Fund Central

H

HEALTH AND BIOTECHNOLOGY FUNDS A fund that invests primarily in the stocks of companies in the medical industry. HEDGE FUND A mutual fund that seeks to use futures to offset investment risk. For example, a fund manager concerned about declining stock prices might hedge his or her holdings by buying a put option of some stocks. Put options, call options and selling short are widely used hedging tools for stock fund managers. Hedging is also used extensively in international funds that attempt to minimize currency risks. The fund's prospectus discloses whether or not a fund engages in hedging. HIGH CURRENT YIELD FUND A fund that seeks to provide a relatively high current yield. High current yield funds tend to invest primarily in lower grade fixed income securities without any quality or maturity restrictions. HIGH-YIELD BOND FUND A fund that invests primarily in high yield bonds, also referred to as junk bonds. High yield bond funds generally seek high returns and tend to be one of the riskier bond fund investments. HISTORICAL YIELD Yield provided by a fund (typically a money market fund) over a specific time period.

Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted.