As filed with the U.S. Securities and Exchange Commission on April 24, 2024
Securities Act File No. [ ]
U.S. SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM N-14
REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 x
Pre-Effective Amendment No.
Post-Effective Amendment No.
VOYA PARTNERS, INC.
(Exact Name of Registrant as Specified in Charter)
7337 East Doubletree Ranch Road, Scottsdale, Suite 100
Scottsdale, Arizona 85258-2034
(Address of Principal Executive Offices) (Zip Code)
1-800-992-0180
(Registrant's Area Code and Telephone Number)
Huey P. Falgout, Jr., Esq.
Voya Investments, LLC
7337 East Doubletree Ranch Road, Suite 100
Scottsdale, Arizona 85258-2034
(Name and Address of Agent for Service)
With copies to:
Elizabeth J. Reza, Esq.
Ropes & Gray LLP
Prudential Tower
800 Boylston Street
Boston, Massachusetts 02199-3600
APPROXIMATE DATE OF PROPOSED PUBLIC OFFERING:
As soon as practicable after this Registration Statement becomes effective.
It is proposed that this filing will become effective on June 5, 2024, pursuant to Rule 488
under the Securities Act of 1933, as amended.
No filing fee is required because an indefinite number of shares have previously been registered pursuant to Rule 24f-2 under the
Investment Company Act of 1940, as amended.
Title of Securities Being Registered: Class ADV, Class I, Class R6, Class S, and Class S2 shares, as applicable, of capital stock in the
series of the registrant designated as Voya Solution Aggressive Portfolio and Voya Solution Conservative Portfolio.
Reorganization
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Current Blended
Management Fee –
Target Portfolio
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Current Blended
Management Fee –
Acquiring Portfolio
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Expected Blended
Management Fee –
Combined Portfolio
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Balanced into Balanced Income
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0.60%
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0.55%
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0.55%
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Solution Moderately Conservative into Solution Conservative
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0.21%
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0.22%
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0.19%1
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Strategic Allocation Conservative into Solution Conservative
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0.19%
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0.22%
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0.19%1
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Strategic Allocation Growth into Solution Aggressive
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0.18%
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0.21%
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0.18%1
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ACQUISITION OF THE ASSETS OF:
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BY AND IN EXCHANGE FOR SHARES OF:
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Voya Balanced Portfolio
(A series of Voya Balanced Portfolio, Inc.)
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Voya Balanced Income Portfolio
(A series of Voya Investors Trust)
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Voya Solution Moderately Conservative Portfolio
(A series of Voya Partners, Inc.)
Voya Strategic Allocation Conservative Portfolio
(A series of Voya Strategic Allocation Portfolios, Inc.)
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Voya Solution Conservative Portfolio
(A series of Voya Partners, Inc.)
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Voya Strategic Allocation Growth Portfolio
(A series of Voya Strategic Allocation Portfolios, Inc.)
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Voya Solution Aggressive Portfolio
(A series of Voya Partners, Inc.)
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(each, a “Target Portfolio”
and collectively, the “Target Portfolios”)
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(each, an “Acquiring Portfolio”
and collectively, the “Acquiring Portfolios”)
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By Phone:
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1-800-992-0180
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By Mail:
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Voya Investment Management
7337 East Doubletree Ranch Road, Suite 100
Scottsdale, AZ 85258-2034
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By Internet:
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https://individuals.voya.com/literature
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Balanced
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Balanced Income
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Removal of Directors:
At any meeting of Shareholders duly called for the purpose, any Director
may by the vote of a majority of all of the Shares entitled to vote be
removed from office.
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Removal of Trustees:
A Trustee may be removed at any time by written instrument signed
by at least two-thirds of the number of Trustees prior to such removal,
specifying the date when such removal shall become effective. Trustees
may also be removed at any meeting of shareholders of the Trust
by a vote of two-thirds of the outstanding shares or by a written
declaration executed, without a meeting, by the holders of not less
than two-thirds of the outstanding shares.
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Special Meetings of Shareholders:
Special Meetings of Shareholders may be called by the President or
by the Board of Directors; or shall be called by the President, Secretary
or any Director at the request in writing of the holders of not less
than 10% of the outstanding voting shares of the capital stock of
the Corporation.
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Special Meetings of Shareholders:
Special Meetings of the Trustees shall be held upon the call of the
Chairman, if any, the President, the Vice President, or any two Trustees,
at such time, on such day, and at such place, as shall be designated
in the notice of the meeting.
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Strategic Allocation Conservative and Strategic Allocation Growth
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Solution Aggressive, Solution Conservative, and Solution
Moderately Conservative
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Special Meetings of Shareholders:
Special Meetings of shareholders may be called by the President or
by the Board of Directors; or shall be called by the President, Secretary
or any Director at the request in writing of holders of not less than
10% of the outstanding voting shares of the capital stock of the
Corporation.
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Special Meetings of Shareholders:
Special Meetings of shareholders may be called by the President or
by the Board of Directors; and shall be called by the President, Secretary
or any Director at the request in writing of holders of the outstanding
voting shares of capital stock of the corporation entitled to cast not
less than 50% of the votes entitled to be cast at such meeting.
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Reorganization
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Target Portfolio Investment
Objectives
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Acquiring Portfolio Investment
Objectives
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Balanced into Balanced Income
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The Portfolio seeks total return
consisting of capital appreciation
(both realized and unrealized) and
current income; the secondary
investment objective is long-term
capital appreciation.
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The Portfolio seeks to maximize
income while maintaining prospects
for capital appreciation.
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Solution Moderately Conservative into Solution Conservative
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The Portfolio seeks to provide a
combination of total return and
stability of principal through a
diversified asset allocation strategy.
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The Portfolio seeks to provide a
combination of total return and
stability of principal consistent with
an asset allocation targeted to
retirement.
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Strategic Allocation Conservative into Solution Conservative
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The Portfolio seeks to provide total
return (i.e., income and capital growth,
both realized and unrealized)
consistent with preservation of
capital.
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The Portfolio seeks to provide a
combination of total return and
stability of principal consistent with
an asset allocation targeted to
retirement.
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Strategic Allocation Growth into Solution Aggressive
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The Portfolio seeks to provide capital
appreciation.
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The Portfolio seeks growth of capital.
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Balanced
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Balanced Income
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Investment
Strategies
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The Portfolio seeks to achieve its investment objectives by
investing in a diversified portfolio of various asset classes
and investment strategies managed by the sub-adviser (the
“Sub-Adviser”). The Portfolio may invest in domestic and
international securities, including emerging markets securities,
which may be denominated in foreign currencies or in the
U.S. dollar. The Portfolio may invest in sovereign debt, which
is debt issued or guaranteed by foreign (non-U.S.) government
entities. The Portfolio may also invest in derivative instruments
including futures, swaps (including interest rate swaps, total
return swaps, and credit default swaps) and options, among
others for different purposes, including hedging (to seek to
offset risks associated with an investment, currency exposure
or market conditions), to seek to enhance returns, to earn
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Under normal market conditions, the Portfolio intends to invest
approximately 60% of its assets in debt instruments and
approximately 40% of its assets in equity securities (the “Target
Allocation”). The sub-adviser (the “Sub-Adviser”) may deviate
from the Target Allocation within the range of +/- 15% relative
to the Target Allocation to adjust portfolio exposures and risk
in response to changing market conditions. The Portfolio may
be rebalanced periodically to return to the Target Allocation.
Debt Portion
The debt portion of the Portfolio (the “Debt Portion”) is not
managed relative to an index, instead the Sub-Adviser seeks
to produce positive returns across varying market conditions.
To seek this goal, the Portfolio has flexibility to invest across
a broad range of debt instruments and derivatives without
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Balanced
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Balanced Income
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income, or as a substitute for a position in an underlying asset.
The Portfolio may also invest in other investment companies,
including up to 30% of its net assets in exchange-traded funds
(“ETFs”) to gain exposure to high yield bonds (“junk bonds”),
emerging markets debt, and other securities to make tactical
asset allocations, minimize risk, and assist in managing cash.
At least fifteen underlying investment companies (including
ETFs) will be available for the Portfolio’s investment at all
times and such underlying investment companies may be
changed at the Sub-Adviser’s discretion without notice to
shareholders. The underlying investment companies may or
may not be affiliated with the Investment Adviser.
Equity Portion
Equity securities in which the Portfolio may invest include,
but are not limited to: common stocks, preferred stocks,
securities convertible into common stocks, and depositary
receipts. The Portfolio may invest in securities of companies
of any market capitalization. The Portfolio may invest in real
estate-related securities, including real estate investment trusts
(“REITs”), and natural resource/commodity securities. The
Portfolio is a core product and may invest in either “growth”
securities, “value” securities, or both.
Debt Portion
The debt instruments in which the Portfolio may invest include,
but are not limited to, short-, intermediate-, and long-term
bonds rated investment grade; international bonds; high-yield
bonds rated below investment grade, commonly known as
“junk bonds;” and money market instruments. The Portfolio
may also invest in treasury inflation protected securities,
asset-backed securities, commercial and residential
mortgage-backed securities, other securitized and structured
debt instruments (such as collateralized mortgage obligations),
and private placements.
While the mix of equity and debt instruments will vary depending
on the Sub-Adviser’s outlook on the markets, under normal
circumstances no more than 75% (and no less than 25%) of
the Portfolio’s total assets will be invested in equity securities.
The Sub-Adviser uses a proprietary asset allocation strategy
to determine the percentage of the Portfolio’s net assets to
invest in each of the investment strategies and asset classes
(the “Target Allocation”). The Target Allocation may be changed
by the Sub-Adviser at any time and actual allocations of the
Portfolio’s assets may deviate from the Target Allocation.
The Portfolio may be rebalanced periodically to return to the
Target Allocation.
In evaluating investments for the Portfolio, the Sub-Adviser
takes into account a wide variety of factors and considerations
to determine whether any or all of those factors or considerations
might have a material effect on the value, risks, or prospects
of an investment. Among the factors considered, the Sub-Adviser
expects typically to take into account environmental, social,
and governance (“ESG”) factors to determine whether one
or more factors may have a material effect. In considering
ESG factors, the Sub-Adviser intends to rely primarily on factors
identified through its proprietary empirical research and on
third-party evaluations of an issuer’s ESG standing. ESG factors
will be only one of many considerations in the Sub-Adviser’s
evaluation of any potential investment; the extent to which
ESG factors will affect the Sub-Adviser’s decision to invest
in an issuer, if at all, will depend on the analysis and judgment
of the Sub-Adviser.
The Portfolio may lend portfolio securities on a short-term
or long-term basis, up to 33 1∕3% of its total assets.
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regard to a benchmark. The Debt Portion generally maintains
a dollar-weighted average duration profile between 0 and 8
years. Duration is a commonly used measure of risk in debt
instruments as it incorporates multiple features of the debt
instruments (e.g., yield, coupon, maturity, etc.) into one number.
Duration is a measure of sensitivity of the price of a debt
instrument to a change in interest rates. Duration is a weighted
average of the times that interest payments and the final
return of principal are received. The weights are the amounts
of the payments discounted by the yield-to-maturity of the
debt instrument. Duration is expressed as a number of years.
The bigger the duration number, the greater the interest rate
risk or reward for the debt instrument prices. For example,
the price of a bond with an average duration of 5 years would
be expected to fall approximately 5% if market interest rates
rose by 1%. Conversely, the price of a bond with an average
duration of 5 years would be expected to rise approximately
5% if market interest rates dropped by 1%.
The Debt Portion may include investment grade securities
and below investment grade securities, commonly referred
to as “junk bonds.” Investment grade securities would be
rated at least BBB- by S&P Global Ratings or Baa3 by Moody’s
Investors Service, Inc. or BBB- by Fitch Ratings or have an
equivalent rating by a nationally recognized statistical rating
organization, or if unrated, would be determined by the
Sub-Adviser to be of comparable quality. The Debt Portion
may also invest in floating rate loans, and other floating rate
debt instruments.
Debt instruments may be issued by various U.S. and non-U.S.
public or private sector entities (including those located in
emerging market countries). Debt instruments may include,
without limitation, bonds, debentures, notes, convertible
securities, commercial paper, loans and related assignments
and participations, corporate debt, asset- and mortgage-backed
securities, preferred stock, bank certificates of deposit, fixed
time deposits, bankers’ acceptances and money market
instruments, including money market funds denominated in
U.S. dollars or other currencies. Floating rate loans and other
floating rate debt instruments include floating rate bonds,
floating rate notes, floating rate debentures, and tranches
of floating rate asset-backed securities, including structured
notes, made to, or issued by, U.S. and non-U.S. corporations
or other business entities. The Portfolio may also invest in
inflation-indexed bonds of varying maturities issued by the
U.S. and non-U.S. governments, their agencies and
instrumentalities, and U.S. and non-U.S. corporations.
Equity Portion
The equity portion of the Portfolio (the “Equity Portion”) includes
securities of U.S. and non-U.S. issuers. The Sub-Adviser seeks
to maximize total return of the Equity Portion by investing in
U.S. and non-U.S. equity securities with dividend yields the
Sub-Adviser believes are attractive and in companies that
the Sub-Adviser believes have above-average growth prospects.
The Portfolio may invest in real estate-related securities,
including real estate investment trusts (“REITs”).
In managing both the Debt and Equity Portions, the Portfolio
may also invest up to 35% of its net assets in other investment
companies, including exchange-traded funds (“ETFs”), to the
extent permitted under the Investment Company Act of 1940,
as amended, and the rules and regulations thereunder, and
under the terms of applicable no-action relief or exemptive
orders granted thereunder.
The Portfolio may invest up to 25% of its assets in foreign
(non-U.S.) securities, including companies located in countries
with emerging securities markets, either directly or through
depositary receipts.
The Portfolio may also invest in derivatives, including options,
futures, index futures, swaps (including interest rate swaps,
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Balanced
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Balanced Income
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total return swaps, and credit default swaps), and currency
forwards, as a substitute for taking a position in an underlying
asset, to make tactical asset allocations, to seek to minimize
risk, to enhance returns, and/or to assist in managing cash.
In evaluating investments for the Portfolio, the Sub-Adviser
takes into account a wide variety of factors and considerations
to determine whether any or all of those factors or considerations
might have a material effect on the value, risks, or prospects
of an investment. Among the factors considered, the Sub-Adviser
expects typically to take into account environmental, social,
and governance (“ESG”) factors to determine whether one
or more factors may have a material effect. In considering
ESG factors, the Sub-Adviser intends to rely primarily on factors
identified through its proprietary empirical research and on
third-party evaluations of an issuer’s ESG standing. ESG factors
will be only one of many considerations in the Sub-Adviser’s
evaluation of any potential investment; the extent to which
ESG factors will affect the Sub-Adviser’s decision to invest
in an issuer, if at all, will depend on the analysis and judgment
of the Sub-Adviser.
The Sub-Adviser may sell securities for a variety of reasons,
such as to secure gains, limit losses, or redeploy assets into
opportunities believed to be more promising.
The Portfolio may lend portfolio securities on a short-term
or long-term basis, up to 33 1∕3% of its total assets.
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Solution Moderately Conservative
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Solution Conservative
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Investment
Strategies
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The Portfolio invests primarily in a combination of underlying
funds, which are actively managed funds or passively managed
funds (index funds) (collectively, the “Underlying Funds”). The
Underlying Funds may or may not be affiliated with the
Investment Adviser. The Underlying Funds invest in U.S. stocks,
international stocks, U.S. bonds, and other debt instruments
and the Portfolio uses an asset allocation strategy designed
for investors saving for retirement. The Portfolio's current
approximate target investment allocation (expressed as a
percentage of its net assets) (the “Target Allocation”) among
the Underlying Funds is: 38% in equity securities and 62%
in debt instruments. Although this is the Target Allocation,
the actual allocation of the Portfolio's assets may deviate
from the percentages shown.
The Portfolio normally invests at least 80% of its assets in
Underlying Funds affiliated with the Investment Adviser, although
the sub-adviser (the “Sub-Adviser”) may in its discretion invest
up to 20% of the Portfolio’s assets in Underlying Funds that
are not affiliated with the Investment Adviser, including
exchange-traded funds (“ETFs”).
The Target Allocation is measured with reference to the principal
investment strategies of the Underlying Funds; actual exposure
to equity securities and debt instruments will vary from the
Target Allocation if an Underlying Fund is not substantially
invested in accordance with its principal investment strategy.
The Portfolio will deviate from the Target Allocation based
on an assessment of the current market conditions or other
factors. Generally, the deviations fall within the range of +/-
10% relative to the current Target Allocation. The Sub-Adviser
may determine, in light of market conditions or other factors,
to deviate by a wider margin in order to protect the Portfolio,
achieve its investment objective, or to take advantage of
particular opportunities.
The Underlying Funds provide exposure to a wide range of
traditional asset classes which include, but are not limited
to: stocks, bonds, and cash and non-traditional asset classes
(also known as alternative strategies) which include, but are
not limited to the following: real estate, commodities, and
floating rate loans.
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The Portfolio invests primarily in a combination of underlying
funds, which are actively managed funds or passively managed
funds (index funds) (collectively, the “Underlying Funds”). The
Underlying Funds may or may not be affiliated with the
Investment Adviser. The Underlying Funds invest in U.S. stocks,
international stocks, U.S. bonds, and other debt instruments
and the Portfolio uses an asset allocation strategy designed
for investors saving for retirement. The Portfolio’s current
approximate target investment allocation (expressed as a
percentage of its net assets) (the “Target Allocation”) among
the Underlying Funds is: 23% in equity securities and 77%
in debt instruments. Although this is the Target Allocation,
the actual allocation of the Portfolio’s assets may deviate
from the percentages shown.
The Portfolio normally invests at least 80% of its assets in
Underlying Funds affiliated with the Investment Adviser, although
the sub-adviser (the “Sub-Adviser”) may in its discretion invest
up to 20% of the Portfolio’s assets in Underlying Funds that
are not affiliated with the Investment Adviser, including
exchange-traded funds (“ETFs”).
The Target Allocation is measured with reference to the principal
investment strategies of the Underlying Funds; actual exposure
to equity securities and debt instruments will vary from the
Target Allocation if an Underlying Fund is not substantially
invested in accordance with its principal investment strategy.
The Portfolio will deviate from the Target Allocation based
on an assessment of the current market conditions or other
factors. Generally, the deviations fall within the range of +/-
10% relative to the current Target Allocation. The Sub-Adviser
may determine, in light of market conditions or other factors,
to deviate by a wider margin in order to protect the Portfolio,
achieve its investment objective, or to take advantage of
particular opportunities.
The Underlying Funds provide exposure to a wide range of
traditional asset classes which include, but are not limited
to: stocks, bonds, and cash and non-traditional asset classes
(also known as alternative strategies) which include, but are
not limited to the following: real estate, commodities, and
floating rate loans.
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Solution Moderately Conservative
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Solution Conservative
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Equity securities in which the Underlying Funds invest include,
but are not limited to the following: domestic and international
large-, mid-, and small-capitalization stocks (which may be
growth oriented, value oriented, or a blend); emerging market
securities; domestic and international real estate-related
securities, including real estate investment trusts (“REITs”);
and natural resource/commodity securities.
Debt instruments in which the Underlying Funds invest include,
but are not limited to the following: domestic and international
long-, intermediate-, and short-term bonds; high-yield bonds
commonly referred to as “junk bonds;” floating rate loans;
and U.S. Treasury Inflation-Protected Securities.
When investing in Underlying Funds, the Sub-Adviser takes
into account a wide variety of factors and considerations,
including among other things the investment strategy employed
in the management of a potential Underlying Fund, and the
extent to which an Underlying Fund’s investment adviser
considers environmental, social, and governance (“ESG”) factors
as part of its investment process. The manner in which an
investment adviser uses ESG factors in its investment process
will be only one of many considerations in the Sub-Adviser’s
evaluation of any potential Underlying Fund, and the extent
to which the consideration of ESG factors by an investment
adviser will affect the Sub-Adviser’s decision to invest in an
Underlying Fund, if at all, will depend on the analysis and
judgment of the Sub-Adviser.
The Portfolio may also invest in derivatives, including futures
and swaps (including interest rate swaps, total return swaps,
and credit default swaps), to make tactical asset allocations,
to seek to minimize risk, and to assist in managing cash.
The Portfolio may also allocate in the future to the following
asset class: emerging markets debt instruments. There can
be no assurance that this allocation will occur.
The Target Allocation may be changed at any time by the
Sub-Adviser.
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Equity securities in which the Underlying Funds invest include,
but are not limited to the following: domestic and international
large-, mid-, and small-capitalization stocks (which may be
growth oriented, value oriented, or a blend); emerging market
securities; domestic and international real estate-related
securities, including real estate investment trusts (“REITs”);
and natural resource/commodity securities.
Debt instruments in which the Underlying Funds invest include,
but are not limited to the following: domestic and international
long-, intermediate-, and short-term bonds; high-yield bonds
commonly referred to as “junk bonds;” floating rate loans;
and U.S. Treasury Inflation-Protected Securities.
When investing in Underlying Funds, the Sub-Adviser takes
into account a wide variety of factors and considerations,
including among other things the investment strategy employed
in the management of a potential Underlying Fund, and the
extent to which an Underlying Fund’s investment adviser
considers environmental, social, and governance (“ESG”) factors
as part of its investment process. The manner in which an
investment adviser uses ESG factors in its investment process
will be only one of many considerations in the Sub-Adviser’s
evaluation of any potential Underlying Fund, and the extent
to which the consideration of ESG factors by an investment
adviser will affect the Sub-Adviser’s decision to invest in an
Underlying Fund, if at all, will depend on the analysis and
judgment of the Sub-Adviser.
The Portfolio may also invest in derivatives, including futures
and swaps (including interest rate swaps, total return swaps,
and credit default swaps), to make tactical asset allocations,
to seek to minimize risk, and to assist in managing cash.
The Portfolio may also allocate in the future to the following
asset class: emerging markets debt instruments. There can
be no assurance that this allocation will occur.
The Target Allocation may be changed at any time by the
Sub-Adviser.
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Strategic Allocation Conservative
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Solution Conservative
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Investment
Strategies
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Under normal market conditions, the sub-adviser (the
“Sub-Adviser”) invests the assets of the Portfolio primarily
in a combination of other funds (collectively, the “Underlying
Funds”) that, in turn invest, in varying degrees, among several
classes of equities, debt instruments, emerging markets debt,
and money market instruments. The Portfolio normally invests
at least 80% of its assets in Underlying Funds affiliated with
the Investment Adviser, although the Sub-Adviser may in its
discretion invest up to 20% of the Portfolio’s assets in Underlying
Funds that are not affiliated with the Investment Adviser,
including exchange-traded funds (“ETFs”).
The Portfolio invests in a combination of Underlying Funds
that reflects a target allocation of approximately 38% of its
net assets in equity securities and 62% of its net assets in
debt instruments (the “Target Allocation”).
The Portfolio’s assets normally will be invested in accordance
with its Target Allocation. As this is a Target Allocation, the
actual allocations of the Portfolio’s assets may deviate from
the percentages shown. The Target Allocation is measured
with reference to the principal investment strategies of the
Underlying Funds; actual exposure to these asset classes
will vary from the Target Allocation if an Underlying Fund is
not substantially invested in accordance with its principal
investment strategies. The Portfolio may be rebalanced
periodically to return to the Target Allocation. The Portfolio’s
Target Allocation may be changed, at any time, in accordance
with the Portfolio’s asset allocation process. The Portfolio
may periodically deviate from the Target Allocation based on
an assessment of the current market conditions or other factors.
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The Portfolio invests primarily in a combination of underlying
funds, which are actively managed funds or passively managed
funds (index funds) (collectively, the “Underlying Funds”). The
Underlying Funds may or may not be affiliated with the
Investment Adviser. The Underlying Funds invest in U.S. stocks,
international stocks, U.S. bonds, and other debt instruments
and the Portfolio uses an asset allocation strategy designed
for investors saving for retirement. The Portfolio’s current
approximate target investment allocation (expressed as a
percentage of its net assets) (the “Target Allocation”) among
the Underlying Funds is: 23% in equity securities and 77%
in debt instruments. Although this is the Target Allocation,
the actual allocation of the Portfolio’s assets may deviate
from the percentages shown.
The Portfolio normally invests at least 80% of its assets in
Underlying Funds affiliated with the Investment Adviser, although
the sub-adviser (the “Sub-Adviser”) may in its discretion invest
up to 20% of the Portfolio’s assets in Underlying Funds that
are not affiliated with the Investment Adviser, including
exchange-traded funds (“ETFs”).
The Target Allocation is measured with reference to the principal
investment strategies of the Underlying Funds; actual exposure
to equity securities and debt instruments will vary from the
Target Allocation if an Underlying Fund is not substantially
invested in accordance with its principal investment strategy.
The Portfolio will deviate from the Target Allocation based
on an assessment of the current market conditions or other
factors. Generally, the deviations fall within the range of +/-
10% relative to the current Target Allocation. The Sub-Adviser
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Strategic Allocation Conservative
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Solution Conservative
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Generally, the deviations fall in the range of +/- 10% relative
to the current Target Allocation. The Investment Adviser may
determine, in light of market conditions or other factors, to
deviate by a wider margin in order to protect the Portfolio,
achieve its investment objective, or to take advantage of
particular opportunities.
The Underlying Funds provide exposure to a wide range of
traditional asset classes which includes stocks, bonds, and
cash; and non-traditional asset classes (also known as
alternative strategies) which includes real estate, commodities,
and floating rate loans.
The equity securities in which the Underlying Funds may invest
include, but are not limited to, the following: domestic and
international large-, mid-, and small-capitalization stocks;
emerging market securities; and real estate-related securities,
including real estate investment trusts (“REITs”).
The debt instruments in which the Underlying Funds may invest
include, but are not limited to, the following: domestic and
international debt instruments including high-yield (high-risk)
securities commonly referred to as “junk bonds” and debt
instruments without limitation on maturity.
The Sub-Adviser may change the Portfolio’s asset allocations,
investments in particular Underlying Funds (including Underlying
Funds organized in the future), Target Allocation, or other
investment policies without the approval of shareholders as
it determines necessary to pursue the Portfolio’s investment
objective.
When investing in Underlying Funds, the Sub-Adviser takes
into account a wide variety of factors and considerations,
including among other things the investment strategy employed
in the management of a potential Underlying Fund, and the
extent to which an Underlying Fund’s investment adviser
considers environmental, social, and governance (“ESG”) factors
as part of its investment process. The manner in which an
Underlying Fund’s investment adviser uses ESG factors in
its investment process will be only one of many considerations
in the Sub-Adviser’s evaluation of any potential Underlying
Fund, and the extent to which the consideration of ESG factors
by an Underlying Fund’s investment adviser will affect the
Sub-Adviser’s decision to invest in an Underlying Fund, if at
all, will depend on the analysis and judgment of the Sub-Adviser.
The current group of Underlying Funds in which the Portfolio
may invest includes “index plus” funds. Generally these funds
seek to outperform a designated index of equity securities
by investing in a portion of the securities included in the index.
Also, some Underlying Funds may use growth or value
investment strategies.
The Portfolio may invest in derivative instruments including
futures and swaps (including interest rate swaps, total return
swaps, and credit default swaps) to make tactical allocations,
as a substitute for taking a position in the underlying asset,
and to assist in managing cash.
The Investment Adviser will oversee the Target Allocation and
the selection of Underlying Funds by the Sub-Adviser.
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may determine, in light of market conditions or other factors,
to deviate by a wider margin in order to protect the Portfolio,
achieve its investment objective, or to take advantage of
particular opportunities.
The Underlying Funds provide exposure to a wide range of
traditional asset classes which include, but are not limited
to: stocks, bonds, and cash and non-traditional asset classes
(also known as alternative strategies) which include, but are
not limited to the following: real estate, commodities, and
floating rate loans.
Equity securities in which the Underlying Funds invest include,
but are not limited to the following: domestic and international
large-, mid-, and small-capitalization stocks (which may be
growth oriented, value oriented, or a blend); emerging market
securities; domestic and international real estate-related
securities, including real estate investment trusts (“REITs”);
and natural resource/commodity securities.
Debt instruments in which the Underlying Funds invest include,
but are not limited to the following: domestic and international
long-, intermediate-, and short-term bonds; high-yield bonds
commonly referred to as “junk bonds;” floating rate loans;
and U.S. Treasury Inflation-Protected Securities.
When investing in Underlying Funds, the Sub-Adviser takes
into account a wide variety of factors and considerations,
including among other things the investment strategy employed
in the management of a potential Underlying Fund, and the
extent to which an Underlying Fund’s investment adviser
considers environmental, social, and governance (“ESG”) factors
as part of its investment process. The manner in which an
investment adviser uses ESG factors in its investment process
will be only one of many considerations in the Sub-Adviser’s
evaluation of any potential Underlying Fund, and the extent
to which the consideration of ESG factors by an investment
adviser will affect the Sub-Adviser’s decision to invest in an
Underlying Fund, if at all, will depend on the analysis and
judgment of the Sub-Adviser.
The Portfolio may also invest in derivatives, including futures
and swaps (including interest rate swaps, total return swaps,
and credit default swaps), to make tactical asset allocations,
to seek to minimize risk, and to assist in managing cash.
The Portfolio may also allocate in the future to the following
asset class: emerging markets debt instruments. There can
be no assurance that this allocation will occur.
The Target Allocation may be changed at any time by the
Sub-Adviser.
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Strategic Allocation Growth
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Solution Aggressive
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Investment
Strategies
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Under normal market conditions, the sub-adviser (the
“Sub-Adviser”) invests the assets of the Portfolio primarily
in a combination of other funds (collectively, the “Underlying
Funds”) that, in turn invest, in varying degrees, among several
classes of equities, debt instruments, emerging markets debt,
and money market instruments. The Portfolio normally invests
at least 80% of its assets in Underlying Funds affiliated with
the Investment Adviser, although the Sub-Adviser may in its
discretion invest up to 20% of the Portfolio’s assets in Underlying
Funds that are not affiliated with the Investment Adviser,
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The Portfolio invests primarily in a combination of underlying
funds, which are actively managed funds or passively managed
funds (index funds) (collectively, the “Underlying Funds”). The
Underlying Funds may or may not be affiliated with the
Investment Adviser. The Underlying Funds invest in U.S. stocks,
international stocks, U.S. bonds, and other debt instruments
and the Portfolio uses an asset allocation strategy designed
for investors saving for retirement. The Portfolio’s current
approximate target investment allocation (expressed as a
percentage of its net assets) (the “Target Allocation”) among
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Strategic Allocation Growth
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Solution Aggressive
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including exchange-traded funds (“ETFs”). The Portfolio invests
in a combination of Underlying Funds that reflects a target
allocation of approximately 78% of its net assets in equity
securities and 22% of its net assets in debt instruments (the
“Target Allocation”).
The Portfolio’s assets normally will be invested in accordance
with its Target Allocation. As this is a Target Allocation, the
actual allocations of the Portfolio’s assets may deviate from
the percentages shown. The Target Allocation is measured
with reference to the principal investment strategies of the
Underlying Funds; actual exposure to these asset classes
will vary from the Target Allocation if an Underlying Fund is
not substantially invested in accordance with its principal
investment strategies. The Portfolio may be rebalanced
periodically to return to the Target Allocation. The Portfolio’s
Target Allocation may be changed, at any time, in accordance
with the Portfolio’s asset allocation process. The Portfolio
may periodically deviate from the Target Allocation based on
an assessment of the current market conditions or other factors.
Generally, the deviations fall in the range of +/- 10% relative
to the current Target Allocation. The Investment Adviser may
determine, in light of market conditions or other factors, to
deviate by a wider margin in order to protect the Portfolio,
achieve its investment objective, or to take advantage of
particular opportunities.
The Underlying Funds provide exposure to a wide range of
traditional asset classes which includes stocks, bonds, and
cash; and non-traditional asset classes (also known as
alternative strategies) which includes real estate, commodities,
and floating rate loans.
The equity securities in which the Underlying Funds may invest
include, but are not limited to, the following: domestic and
international large-, mid-, and small-capitalization stocks;
emerging market securities; and real estate-related securities,
including real estate investment trusts (“REITs”).
The debt instruments in which the Underlying Funds may invest
include, but are not limited to, the following: domestic and
international debt instruments including high-yield (high-risk)
securities commonly referred to as “junk bonds” and debt
instruments without limitation on maturity.
The Sub-Adviser may change the Portfolio’s asset allocations,
investments in particular Underlying Funds (including Underlying
Funds organized in the future), Target Allocation, or other
investment policies without the approval of shareholders as
it determines necessary to pursue the Portfolio’s investment
objective.
When investing in Underlying Funds, the Sub-Adviser takes
into account a wide variety of factors and considerations,
including among other things the investment strategy employed
in the management of a potential Underlying Fund, and the
extent to which an Underlying Fund’s investment adviser
considers environmental, social, and governance (“ESG”) factors
as part of its investment process. The manner in which an
Underlying Fund’s investment adviser uses ESG factors in
its investment process will be only one of many considerations
in the Sub-Adviser’s evaluation of any potential Underlying
Fund, and the extent to which the consideration of ESG factors
by an Underlying Fund’s investment adviser will affect the
Sub-Adviser’s decision to invest in an Underlying Fund, if at
all, will depend on the analysis and judgment of the Sub-Adviser.
The current group of Underlying Funds in which the Portfolio
may invest includes “index plus” funds. Generally these funds
seek to outperform a designated index of equity securities
by investing in a portion of the securities included in the index.
Also, some Underlying Funds may use growth or value
investment strategies.
The Portfolio may invest in derivative instruments including
futures and swaps (including interest rate swaps, total return
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the Underlying Funds is: 91% in equity securities and 9% in
debt instruments. Although this is the Target Allocation, the
actual allocation of the Portfolio’s assets may deviate from
the percentages shown.
The Portfolio normally invests at least 80% of its assets in
Underlying Funds affiliated with the Investment Adviser, although
the sub-adviser (the “Sub-Adviser”) may in its discretion invest
up to 20% of the Portfolio’s assets in Underlying Funds that
are not affiliated with the Investment Adviser, including
exchange-traded funds (“ETFs”).
The Target Allocation is measured with reference to the principal
investment strategies of the Underlying Funds; actual exposure
to equity securities and debt instruments will vary from the
Target Allocation if an Underlying Fund is not substantially
invested in accordance with its principal investment strategy.
