Fund Objective

The Inverse S&P 500 Strategy Fund seeks to provide investment results that inversely correlate to the performance of the S&P 500 Index (the "underlying index").

If the Fund meets its objective, the value of the Fund's shares will tend to increase during times when the value of the underlying index is decreasing. When the value of the underlying index is increasing, however, the value of the Fund's shares should decrease on a daily basis by an inversely proportionate amount (e.g., if the underlying index goes up by 5%, the value of the Fund's shares should go down by 5% on that day).

Principal Investment Strategy

Unlike a traditional index fund, the Inverse S&P 500 Strategy Fund's benchmark is to perform exactly opposite the underlying index, and the Inverse S&P 500 Strategy Fund will not own the securities included in the underlying index. Instead, as its primary investment strategy, the Inverse S&P 500 Strategy Fund invests to a significant extent in short sales of securities or futures contracts and in options on securities, futures contracts, and stock indices and may enter into swap agreements. On a day-to-day basis, the Inverse S&P 500 Strategy Fund holds U.S. Government securities or cash equivalents to collateralize these futures and options contracts.

Under normal circumstances, the Inverse S&P 500 Strategy Fund will invest substantially all (at least 80%) of its net assets in financial instruments with economic characteristics that should perform opposite to those of its underlying index. This is a non-fundamental policy that can be changed by the Inverse S&P 500 Strategy Fund upon 60 days' prior notice to shareholders.