in the fund and to demonstrate how the fund's performance varies from year to year. All information is provided for informational purposes only and should not be deemed as a recommendation to buy securities in the industries shown above.
Past performance is no guarantee of future results.
A high level of defaults and bankruptcies in 1999 and 2000 had a significant impact on the high-yield and senior loan capital markets and contributed to the decline of the trust's net asset value. Certain legal restrictions to which some senior loans are subject and the illiquid nature of some loans may impair the trust's ability to dispose of such loans in an expeditious manner. This may result in the trust disposing of such loans on terms less favorable than the actual terms of the loan obtained by the trust on acquisition. Senior loans are often secured by collateral such as equipment, trademarks, inventory, franchises, buildings, accounts receivable, common and preferred stock in operating subsidiaries, guarantees of affiliates or others, etc. Such collateral might not be entirely sufficient to satisfy the borrower's obligations in the event of non-payment of scheduled interest or principal and, in some cases, may be difficult to liquidate on a timely basis.