Glossary
 
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30-Day Yield
A standard yield calculation developed by the Securities and Exchange Commission for bond funds. The yield is calculated by dividing the net investment income per share earned during the 30-day period by the maximum offering price per share on the last day of the period. The yield figure reflects the dividends and interest earned during the 30-day period, after the deduction of the fund's expenses and includes any applicable waiver or reimbursement. Absent such waivers or reimbursements, the returns would have been lower. It is sometimes referred to as "SEC 30-Day Yield" or "standardized yield.

30-Day Yield Without Reductions
The 30-Day Yield Without Reductions is the yield without applicable waivers or reimbursements. Voluntary waivers and/or reimbursements may be discontinued any time.

7-Day Yield
The current yield reflects the current earnings of the fund, while the total return refers to a specific past holding period. The 7-Day Yield is the average income return over the previous seven days, assuming the rate stays the same for one year. It is the Fund's total income net of expenses, divided by the total number of outstanding shares and includes any applicable waiver or reimbursement. Absent such waivers or reimbursements, the returns would have been lower.

7-Day Yield Without Reductions
The 7-Day Yield Without Reductions is the yield without applicable waivers or reimbursements. Voluntary waivers and/or reimbursements may be discontinued any time.

 
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After taxes on dist and sale
Return After Taxes on Distributions and Sale of Fund Shares are calculated using the historical maximum federal individual marginal income tax rates associated with fund distributions and also reflect the federal income tax impact of gains or losses recognized when fund's shares are sold at the end of the specified period. These returns may exceed before-tax return as a result of an imputed tax benefit received upon realization of tax losses and do not reflect the impact of state and local taxes. Unless otherwise noted, returns are adjusted for all applicable recurring and non-recurring fees (including redemption fees), loads and charges, if any. Actual after-tax returns depend on your tax situation and are not relevant if you hold shares through tax-deferred arrangements such as IRAs or 401(k) plans.

After Taxes on Distributions
Return After Taxes on Distributions are calculated using the historical maximum federal individual marginal income tax rates associated with fund distributions and assume that an investor continued to hold the shares. Therefore, they do not reflect the federal income tax impact of gains or losses recognized when fund's shares are sold. These returns do not reflect the impact of state and local taxes. Unless otherwise noted, returns are adjusted for all applicable recurring and non-recurring fees (including redemption fees), loads and charges, if any. Actual after-tax returns depend on your tax situation and are not relevant if you hold shares through tax-deferred arrangements such as IRAs or 401(k) plans.

Average Weight - Actual
The percent of portfolio assets represented by each sector across the reporting period. This number represents an average of the daily sector percentages.

Average Weight - Rescaled
Sector weights are calculated using the total market value of the primary assets (equities and convertibles) rather than total net assets in order to provide a more consistent comparison to the benchmark, which typically does not have cash holdings or expenses.

 
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Back End Load
A fee imposed by some funds when shares are redeemed (sold back to the fund) during the first few years of ownership. The fee is calculated based on the value of the shares being sold. Many Back End Loads are progressive, meaning that the longer you hold the shares in the fund, the lower the fee becomes until in some cases it is eliminated altogether.

Before Taxes
Return before taxes is a measure of a fund's performance over a given time frame before accounting for the effect of taxes. Dividends generated by, and distributions made on, an investment, as well as gain or losses recognized upon sale of an investment, may be taxable. Taxes may reduce the value of the dividend, distribution or sale proceeds in the hands of the investor. As each investor's tax situation may differ, return before taxes provide a valuable benchmark against which an investor can easily compare the return before taxes of other investments without regard to tax consequences. Unless otherwise noted, returns are adjusted for all applicable recurring and non-recurring fees (including redemption fees), loads and charges, if any.

Benchmark Return
The change in an investment's value for a specific period calculated using the performance of the underlying assets.

Beta
A measure of a portfolio's sensitivity to market movements (as represented by a benchmark index). The benchmark index has a beta of 1.0. A beta of more (less) than 1.0 indicates that a fund's historical returns have fluctuated more (less) than the benchmark index. Beta is a more reliable measure of volatility when used in combination with a high R2 which indicates a high correlation between the movements in a fund's returns and movements in a benchmark index.

