Strategy. The fund invests in the large cap equity market by using S&P 500 Index futures, combined with alpha-generating short duration investment-grade fixed income securities. The funds adviser seeks to have notional exposure to equity index futures contracts in a value approximately equal to the funds net assets. Utilizing equity index futures contracts to replicate returns of the underlying equity index typically requires less than 10% of the funds assets to be posted as collateral. This effect is referred to as leverage. The fund attempts to track an underlying equity index consisting of a representative sampling of the leading large capitalization companies in the leading industries in the U.S. economy. The equity index futures are used only for replication of returns, … Show more… The fund invests in the large cap equity market by using S&P 500 Index futures, combined with alpha-generating short duration investment-grade fixed income securities. The funds adviser seeks to have notional exposure to equity index futures contracts in a value approximately equal to the funds net assets. Utilizing equity index futures contracts to replicate returns of the underlying equity index typically requires less than 10% of the funds assets to be posted as collateral. This effect is referred to as leverage. The fund attempts to track an underlying equity index consisting of a representative sampling of the leading large capitalization companies in the leading industries in the U.S. economy. The equity index futures are used only for replication of returns, not speculation. The fund also may invest in options on equity index futures and equity index exchange-traded funds (ETFs). The fund invests the balance of its assets primarily in a broad range of investment-grade, fixed income securities, including bonds, notes, domestic and foreign corporate and government securities, government agency securities, mortgage-backed securities, collateralized mortgage obligations, asset backed securities, municipal securities, and short-term obligations. The fund does not limit itself to securities of a particular maturity range but will normally maintain a dollar weighted average duration between 1 and 3 years. Duration is a measure of the expected life of a fixed income security that is used to determine the sensitivity of a securitys price to changes in interest rates. For example, the value of a portfolio of fixed income securities with an average duration of one year would generally be expected to decline by approximately 1% if interest rates rose by one percentage point. Show less