Legacy Class B Shares
Effective May 1, 2015, Legacy Class B shares are no longer available for purchase by new investors or by shareholders who own Legacy Class B shares in existing accounts. A shareowner who owns Legacy Class B shares in an existing account may continue to hold those shares within the account and may exchange those shares for Legacy Class B shares of another Fund. Exchanges into new fund positions will require the minimum fund investment of $1,000 to be met.
Unlike an initial sales charge, which is paid when you purchase shares, a contingent deferred sales charge is only paid if you sell your shares during a certain period of time. Legacy Class B shares are offered at net asset value without an initial sales charge, but are subject to a contingent deferred sales charge when you sell your shares. The applicable schedule can be found below.
Who is a Grandfathered Shareholder?
You are a grandfathered shareholder if you satisfy one or more of the following criteria:
- Your account holding Legacy Class B shares was established before May 1, 2006.
- Your account holding Legacy Class B shares was established after April 30, 2006, as a result of the death or divorce of one or more individual shareholders who had a grandfathered account.
- Your account holding Legacy Class B shares was established after April 30, 2006, as a result of a conversion or re-characterization of a grandfathered IRA account.
- You are a trustee that obtained Legacy Class B shares from another grandfathered account.
Contingent Deferred Sales Charge (in the year after initial purchase)
|Year 1||Year 2||Year 3||Year 4||Year 5||Year 6||Year 7||Year 8||Year 9|
|Legacy Class B||
|2.75%||2.75%||2.50%||2.00%||1.00%||0.00%||0.00%||Convert to Class A|
The calculation for a deferred sales charge on the sale of your shares will be made in a manner that results in the lowest possible charges. Charges are not paid when you exchange your shares for the shares of another fund, nor are they paid when you redeem shares you received as a reinvestment of dividends or capital gains distribution.
Distribution and Shareholder Servicing Fees
Legacy Class B shares of each fund are subject to a Total 12b-1 Distribution and Service Fee, of up to 0.65% (0.55% for the Money Market Fund) per year of the fund's average daily net assets. The distribution fee is needed to reimburse State Farm® VP Management Corp. for services and expenses incurred in connection with the distribution of fund shares. In addition, Legacy Class B shares of each fund pay a shareholder servicing fee of up to 0.25% per year of the fund's average daily net assets. Please read the prospectus for complete information on the funds' fees and expenses.
Investing involves risk, including potential for loss.
An investment in the Money Market Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Fund.
Not FDIC Insured
- No Bank Guarantee
- May Lose Value