 
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Category Risk Learn More

Morningstar assigns Category Risk Level to each group of mutual funds that invest in the same types of assets. These scores range from 1, for funds with the least amount of relative risk, to 10, for funds with the greatest amount. In determining the Category Risk Level, the scores based on the Morningstar Risk are reviewed by Morningstar's Research Committee. The Committee reviews the preliminary output, and makes changes where necessary, to ensure that the final scores are logically consistent and are updated to reflect current market conditions.

How Morningstar Calculates Category Risk Scores: The first step is to determine the average Morningstar Risk for each category over the previous five years. Morningstar Risk is the difference between the Morningstar Return (excess total return over the risk free rate, adjusted for loads) and the Morningstar Risk Adjusted Return (excess total return over the risk free rate, adjusted for loads and risk). Risk is measured by the variations in a fund's monthly total returns during the period, with greater risk leading to a lower risk-adjusted return. The Morningstar Return and Morningstar Risk Adjusted Returns for each Category are found using equal weighted average of the total returns of all the funds in the category for a certain time period.

The category's Morningstar Risk is then used as the starting point for the Category Risk Level assignments. Assignments can be modified in one of two ways. One method of modification is by logic. For instance, if one municipal bond category falls just across the dividing line from another municipal bond category, even though both invest in very similar types of assets, both categories are adjusted so that they are given the same risk assignment. They may also be adjusted by judgment. One example of this would be Long-Short Market Neutral stock funds. Although these funds tend to show very low risk scores based solely on the variations in their returns, the complexity of their strategies suggests that they should receive a higher risk score than the raw data indicates. In this case, the Category Risk score is adjusted accordingly.



Compound Effective Definition
The effective yield is a measure of return on a money market instrument, assuming the interest payments are reinvested. If payments are reinvested, then this effective yield will be greater than the stated 7-day yield, due to the effect of compounding. Reinvesting the interest will produce a higher yield, because interest is earned on the interest payments, as well as on the principal.

Contractual 12B-1 Fee Cap
A maximum contractual fee that limits the amount deducted from fund assets to pay for distribution and marketing costs. Reference the fund's prospectus for more details.

Contractual 12B-1 Fee Cap (Dated)
A maximum contractual fee that limits the amount deducted from fund assets to pay for distribution and marketing costs. This cap is subject to an expiration date. Reference the fund's prospectus for more details.

Contractual 12B-1 Fee Waiver
Represents the contractual 12B-1 fee amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. Reference the fund's prospectus for more details.

Contractual 12B-1 Fee Waiver (Dated)
Represents the contractual 12B-1 fee amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. This waiver is subject to an expiration date. Reference the fund's prospectus for more details.

Contractual Exp Cap
Expense Cap is a limit that the fund company has placed on the level of the expenses borne by the fund. The cap is contractual and indicates the maximum level of expenses (with certain exceptions) that the fund would be paying at that time. Subject to shareholder approval, the Expense Cap may be terminated or revised, which may lower the fund's yield and return. Reference the Fund's prospectus for more details.

Contractual Exp Waiver
Represents the contractual amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. Reference the Fund's prospectus for more details.

Contractual Exp Waiver (Dated)
Represents the contractual amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. This waiver is subject to an expiration date. Reference the Fund's prospectus for more details.

Contractual Mgmt Fee Cap
A maximum contractual fee that limits the amount paid to an investment manager or advisor for its management services. A fund's management fee will be included in the total annual operating expenses and disclosed in the Fee Table of the fund's prospectus.

Contractual Mgmt Fee Cap (Dated)
A maximum contractual fee that limits the amount paid to an investment manager or advisor for its management services. This cap is subject to an expiration date. A fund's management fee will be included in the total annual operating expenses and disclosed in the Fee Table of the fund's prospectus.

Contractual Mgmt Fee Waiver
Represents the contractual management fee amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. Reference the fund's prospectus for more details.

Contractual Mgmt Fee Waiver (Dated)
Represents the contractual management fee amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. This waiver is subject to an expiration date. Reference the fund's prospectus for more details.