The Portfolio will deviate from the Target Allocation based
on an assessment of the current market conditions or other
factors. Generally, the deviations fall within the range of +/-
10% relative to the current Target Allocation. The Sub-Adviser
may determine, in light of market conditions or other factors,
to deviate by a wider margin in order to protect the Portfolio,
achieve its investment objective, or to take advantage of
particular opportunities.
The Underlying Funds provide exposure to a wide range of
traditional asset classes which include, but are not limited
to: stocks, bonds, and cash and non-traditional asset classes
(also known as alternative strategies) which include, but are
not limited to the following: real estate, commodities, and
floating rate loans.
Equity securities in which the Underlying Funds invest include,
but are not limited to the following: domestic and international
large-, mid-, and small-capitalization stocks (which may be
growth oriented, value oriented, or a blend); emerging market
securities; domestic and international real estate-related
securities, including real estate investment trusts (“REITs”);
and natural resource/commodity securities.
Debt instruments in which the Underlying Funds invest include,
but are not limited to the following: domestic and international
long-, intermediate-, and short-term bonds; high-yield bonds
commonly referred to as “junk bonds;” floating rate loans;
and U.S. Treasury Inflation-Protected Securities.
When investing in Underlying Funds, the Sub-Adviser takes
into account a wide variety of factors and considerations,
including among other things the investment strategy employed
in the management of a potential Underlying Fund, and the
extent to which an Underlying Fund’s investment adviser
considers environmental, social, and governance (“ESG”) factors
as part of its investment process. The manner in which an
investment adviser uses ESG factors in its investment process
will be only one of many considerations in the Sub-Adviser’s
evaluation of any potential Underlying Fund, and the extent
to which the consideration of ESG factors by an investment
adviser will affect the Sub-Adviser’s decision to invest in an
Underlying Fund, if at all, will depend on the analysis and
judgment of the Sub-Adviser.
The Portfolio may also invest in derivatives, including futures
and swaps (including interest rate swaps, total return swaps,
and credit default swaps), to make tactical asset allocations,
to seek to minimize risk, and to assist in managing cash.
The Portfolio may also allocate in the future to the following
asset class: emerging markets debt instruments. There can
be no assurance that this allocation will occur.
The Target Allocation may be changed at any time by the
Sub-Adviser.
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Strategic Allocation Growth
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Solution Aggressive
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swaps, and credit default swaps) to make tactical allocations,
as a substitute for taking a position in the underlying asset,
and to assist in managing cash.
The Investment Adviser will oversee the Target Allocation and
the selection of Underlying Funds by the Sub-Adviser.
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Risks
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Balanced
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Balanced Income
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Asset Allocation: Investment performance depends on the manager’s skill in allocating
assets among the asset classes in which the Portfolio invests and in choosing investments
within those asset classes. There is a risk that the manager may allocate assets or
investments to or within an asset class that underperforms compared to other asset
classes or investments. The Portfolio may underperform funds that allocate their assets
differently than the Portfolio, due to differences in the relative performance of
asset
classes and subsets of asset classes.
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Bank Instruments: Bank instruments include certificates of deposit, fixed time deposits,
bankers’ acceptances, and other debt and deposit-type obligations issued by banks.
Changes in economic, regulatory, or political conditions, or other events that affect
the
banking industry may have an adverse effect on bank instruments or banking institutions
that serve as counterparties in transactions with the Portfolio. In the event of a
bank
insolvency or failure, the Portfolio may be considered a general creditor of the bank,
and it
might lose some or all of the funds deposited with the bank. Even where it is recognized
that a bank might be in danger of insolvency or failure, the Portfolio might not be
able to
withdraw or transfer its money from the bank in time to avoid any adverse effects
of the
insolvency or failure.
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Risks
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Balanced
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Balanced Income
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China Investing Risks: The Chinese economy is generally considered an emerging and
volatile market. Although China has experienced a relatively stable political environment
in
recent years, there is no guarantee that such stability will be maintained in the
future.
Significant portions of the Chinese securities markets may become rapidly illiquid
because
Chinese issuers have the ability to suspend the trading of their equity securities
under
certain circumstances, and have shown a willingness to exercise that option in response
to
market volatility, epidemics, pandemics, adverse economic, market or political events,
and
other events. Political, regulatory and diplomatic events, such as the U.S.-China
“trade
war” that intensified in 2018, could have an adverse effect on the Chinese or Hong Kong
economies and on related investments. In addition, U.S. or foreign government restrictions
on investments in Chinese companies or other intervention could negatively affect
the
implementation of the Portfolio's investment strategies, such as by precluding the
Portfolio
from making certain investments or causing the Portfolio to sell investments at
disadvantageous times.
Investing through Bond Connect: Chinese debt instruments trade on the China Interbank
Bond Market (the “CIBM”) and may be purchased through a market access program, known
as “Bond Connect,” that is designed to, among other things, enable foreign (non-U.S.)
investment in the People’s Republic of China. There are significant risks inherent in
investing in Chinese debt instruments, similar to the risks of investing in debt instruments
in other emerging markets. The prices of debt instruments traded on the CIBM may
fluctuate significantly due to low trading volume and potential lack of liquidity.
The rules to
access debt instruments that trade on the CIBM through Bond Connect are relatively
new
and subject to change, which may adversely affect the Portfolio’s ability to invest in these
instruments and to enforce its rights as a beneficial owner of these instruments.
Trading
through Bond Connect is subject to a number of restrictions that may affect the Portfolio’s
investments and returns.
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Company: The price of a company’s stock could decline or underperform for many reasons,
including, among others, poor management, financial problems, reduced demand for the
company’s goods or services, regulatory fines and judgments, or business challenges. If a
company is unable to meet its financial obligations, declares bankruptcy, or becomes
insolvent, its stock could become worthless.
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Convertible Securities: Convertible securities are securities that are convertible into or
exercisable for common stocks at a stated price or rate. Convertible securities are
subject
to the usual risks associated with debt instruments, such as interest rate risk and
credit
risk. In addition, because convertible securities react to changes in the value of
the
underlying stock, they are subject to market risk.
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Covenant-Lite Loans: Loans in which the Portfolio may invest or to which the Portfolio may
gain exposure indirectly through its investments in collateralized debt obligations,
CLOs or
other types of structured securities may be considered “covenant-lite” loans. Covenant-lite
refers to loans which do not incorporate traditional performance-based financial
maintenance covenants. Covenant-lite does not refer to a loan’s seniority in a borrower’s
capital structure nor to a lack of the benefit from a legal pledge of the borrower’s assets
and does not necessarily correlate to the overall credit quality of the borrower.
Covenant-lite
loans generally do not include terms which allow a lender to take action based on
a
borrower’s performance relative to its covenants. Such actions may include the ability to
renegotiate and/or re-set the credit spread on the loan with a borrower, and even
to
declare a default or force the borrower into bankruptcy restructuring if certain criteria
are
breached. Covenant-lite loans typically still provide lenders with other covenants
that
restrict a borrower from incurring additional debt or engaging in certain actions.
Such
covenants can only be breached by an affirmative action of the borrower, rather than
by a
deterioration in the borrower’s financial condition. Accordingly, the Portfolio may have fewer
rights against a borrower when it invests in, or has exposure to, covenant-lite loans
and,
accordingly, may have a greater risk of loss on such investments as compared to
investments in, or exposure to, loans with additional or more conventional covenants.
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Credit: The Portfolio could lose money if the issuer or guarantor of a debt instrument in
which the Portfolio invests, or the counterparty to a derivative contract the Portfolio
entered
into, is unable or unwilling, or is perceived (whether by market participants, rating
agencies,
pricing services, or otherwise) as unable or unwilling, to meet its financial obligations.
Asset-backed (including mortgage-backed) securities that are not issued by U.S.
government agencies may have a greater risk of default because they are not guaranteed
by either the U.S. government or an agency or instrumentality of the U.S. government.
The
credit quality of typical asset-backed securities depends primarily on the credit
quality of
the underlying assets and the structural support (if any) provided to the securities.
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Risks
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Balanced
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Balanced Income
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Credit Default Swaps: The Portfolio may enter into credit default swaps, either as a buyer or
a seller of the swap. A buyer of a credit default swap is generally obligated to pay
the seller
an upfront or a periodic stream of payments over the term of the contract until a
credit
event, such as a default, on a reference obligation has occurred. If a credit event
occurs,
the seller generally must pay the buyer the “par value” (full notional value) of the swap in
exchange for an equal face amount of deliverable obligations of the reference entity
described in the swap, or the seller may be required to deliver the related net cash
amount
if the swap is cash settled. As a seller of a credit default swap, the Portfolio would
effectively add leverage to its portfolio because, in addition to its total net assets,
the
Portfolio would be subject to investment exposure on the full notional value of the
swap.
Credit default swaps are particularly subject to counterparty, credit, valuation,
liquidity, and
leveraging risks and the risk that the swap may not correlate with its reference obligation
as expected. Certain standardized credit default swaps are subject to mandatory central
clearing. Central clearing is expected to reduce counterparty credit risk and increase
liquidity; however, there is no assurance that it will achieve that result, and, in
the
meantime, central clearing and related requirements expose the Portfolio to new kinds
of
costs and risks. In addition, credit default swaps expose the Portfolio to the risk
of
improper valuation.
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Currency: To the extent that the Portfolio invests directly or indirectly in foreign (non-U.S.)
currencies or in securities denominated in, or that trade in, foreign (non-U.S.) currencies,
it
is subject to the risk that those foreign (non-U.S.) currencies will decline in value
relative to
the U.S. dollar or, in the case of hedging positions, that the U.S. dollar will decline
in value
relative to the currency being hedged by the Portfolio through foreign currency exchange
transactions.
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Deflation: Deflation occurs when prices throughout the economy decline over time—the
opposite of inflation. Unless repayment of the original bond principal upon maturity
(as
adjusted for inflation) is guaranteed, when there is deflation, the principal and
income of an
inflation-protected bond will decline and could result in losses.
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Derivative Instruments: Derivative instruments are subject to a number of risks, including
the risk of changes in the market price of the underlying asset, reference rate, or
index
credit risk with respect to the counterparty, risk of loss due to changes in market
interest
rates, liquidity risk, valuation risk, and volatility risk. The amounts required to
purchase
certain derivatives may be small relative to the magnitude of exposure assumed by
the
Portfolio. Therefore, the purchase of certain derivatives may have an economic leveraging
effect on the Portfolio and exaggerate any increase or decrease in the net asset value.
Derivatives may not perform as expected, so the Portfolio may not realize the intended
benefits. When used for hedging purposes, the change in value of a derivative may
not
correlate as expected with the asset, reference rate, or index being hedged. When
used as
an alternative or substitute for direct cash investment, the return provided by the
derivative
may not provide the same return as direct cash investment.
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Dividend: Companies that issue dividend yielding equity securities are not required to
continue to pay dividends on such securities. Therefore, there is a possibility that
such
companies could reduce or eliminate the payment of dividends in the future. As a result,
the Portfolio’s ability to execute its investment strategy may be limited.
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Environmental, Social, and Governance (Equity): The Sub-Adviser’s consideration of ESG
factors in selecting investments for the Portfolio is based on information that is
not
standardized, some of which can be qualitative and subjective by nature. The Sub-Adviser’s
assessment of ESG factors in respect of a company may rely on third party data that
might
be incorrect or based on incomplete or inaccurate information. There is no minimum
percentage of the Portfolio’s assets that will be invested in companies that the Sub-Adviser
views favorably in light of ESG factors, and the Sub-Adviser may choose not to invest
in
companies that compare favorably to other companies on the basis of ESG factors. It
is
possible that the Portfolio will have less exposure to certain companies due to the
Sub-Adviser’s assessment of ESG factors than other comparable mutual funds. There can
be no assurance that an investment selected by the Sub-Adviser, which includes its
consideration of ESG factors, will provide more favorable investment performance than
another potential investment, and such an investment may, in fact, underperform other
potential investments.
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Risks
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Balanced
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Balanced Income
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Environmental, Social, and Governance (Fixed Income): The Sub-Adviser’s consideration of
ESG factors in selecting investments for the Portfolio is based on information that
is not
standardized, some of which can be qualitative and subjective by nature. The Sub-Adviser’s
assessment of ESG factors in respect of obligations of an issuer may rely on third
party
data that might be incorrect or based on incomplete or inaccurate information. There
is no
minimum percentage of the Portfolio’s assets that will be invested in obligations of issuers
that the Sub-Adviser views favorably in light of ESG factors, and the Sub-Adviser
may
choose not to invest in obligations of issuers that compare favorably to obligations
of other
issuers on the basis of ESG factors. It is possible that the Portfolio will have less
exposure
to obligations of certain issuers due to the Sub-Adviser’s assessment of ESG factors than
other comparable mutual funds. There can be no assurance that an investment selected
by
the Sub-Adviser, which includes its consideration of ESG factors, will provide more
favorable
investment performance than another potential investment, and such an investment may,
in fact, underperform other potential investments.
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Floating Rate Loans: In the event a borrower fails to pay scheduled interest or principal
payments on a floating rate loan (which can include certain bank loans), the Portfolio
will
experience a reduction in its income and a decline in the market value of such floating
rate
loan. If a floating rate loan is held by the Portfolio through another financial institution,
or
the Portfolio relies upon another financial institution to administer the loan, the
receipt of
scheduled interest or principal payments may be subject to the credit risk of such
financial
institution. Investors in floating rate loans may not be afforded the protections
of the
anti-fraud provisions of the Securities Act of 1933, as amended, and the Securities
Exchange Act of 1934, as amended, because loans may not be considered “securities”
under such laws. Additionally, the value of collateral, if any, securing a floating
rate loan can
decline or may be insufficient to meet the borrower’s obligations under the loan, and such
collateral may be difficult to liquidate. No active trading market may exist for many
floating
rate loans and many floating rate loans are subject to restrictions on resale. Transactions
in loans typically settle on a delayed basis and may take longer than 7 days to settle.
As a
result, the Portfolio may not receive the proceeds from a sale of a floating rate
loan for a
significant period of time. Delay in the receipts of settlement proceeds may impair
the
ability of the Portfolio to meet its redemption obligations, and may limit the ability
of the
Portfolio to repay debt, pay dividends, or to take advantage of new investment
opportunities.
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Foreign (Non-U.S.) Investments/Developing and Emerging Markets: Investing in foreign
(non-U.S.) securities may result in the Portfolio experiencing more rapid and extreme
changes in value than a fund that invests exclusively in securities of U.S. companies
due,
in part, to: smaller markets; differing reporting, accounting, auditing, and financial
reporting standards and practices; nationalization, expropriation, or confiscatory
taxation;
foreign currency fluctuations, currency blockage, or replacement; potential for default
on
sovereign debt; and political changes or diplomatic developments, which may include
the
imposition of economic sanctions (or the threat of new or modified sanctions) or other
measures by the U.S. or other governments and supranational organizations. Markets
and
economies throughout the world are becoming increasingly interconnected, and conditions
or events in one market, country, or region may adversely impact investments or issuers
in
another market, country, or region. Foreign (non-U.S.) investment risks may be greater
in
developing and emerging markets than in developed markets.
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Growth Investing: Prices of growth-oriented stocks are more sensitive to investor
perceptions of the issuer’s growth potential and may fall quickly and significantly if
investors suspect that actual growth may be less than expected. There is a risk that
funds
that invest in growth-oriented stocks may underperform other funds that invest more
broadly. Growth-oriented stocks tend to be more volatile than value-oriented stocks,
and
may underperform the market as a whole over any given time period.
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High-Yield Securities: Lower-quality securities (including securities that are or have fallen
below investment grade and are classified as “junk bonds” or “high-yield securities”) have
greater credit risk and liquidity risk than higher-quality (investment grade) securities,
and
their issuers’ long-term ability to make payments is considered speculative. Prices of
lower-quality bonds or other debt instruments are also more volatile, are more sensitive
to
negative news about the economy or the issuer, and have greater liquidity risk and
price
volatility.
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Risks
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Balanced
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Balanced Income
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Inflation-Indexed Bonds: If the index measuring inflation falls, the principal value of
inflation-indexed bonds will be adjusted downward, and consequently, the interest
payable
on these bonds (calculated with respect to a smaller principal amount) will be reduced.
In
addition, inflation-indexed bonds are subject to the usual risks associated with debt
instruments, such as interest rate and credit risk. Repayment of the original bond
principal
upon maturity (as adjusted for inflation) is guaranteed in the case of U.S. Treasury
inflation-indexed bonds. For bonds that do not provide a similar guarantee, the adjusted
principal value of the bond repaid at maturity may be less than the original principal.
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Interest in Loans: The value and the income streams of interests in loans (including
participation interests in lease financings and assignments in secured variable or
floating
rate loans) will decline if borrowers delay payments or fail to pay altogether. A
significant
rise in market interest rates could increase this risk. Although loans may be fully
collateralized when purchased, such collateral may become illiquid or decline in value.
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Interest Rate: A rise in market interest rates generally results in a fall in the value of bonds
and other debt instruments; conversely, values generally rise as market interest rates
fall.
Interest rate risk is generally greater for debt instruments than floating-rate instruments.
