Fund Description

The fund was incepted in February 1984 and is managed by Massachusetts Financial Services Company. The fund's investment objective is to provide high current income exempt from federal income taxes by investing primarily in municipal bonds and notes which may be of medium and lower quality. The fund invests, under normal market conditions, at least 80% of its net assets in securities and other investments, the interest on which is exempt from federal income tax. To meet this policy, the fund may invest in municipal securities which are bonds or other debt obligations of a U.S. state or political subdivision, such as a county, city, town, village, or authority. The fund seeks to invest in municipal securities whose income is exempt from federal income taxes. However, the interest income on certain of these municipal securities may be subject to an alternative minimum tax. The fund seeks to invest the majority of its assets in municipal securities that offer a current yield above that generally available on municipal securities in the three highest categories of recognized rating agencies. The fund is a non-diversified mutual fund. The fund may also invest a high percentage of its assets in securities of issuers located in the same state, that derive income from similar type projects and that are otherwise related. The fund offers dividends monthly and capital gains annually.