Contractual Other Exp Cap
This is a limit that the fund company has placed on the level of other expenses borne by the fund. The cap is contractual and indicates the maximum level of expenses (with certain exceptions) that the fund would be paying at that time. Subject to shareholder approval, the Expense Cap may be terminated or revised, which may lower the fund's yield and return. Reference the fund's prospectus for more details.

Contractual Other Exp Cap (Dated)
This is a limit that the fund company has placed on the level of other expenses borne by the fund. The cap is contractual and indicates the maximum level of expenses (with certain exceptions) that the fund would be paying at that time. Subject to shareholder approval, the Expense Cap may be terminated or revised, which may lower the fund's yield and return. This cap is subject to an expiration date. Reference the fund's prospectus for more details.

Contractual Other Exp Waiver
Represents the contractual amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. Reference the fund's prospectus for more details.

Contractual Other Exp Waiver (Dated)
Represents the contractual amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. This waiver is subject to an expiration date. Reference the fund's prospectus for more details.

Credit Quality_Glossary
For Fidelity Bond Funds & Multi-Asset Class Funds with a fixed income component, please see page footnote for Credit Quality methodology.

For Non-Fidelity Funds: Data provided by Morningstar, who surveys fund companies for the credit rating information on the funds underlying securities holdings on a periodic basis. Morningstar instructs fund companies to only use ratings that have been assigned by a Nationally Recognized Statistical Rating Organizations (NRSRO). If three or more NRSROs have rated the same security differently, fund companies are to report the middle rating; if two NRSROs have rated a security differently, fund companies are to report the lowest rating; if only one NRSRO has rated a security, fund companies are to report that rating. Securities not rated by an NRSRO are to be included in the Not Rated category. All U.S. Government Securities are included in the AAA category. If an NRSRO provides Morningstar with a short-term issue credit rating rather than a traditional fixed income credit rating for a cash security, Morningstar will translate that short-term issue rating to an equivalent fixed income credit rating as reflected in the Credit Quality Breakdown chart. Morningstar is not itself an NRSRO nor does it issue a credit rating on the fund or any securities held by the fund. For Money Market Funds: A Tier 1 security is a money market fund eligible security whose credit rating falls in the highest short-term rating category of the Nationally Recognized Statistical Rating Organizations. An unrated security is Tier 1 if it represents comparable quality to a rated security as defined by SEC Rule 2a-7 under the Investment Company Act of 1940. A Tier 2 Security is a money market fund eligible security that is not a Tier 1 security.


Cumulative Return
The change in an investment's value for a specific period calculated using the performance of the underlying assets.

CUSIP
An identification number assigned to mutual funds, stocks and registered bonds by the Committee on Uniform Security Identification Procedures.

 
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Daily Market Value
Daily market value is the market value of the fund's assets after liabilities are subtracted, expressed on a per-share basis to 1/100 of a penny.

Distribution and/or service fee(12b-1) Fees
The 12b-1 fee represents the maximum annual charge deducted from fund assets to pay for distribution and marketing costs. Total 12b-1 fees, excluding loads, are capped at 1.00% of average net assets annually. Of this, the distribution and marketing portion of the fee may account for up to 0.75%. The other portion of the overall 12b-1 fee, the service fee, may account for up to 0.25%.

Distributions
The percentage of a fund's capital gains paid out to shareholders as distributions.

Dividends
Mutual fund dividends are paid out of income from the fund's investments. The tax on such dividends depends on whether the distributions resulted from interest income, or dividends received by the fund.

Duration
Duration is a measure of a security's price sensitivity to changes in interest rates. Duration differs from maturity in that it considers a security's interest payments in addition to the amount of time until the security reaches maturity, and also takes into account certain maturity shortening features (e.g., demand features, interest rate resets, and call options) when applicable. Securities with longer durations generally tend to be more sensitive to interest rate changes than securities with shorter durations. A fund with a longer average duration generally can be expected to be more sensitive to interest rate changes than a fund with a shorter average duration.

 
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Exp Cap (Board)
Expense Cap is a limit that the fund company has placed on the level of the expenses borne by the fund. The cap is contractual and indicates the maximum level of expenses (with certain exceptions) that the fund would be paying at that time. Subject to board approval, the Expense Cap may be terminated or revised, which may lower the fund's yield and return.