The higher the credit quality of the instrument, and the longer its maturity or duration,
the
more sensitive it is to changes in market interest rates. Duration is a measure of
sensitivity
of the price of a debt instrument to a change in interest rate. As of the date of
this
Information Statement/Prospectus, the U.S. has recently experienced a rising market
interest rate environment, which may increase the Portfolio’s exposure to risks associated
with rising market interest rates. Rising market interest rates have unpredictable
effects on
the markets and may expose debt and related markets to heightened volatility. To the
extent that the Portfolio invests in debt instruments, an increase in market interest
rates
may lead to increased redemptions and increased portfolio turnover, which could reduce
liquidity for certain investments, adversely affect values, and increase costs. Increased
redemptions may cause the Portfolio to liquidate portfolio positions when it may not
be
advantageous to do so and may lower returns. If dealer capacity in debt markets is
insufficient for market conditions, it may further inhibit liquidity and increase
volatility in
debt markets. Further, recent and potential future changes in government policy may
affect
interest rates. Negative or very low interest rates could magnify the risks associated
with
changes in interest rates. In general, changing interest rates, including rates that
fall below
zero, could have unpredictable effects on markets and may expose debt and related
markets to heightened volatility. Changes to monetary policy by the U.S. Federal Reserve
Board or other regulatory actions could expose debt and related markets to heightened
volatility, interest rate sensitivity, and reduced liquidity, which may impact the Portfolio’s
operations and return potential.
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Investment Model: The Sub-Adviser’s proprietary model may not adequately take into
account existing or unforeseen market factors or the interplay between such factors,
and
there is no guarantee that the use of the investment model will result in effective
investment decisions for the Portfolio. Volatility management techniques may not always
be
successful in reducing volatility, may not protect against market declines, and may
limit the
Portfolio’s participation in market gains, negatively impacting performance even during
periods when the market is rising. During sudden or significant market rallies, such
underperformance may be significant. Moreover, volatility management strategies may
increase portfolio transaction costs, which may increase losses or reduce gains. The
Portfolio’s volatility may not be lower than that of the Portfolio’s Index during all market
cycles due to market factors. Portfolios that are actively managed, in whole or in
part,
according to a quantitative investment model can perform differently from the market,
based on the investment model and the factors used in the analysis, the weight placed
on
each factor, and changes from the factors’ historical trends. Mistakes in the construction
and implementation of the investment models (including, for example, data problems
and/or software issues) may create errors or limitations that might go undetected
or are
discovered only after the errors or limitations have negatively impacted performance.
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Liquidity: If a security is illiquid, the Portfolio might be unable to sell the security at
a time
when the Portfolio’s manager might wish to sell, or at all. Further, the lack of an
established secondary market may make it more difficult to value illiquid securities,
exposing the Portfolio to the risk that the prices at which it sells illiquid securities
will be
less than the prices at which they were valued when held by the Portfolio, which could
cause the Portfolio to lose money. The prices of illiquid securities may be more volatile
than more liquid securities, and the risks associated with illiquid securities may
be greater
in times of financial stress.
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Risks
|
Balanced
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Balanced Income
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Market: The market values of securities will fluctuate, sometimes sharply and
unpredictably, based on overall economic conditions, governmental actions or intervention,
market disruptions caused by trade disputes or other factors, political developments,
and
other factors. Prices of equity securities tend to rise and fall more dramatically
than those
of debt instruments. Additionally, legislative, regulatory, or tax policies or developments
may adversely impact the investment techniques available to a manager, add to costs
and
impair the ability of the Portfolio to achieve its investment objectives.
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Market Capitalization: Stocks fall into three broad market capitalization categories: large,
mid, and small. Investing primarily in one category carries the risk that, due to
current
market conditions, that category may be out of favor with investors. If valuations
of
large-capitalization companies appear to be greatly out of proportion to the valuations
of
mid- or small-capitalization companies, investors may migrate to the stocks of mid-
and
small-capitalization companies causing a fund that invests in these companies to increase
in value more rapidly than a fund that invests in large-capitalization companies.
Investing in
mid- and small-capitalization companies may be subject to special risks associated
with
narrower product lines, more limited financial resources, smaller management groups,
more limited publicly available information, and a more limited trading market for
their
stocks as compared with large-capitalization companies. As a result, stocks of mid-
and
small-capitalization companies may be more volatile and may decline significantly
in market
downturns.
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Market Disruption and Geopolitical: The Portfolio is subject to the risk that geopolitical
events will disrupt securities markets and adversely affect global economies and markets.
Due to the increasing interdependence among global economies and markets, conditions
in
one country, market, or region might adversely impact markets, issuers and/or foreign
exchange rates in other countries, including the United States. Wars, terrorism, global
health crises and pandemics, and other geopolitical events that have led, and may
continue
to lead, to increased market volatility and may have adverse short- or long-term effects
on
U.S., and global economies and markets, generally. For example, the COVID-19 pandemic
has resulted, and may continue to result, in significant market volatility, exchange
suspensions and closures, declines in global financial markets, higher default rates,
supply
chain disruptions, and a substantial economic downturn in economies throughout the
world. The economic impacts of COVID-19 have created a unique challenge for real estate
markets. Many businesses have either partially or fully transitioned to a remote-working
environment and this transition may negatively impact the occupancy rates of commercial
real estate over time. Natural and environmental disasters and systemic market
dislocations are also highly disruptive to economies and markets. In addition, military
action by Russia in Ukraine has, and may continue to, adversely affect global energy
and
financial markets and therefore could affect the value of the Portfolio’s investments,
including beyond the Portfolio’s direct exposure to Russian issuers or nearby geographic
regions. The extent and duration of the military action, sanctions, and resulting
market
disruptions are impossible to predict and could be substantial. A number of U.S. domestic
banks and foreign (non-U.S.) banks have recently experienced financial difficulties
and, in
some cases, failures. There can be no certainty that the actions taken by regulators
to limit
the effect of those financial difficulties and failures on other banks or other financial
institutions or on the U.S. or foreign (non-U.S.) economies generally will be successful.
It is
possible that more banks or other financial institutions will experience financial
difficulties
or fail, which may affect adversely other U.S. or foreign (non-U.S.) financial institutions
and
economies. These events as well as other changes in foreign (non-U.S.) and domestic
economic, social, and political conditions also could adversely affect individual
issuers or
related groups of issuers, securities markets, interest rates, credit ratings, inflation,
investor sentiment, and other factors affecting the value of the Portfolio’s investments. Any
of these occurrences could disrupt the operations of the Portfolio and of the Portfolio’s
service providers.
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Mortgage- and/or Asset-Backed Securities: Defaults on, or low credit quality or liquidity of,
the underlying assets of the asset-backed (including mortgage-backed) securities may
impair the value of these securities and result in losses. There may be limitations
on the
enforceability of any security interest or collateral granted with respect to those
underlying
assets, and the value of collateral may not satisfy the obligation upon default. These
securities also present a higher degree of prepayment and extension risk and interest
rate
risk than do other types of debt instruments.
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Natural Resources/Commodity Securities: The operations and financial performance of
companies in natural resources industries may be directly affected by commodity prices.
This risk is exacerbated for those natural resources companies that own the underlying
commodity.
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Risks
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Balanced
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Balanced Income
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Other Investment Companies: The main risk of investing in other investment companies,
including ETFs, is the risk that the value of an investment company’s underlying
investments might decrease. Shares of investment companies that are listed on an
exchange may trade at a discount or premium from their net asset value. You will pay
a
proportionate share of the expenses of those other investment companies (including
management fees, administration fees, and custodial fees) in addition to the Portfolio’s
expenses. The investment policies of the other investment companies may not be the
same as those of the Portfolio; as a result, an investment in the other investment
companies may be subject to additional or different risks than those to which the
Portfolio
is typically subject. In addition, shares of ETFs may trade at a premium or discount
to net
asset value and are subject to secondary market trading risks. Secondary markets may
be
subject to irregular trading activity, wide bid/ask spreads, and extended trade settlement
periods in times of market stress because market makers and authorized participants
may
step away from making a market in an ETF’s shares, which could cause a material decline
in the ETF’s net asset value.
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Prepayment and Extension: Many types of debt instruments are subject to prepayment and
extension risk. Prepayment risk is the risk that the issuer of a debt instrument will
pay back
the principal earlier than expected. This risk is heightened in a falling market interest
rate
environment. Prepayment may expose the Portfolio to a lower rate of return upon
reinvestment of principal. Also, if a debt instrument subject to prepayment has been
purchased at a premium, the value of the premium would be lost in the event of
prepayment. Extension risk is the risk that the issuer of a debt instrument will pay
back the
principal later than expected. This risk is heightened in a rising market interest
rate
environment. This may negatively affect performance, as the value of the debt instrument
decreases when principal payments are made later than expected. Additionally, the
Portfolio may be prevented from investing proceeds it would have received at a given
time
at the higher prevailing interest rates.
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Real Estate Companies and Real Estate Investment Trusts: Investing in real estate
companies and REITs may subject the Portfolio to risks similar to those associated
with the
direct ownership of real estate, including losses from casualty or condemnation, changes
in
local and general economic conditions, supply and demand, market interest rates, zoning
laws, regulatory limitations on rents, property taxes, overbuilding, high foreclosure
rates,
and operating expenses in addition to terrorist attacks, wars, or other acts that
destroy real
property. In addition, REITs may also be affected by tax and regulatory requirements
in that
a REIT may not qualify for favorable tax treatment or regulatory exemptions. Investments
in
REITs are affected by the management skill of the REIT’s sponsor. The Portfolio will
indirectly bear its proportionate share of expenses, including management fees, paid
by
each REIT in which it invests.
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Securities Lending: Securities lending involves two primary risks: “investment risk” and
“borrower default risk.” When lending securities, the Portfolio will receive cash or U.S.
government securities as collateral. Investment risk is the risk that the Portfolio
will lose
money from the investment of the cash collateral received from the borrower. Borrower
default risk is the risk that the Portfolio will lose money due to the failure of
a borrower to
return a borrowed security. Securities lending may result in leverage. The use of
leverage
may exaggerate any increase or decrease in the net asset value, causing the Portfolio
to be
more volatile. The use of leverage may increase expenses and increase the impact of
the
Portfolio’s other risks.
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Sovereign Debt: Sovereign debt is issued or guaranteed by foreign (non-U.S.) government
entities. Investments in sovereign debt are subject to the risk that a government
entity may
delay payment, restructure its debt, or refuse to pay interest or repay principal
on its
sovereign debt due to cash flow problems, insufficient foreign currency reserves,
political
considerations, social changes, the relative size of its debt position to its economy,
or its
failure to put in place economic reforms required by the International Monetary Fund
or
other multilateral agencies. If a government entity defaults, it may ask for more
time in
which to pay or for further loans. There is no legal process for collecting amounts
owed on
sovereign debt that a government does not pay.
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U.S. Government Securities and Obligations: U.S. government securities are obligations of,
or guaranteed by, the U.S. government, its agencies, or government-sponsored enterprises.
U.S. government securities are subject to market risk and interest rate risk, and
may be
subject to varying degrees of credit risk.
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Risks
|
Balanced
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Balanced Income
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Value Investing: Securities that appear to be undervalued may never appreciate to the
extent expected. Further, because the prices of value-oriented securities tend to
correlate
more closely with economic cycles than growth-oriented securities, they generally
are more
sensitive to changing economic conditions, such as changes in market interest rates,
corporate earnings and industrial production. The manager may be wrong in its assessment
of a company’s value and the securities the Portfolio holds may not reach their full values.
Risks associated with value investing include that a security that is perceived by
the
manager to be undervalued may actually be appropriately priced and, thus, may not
appreciate and provide anticipated capital growth. The market may not favor value-oriented
securities and may not favor equities at all. During those periods, the Portfolio’s relative
performance may suffer. There is a risk that funds that invest in value-oriented securities
may underperform other funds that invest more broadly.
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Risks
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Solution
Moderately
Conservative
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Strategic
Allocation
Conservative
|
Solution
Conservative
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Affiliated Underlying Funds: The Sub-Adviser’s selection of Underlying
Funds presents conflicts of interest. The net management fee revenue
received or costs incurred by the Sub-Adviser and its affiliates will
vary depending on the Underlying Funds it selects for the Portfolio,
and the Sub-Adviser will have an incentive to select the Underlying
Funds (whether or not affiliated with the Sub-Adviser) that will result in
the greatest net management fee revenue or lowest costs to the
Sub-Adviser and its affiliates, even if that results in increased
expenses and potentially less favorable investment performance for
the Portfolio. The Sub-Adviser may prefer to invest in an affiliated
Underlying Fund over an unaffiliated Underlying Fund because the
investment may be beneficial to the Sub-Adviser in managing the
affiliated Underlying Fund by helping the affiliated Underlying Fund
achieve economies of scale or by enhancing cash flows to the
affiliated Underlying Fund. For similar reasons, the Sub-Adviser may
have an incentive to delay or decide against the sale of interests held
by the Portfolio in affiliated Underlying Funds, and the Sub-Adviser
may implement Underlying Fund changes in a manner intended to
minimize the disruptive effects and added costs of those changes to
affiliated Underlying Funds. Although the Portfolio may invest a
portion of its assets in unaffiliated Underlying Funds, there is no
assurance that it will do so even in cases where the unaffiliated
Underlying Funds incur lower fees or have achieved better historical
investment performance than the comparable affiliated Underlying
Funds.
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Asset Allocation: Investment performance depends on the manager’s
skill in allocating assets among the asset classes in which the
Portfolio invests and in choosing investments within those asset
classes. There is a risk that the manager may allocate assets or
investments to or within an asset class that underperforms compared
to other asset classes or investments. The Portfolio may
underperform funds that allocate their assets differently than the
Portfolio, due to differences in the relative performance of asset
classes and subsets of asset classes.
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Bank Instruments: Bank instruments include certificates of deposit,
fixed time deposits, bankers’ acceptances, and other debt and
deposit-type obligations issued by banks. Changes in economic,
regulatory, or political conditions, or other events that affect the
banking industry may have an adverse effect on bank instruments or
banking institutions that serve as counterparties in transactions with
the Portfolio. In the event of a bank insolvency or failure, the Portfolio
may be considered a general creditor of the bank, and it might lose
some or all of the funds deposited with the bank. Even where it is
recognized that a bank might be in danger of insolvency or failure, the
Portfolio might not be able to withdraw or transfer its money from the
bank in time to avoid any adverse effects of the insolvency or failure.
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Risks
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Solution
Moderately
Conservative
|
Strategic
Allocation
Conservative
|
Solution
Conservative
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Cash/Cash Equivalents: Investments in cash or cash equivalents may
lower returns and result in potential lost opportunities to participate
in market appreciation which could negatively impact the Portfolio’s
performance and ability to achieve its investment objective.
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China Investing Risks: The Chinese economy is generally considered
an emerging and volatile market. Although China has experienced a
relatively stable political environment in recent years, there is no
guarantee that such stability will be maintained in the future.
Significant portions of the Chinese securities markets may become
rapidly illiquid because Chinese issuers have the ability to suspend
the trading of their equity securities under certain circumstances, and
have shown a willingness to exercise that option in response to
market volatility, epidemics, pandemics, adverse economic, market or
political events, and other events. Political, regulatory and diplomatic
events, such as the U.S.-China “trade war” that intensified in 2018,
could have an adverse effect on the Chinese or Hong Kong economies
and on related investments. In addition, U.S. or foreign government
restrictions on investments in Chinese companies or other
intervention could negatively affect the implementation of the
Portfolio's investment strategies, such as by precluding the Portfolio
from making certain investments or causing the Portfolio to sell
investments at disadvantageous times.
Investing through Stock Connect: Shares in mainland China-based
companies that trade on Chinese stock exchanges such as the
Shanghai Stock Exchange and the Shenzhen Stock Exchange (“China
A-Shares”) may be purchased directly or indirectly through the
Shanghai-Hong Kong Stock Connect (“Stock Connect”), a mutual
market access program designed to, among other things, enable
foreign investment in the People’s Republic of China (“PRC”) via
brokers in Hong Kong. There are significant risks inherent in investing
in China A-Shares through Stock Connect. The underdeveloped state
of PRC’s investment and banking systems subjects the settlement,
clearing, and registration of China A-Shares transactions to
heightened risks. Stock Connect can only operate when both PRC and
Hong Kong markets are open for trading and when banking services
are available in both markets on the corresponding settlement days.
As such, if either or both markets are closed on a U.S. trading day,
the Portfolio may not be able to dispose of its China A-Shares in a
timely manner, which could adversely affect the Portfolio’s
performance.
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Commodities: Commodity prices can have significant volatility, and
exposure to commodities can cause the net asset value of the
Portfolio’s shares to decline or fluctuate in a rapid and unpredictable
manner. A liquid secondary market may not exist for certain
commodity-related investments, which may make it difficult for the
Portfolio to sell them at a desirable price or time.
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Company: The price of a company’s stock could decline or
underperform for many reasons, including, among others, poor
management, financial problems, reduced demand for the company’s
goods or services, regulatory fines and judgments, or business
challenges. If a company is unable to meet its financial obligations,
declares bankruptcy, or becomes insolvent, its stock could become
worthless.
