** Only available to shareholders with account registrations established prior to 5/01/06.

• Asset Type -- Stocks
• Rates High on the Risk Chart (PDF 66 KB)
• Fund Fact Sheet - Class A&B (PDF 58 KB) and R1,R2,R3 (PDF 46 KB)

* The inception date for Class A&B is 5/01/06. The inception date for Class R1, R2, and R3 is 09/13/04. The inception date for Legacy Class A&B is 12/18/00.

View total returns current to the most recent month-end.

This performance data represents past performance and does not guarantee future results. There is no guarantee that the circumstances leading to this performance will be replicated in the future. Investment return and principal value will fluctuate and fund shares, when redeemed, may be worth less than their original cost. Recent performance may be less than the figures shown.

Year-to-date and since inception total return are the compounded rate of change in value during a period of investment, including the value of shares acquired through reinvestment of all dividends and of all capital gain distributions for the period. These figures are based on an investment at the beginning of the period through the end of the period and reflect all applicable fees and expenses, including a maximum sales charge of 3% for Legacy A shares and maximum contingent deferred sales charges on Legacy B shares of 3% during year one, 2.75% in year two, 2.75% in year three, 2.50% in year four, 2.00% in year five, 1.00% in year six, and 0% in year seven. For Class A and B shares, figures are based on a maximum sales charge of 5% for Class A shares and maximum contingent deferred sales charges on Class B shares of 5% during year one, 4.25% in year two, 3.50% in year three, 2.75% in year four, 2.00% in year five, 1.00% in year six, and 0% in year seven as applicable. Neither the Class A Money Market Fund nor the Legacy Class A Money Market Fund has a sales load. NAV Total Return does not include any initial sales charge or contingent deferred sales charge. Class R shares do not include a sales charge.

Net Asset Value (NAV) is calculated by adding all of the assets of a fund, subtracting the fund’s liabilities, then dividing by the number of outstanding shares. A separate NAV is calculated for each class of each fund. NAV is calculated at the close of each business day.

¹ For the time period prior to May 1, 2006, the performance data quoted in this report for State Farm Class A shares is the performance for the Legacy Class A shares adjusted to include the maximum sales charge associated with Class A shares. Legacy Class A shares and Class A shares are comprised of the same underlying securities portfolio and have the same investment objectives and annual operating expenses. Legacy Class A shares have a maximum sales load of 3.00%. Class A shares have a maximum sales load of 5.00% except for the Bond Fund and the Tax Advantaged Bond Fund, which have a maximum sales load of 3.00%. Neither the Class A Money Market Fund nor the Legacy Class A Money Market Fund have a sales load. Class A shares have an inception date of May 1, 2006. Legacy Class A shares have an inception date of December 18, 2000, except for LifePath®  Funds, which have an inception date of May 9, 2003.

² For the time period prior to May 1, 2006, the performance data quoted in this report for State Farm Class B shares is the performance for the Legacy Class B shares adjusted to include the higher contingent deferred sales charges and the higher 12b-1 fees associated with Class B shares. Legacy Class B shares and Class B shares are comprised of the same underlying securities portfolio and have the same investment objectives and annual operating expenses, except for 12b-1 fees. The annual 12b-1 fee for Legacy Class B shares is .65% for all the funds except the Money Market Fund which is .55%.  The annual 12b-1 fee for Class B shares is .95% for all the funds except the Bond Fund and Tax Advantaged Bond Fund which are .65% and the Money Market Fund which is .55%.  Class B shares have an inception date of May 1, 2006. Legacy Class B shares have an inception date of December 18, 2000 except for LifePath® Funds, which have an inception date of May 9, 2003.

³ For the time period prior to September 13, 2004, the performance data quoted in this report for State Farm Class R-1, R-2, and R-3 shares is the performance for the Legacy Class A shares adjusted for annual expenses associated with Class R-1, R-2, and R-3 shares. Class R-1, R-2, and R-3 shares are comprised of the same underlying securities portfolio and have the same investment objectives as Legacy Class A shares. Class R-1, R-2, and R-3 shares have an inception date of September 13, 2004. Legacy Class A shares have an inception date of December 18, 2000, except for the LifePath® Funds, which have an inception date of May 9, 2003.

⁴State Farm Investment Management Corp., the investment adviser for each fund, has voluntarily agreed to reimburse each fund for certain annual operating expenses. This agreement may be eliminated at any time.

Investor profile: You may want to invest in the S&P 500 Index Fund if you can tolerate the price fluctuations and volatility that are inherent in investing in a broad based stock mutual fund, want to invest in stocks - but with an indexing approach, want to diversify your investments, are seeking a growth investment as part of an asset allocation program, and/or are investing for retirement or other goals that are many years in the future. You can open an account in this fund with a minimum initial investment of $250 ($50 by automatic investment).

You may not want to invest in the S&P 500 Index Fund if you are investing with a shorter investment time horizon in mind, are seeking income rather than capital appreciation, or are uncomfortable with an investment whose value is likely to vary substantially.

Investment objective: Seeks to provide investment results that correspond to the total return of publicly traded common stocks in the aggregate, as represented by the S&P 500 Composite Stock Price Index (the "S&P 500®* Index").

Investment strategy: The S&P 500 Index Fund invests all of its assets in a separate series of an unaffiliated mutual fund called Master Investment Portfolio (the "Master Fund"). That series, called the S&P 500 Index Master Portfolio, holds each of the stocks that make up the S&P 500 Index. The S&P 500 Index Master Portfolio and the S&P 500 Index Fund have substantially similar investment objectives. Barclays Global Fund Advisors is the investment advisor to the S&P 500 Index Master Portfolio.

The S&P 500 Index is a widely used measure of large U.S.-company stock performance. S&P selects stocks for the S&P 500 Index based upon the following factors:

• market value
• trading activity, to ensure ample liquidity and efficient share pricing
• industry group classification (so that the S&P 500 Index represents a broad range of industry segments within the U.S. economy)
• fundamental analysis, to ensure that companies in the index are stable

The S&P 500 Index Master Portfolio pursues its investment objective by:

• investing in all of the securities that make up the S&P 500 Index
• investing in these securities in proportions that match the weightings of the S&P 500 Index

Under normal operating conditions, the S&P 500 Index Master Portfolio seeks to invest at least 90% of its total assets in stocks that are represented in the S&P 500 Index.

*"Standard & Poor's®, "S&P®,""S&P 500®,""Standard & Poor's 500," and "500" are trademarks of The McGraw-Hill Companies, Inc. that the State Farm Mutual Fund Trust has licensed for use. The S&P 500 Index Fund is not sponsored, endorsed, sold or promoted by Standard & Poor's, and Standard & Poor's makes no representations regarding this advisability of investing in the S&P 500 Index Fund. For more information regarding the S&P 500 Index, see the Trust's Statement of Additional Information.

Please read the Prospectus for more detailed information on expenses.

Risks
The main risks of investing in the S&P 500 Index Fund are the same as the main risks of investing in the S&P 500 Index Master Portfolio.

• Market risk
• Indexing risk
• Management risk

An investment in the S&P 500 Index Fund is not a deposit of any bank or other insured depository institution and is not insured or guaranteed by the FDIC or any other government agency. You can lose money by investing in the Fund.

State Farm VP Management Corp Risk/Important Disclosures. State Farm Mutual Funds Prospectus. The State Farm College Savings Plan Enrollment Handbook (PDF 260 KB) .

Need Assistance? 1-800-447-4930

AP2008/07/0787