Strategy. The Fund invests, under normal circumstances, at least 80% of its assets (net assets plus the amount of any borrowings made for investment purposes) in the component securities (Component Securities) of the RAFI Fundamental US Small Company Index (the Index). The Fund may invest the remainder of its assets in cash, securities, and instruments that are not Component Securities but which Mellon Investments Corporation, the Funds sub-adviser (Sub-Adviser), believes will help the Fund track its Index. The Fund attempts to replicate the Index by investing all or substantially all of its assets in the stocks that make up the Index. Indexing may offer a cost-effective investment approach to gaining diversified market exposure over the long-term. The Index is constructed by … Show more… The Fund invests, under normal circumstances, at least 80% of its assets (net assets plus the amount of any borrowings made for investment purposes) in the component securities (Component Securities) of the RAFI Fundamental US Small Company Index (the Index). The Fund may invest the remainder of its assets in cash, securities, and instruments that are not Component Securities but which Mellon Investments Corporation, the Funds sub-adviser (Sub-Adviser), believes will help the Fund track its Index. The Fund attempts to replicate the Index by investing all or substantially all of its assets in the stocks that make up the Index. Indexing may offer a cost-effective investment approach to gaining diversified market exposure over the long-term. The Index is constructed by RAFI Indices, LLC (the Index Provider). The Index Provider uses a fundamental weighting approach to construct the Index, which includes a diversified universe of U.S. small companies determined by the relative size of each company based on a companys fundamental footprint, including adjusted sales, cash flow, dividends and buybacks, and book value. As of December 31, 2024, the Index consisted of 750 Component Securities. The Index is reconstituted annually and rebalanced on a quarterly staggered basis on the last business day of March, June, and September and the third Friday of December. The Index is split into four equal parts (tranches), and each tranche has equal weight at the March rebalance. Each tranche is rebalanced once a year to target weights determined for that quarter. The Sub-Adviser uses a passive or indexing approach to try to achieve the Funds investment objective. The Fund does not employ traditional methods of active investment management, which involves the buying and selling of securities based upon security analysis. The Fund may invest in financial futures, a type of derivative that may be used to obtain exposure to a variety of underlying assets, to provide liquidity for cash flows, to hedge dividend accruals or for other purposes that facilitate meeting the Funds objective. The Funds use of financial futures is intended to assist replicating the investment performance of the Index. The Fund may also invest in exchange-traded funds (ETFs) to assist with index rebalances and to meet redemption or purchase requests. The Funds holdings are rebalanced on a regular basis to reflect changes in the composition of the Index. The Fund may invest, without limitation, in U.S. equity and equity-related securities, including common and preferred securities. In addition to futures, as described above, the Fund may also invest in other derivative instruments, such as options or swap agreements. Show less