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Credit: The Portfolio could lose money if the issuer or guarantor of a
debt instrument in which the Portfolio invests, or the counterparty to a
derivative contract the Portfolio entered into, is unable or unwilling, or
is perceived (whether by market participants, rating agencies, pricing
services, or otherwise) as unable or unwilling, to meet its financial
obligations.
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Risks
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Solution
Moderately
Conservative
|
Strategic
Allocation
Conservative
|
Solution
Conservative
|
Credit Default Swaps: The Portfolio may enter into credit default
swaps, either as a buyer or a seller of the swap. A buyer of a credit
default swap is generally obligated to pay the seller an upfront or a
periodic stream of payments over the term of the contract until a
credit event, such as a default, on a reference obligation has
occurred. If a credit event occurs, the seller generally must pay the
buyer the “par value” (full notional value) of the swap in exchange for
an equal face amount of deliverable obligations of the reference entity
described in the swap, or the seller may be required to deliver the
related net cash amount if the swap is cash settled. As a seller of a
credit default swap, the Portfolio would effectively add leverage to its
portfolio because, in addition to its total net assets, the Portfolio
would be subject to investment exposure on the full notional value of
the swap. Credit default swaps are particularly subject to
counterparty, credit, valuation, liquidity, and leveraging risks and the
risk that the swap may not correlate with its reference obligation as
expected. Certain standardized credit default swaps are subject to
mandatory central clearing. Central clearing is expected to reduce
counterparty credit risk and increase liquidity; however, there is no
assurance that it will achieve that result, and, in the meantime,
central clearing and related requirements expose the Portfolio to new
kinds of costs and risks. In addition, credit default swaps expose the
Portfolio to the risk of improper valuation.
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Currency: To the extent that the Portfolio invests directly or indirectly
in foreign (non-U.S.) currencies or in securities denominated in, or that
trade in, foreign (non-U.S.) currencies, it is subject to the risk that
those foreign (non-U.S.) currencies will decline in value relative to the
U.S. dollar or, in the case of hedging positions, that the U.S. dollar will
decline in value relative to the currency being hedged by the Portfolio
through foreign currency exchange transactions.
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Deflation: Deflation occurs when prices throughout the economy
decline over time—the opposite of inflation. Unless repayment of the
original bond principal upon maturity (as adjusted for inflation) is
guaranteed, when there is deflation, the principal and income of an
inflation-protected bond will decline and could result in losses.
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Derivative Instruments: Derivative instruments are subject to a
number of risks, including the risk of changes in the market price of
the underlying asset, reference rate, or index credit risk with respect
to the counterparty, risk of loss due to changes in market interest
rates, liquidity risk, valuation risk, and volatility risk. The amounts
required to purchase certain derivatives may be small relative to the
magnitude of exposure assumed by the Portfolio. Therefore, the
purchase of certain derivatives may have an economic leveraging
effect on the Portfolio and exaggerate any increase or decrease in the
net asset value. Derivatives may not perform as expected, so the
Portfolio may not realize the intended benefits. When used for
hedging purposes, the change in value of a derivative may not
correlate as expected with the asset, reference rate, or index being
hedged. When used as an alternative or substitute for direct cash
investment, the return provided by the derivative may not provide the
same return as direct cash investment.
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Risks
|
Solution
Moderately
Conservative
|
Strategic
Allocation
Conservative
|
Solution
Conservative
|
Environmental, Social, and Governance (Funds-of-Funds): The
Sub-Adviser’s consideration of ESG factors in selecting Underlying
Funds for investment by the Portfolio is based on information that is
not standardized, some of which can be qualitative and subjective by
nature. There is no minimum percentage of the Portfolio’s assets that
will be allocated to Underlying Funds on the basis of ESG factors, and
the Sub-Adviser may choose to select Underlying Funds on the basis
of factors or considerations other than ESG factors. It is possible that
the Portfolio will have less exposure to ESG-focused strategies than
other comparable mutual funds. There can be no assurance that an
Underlying Fund selected by the Sub-Adviser, which includes its
consideration of ESG factors, will provide more favorable investment
performance than another potential Underlying Fund, and such an
Underlying Fund may, in fact, underperform other potential Underlying
Funds.
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Floating Rate Loans: In the event a borrower fails to pay scheduled
interest or principal payments on a floating rate loan (which can
include certain bank loans), the Portfolio will experience a reduction in
its income and a decline in the market value of such floating rate
loan. If a floating rate loan is held by the Portfolio through another
financial institution, or the Portfolio relies upon another financial
institution to administer the loan, the receipt of scheduled interest or
principal payments may be subject to the credit risk of such financial
institution. Investors in floating rate loans may not be afforded the
protections of the anti-fraud provisions of the Securities Act of 1933,
as amended, and the Securities Exchange Act of 1934, as amended,
because loans may not be considered “securities” under such laws.
Additionally, the value of collateral, if any, securing a floating rate loan
can decline or may be insufficient to meet the borrower’s obligations
under the loan, and such collateral may be difficult to liquidate. No
active trading market may exist for many floating rate loans and many
floating rate loans are subject to restrictions on resale. Transactions
in loans typically settle on a delayed basis and may take longer than 7
days to settle. As a result, the Portfolio may not receive the proceeds
from a sale of a floating rate loan for a significant period of time.
Delay in the receipts of settlement proceeds may impair the ability of
the Portfolio to meet its redemption obligations, and may limit the
ability of the Portfolio to repay debt, pay dividends, or to take
advantage of new investment opportunities.
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Foreign (Non-U.S.) Investments/Developing and Emerging Markets:
Investing in foreign (non-U.S.) securities may result in the Portfolio
experiencing more rapid and extreme changes in value than a fund
that invests exclusively in securities of U.S. companies due, in part,
to: smaller markets; differing reporting, accounting, auditing, and
financial reporting standards and practices; nationalization,
expropriation, or confiscatory taxation; foreign currency fluctuations,
currency blockage, or replacement; potential for default on sovereign
debt; and political changes or diplomatic developments, which may
include the imposition of economic sanctions (or the threat of new or
modified sanctions) or other measures by the U.S. or other
governments and supranational organizations. Markets and
economies throughout the world are becoming increasingly
interconnected, and conditions or events in one market, country, or
region may adversely impact investments or issuers in another
market, country, or region. Foreign (non-U.S.) investment risks may be
greater in developing and emerging markets than in developed
markets.
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Risks
|
Solution
Moderately
Conservative
|
Strategic
Allocation
Conservative
|
Solution
Conservative
|
Growth Investing: Prices of growth-oriented stocks are more sensitive
to investor perceptions of the issuer’s growth potential and may fall
quickly and significantly if investors suspect that actual growth may be
less than expected. There is a risk that funds that invest in
growth-oriented stocks may underperform other funds that invest
more broadly. Growth-oriented stocks tend to be more volatile than
value-oriented stocks, and may underperform the market as a whole
over any given time period.
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High-Yield Securities: Lower-quality securities (including securities that
are or have fallen below investment grade and are classified as “junk
bonds” or “high-yield securities”) have greater credit risk and liquidity
risk than higher-quality (investment grade) securities, and their
issuers’ long-term ability to make payments is considered speculative.
Prices of lower-quality bonds or other debt instruments are also more
volatile, are more sensitive to negative news about the economy or
the issuer, and have greater liquidity risk and price volatility.
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Index Strategy (Funds-of-Funds): An Underlying Fund (or a portion of
the Underlying Fund) that seeks to track an index’s performance and
does not use defensive strategies or attempt to reduce its exposure
to poor performing securities in an index may underperform the
overall market (each, an “Underlying Index Fund”). To the extent an
Underlying Index Fund’s investments track its target index, such
Underlying Index Fund may underperform other funds that invest more
broadly. Errors in index data, index computations or the construction
of the index in accordance with its methodology may occur from time
to time and may not be identified and corrected by the index provider
for a period of time or at all, which may have an adverse impact on
the Portfolio. The correlation between an Underlying Index Fund’s
performance and index performance may be affected by the timing of
purchases and redemptions of the Underlying Index Fund’s shares.
The correlation between an Underlying Index Fund’s performance and
index performance will be reduced by the Underlying Index Fund’s
expenses and could be reduced by the timing of purchases and
redemptions of the Underlying Index Fund’s shares. In addition, an
Underlying Index Fund’s actual holdings might not match the index
and an Underlying Index Fund’s effective exposure to index securities
at any given time may not precisely correlate. When deciding between
Underlying Index Funds benchmarked to the same index, the manager
may not select the Underlying Index Fund with the lowest expenses. In
particular, when deciding between Underlying Index Funds
benchmarked to the same index, the manager will generally select an
affiliated Underlying Index Fund, even when the affiliated Underlying
Index Fund has higher expenses than an unaffiliated Underlying Index
Fund. When the Portfolio invests in an affiliated Underlying Index Fund
with higher expenses, the Portfolio’s performance will be lower than if
the Portfolio had invested in an Underlying Index Fund with
comparable performance but lower expenses (although any expense
limitation arrangements in place at the time might have the effect of
limiting or eliminating the amount of that underperformance). The
manager may select an unaffiliated Underlying Index Fund, including
an ETF, over an affiliated Underlying Index Fund benchmarked to the
same index when the manager believes making an investment in the
affiliated Underlying Index Fund would be disadvantageous to the
affiliated Underlying Index Fund, such as when the Portfolio is
investing on a short-term basis.
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Risks
|
Solution
Moderately
Conservative
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Strategic
Allocation
Conservative
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Solution
Conservative
|
Inflation-Indexed Bonds: If the index measuring inflation falls, the
principal value of inflation-indexed bonds will be adjusted downward,
and consequently, the interest payable on these bonds (calculated
with respect to a smaller principal amount) will be reduced. In
addition, inflation-indexed bonds are subject to the usual risks
associated with debt instruments, such as interest rate and credit
risk. Repayment of the original bond principal upon maturity (as
adjusted for inflation) is guaranteed in the case of U.S. Treasury
inflation-indexed bonds. For bonds that do not provide a similar
guarantee, the adjusted principal value of the bond repaid at maturity
may be less than the original principal.
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Interest in Loans: The value and the income streams of interests in
loans (including participation interests in lease financings and
assignments in secured variable or floating rate loans) will decline if
borrowers delay payments or fail to pay altogether. A significant rise in
market interest rates could increase this risk. Although loans may be
fully collateralized when purchased, such collateral may become
illiquid or decline in value.
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Interest Rate: A rise in market interest rates generally results in a fall
in the value of bonds and other debt instruments; conversely, values
generally rise as market interest rates fall. Interest rate risk is
generally greater for debt instruments than floating-rate instruments.
The higher the credit quality of the instrument, and the longer its
maturity or duration, the more sensitive it is to changes in market
interest rates. Duration is a measure of sensitivity of the price of a
debt instrument to a change in interest rate. As of the date of this
Information Statement/Prospectus, the U.S. has recently experienced
a rising market interest rate environment, which may increase the
Portfolio’s exposure to risks associated with rising market interest
rates. Rising market interest rates have unpredictable effects on the
markets and may expose debt and related markets to heightened
volatility. To the extent that the Portfolio invests in debt instruments,
an increase in market interest rates may lead to increased
redemptions and increased portfolio turnover, which could reduce
liquidity for certain investments, adversely affect values, and increase
costs. Increased redemptions may cause the Portfolio to liquidate
portfolio positions when it may not be advantageous to do so and may
lower returns. If dealer capacity in debt markets is insufficient for
market conditions, it may further inhibit liquidity and increase volatility
in debt markets. Further, recent and potential future changes in
government policy may affect interest rates. Negative or very low
interest rates could magnify the risks associated with changes in
interest rates. In general, changing interest rates, including rates that
fall below zero, could have unpredictable effects on markets and may
expose debt and related markets to heightened volatility. Changes to
monetary policy by the U.S. Federal Reserve Board or other regulatory
actions could expose debt and related markets to heightened
volatility, interest rate sensitivity, and reduced liquidity, which may
impact the Portfolio’s operations and return potential.
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Liquidity: If a security is illiquid, the Portfolio might be unable to sell
the security at a time when the Portfolio’s manager might wish to sell,
or at all. Further, the lack of an established secondary market may
make it more difficult to value illiquid securities, exposing the
Portfolio to the risk that the prices at which it sells illiquid securities
will be less than the prices at which they were valued when held by
the Portfolio, which could cause the Portfolio to lose money. The
prices of illiquid securities may be more volatile than more liquid
securities, and the risks associated with illiquid securities may be
greater in times of financial stress.
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Risks
|
Solution
Moderately
Conservative
|
Strategic
Allocation
Conservative
|
Solution
Conservative
|
Market: The market values of securities will fluctuate, sometimes
sharply and unpredictably, based on overall economic conditions,
governmental actions or intervention, market disruptions caused by
trade disputes or other factors, political developments, and other
factors. Prices of equity securities tend to rise and fall more
dramatically than those of debt instruments. Additionally, legislative,
regulatory, or tax policies or developments may adversely impact the
investment techniques available to a manager, add to costs and
impair the ability of the Portfolio to achieve its investment objectives.
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Market Capitalization: Stocks fall into three broad market
capitalization categories: large, mid, and small. Investing primarily in
one category carries the risk that, due to current market conditions,
that category may be out of favor with investors. If valuations of
large-capitalization companies appear to be greatly out of proportion
to the valuations of mid- or small-capitalization companies, investors
may migrate to the stocks of mid- and small-capitalization companies
causing a fund that invests in these companies to increase in value
more rapidly than a fund that invests in large-capitalization
companies. Investing in mid- and small-capitalization companies may
be subject to special risks associated with narrower product lines,
more limited financial resources, smaller management groups, more
limited publicly available information, and a more limited trading
market for their stocks as compared with large-capitalization
companies. As a result, stocks of mid- and small-capitalization
companies may be more volatile and may decline significantly in
market downturns.
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Risks
|
Solution
Moderately
Conservative
|
Strategic
Allocation
Conservative
|
Solution
Conservative
|
Market Disruption and Geopolitical: The Portfolio is subject to the risk
that geopolitical events will disrupt securities markets and adversely
affect global economies and markets. Due to the increasing
interdependence among global economies and markets, conditions in
one country, market, or region might adversely impact markets,
issuers and/or foreign exchange rates in other countries, including the
United States. Wars, terrorism, global health crises and pandemics,
and other geopolitical events that have led, and may continue to lead,
to increased market volatility and may have adverse short- or
long-term effects on U.S., and global economies and markets,
generally. For example, the COVID-19 pandemic has resulted, and may
continue to result, in significant market volatility, exchange
suspensions and closures, declines in global financial markets, higher
default rates, supply chain disruptions, and a substantial economic
downturn in economies throughout the world. The economic impacts
of COVID-19 have created a unique challenge for real estate markets.
Many businesses have either partially or fully transitioned to a
remote-working environment and this transition may negatively impact
the occupancy rates of commercial real estate over time. Natural and
environmental disasters and systemic market dislocations are also
highly disruptive to economies and markets. In addition, military
action by Russia in Ukraine has, and may continue to, adversely affect
global energy and financial markets and therefore could affect the
value of the Portfolio’s investments, including beyond the Portfolio’s
direct exposure to Russian issuers or nearby geographic regions. The
extent and duration of the military action, sanctions, and resulting
market disruptions are impossible to predict and could be substantial.
A number of U.S. domestic banks and foreign (non-U.S.) banks have
recently experienced financial difficulties and, in some cases, failures.
There can be no certainty that the actions taken by regulators to limit
the effect of those financial difficulties and failures on other banks or
other financial institutions or on the U.S. or foreign (non-U.S.)
economies generally will be successful. It is possible that more banks
or other financial institutions will experience financial difficulties or
fail, which may affect adversely other U.S. or foreign (non-U.S.)
financial institutions and economies. These events as well as other
changes in foreign (non-U.S.) and domestic economic, social, and
political conditions also could adversely affect individual issuers or
related groups of issuers, securities markets, interest rates, credit
ratings, inflation, investor sentiment, and other factors affecting the
value of the Portfolio’s investments. Any of these occurrences could
disrupt the operations of the Portfolio and of the Portfolio’s service
providers.
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Natural Resources/Commodity Securities: The operations and financial
performance of companies in natural resources industries may be
directly affected by commodity prices. This risk is exacerbated for
those natural resources companies that own the underlying
commodity.
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Prepayment and Extension: Many types of debt instruments are
subject to prepayment and extension risk. Prepayment risk is the risk
that the issuer of a debt instrument will pay back the principal earlier
than expected. This risk is heightened in a falling market interest rate
environment. Prepayment may expose the Portfolio to a lower rate of
return upon reinvestment of principal. Also, if a debt instrument
subject to prepayment has been purchased at a premium, the value of
the premium would be lost in the event of prepayment. Extension risk
is the risk that the issuer of a debt instrument will pay back the
principal later than expected. This risk is heightened in a rising market
interest rate environment. This may negatively affect performance, as
the value of the debt instrument decreases when principal payments
are made later than expected. Additionally, the Portfolio may be
prevented from investing proceeds it would have received at a given
time at the higher prevailing interest rates.
