HOW TO READ A MUTUAL FUND QUOTE

Most major newspapers publish daily price quotations on many mutual funds every business day.

For example, The Wall Street Journal publishes these quotations in the format shown below (as of the creation of this presentation 1/97). The four areas illustrated are as follows:

In the first column you will see an abbreviation of each fund’s name.

The second column shows the net asset value (NAV) per share, sometimes called the sell or bid price, as of the close of the previous business day.

Every mutual fund calculates its NAV every business day this way: it divides the market value of its total assets, less liabilities, by the number of shares outstanding.

If you invest in a fund, you can calculate what your investment is worth by multiplying the NAV by the number of shares you own. It may be greater or less than the amount of your original investment.

The third column shows the change in NAV from the previous business day.

The fourth column lists the fund’s year-to-date-return. The percent return illustrates how the fund has performed so far that year.

(Hypothetical Illustration)

For more complete information on mutual funds including charges and expenses,
contact Legend Equities and request a prospectus. Read the prospectus carefully before you invest or send money.

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