Exp Ratio (Gross)
Expense ratio is a measure of what it costs to operate an investment, expressed as a percentage of its assets, as a dollar amount, or in basis points. These are costs the investor pays through a reduction in the investment's rate of return. For a mutual fund, the gross expense ratio is the total annual fund or class operating expenses directly paid by the fund from the fund's most recent prospectus (before waivers or reimbursements). This ratio also includes Acquired Fund Fees and Expenses, which are expenses indirectly incurred by a fund through its ownership of shares in other investment companies. If the investment option is not a mutual fund, the expense ratio may be calculated using methodologies that differ from those used for mutual funds.

Exp Ratio (Net)
Expense ratio is a measure of what it costs to operate an investment, expressed as a percentage of its assets, as a dollar amount, or in basis points. These are costs the investor pays through a reduction in the investment's rate of return. For a mutual fund, the net expense ratio is the total annual fund or class operating expenses directly paid by the fund from the fund's most recent prospectus, after any fee waiver and/or expense reimbursements that will reduce any fund operating expenses. This ratio also includes Acquired Fund Fees and Expenses, which are expenses indirectly incurred by a fund through its ownership of shares in other investment companies. This number does not include any fee waiver arrangement or expense reimbursement that may be terminated without agreement of the fund's board of trustees during the one-year period. If the investment option is not a mutual fund, the expense ratio may be calculated using methodologies that differ from those used for mutual funds.

Exp Ratio - Annual or Semi-Annual Report (Gross)
This expense ratio is reflected in the most current Annual or Semi-Annual Report. Expense ratio is a measure of what it costs to operate an investment, expressed as a percentage of its assets, as a dollar amount, or in basis points. These are costs the investor pays through a reduction in the investment's rate of return. For a mutual fund, the gross expense ratio is the total annual fund or class operating expenses from the fund's most recent Annual or Semi-Annual Report (before waivers or reimbursements) paid by the fund. If the investment option is not a mutual fund, the expense ratio may be calculated using methodologies that differ from those used for mutual funds.

Exp Ratio - Annual or Semi-Annual Report (Net)
This expense ratio is reflected in the most current Annual or Semi-Annual Report. Expense ratio is a measure of what it costs to operate an investment, expressed as a percentage of its assets, as a dollar amount, or in basis points. These are costs the investor pays through a reduction in the investment's rate of return. For a mutual fund, the net expense ratio is the total annual fund or class operating expense from the fund's most recent Annual or Semi-Annual Report, after any fee waiver and/or expense reimbursements that will reduce any fund operating expenses. If the investment option is not a mutual fund, the expense ratio may be calculated using methodologies that differ from those used for mutual funds.

Expense Cap (Contractual)
Expense Cap is a limit that the fund company has placed on the level of the expenses borne by the fund. The cap is contractual and indicates the maximum level of expenses (with certain exceptions) that the fund would be paying at that time. The Expense Cap may not be terminated before the expiration date without approval of the Board of Trustees. Termination or expiration of the arrangement may lower the fund's yield and return.

Expense Cap (Voluntary)
Expense Cap is a limit that the fund company has placed on the level of the expenses borne by the fund. The cap is voluntary and indicates the maximum level of expenses (with certain exceptions) that the fund would be paying at that time. The Expense Cap may be terminated or revised at any time, which may lower the fund's yield and return.

Expenses
Amounts paid by a fund to cover operating costs.

 
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Fiscal Year End
The completion of a mutual fund's one-year, or 12-month, accounting period. A fund's fiscal year-end does not necessarily need to fall on December 31, and can actually fall on any day throughout the year.

Fund Asset Coverage
The percent of the portfolio's equity assets for which the corresponding portfolio characteristic is provided.

Fund Return
The change in an investment's value for a specific period calculated using the performance of the underlying assets.

Futures, Options, and Swaps
Financial instruments sometimes used by mutual funds for a number of different purposes, including hedging certain types of risk, make speculative investments on the movement of the value of an underlying asset, to obtain exposure to an area that it is not possible to invest in directly, or create optionability where the value of the derivative is linked to a specific condition or event.

 
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Interest Rate Sensitivity
Also known as duration, it's the degree to which a bond or bond fund reacts to changes in the interest rate environment.

