As previously noted, mutual funds are diversified by nature as defined by the mutual funds' defined objectives. Mutual funds are required to describe their specific investment objectives in the prospectus. This information can be found in the "Investment Objective and Policies" section of the fund's prospectus. In selecting mutual funds, Registered Representatives should identify the funds whose investment objectives most closely match their customer's overall investment objectives. For example, one fund's stated objective may be "long-term growth of capital," while another fund's might be "a high level of current income." A mutual fund with a long-term growth objective may have a heavier amount of stocks within the fund. In contrast, a mutual fund with an income objective may be weighted heavier in bond instruments or income producing stocks.
Ohio National is not affiliated with, nor does it endorse or sponsor, any particular prospecting, marketing or selling system.