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Risks
|
Solution
Moderately
Conservative
|
Strategic
Allocation
Conservative
|
Solution
Conservative
|
Real Estate Companies and Real Estate Investment Trusts: Investing in
real estate companies and REITs may subject the Portfolio to risks
similar to those associated with the direct ownership of real estate,
including losses from casualty or condemnation, changes in local and
general economic conditions, supply and demand, market interest
rates, zoning laws, regulatory limitations on rents, property taxes,
overbuilding, high foreclosure rates, and operating expenses in
addition to terrorist attacks, wars, or other acts that destroy real
property. In addition, REITs may also be affected by tax and regulatory
requirements in that a REIT may not qualify for favorable tax treatment
or regulatory exemptions. Investments in REITs are affected by the
management skill of the REIT’s sponsor. The Portfolio will indirectly
bear its proportionate share of expenses, including management
fees, paid by each REIT in which it invests.
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Underlying Funds: Because the Portfolio invests primarily in Underlying
Funds, the investment performance of the Portfolio is directly related
to the investment performance of the Underlying Funds in which it
invests. When the Portfolio invests in an Underlying Fund, it is
exposed indirectly to the risks of a direct investment in the Underlying
Fund. If the Portfolio invests a significant portion of its assets in a
single Underlying Fund, it may be more susceptible to risks
associated with that Underlying Fund and its investments than if it
invested in a broader range of Underlying Funds. It is possible that
more than one Underlying Fund will hold securities of the same
issuers, thereby increasing the Portfolio’s indirect exposure to those
issuers. It also is possible that one Underlying Fund may be selling a
particular security when another is buying it, producing little or no
change in exposure but generating transaction costs and/or resulting
in realization of gains with no economic benefit. There can be no
assurance that the investment objective of any Underlying Fund will be
achieved. In addition, the Portfolio’s shareholders will indirectly bear
their proportionate share of the Underlying Funds’ fees and expenses,
in addition to the fees and expenses of the Portfolio itself.
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Value Investing: Securities that appear to be undervalued may never
appreciate to the extent expected. Further, because the prices of
value-oriented securities tend to correlate more closely with economic
cycles than growth-oriented securities, they generally are more
sensitive to changing economic conditions, such as changes in
market interest rates, corporate earnings and industrial production.
The manager may be wrong in its assessment of a company’s value
and the securities the Portfolio holds may not reach their full values.
Risks associated with value investing include that a security that is
perceived by the manager to be undervalued may actually be
appropriately priced and, thus, may not appreciate and provide
anticipated capital growth. The market may not favor value-oriented
securities and may not favor equities at all. During those periods, the
Portfolio’s relative performance may suffer. There is a risk that funds
that invest in value-oriented securities may underperform other funds
that invest more broadly.
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Risks
|
Strategic
Allocation Growth
|
Solution
Aggressive
|
Affiliated Underlying Funds: The Sub-Adviser’s selection of Underlying Funds presents
conflicts of interest. The net management fee revenue received or costs incurred by
the
Sub-Adviser and its affiliates will vary depending on the Underlying Funds it selects
for the
Portfolio, and the Sub-Adviser will have an incentive to select the Underlying Funds
(whether
or not affiliated with the Sub-Adviser) that will result in the greatest net management
fee
revenue or lowest costs to the Sub-Adviser and its affiliates, even if that results
in
increased expenses and potentially less favorable investment performance for the
Portfolio. The Sub-Adviser may prefer to invest in an affiliated Underlying Fund over
an
unaffiliated Underlying Fund because the investment may be beneficial to the Sub-Adviser
in managing the affiliated Underlying Fund by helping the affiliated Underlying Fund
achieve
economies of scale or by enhancing cash flows to the affiliated Underlying Fund. For
similar
reasons, the Sub-Adviser may have an incentive to delay or decide against the sale
of
interests held by the Portfolio in affiliated Underlying Funds, and the Sub-Adviser
may
implement Underlying Fund changes in a manner intended to minimize the disruptive
effects and added costs of those changes to affiliated Underlying Funds. Although
the
Portfolio may invest a portion of its assets in unaffiliated Underlying Funds, there
is no
assurance that it will do so even in cases where the unaffiliated Underlying Funds
incur
lower fees or have achieved better historical investment performance than the comparable
affiliated Underlying Funds.
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Asset Allocation: Investment performance depends on the manager’s skill in allocating
assets among the asset classes in which the Portfolio invests and in choosing investments
within those asset classes. There is a risk that the manager may allocate assets or
investments to or within an asset class that underperforms compared to other asset
classes or investments. The Portfolio may underperform funds that allocate their assets
differently than the Portfolio, due to differences in the relative performance of
asset
classes and subsets of asset classes.
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Bank Instruments: Bank instruments include certificates of deposit, fixed time deposits,
bankers’ acceptances, and other debt and deposit-type obligations issued by banks.
Changes in economic, regulatory, or political conditions, or other events that affect
the
banking industry may have an adverse effect on bank instruments or banking institutions
that serve as counterparties in transactions with the Portfolio. In the event of a
bank
insolvency or failure, the Portfolio may be considered a general creditor of the bank,
and it
might lose some or all of the funds deposited with the bank. Even where it is recognized
that a bank might be in danger of insolvency or failure, the Portfolio might not be
able to
withdraw or transfer its money from the bank in time to avoid any adverse effects
of the
insolvency or failure.
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Cash/Cash Equivalents: Investments in cash or cash equivalents may lower returns and
result in potential lost opportunities to participate in market appreciation which
could
negatively impact the Portfolio’s performance and ability to achieve its investment
objective.
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Risks
|
Strategic
Allocation Growth
|
Solution
Aggressive
|
China Investing Risks: The Chinese economy is generally considered an emerging and
volatile market. Although China has experienced a relatively stable political environment
in
recent years, there is no guarantee that such stability will be maintained in the
future.
Significant portions of the Chinese securities markets may become rapidly illiquid
because
Chinese issuers have the ability to suspend the trading of their equity securities
under
certain circumstances, and have shown a willingness to exercise that option in response
to
market volatility, epidemics, pandemics, adverse economic, market or political events,
and
other events. Political, regulatory and diplomatic events, such as the U.S.-China
“trade
war” that intensified in 2018, could have an adverse effect on the Chinese or Hong Kong
economies and on related investments. In addition, U.S. or foreign government restrictions
on investments in Chinese companies or other intervention could negatively affect
the
implementation of the Portfolio's investment strategies, such as by precluding the
Portfolio
from making certain investments or causing the Portfolio to sell investments at
disadvantageous times.
Investing through Stock Connect: Shares in mainland China-based companies that trade on
Chinese stock exchanges such as the Shanghai Stock Exchange and the Shenzhen Stock
Exchange (“China A-Shares”) may be purchased directly or indirectly through the
Shanghai-Hong Kong Stock Connect (“Stock Connect”), a mutual market access program
designed to, among other things, enable foreign investment in the People’s Republic of
China (“PRC”) via brokers in Hong Kong. There are significant risks inherent in investing in
China A-Shares through Stock Connect. The underdeveloped state of PRC’s investment and
banking systems subjects the settlement, clearing, and registration of China A-Shares
transactions to heightened risks. Stock Connect can only operate when both PRC and
Hong
Kong markets are open for trading and when banking services are available in both
markets on the corresponding settlement days. As such, if either or both markets are
closed on a U.S. trading day, the Portfolio may not be able to dispose of its China
A-Shares
in a timely manner, which could adversely affect the Portfolio’s performance.
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Commodities: Commodity prices can have significant volatility, and exposure to
commodities can cause the net asset value of the Portfolio’s shares to decline or fluctuate
in a rapid and unpredictable manner. A liquid secondary market may not exist for certain
commodity-related investments, which may make it difficult for the Portfolio to sell
them at
a desirable price or time.
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Company: The price of a company’s stock could decline or underperform for many reasons,
including, among others, poor management, financial problems, reduced demand for the
company’s goods or services, regulatory fines and judgments, or business challenges. If a
company is unable to meet its financial obligations, declares bankruptcy, or becomes
insolvent, its stock could become worthless.
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Credit: The Portfolio could lose money if the issuer or guarantor of a debt instrument in
which the Portfolio invests, or the counterparty to a derivative contract the Portfolio
entered
into, is unable or unwilling, or is perceived (whether by market participants, rating
agencies,
pricing services, or otherwise) as unable or unwilling, to meet its financial obligations.
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Credit Default Swaps: The Portfolio may enter into credit default swaps, either as a buyer or
a seller of the swap. A buyer of a credit default swap is generally obligated to pay
the seller
an upfront or a periodic stream of payments over the term of the contract until a
credit
event, such as a default, on a reference obligation has occurred. If a credit event
occurs,
the seller generally must pay the buyer the “par value” (full notional value) of the swap in
exchange for an equal face amount of deliverable obligations of the reference entity
described in the swap, or the seller may be required to deliver the related net cash
amount
if the swap is cash settled. As a seller of a credit default swap, the Portfolio would
effectively add leverage to its portfolio because, in addition to its total net assets,
the
Portfolio would be subject to investment exposure on the full notional value of the
swap.
Credit default swaps are particularly subject to counterparty, credit, valuation,
liquidity, and
leveraging risks and the risk that the swap may not correlate with its reference obligation
as expected. Certain standardized credit default swaps are subject to mandatory central
clearing. Central clearing is expected to reduce counterparty credit risk and increase
liquidity; however, there is no assurance that it will achieve that result, and, in
the
meantime, central clearing and related requirements expose the Portfolio to new kinds
of
costs and risks. In addition, credit default swaps expose the Portfolio to the risk
of
improper valuation.
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Currency: To the extent that the Portfolio invests directly or indirectly in foreign (non-U.S.)
currencies or in securities denominated in, or that trade in, foreign (non-U.S.) currencies,
it
is subject to the risk that those foreign (non-U.S.) currencies will decline in value
relative to
the U.S. dollar or, in the case of hedging positions, that the U.S. dollar will decline
in value
relative to the currency being hedged by the Portfolio through foreign currency exchange
transactions.
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Risks
|
Strategic
Allocation Growth
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Solution
Aggressive
|
Deflation: Deflation occurs when prices throughout the economy decline over time—the
opposite of inflation. Unless repayment of the original bond principal upon maturity
(as
adjusted for inflation) is guaranteed, when there is deflation, the principal and
income of an
inflation-protected bond will decline and could result in losses.
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Derivative Instruments: Derivative instruments are subject to a number of risks, including
the risk of changes in the market price of the underlying asset, reference rate, or
index
credit risk with respect to the counterparty, risk of loss due to changes in market
interest
rates, liquidity risk, valuation risk, and volatility risk. The amounts required to
purchase
certain derivatives may be small relative to the magnitude of exposure assumed by
the
Portfolio. Therefore, the purchase of certain derivatives may have an economic leveraging
effect on the Portfolio and exaggerate any increase or decrease in the net asset value.
Derivatives may not perform as expected, so the Portfolio may not realize the intended
benefits. When used for hedging purposes, the change in value of a derivative may
not
correlate as expected with the asset, reference rate, or index being hedged. When
used as
an alternative or substitute for direct cash investment, the return provided by the
derivative
may not provide the same return as direct cash investment.
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Environmental, Social, and Governance (Funds-of-Funds): The Sub-Adviser’s consideration of
ESG factors in selecting Underlying Funds for investment by the Portfolio is based
on
information that is not standardized, some of which can be qualitative and subjective
by
nature. There is no minimum percentage of the Portfolio’s assets that will be allocated to
Underlying Funds on the basis of ESG factors, and the Sub-Adviser may choose to select
Underlying Funds on the basis of factors or considerations other than ESG factors.
It is
possible that the Portfolio will have less exposure to ESG-focused strategies than
other
comparable mutual funds. There can be no assurance that an Underlying Fund selected
by
the Sub-Adviser, which includes its consideration of ESG factors, will provide more
favorable
investment performance than another potential Underlying Fund, and such an Underlying
Fund may, in fact, underperform other potential Underlying Funds.
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Floating Rate Loans: In the event a borrower fails to pay scheduled interest or principal
payments on a floating rate loan (which can include certain bank loans), the Portfolio
will
experience a reduction in its income and a decline in the market value of such floating
rate
loan. If a floating rate loan is held by the Portfolio through another financial institution,
or
the Portfolio relies upon another financial institution to administer the loan, the
receipt of
scheduled interest or principal payments may be subject to the credit risk of such
financial
institution. Investors in floating rate loans may not be afforded the protections
of the
anti-fraud provisions of the Securities Act of 1933, as amended, and the Securities
Exchange Act of 1934, as amended, because loans may not be considered “securities”
under such laws. Additionally, the value of collateral, if any, securing a floating
rate loan can
decline or may be insufficient to meet the borrower’s obligations under the loan, and such
collateral may be difficult to liquidate. No active trading market may exist for many
floating
rate loans and many floating rate loans are subject to restrictions on resale. Transactions
in loans typically settle on a delayed basis and may take longer than 7 days to settle.
As a
result, the Portfolio may not receive the proceeds from a sale of a floating rate
loan for a
significant period of time. Delay in the receipts of settlement proceeds may impair
the
ability of the Portfolio to meet its redemption obligations, and may limit the ability
of the
Portfolio to repay debt, pay dividends, or to take advantage of new investment
opportunities.
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Foreign (Non-U.S.) Investments/Developing and Emerging Markets: Investing in foreign
(non-U.S.) securities may result in the Portfolio experiencing more rapid and extreme
changes in value than a fund that invests exclusively in securities of U.S. companies
due,
in part, to: smaller markets; differing reporting, accounting, auditing, and financial
reporting standards and practices; nationalization, expropriation, or confiscatory
taxation;
foreign currency fluctuations, currency blockage, or replacement; potential for default
on
sovereign debt; and political changes or diplomatic developments, which may include
the
imposition of economic sanctions (or the threat of new or modified sanctions) or other
measures by the U.S. or other governments and supranational organizations. Markets
and
economies throughout the world are becoming increasingly interconnected, and conditions
or events in one market, country, or region may adversely impact investments or issuers
in
another market, country, or region. Foreign (non-U.S.) investment risks may be greater
in
developing and emerging markets than in developed markets.
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Growth Investing: Prices of growth-oriented stocks are more sensitive to investor
perceptions of the issuer’s growth potential and may fall quickly and significantly if
investors suspect that actual growth may be less than expected. There is a risk that
funds
that invest in growth-oriented stocks may underperform other funds that invest more
broadly. Growth-oriented stocks tend to be more volatile than value-oriented stocks,
and
may underperform the market as a whole over any given time period.
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Risks
|
Strategic
Allocation Growth
|
Solution
Aggressive
|
High-Yield Securities: Lower-quality securities (including securities that are or have fallen
below investment grade and are classified as “junk bonds” or “high-yield securities”) have
greater credit risk and liquidity risk than higher-quality (investment grade) securities,
and
their issuers’ long-term ability to make payments is considered speculative. Prices of
lower-quality bonds or other debt instruments are also more volatile, are more sensitive
to
negative news about the economy or the issuer, and have greater liquidity risk and
price
volatility.
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Index Strategy (Funds-of-Funds): An Underlying Fund (or a portion of the Underlying Fund)
that seeks to track an index’s performance and does not use defensive strategies or
attempt to reduce its exposure to poor performing securities in an index may underperform
the overall market (each, an “Underlying Index Fund”). To the extent an Underlying Index
Fund’s investments track its target index, such Underlying Index Fund may underperform
other funds that invest more broadly. Errors in index data, index computations or
the
construction of the index in accordance with its methodology may occur from time to
time
and may not be identified and corrected by the index provider for a period of time
or at all,
which may have an adverse impact on the Portfolio. The correlation between an Underlying
Index Fund’s performance and index performance may be affected by the timing of
purchases and redemptions of the Underlying Index Fund’s shares. The correlation between
an Underlying Index Fund’s performance and index performance will be reduced by the
Underlying Index Fund’s expenses and could be reduced by the timing of purchases and
redemptions of the Underlying Index Fund’s shares. In addition, an Underlying Index Fund’s
actual holdings might not match the index and an Underlying Index Fund’s effective
exposure to index securities at any given time may not precisely correlate. When deciding
between Underlying Index Funds benchmarked to the same index, the manager may not
select the Underlying Index Fund with the lowest expenses. In particular, when deciding
between Underlying Index Funds benchmarked to the same index, the manager will
generally select an affiliated Underlying Index Fund, even when the affiliated Underlying
Index Fund has higher expenses than an unaffiliated Underlying Index Fund. When the
Portfolio invests in an affiliated Underlying Index Fund with higher expenses, the Portfolio’s
performance will be lower than if the Portfolio had invested in an Underlying Index
Fund
with comparable performance but lower expenses (although any expense limitation
arrangements in place at the time might have the effect of limiting or eliminating
the
amount of that underperformance). The manager may select an unaffiliated Underlying
Index Fund, including an ETF, over an affiliated Underlying Index Fund benchmarked
to the
same index when the manager believes making an investment in the affiliated Underlying
Index Fund would be disadvantageous to the affiliated Underlying Index Fund, such
as when
the Portfolio is investing on a short-term basis.
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✔
|
✔
|
Inflation-Indexed Bonds: If the index measuring inflation falls, the principal value of
inflation-indexed bonds will be adjusted downward, and consequently, the interest
payable
on these bonds (calculated with respect to a smaller principal amount) will be reduced.