 
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Load
A sales charge added to the price of the fund that must be paid at the time of purchase. Mutual funds that don't have any sales charges are called no-load funds. Not all funds charge a load; check a mutual fund's prospectus for more details.

 
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Management Fee
A fee paid to an investment manager or advisor for its management services. A mutual fund's management fee will be included in the total annual operating expenses and disclosed in the Fee Table of the fund's prospectus.

Minimum Guaranteed Rate
The lowest rate of return paid out by an annuity. This rate is stated in the annuity contract.

 
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Net Asset Value (NAV)
The dollar value of one mutual fund's share, excluding any sales charges or redemption fees. The NAV is calculated by subtracting liabilities from the value of a fund's total assets and dividing it by the number of fund's shares outstanding.

 
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Portfolio Net Assets ($M)
The difference between a portfolio's total assets and liabilities, including all share classes of the fund.

Portfolio Weight
The percentage of a specific security or asset type that is contained in a mutual fund.

 
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R2
A measurement of how closely the portfolio's performance correlates with the performance of the fund's primary benchmark index or equivalent. R2 is a proportion which ranges between 0.00 and 1.00. An R2 of 1.00 indicates perfect correlation to the benchmark index, that is, all of the portfolio's fluctuations are explained by performance fluctuations of the index, while an R2 of 0.00 indicates no correlation. Therefore, the lower the R2, the more the fund's performance is affected by factors other than the market as measured by that benchmark index. An R2 value of less than 0.5 indicates that the Annualized Alpha and Beta are not reliable performance statistics.

Relative Return
The difference between the performance of the portfolio and benchmark for the reporting period.

Return
The gain or loss on an investment. A positive return indicates a gain, and a negative return indicates a loss.

 
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Securities Coverage
The first value represents the total count of the number of equity securities and ADR's, including convertibles, in the portfolio for which the corresponding portfolio characteristic is provided. The second value represents the total number of equity securities in the portfolio.

Share Class Inception
The date on which the share class was formed.

Share Class Net Assets ($M)
The difference between the total assets and liabilities of a single share class of a fund.

Sharpe Ratio - Arithmetic
The Sharpe ratio is a measure of historical risk-adjusted performance. It is calculated by dividing the fund's excess returns (the fund's average annual return for the period minus the 3-month "risk free" return rate) and dividing it by the standard deviation of the fund's returns. The higher the ratio, the better the fund's return per unit of risk. The three month "risk free" rate used is the 90-day Treasury Bill rate.

Short-Term Redemption Fee
This fee is charged when money is withdrawn from a fund within a specified time period deemed "short-term," by the fund, commonly 30, 180, or 365 days. Please refer to the fund's prospectus for further details.

Standard Deviation
Statistical measure of how much a return varies over an extended period of time. The more variable the returns, the larger the standard deviation. Investors may examine historical standard deviation in conjunction with historical returns to decide whether an investment's volatility would have been acceptable given the returns it would have produced. A higher standard deviation indicates a wider dispersion of past returns and thus greater historical volatility. Standard deviation does not indicate how an investment actually performed, but it does indicate the volatility of its returns over time. Standard deviation is annualized. The returns used for this calculation are not load-adjusted.

Style
Equity or stock funds are generally divided into three categories: Growth, Value, or Blend, which represents a combination of the two. The term growth is based on fast growth (high growth rates for earnings, sales, book value, and cash flow) and high valuations (high price ratios and low dividend yields). The term value is based on low valuations (low price ratios and high dividend yields) and slow growth (low growth rates for earnings, sales, book value, and cash flow) that are expected to increase over time.

Surrender Penalty
The amount of money an investor must pay when withdrawing funds from an annuity before a set period of time has transpired, often known as the Surrender Period.

 
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Turnover Rate
The lesser of amounts of purchases or sales of long-term portfolio securities divided by the monthly average value of long-term securities owned by the fund.

 
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Value
A style of equity investing. A fund is said to be a value fund if it holds securities that have low valuations (low price ratios and high dividend yields) and slow growth (low growth rates for earnings, sales, book value, and cash flow) that are expected to increase over time.

Voluntary 12B-1 Fee Cap
A maximum voluntary fee that limits the amount deducted from fund assets to pay for distribution and marketing costs. Reference the fund's prospectus for more details.

