What mutual fund share classes are available through NYLIFE Securities?

Class A Shares

When you purchase Class A shares, you generally will be assessed a front-end sales charge, or load, that will be deducted from your initial investment. Class A shares are generally not subject to a sales charge when they are redeemed or sold. In determining whether to invest in class A shares, you should consider the following:

• Fees – Class A shares are subject to service and/or distribution fees (known as "12b-1 Fees"), which are generally lower than those of Class B or C shares. Lower 12b-1 Fees will ordinarily result in lower total annual fund operating expenses and higher investment returns.
• Breakpoint Discounts – Class A shares generally offer volume discounts, called breakpoints, which may reduce or eliminate the amount of the front-end charge.
• Although each fund company is different, many fund families offer substantial sales charge discounts for investments at or above the $50,000, $100,000, $250,000, $500,000 and $1 million levels.
• Many fund families will allow you to purchase Class A shares without assessing a front-end sales charge if you invest $1 million or more. However, if you purchase Class A shares under such circumstances, you may be charged a fee (for example, 1%) if you redeem or exchange such shares within a specified period (e.g., one year) of their purchase.
• Investments in A shares are often subject to lower overall fees and expenses than investments in B or C shares of the same fund family. This is due to both the availability of breakpoints and the lower 12b-1 Fees associated with A shares.
• Over the long term, an investment in Class A shares at levels that qualify for a reduced sales charge will generally outperform the same investment in Class B or C shares of the same fund family.

Breakpoints may also be obtained through "Rights of Accumulation" or "Letters of Intent."

• "Rights of Accumulation" permit you to aggregate the value of your holdings with those of certain family members’ current holdings (or the amount of your and certain family members’ prior purchases in Class A, B, or C shares) in the same fund family to reach a breakpoint.
• Note that any breakpoint achieved by accumulation of assets in one fund family will be applied only to purchases in excess of the breakpoint. In other words, this will not result in a retroactive reduction of an amount previously paid for a Class A share purchase.
• "Letters of Intent" permit you and certain family members to receive a volume discount by committing to purchase an amount of fund shares above a breakpoint within a specified time period (e.g., within 24 months for the MainStay Funds).
• Investors are generally allowed to include the dollar amount of funds purchased within 90 days prior to the date the Letter of Intent is established.
• If the Investor(s) fails to reach the stated breakpoint amount within the prescribed time period, the funds may retroactively assess the higher sales charge against all purchases made within the Letter of Intent period.
• Combining Investments to Achieve Breakpoints – To determine if you are eligible for a breakpoint, you should consider all of the funds held with the same mutual fund company, including those held at other broker dealers. Please provide your Financial Services Professional with documentation reflecting shares held elsewhere, so that these shares may be considered when determining breakpoints.
• Some fund families also permit aggregation of other holdings, such as Class M or T shares, Section 529 plan holdings, or variable annuity sub-accounts to achieve breakpoints.
• Certain purchases, such as those involving money market funds, may not be eligible for aggregation to achieve breakpoints.
• Diversification vs. Breakpoints – While you may choose to purchase shares in a variety of fund families for diversification purposes, breakpoint discounts generally apply only to purchases within a single mutual fund family. Purchases involving different fund families will not assist you for purposes of obtaining breakpoint discounts, including those available pursuant to Rights of Accumulation or Letters of Intent.