In
addition, inflation-indexed bonds are subject to the usual risks associated with debt
instruments, such as interest rate and credit risk. Repayment of the original bond
principal
upon maturity (as adjusted for inflation) is guaranteed in the case of U.S. Treasury
inflation-indexed bonds. For bonds that do not provide a similar guarantee, the adjusted
principal value of the bond repaid at maturity may be less than the original principal.
|
|
✔
|
Interest in Loans: The value and the income streams of interests in loans (including
participation interests in lease financings and assignments in secured variable or
floating
rate loans) will decline if borrowers delay payments or fail to pay altogether. A
significant
rise in market interest rates could increase this risk. Although loans may be fully
collateralized when purchased, such collateral may become illiquid or decline in value.
|
✔
|
|
Risks
|
Strategic
Allocation Growth
|
Solution
Aggressive
|
Interest Rate: A rise in market interest rates generally results in a fall in the value of bonds
and other debt instruments; conversely, values generally rise as market interest rates
fall.
Interest rate risk is generally greater for debt instruments than floating-rate instruments.
The higher the credit quality of the instrument, and the longer its maturity or duration,
the
more sensitive it is to changes in market interest rates. Duration is a measure of
sensitivity
of the price of a debt instrument to a change in interest rate. As of the date of
this
Information Statement/Prospectus, the U.S. has recently experienced a rising market
interest rate environment, which may increase the Portfolio’s exposure to risks associated
with rising market interest rates. Rising market interest rates have unpredictable
effects on
the markets and may expose debt and related markets to heightened volatility. To the
extent that the Portfolio invests in debt instruments, an increase in market interest
rates
may lead to increased redemptions and increased portfolio turnover, which could reduce
liquidity for certain investments, adversely affect values, and increase costs. Increased
redemptions may cause the Portfolio to liquidate portfolio positions when it may not
be
advantageous to do so and may lower returns. If dealer capacity in debt markets is
insufficient for market conditions, it may further inhibit liquidity and increase
volatility in
debt markets. Further, recent and potential future changes in government policy may
affect
interest rates. Negative or very low interest rates could magnify the risks associated
with
changes in interest rates. In general, changing interest rates, including rates that
fall below
zero, could have unpredictable effects on markets and may expose debt and related
markets to heightened volatility. Changes to monetary policy by the U.S. Federal Reserve
Board or other regulatory actions could expose debt and related markets to heightened
volatility, interest rate sensitivity, and reduced liquidity, which may impact the Portfolio’s
operations and return potential.
|
✔
|
✔
|
Liquidity: If a security is illiquid, the Portfolio might be unable to sell the security at
a time
when the Portfolio’s manager might wish to sell, or at all. Further, the lack of an
established secondary market may make it more difficult to value illiquid securities,
exposing the Portfolio to the risk that the prices at which it sells illiquid securities
will be
less than the prices at which they were valued when held by the Portfolio, which could
cause the Portfolio to lose money. The prices of illiquid securities may be more volatile
than more liquid securities, and the risks associated with illiquid securities may
be greater
in times of financial stress.
|
✔
|
✔
|
Market: The market values of securities will fluctuate, sometimes sharply and
unpredictably, based on overall economic conditions, governmental actions or intervention,
market disruptions caused by trade disputes or other factors, political developments,
and
other factors. Prices of equity securities tend to rise and fall more dramatically
than those
of debt instruments. Additionally, legislative, regulatory, or tax policies or developments
may adversely impact the investment techniques available to a manager, add to costs
and
impair the ability of the Portfolio to achieve its investment objectives.
|
✔
|
✔
|
Market Capitalization: Stocks fall into three broad market capitalization categories: large,
mid, and small. Investing primarily in one category carries the risk that, due to
current
market conditions, that category may be out of favor with investors. If valuations
of
large-capitalization companies appear to be greatly out of proportion to the valuations
of
mid- or small-capitalization companies, investors may migrate to the stocks of mid-
and
small-capitalization companies causing a fund that invests in these companies to increase
in value more rapidly than a fund that invests in large-capitalization companies.
Investing in
mid- and small-capitalization companies may be subject to special risks associated
with
narrower product lines, more limited financial resources, smaller management groups,
more limited publicly available information, and a more limited trading market for
their
stocks as compared with large-capitalization companies. As a result, stocks of mid-
and
small-capitalization companies may be more volatile and may decline significantly
in market
downturns.
|
✔
|
✔
|
Risks
|
Strategic
Allocation Growth
|
Solution
Aggressive
|
Market Disruption and Geopolitical: The Portfolio is subject to the risk that geopolitical
events will disrupt securities markets and adversely affect global economies and markets.
Due to the increasing interdependence among global economies and markets, conditions
in
one country, market, or region might adversely impact markets, issuers and/or foreign
exchange rates in other countries, including the United States. Wars, terrorism, global
health crises and pandemics, and other geopolitical events that have led, and may
continue
to lead, to increased market volatility and may have adverse short- or long-term effects
on
U.S., and global economies and markets, generally. For example, the COVID-19 pandemic
has resulted, and may continue to result, in significant market volatility, exchange
suspensions and closures, declines in global financial markets, higher default rates,
supply
chain disruptions, and a substantial economic downturn in economies throughout the
world. The economic impacts of COVID-19 have created a unique challenge for real estate
markets. Many businesses have either partially or fully transitioned to a remote-working
environment and this transition may negatively impact the occupancy rates of commercial
real estate over time. Natural and environmental disasters and systemic market
dislocations are also highly disruptive to economies and markets. In addition, military
action by Russia in Ukraine has, and may continue to, adversely affect global energy
and
financial markets and therefore could affect the value of the Portfolio’s investments,
including beyond the Portfolio’s direct exposure to Russian issuers or nearby geographic
regions. The extent and duration of the military action, sanctions, and resulting
market
disruptions are impossible to predict and could be substantial. A number of U.S. domestic
banks and foreign (non-U.S.) banks have recently experienced financial difficulties
and, in
some cases, failures. There can be no certainty that the actions taken by regulators
to limit
the effect of those financial difficulties and failures on other banks or other financial
institutions or on the U.S. or foreign (non-U.S.) economies generally will be successful.
It is
possible that more banks or other financial institutions will experience financial
difficulties
or fail, which may affect adversely other U.S. or foreign (non-U.S.) financial institutions
and
economies. These events as well as other changes in foreign (non-U.S.) and domestic
economic, social, and political conditions also could adversely affect individual
issuers or
related groups of issuers, securities markets, interest rates, credit ratings, inflation,
investor sentiment, and other factors affecting the value of the Portfolio’s investments. Any
of these occurrences could disrupt the operations of the Portfolio and of the Portfolio’s
service providers.
|
✔
|
✔
|
Natural Resources/Commodity Securities: The operations and financial performance of
companies in natural resources industries may be directly affected by commodity prices.
This risk is exacerbated for those natural resources companies that own the underlying
commodity.
|
|
✔
|
Prepayment and Extension: Many types of debt instruments are subject to prepayment and
extension risk. Prepayment risk is the risk that the issuer of a debt instrument will
pay back
the principal earlier than expected. This risk is heightened in a falling market interest
rate
environment. Prepayment may expose the Portfolio to a lower rate of return upon
reinvestment of principal. Also, if a debt instrument subject to prepayment has been
purchased at a premium, the value of the premium would be lost in the event of
prepayment. Extension risk is the risk that the issuer of a debt instrument will pay
back the
principal later than expected. This risk is heightened in a rising market interest
rate
environment. This may negatively affect performance, as the value of the debt instrument
decreases when principal payments are made later than expected. Additionally, the
Portfolio may be prevented from investing proceeds it would have received at a given
time
at the higher prevailing interest rates.
|
✔
|
✔
|
Real Estate Companies and Real Estate Investment Trusts: Investing in real estate
companies and REITs may subject the Portfolio to risks similar to those associated
with the
direct ownership of real estate, including losses from casualty or condemnation, changes
in
local and general economic conditions, supply and demand, market interest rates, zoning
laws, regulatory limitations on rents, property taxes, overbuilding, high foreclosure
rates,
and operating expenses in addition to terrorist attacks, wars, or other acts that
destroy real
property. In addition, REITs may also be affected by tax and regulatory requirements
in that
a REIT may not qualify for favorable tax treatment or regulatory exemptions. Investments
in
REITs are affected by the management skill of the REIT’s sponsor. The Portfolio will
indirectly bear its proportionate share of expenses, including management fees, paid
by
each REIT in which it invests.
|
✔
|
✔
|
Risks
|
Strategic
Allocation Growth
|
Solution
Aggressive
|
Underlying Funds: Because the Portfolio invests primarily in Underlying Funds, the
investment performance of the Portfolio is directly related to the investment performance
of the Underlying Funds in which it invests. When the Portfolio invests in an Underlying
Fund, it is exposed indirectly to the risks of a direct investment in the Underlying
Fund. If
the Portfolio invests a significant portion of its assets in a single Underlying Fund,
it may
be more susceptible to risks associated with that Underlying Fund and its investments
than
if it invested in a broader range of Underlying Funds. It is possible that more than
one
Underlying Fund will hold securities of the same issuers, thereby increasing the Portfolio’s
indirect exposure to those issuers. It also is possible that one Underlying Fund may
be
selling a particular security when another is buying it, producing little or no change
in
exposure but generating transaction costs and/or resulting in realization of gains
with no
economic benefit. There can be no assurance that the investment objective of any
Underlying Fund will be achieved. In addition, the Portfolio’s shareholders will indirectly
bear their proportionate share of the Underlying Funds’ fees and expenses, in addition to
the fees and expenses of the Portfolio itself.
|
✔
|
✔
|
Value Investing: Securities that appear to be undervalued may never appreciate to the
extent expected. Further, because the prices of value-oriented securities tend to
correlate
more closely with economic cycles than growth-oriented securities, they generally
are more
sensitive to changing economic conditions, such as changes in market interest rates,
corporate earnings and industrial production. The manager may be wrong in its assessment
of a company’s value and the securities the Portfolio holds may not reach their full values.
Risks associated with value investing include that a security that is perceived by
the
manager to be undervalued may actually be appropriately priced and, thus, may not
appreciate and provide anticipated capital growth. The market may not favor value-oriented
securities and may not favor equities at all. During those periods, the Portfolio’s relative
performance may suffer. There is a risk that funds that invest in value-oriented securities
may underperform other funds that invest more broadly.
|
✔
|
✔
|
Balanced
|
Balanced Income
|
Diversification:
The Portfolio may not purchase securities of any issuer if, as a
result, with respect to 75% of the Portfolio’s total assets, more
than 5% of the value of its total assets would be invested in the
securities of any one issuer or the Portfolio’s ownership would be
more than 10% of the outstanding voting securities of any issuer,
provided that this restriction does not limit the Portfolio’s
investments in securities issued or guaranteed by the U.S.
government, its agencies and instrumentalities, or investments in
securities of other registered management investment companies.
|
Diversification:
The Portfolio may not purchase securities of any issuer if, as a
result, with respect to 75% of the Portfolio’s total assets, more
than 5% of the value of its total assets would be invested in the
securities of any one issuer or the Portfolio’s ownership would be
more than 10% of the outstanding voting securities of any issuer,
provided that this restriction does not limit the Portfolio’s
investments in securities issued or guaranteed by the U.S.
government, its agencies and instrumentalities, or investments in
securities of other investment companies. For purposes of the
Portfolio’s fundamental policy, with respect to the exception for
“securities of other investment companies”, the Portfolio will apply
that exception as applying only to the securities of other
investment companies that are registered under the Investment
Company Act of 1940, as amended.
|
Balanced
|
Balanced Income
|
Concentration:
The Portfolio may not purchase any securities which would cause
25% or more of the value of its total assets at the time of
purchase to be invested in securities of one or more issuers
conducting their principal business activities in the same industry,
provided that: (i) there is no limitation with respect to obligations
issued or guaranteed by the U.S. government, any state or
territory of the United States, or any of their agencies,
instrumentalities, or political subdivisions; and (ii) notwithstanding
this limitation or any other fundamental investment limitation,
assets may be invested in the securities of one or more registered
management investment companies to the extent permitted by the
1940 Act, the rules and regulations thereunder and any exemptive
relief obtained by the Portfolio.
|
Concentration:
The Portfolio may not purchase any securities which would cause
25% or more of the value of its total assets at the time of
purchase to be invested in securities of one or more issuers
conducting their principal business activities in the same industry,
provided that: (i) there is no limitation with respect to obligations
issued or guaranteed by the U.S. government, any state or
territory of the United States, or any of their agencies,
instrumentalities, or political subdivisions; and (ii) notwithstanding
this limitation or any other fundamental investment limitation,
assets may be invested in the securities of one or more
management investment companies to the extent permitted by the
1940 Act, including the rules and regulations thereunder, and any
exemptive relief obtained by the Portfolio. For purposes the
Portfolio’s fundamental policy number (ii), with respect to the
exception for “securities of one or more management investment
companies”, the Portfolio will apply that exception as applying only
to the securities of one or more management investment
companies that are registered under the Investment Company Act
of 1940, as amended.
|
Making Loans:
The Portfolio may not make loans, except to the extent permitted
under the 1940 Act, including the rules, regulations,
interpretations and any exemptive relief obtained by the Portfolio.
|
Making Loans:
The Portfolio may not make loans, except to the extent permitted
under the 1940 Act, including the rules, regulations,
interpretations, and any exemptive relief obtained by the Portfolio.
For purposes of this limitation, entering into repurchase
agreements, lending securities, and acquiring debt securities are
not deemed to be making of loans.
|
Issuing Senior Securities:
The Portfolio may not issue senior securities except to the extent
permitted by the 1940 Act, the rules and regulations thereunder
and any exemptive relief obtained by the Portfolio.
|
Issuing Senior Securities:
Same.
|
Purchasing or Selling Real Estate:
The Portfolio may not purchase or sell real estate, except that the
Portfolio may: (i) acquire or lease office space for its own use; (ii)
invest in securities of issuers that invest in real estate or interests
therein; (iii) invest in mortgage-related securities and other
securities that are secured by real estate or interests therein; or
(iv) hold and sell real estate acquired by the Portfolio as a result
of the ownership of securities
|
Purchasing or Selling Real Estate:
Same.
|
Purchasing or Selling Commodities:
The Portfolio may not purchase or sell physical commodities,
unless acquired as a result of ownership of securities or other
instruments (but this shall not prevent the Portfolio from
purchasing or selling options and futures contracts or from
investing in securities or other instruments backed by physical
commodities). This limitation does not apply to foreign currency
transactions, including, without limitation, forward currency
contracts.
|
Purchasing or Selling Commodities:
Same.
|
Borrowing:
The Portfolio may not borrow money, except to the extent
permitted under the 1940 Act, including the rules, regulations,
interpretations thereunder and any exemptive relief obtained by
the Portfolio.
|
Borrowing:
Same.
|
Balanced
|
Balanced Income
|
Underwriting Securities:
The Portfolio may not underwrite any issue of securities within the
meaning of the 1933 Act except when it might technically be
deemed to be an underwriter either: (i) in connection with the
disposition of a portfolio security; or (ii) in connection with the
purchase of securities directly from the issuer thereof in
accordance with its investment objective. This restriction shall not
limit the Portfolio’s ability to invest in securities issued by other
registered management investment companies.
|
Underwriting Securities:
Same.
|
Strategic Allocation Conservative
|
Solution Moderately Conservative
|
Solution Conservative
|
Diversification:
The Portfolio may not purchase securities of
any issuer if, as a result, with respect to 75%
of the Portfolio’s total assets, more than 5%
of the value of its total assets would be
invested in the securities of any one issuer
or the Portfolio’s ownership would be more
than 10% of the outstanding voting securities
of any issuer, provided that this restriction
does not limit the Portfolio’s investments in
securities issued or guaranteed by the U.S.
government, its agencies, and
instrumentalities, or investments in
securities of other registered management
investment companies.
|
Diversification:
The Portfolio may not with respect to 75%
of the Portfolio’s total assets, purchase
the securities of any issuer (other than
securities issued or guaranteed by the
U.S. government or any of its agencies or
instrumentalities, or securities of other
investment companies), if as a result: (a)
more than 5% of the Portfolio’s total
assets would be invested in the securities
of that issuer; or (b) the Portfolio would
hold more than 10% of the outstanding
voting securities of that issuer.
|
Diversification:
The Portfolio may not purchase securities of
any issuer if, as a result, with respect to 75%
of the Portfolio’s total assets, more than 5%
of the value of its total assets would be
invested in the securities of any one issuer
or the Portfolio’s ownership would be more
than 10% of the outstanding voting securities
of any issuer, provided that this restriction
does not limit the Portfolio’s investments in
securities issued or guaranteed by the U.S.
government, its agencies and
instrumentalities, or investments in
securities of other investment companies.