Voluntary 12B-1 Fee Cap (Dated)
A maximum voluntary fee that limits the amount deducted from fund assets to pay for distribution and marketing costs. This cap is subject to an expiration date. Reference the fund's prospectus for more details.

Voluntary 12B-1 Fee Waiver
Represents the voluntary 12B-1 fee amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. Reference the fund's prospectus for more details.

Voluntary 12B-1 Fee Waiver (Dated)
Represents the voluntary 12B-1 fee amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. This waiver is subject to an expiration date. Reference the fund's prospectus for more details.

Voluntary Exp Cap
A voluntary expense cap is a limit that the fund company has placed on the level of the expenses borne by the fund, but that can be removed at any time. Reference the fund's prospectus for more details.

Voluntary Exp Cap (Dated)
A voluntary expense cap is a limit that the fund company has placed on the level of the expenses borne by the fund, but that can be removed at any time. This cap is subject to an expiration date. Reference the fund's prospectus for more details.

Voluntary Exp Waiver
Represents the voluntary amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. Reference the fund's prospectus for more details.

Voluntary Exp Waiver (Dated)
Represents the voluntary amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. This waiver is subject to an expiration date. Reference the fund's prospectus for more details.

Voluntary Mgmt Fee Cap
A maximum voluntary fee that limits the amount paid to an investment manager or advisor for its management services. A fund's management fee will be included in the total annual operating expenses and disclosed in the Fee Table of the fund's prospectus.

Voluntary Mgmt Fee Cap (Dated)
A maximum voluntary fee that limits the amount paid to an investment manager or advisor for its management services. This cap is subject to an expiration date. A fund's management fee will be included in the total annual operating expenses and disclosed in the Fee Table of the fund's prospectus.

Voluntary Mgmt Waiver
Represents the voluntary management fee amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. Reference the fund's prospectus for more details.

Voluntary Mgmt Waiver (Dated)
Represents the voluntary management fee amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. This waiver is subject to an expiration date. Reference the fund's prospectus for more details.

Voluntary Other Exp Cap
This is a limit that the fund company has placed on the level of other expenses borne by the fund. The cap is voluntary and indicates the maximum level of expenses (with certain exceptions) that the fund would be paying at that time. Subject to shareholder approval, the Expense Cap may be terminated or revised, which may lower the fund's yield and return. Reference the fund's prospectus for more details.

Voluntary Other Exp Cap (Dated)
This is a limit that the fund company has placed on the level of other expenses borne by the fund. The cap is voluntary and indicates the maximum level of expenses (with certain exceptions) that the fund would be paying at that time. Subject to shareholder approval, the Expense Cap may be terminated or revised, which may lower the fund's yield and return. This cap is subject to an expiration date. Reference the fund's prospectus for more details.

Voluntary Other Exp Waiver
Represents the voluntary amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. Reference the fund's prospectus for more details.

Voluntary Other Exp Waiver (Dated)
Represents the voluntary amount the fund company waives or assumes in order to keep the fund's actual (net) expenses low. This waiver is subject to an expiration date. Reference the fund's prospectus for more details.

 
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Weighted Average Life (WAL)
For money market funds, this is the weighted average of the life of the securities held in a fund or portfolio and can be used as a measure of sensitivity to changes in liquidity and/or credit risk. Generally, the higher the value, the greater the sensitivity. WAL is based on the dollar-weighted average length of time until principal payments must be paid, taking into account any call options exercised by the issuer and any permissible maturity shortening features other than interest rate resets. For money market funds, the difference between WAM and WAL is that WAM takes into account interest rate resets and WAL does not. WAL for money market funds is not the same as WAL of a mortgage- or asset-backed security.

Weighted Average Maturity WAM
This is a weighted average of all the maturities of the securities held in a fund. WAM can be used as a measure of sensitivity to interest rate changes and markets changes. Generally, the longer the maturity, the greater the sensitivity to such changes. WAM is based on the dollar-weighted average length of time until principal payments must be paid. Depending on the types of securities held in a fund, certain maturity shortening devices (e.g., demand features, interest rate resets, and call options) may be taken into account when calculating the WAM.

 
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Yield
The value of interest or dividend payments from an investment, usually stated as a percentage of investment price.

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