Prospectus by Investment Company (Form 497)

Under normal circumstances, at least 80% of the Fund's total assets are invested in investment-grade securities issued by U.S. corporations or by the U.S. Government or its agencies, such as bonds, notes, debentures, zero coupon securities and mortgage-backed securities. Bonds are debt instruments that can be issued by the federal government, government agencies and subdivisions, states, cities, corporations and other institutions.

Although the Fund principally invests in investment-grade bonds, the Fund may also purchase bonds that are rated below investment grade, commonly referred to as "high yield" or "junk bonds" or bonds that are unrated but of similar credit quality, as determined by the Adviser.

The Adviser evaluates each security to be purchased and selects securities based on duration, seeking to maintain duration for the Fund overall within +/- 20% of the duration of the Bloomberg U.S. Aggregate Bond Index; credit quality as determined by fundamental financial analysis focused on the issuer's ability to repay debt; and interest income anticipated to be generated.