Fund Description

Incepted in June 1993, the fund is managed by First Pacific Advisors. The fund seeks to provide, through a combination of income and capital appreciation, a total return consistent with reasonable investment risk. The fund seeks to achieve its objective by investing in both the equity and fixed income securities of a company because the advisor believes that this combination broadens the universe of opportunities for the Portfolio, offers additional diversification and helps to lower volatility. The advisor selects equity securities by looking for large and small companies that have excellent future prospects but are undervalued by the securities markets. The advisor invests in debt securities to provide the fund with a reliable and recurring stream of income, while preserving its capital. The fund generally invests in investment-grade securities but may also invest up to 30% of its total assets in debt securities rated below investment grade ('high yield or junk bonds'). The fund distributes dividends in June and December. Capital gains are distributed in June, but may also have a supplemental distribution in December.