For purposes of the Portfolio’s fundamental
policy, with respect to the exception for
“securities of other investment companies”,
the Portfolio will apply that exception as
applying only to the securities of other
investment companies that are registered
under the Investment Company Act of 1940,
as amended.
|
Strategic Allocation Conservative
|
Solution Moderately Conservative
|
Solution Conservative
|
Concentration:
The Portfolio may not purchase any
securities which would cause 25% or more of
the value of its total assets at the time of
purchase to be invested in securities of one
or more issuers conducting their principal
business activities in the same industry,
provided that: (i) there is no limitation with
respect to obligations issued or guaranteed
by the U.S. government, any state or territory
of the United States, or tax exempt securities
issued by any of their agencies,
instrumentalities, or political subdivisions;
and (ii) notwithstanding this limitation or any
other fundamental investment limitation,
assets may be invested in the securities of
one or more registered management
investment companies to the extent
permitted by the 1940 Act, the rules and
regulations thereunder and any exemptive
relief obtained by the Portfolio.
|
Concentration:
The Portfolio may not “concentrate” its
investments in a particular industry, as
that term is used in the 1940 Act and as
interpreted, modified or otherwise
permitted by any regulatory authority
having jurisdiction from time to time. This
limitation will not apply to the Portfolio’s
investments in: (i) securities of other
investment companies; (ii) securities
issued or guaranteed as to principal
and/or interest by the U.S. government,
its agencies or instrumentalities; or (iii)
repurchase agreements (collateralized by
securities issued by the U.S. government,
its agencies, or instrumentalities).
|
Concentration:
The Portfolio may not purchase any
securities which would cause 25% or more of
the value of its total assets at the time of
purchase to be invested in securities of one
or more issuers conducting their principal
business activities in the same industry,
provided that: (a) there is no limitation with
respect to obligations issued or guaranteed
by the U.S. government, or tax exempt
securities issued by any state or territory of
the U.S., or any of their agencies,
instrumentalities, or political subdivisions;
and (b) notwithstanding this limitation or any
other fundamental investment limitation,
assets may be invested in the securities of
one or more management investment
companies to the extent permitted by the
1940 Act, the rules and regulations
thereunder and any exemptive relief obtained
by the Portfolio. For purposes of the
Portfolio’s fundamental policy, the Portfolio
will apply the stated policy as if it applies to
tax exempt securities issued by any state or
territory of the U.S. unless such securities
are otherwise excepted from the stated
limitation (e.g., because they are obligations
issued or guaranteed by the U.S. government
or any of its agencies, instrumentalities, or
political subdivisions). For purposes of the
Portfolio’s fundamental policy (b), with
respect to the exception for “securities of
one or more management investment
companies”, the Portfolio will apply that
exception as applying only to the securities of
one or more management investment
companies that are registered under the
Investment Company Act of 1940, as
amended.
|
Making Loans:
The Portfolio may not make loans, except to
the extent permitted under the 1940 Act,
including the rules, regulations,
interpretations thereunder, and any
exemptive relief obtained by the Portfolio.
|
Making Loans:
The Portfolio may not make loans, except
to the extent permitted under the 1940
Act, including the rules, regulations,
interpretations and any orders obtained
thereunder. For the purposes of this
limitation, entering into repurchase
agreements, lending securities and
acquiring debt securities are not deemed
to be making of loans.
|
Making Loans:
The Portfolio may not make loans, except to
the extent permitted under the 1940 Act,
including the rules, regulations,
interpretations and any exemptive relief
obtained by the Portfolio. For the purposes of
this limitation, entering into repurchase
agreements, lending securities and acquiring
debt securities are not deemed to be making
of loans.
|
Strategic Allocation Conservative
|
Solution Moderately Conservative
|
Solution Conservative
|
Issuing Senior Securities:
The Portfolio may not issue senior securities
except to the extent permitted by the 1940
Act, the rules and regulations thereunder and
any exemptive relief obtained by the
Portfolio.
|
Issuing Senior Securities:
The Portfolio may not issue any senior
security (as defined in the 1940 Act),
except that: (i) the Portfolio may enter into
commitments to purchase securities in
accordance with the Portfolio’s
investment program, including reverse
repurchase agreements, delayed delivery
and when-issued securities, which may be
considered the issuance of senior
securities; (ii) the Portfolio may engage in
transactions that may result in the
issuance of a senior security to the extent
permitted under the 1940 Act, including
the rules, regulations, interpretations and
any orders obtained thereunder; (iii) the
Portfolio may engage in short sales of
securities to the extent permitted in its
investment program and other
restrictions; and (iv) the purchase of sale
of futures contracts and related options
shall not be considered to involve the
issuance of senior securities.
|
Issuing Senior Securities:
Same as Strategic Allocation Conservative.
|
Purchasing or Selling Real Estate:
The Portfolio may not purchase or sell real
estate, except that the Portfolio may: (i)
acquire or lease office space for its own use;
(ii) invest in securities of issuers that invest
in real estate or interests therein; (iii) invest
in mortgage-related securities and other
securities that are secured by real estate or
interests therein; or (iv) hold and sell real
estate acquired by the Portfolio as a result of
the ownership of securities.
|
Purchasing or Selling Real Estate:
Same.
|
Purchasing or Selling Real Estate:
Same.
|
Purchasing or Selling Commodities:
The Portfolio may not purchase or sell
physical commodities, unless acquired as a
result of ownership of securities or other
instruments (but this shall not prevent the
Portfolio from purchasing or selling options
and futures contracts or from investing in
securities or other instruments backed by
physical commodities). This limitation does
not apply to foreign currency transactions,
including, without limitation, forward currency
contracts.
|
Purchasing or Selling Commodities:
The Portfolio may not purchase or sell
physical commodities, unless acquired as
a result of ownership of securities or other
instruments (but this shall not prevent the
Portfolio from purchasing or selling
options and futures contracts or from
investing in securities or other
instruments backed by physical
commodities).
|
Purchasing or Selling Commodities:
Same as Strategic Allocation Conservative.
|
Borrowing:
The Portfolio may not borrow money, except
to the extent permitted under the 1940 Act,
including the rules, regulations,
interpretations thereunder, and any
exemptive relief obtained by the Portfolio.
|
Borrowing:
The Portfolio may not borrow money,
except to the extent permitted under the
1940 Act, including the rules, regulations,
interpretations and any orders obtained
thereunder.
|
Borrowing:
Same as Strategic Allocation Conservative.
|
Strategic Allocation Conservative
|
Solution Moderately Conservative
|
Solution Conservative
|
Underwriting Securities:
The Portfolio may not underwrite any issue of
securities within the meaning of the under
the 1933 Act except when it might technically
be deemed to be an underwriter either: (i) in
connection with the disposition of a portfolio
security; or (ii) in connection with the
purchase of securities directly from the
issuer thereof in accordance with its
investment objective. This restriction shall
not limit the Portfolio’s ability to invest in
securities issued by other registered
management investment companies.
|
Underwriting Securities:
The Portfolio may not act as an
underwriter of securities except to the
extent that, in connection with the
disposition of securities by the Portfolio
for its portfolio, the Portfolio may be
deemed to be an underwriter under
applicable law.
|
Underwriting Securities:
Same as Strategic Allocation Conservative.
|
Other:
In implementing its fundamental objectives
and policies, the Portfolio will look through to
the investments of the Underlying Funds.
|
No corresponding fundamental policy
|
No corresponding fundamental policy
|
Strategic Allocation Growth
|
Solution Aggressive
|
Diversification:
The Portfolio may not purchase securities of any issuer if, as a
result, with respect to 75% of the Portfolio’s total assets, more
than 5% of the value of its total assets would be invested in the
securities of any one issuer or the Portfolio’s ownership would be
more than 10% of the outstanding voting securities of any issuer,
provided that this restriction does not limit the Portfolio’s
investments in securities issued or guaranteed by the U.S.
government, its agencies, and instrumentalities, or investments in
securities of other registered management investment companies.
|
Diversification:
The Portfolio may not purchase securities of any issuer if, as a
result, with respect to 75% of the Portfolio’s total assets, more
than 5% of the value of its total assets would be invested in the
securities of any one issuer or the Portfolio’s ownership would be
more than 10% of the outstanding voting securities of any issuer,
provided that this restriction does not limit the Portfolio’s
investments in securities issued or guaranteed by the U.S.
government, its agencies and instrumentalities, or investments in
securities of other investment companies. For purposes of the
Portfolio’s fundamental policy, with respect to the exception for
“securities of other investment companies”, the Portfolio will apply
that exception as applying only to the securities of other
investment companies that are registered under the Investment
Company Act of 1940, as amended.
|
Concentration:
The Portfolio may not purchase any securities which would cause
25% or more of the value of its total assets at the time of
purchase to be invested in securities of one or more issuers
conducting their principal business activities in the same industry,
provided that: (i) there is no limitation with respect to obligations
issued or guaranteed by the U.S. government, any state or
territory of the United States, or tax exempt securities issued by
any of their agencies, instrumentalities, or political subdivisions;
and (ii) notwithstanding this limitation or any other fundamental
investment limitation, assets may be invested in the securities of
one or more registered management investment companies to the
extent permitted by the 1940 Act, the rules and regulations
thereunder and any exemptive relief obtained by the Portfolio.
|
Concentration:
The Portfolio may not purchase any securities which would cause
25% or more of the value of its total assets at the time of
purchase to be invested in securities of one or more issuers
conducting their principal business activities in the same industry,
provided that: (a) there is no limitation with respect to obligations
issued or guaranteed by the U.S. government, or tax exempt
securities issued by any state or territory of the U.S., or any of
their agencies, instrumentalities, or political subdivisions; and (b)
notwithstanding this limitation or any other fundamental
investment limitation, assets may be invested in the securities of
one or more management investment companies to the extent
permitted by the 1940 Act, the rules and regulations thereunder
and any exemptive relief obtained by the Portfolio. For purposes of
the Portfolio’s fundamental policy (b), with respect to the
exception for “securities of one or more management investment
companies”, the Portfolio will apply that exception as applying only
to the securities of one or more management investment
companies that are registered under the Investment Company Act
of 1940, as amended.
|
Making Loans:
The Portfolio may not make loans, except to the extent permitted
under the 1940 Act, including the rules, regulations,
interpretations thereunder, and any exemptive relief obtained by
the Portfolio.
|
Making Loans:
The Portfolio may not make loans, except to the extent permitted
under the 1940 Act, including the rules, regulations,
interpretations and any exemptive relief obtained by the Portfolio.
For the purposes of this limitation, entering into repurchase
agreements, lending securities and acquiring debt securities are
not deemed to be making of loans.
|
Strategic Allocation Growth
|
Solution Aggressive
|
Issuing Senior Securities:
The Portfolio may not issue senior securities except to the extent
permitted by the 1940 Act, the rules and regulations thereunder
and any exemptive relief obtained by the Portfolio.
|
Issuing Senior Securities:
Same.
|
Purchasing or Selling Real Estate:
The Portfolio may not purchase or sell real estate, except that the
Portfolio may: (i) acquire or lease office space for its own use; (ii)
invest in securities of issuers that invest in real estate or interests
therein; (iii) invest in mortgage-related securities and other
securities that are secured by real estate or interests therein; or
(iv) hold and sell real estate acquired by the Portfolio as a result
of the ownership of securities.
|
Purchasing or Selling Real Estate:
Same.
|
Purchasing or Selling Commodities:
The Portfolio may not purchase or sell physical commodities,
unless acquired as a result of ownership of securities or other
instruments (but this shall not prevent the Portfolio from
purchasing or selling options and futures contracts or from
investing in securities or other instruments backed by physical
commodities). This limitation does not apply to foreign currency
transactions, including, without limitation, forward currency
contracts.
|
Purchasing or Selling Commodities:
Same.
|
Borrowing:
The Portfolio may not borrow money, except to the extent
permitted under the 1940 Act, including the rules, regulations,
interpretations thereunder, and any exemptive relief obtained by
the Portfolio.
|
Borrowing:
Same.
|
Underwriting Securities:
The Portfolio may not underwrite any issue of securities within the
meaning of the under the 1933 Act except when it might
technically be deemed to be an underwriter either: (i) in
connection with the disposition of a portfolio security; or (ii) in
connection with the purchase of securities directly from the issuer
thereof in accordance with its investment objective. This restriction
shall not limit the Portfolio’s ability to invest in securities issued
by other registered management investment companies.
|
Underwriting Securities:
Same.
|
Other:
In implementing its fundamental objectives and policies, the
Portfolio will look through to the investments of the Underlying
Funds.
|
No corresponding fundamental policy
|
Annual Portfolio Operating Expenses
Expenses you pay each year as a % of the value of your investment
|
|
Before the
Reorganization
– Balanced
|
Before the
Reorganization
– Balanced Income
|
After the
Reorganization
– Balanced Income
(Pro Forma)
|
|
Class I
|
|
|
|
|
Management Fees
|
%
|
0.60
|
0.55
|
0.55
|
Distribution and/or Shareholder Services (12b-1) Fees
|
%
|
None
|
None
|
None
|
Other Expenses
|
%
|
0.18
|
0.09
|
0.09
|
Acquired Fund Fees and Expenses
|
%
|
0.091
|
0.011
|
0.011
|
Total Annual Portfolio Operating Expenses
|
%
|
0.87
|
0.65
|
0.65
|
Waivers and Reimbursements
|
%
|
(0.09)2
|
(0.04)3
|
(0.04)3
|
Total Annual Portfolio Operating Expenses after Waivers and Reimbursements
|
%
|
0.78
|
0.61
|
0.61
|
Class S
|
|
|
|
|
Management Fees
|
%
|
0.60
|
0.55
|
0.55
|
Distribution and/or Shareholder Services (12b-1) Fees
|
%
|
0.25
|
0.25
|
0.25
|
Other Expenses
|
%
|
0.18
|
0.09
|
0.09
|
Acquired Fund Fees and Expenses
|
%
|
0.091
|
0.011
|
0.011
|
Total Annual Portfolio Operating Expenses
|
%
|
1.12
|
0.90
|
0.90
|
Waivers and Reimbursements
|
%
|
(0.09)2
|
(0.04)3
|
(0.04)3
|
Total Annual Portfolio Operating Expenses after Waivers and Reimbursements
|
%
|
1.03
|
0.86
|
0.86
|
|
|
Balanced
|
Balanced Income
|
Balanced Income
Pro Forma
|
|||||||||
Class
|
|
1 Yr
|
3 Yrs
|
5 Yrs
|
10 Yrs
|
1 Yr
|
3 Yrs
|
5 Yrs
|
10 Yrs
|
1 Yr
|
3 Yrs
|
5 Yrs
|
10 Yrs
|
Class I
|
$
|
80
|
269
|
473
|
1,064
|
62
|
204
|
358
|
807
|
62
|
204
|
358
|
807
|
Class S
|
$
|
105
|
347
|
608
|
1,355
|
88
|
283
|
495
|
1,104
|
88
|
283
|
495
|
1,104
|
Annual Portfolio Operating Expenses
Expenses you pay each year as a % of the value of your investment
|
|
Before the
Reorganization
– Solution
Moderately
Conservative
|
Before the
Reorganization
– Strategic
Allocation
Conservative
|
Before the
Reorganization
– Solution
Conservative
|
After the
Reorganization
– Solution
Conservative
(Pro Forma)
|
|
Class ADV
|
|
|
|
|
|
Management Fees
|
%
|
0.21
|
N/A
|
0.22
|
0.19
|
Distribution and/or Shareholder Services (12b-1) Fees
|
%
|
0.50
|
N/A
|
0.50
|
0.50
|
Other Expenses
|
%
|
0.20
|
N/A
|
0.27
|
0.17
|
Acquired Fund Fees and Expenses
|
%
|
0.471
|
N/A
|
0.421
|
0.421
|
Total Annual Portfolio Operating Expenses
|
%
|
1.38
|
N/A
|
1.41
|
1.28
|
Waivers and Reimbursements
|
%
|
(0.14)2
|
N/A
|
(0.25)4
|
(0.12)4
|
Total Annual Portfolio Operating Expenses after Waivers and
Reimbursements
|
%
|
1.24
|
N/A
|
1.16
|
1.16
|
Class I
|
|
|
|
|
|
Management Fees
|
%
|
0.21
|
0.19
|
0.22
|
0.19
|
Distribution and/or Shareholder Services (12b-1) Fees
|
%
|
None
|
None
|
None
|
None
|
Other Expenses
|
%
|
0.20
|
0.17
|
0.27
|
0.17
|
Acquired Fund Fees and Expenses
|
%
|
0.471
|
0.421
|
0.421
|
0.421
|
Total Annual Portfolio Operating Expenses
|
%
|
0.88
|
0.78
|
0.91
|
0.78
|
Waivers and Reimbursements
|
%
|
(0.14)2
|
(0.07)3
|
(0.25)4
|
(0.12)4
|
Total Annual Portfolio Operating Expenses after Waivers and
Reimbursements
|
%
|
0.74
|
0.71
|
0.66
|
0.66
|
Class R6
|
|
|
|
|
|
Management Fees
|
%
|
0.21
|
N/A
|
0.22
|
0.19
|
Distribution and/or Shareholder Services (12b-1) Fees
|
%
|
None
|
N/A
|
None
|
None
|
Other Expenses
|
%
|
0.11
|
N/A
|
0.19
|
0.07
|
Acquired Fund Fees and Expenses
|
%
|
0.471
|
N/A
|
0.421
|
0.421
|
Total Annual Portfolio Operating Expenses
|
%
|
0.79
|
N/A
|
0.83
|
0.68
|
Waivers and Reimbursements
|
%
|
(0.05)2
|
N/A
|
(0.17)4
|
(0.02)4
|
Total Annual Portfolio Operating Expenses after Waivers and
Reimbursements
|
%
|
0.74
|
N/A
|
0.66
|
0.66
|
Class S
|
|
|
|
|
|
Management Fees
|
%
|
0.21
|
0.19
|
0.22
|
0.19
|
Distribution and/or Shareholder Services (12b-1) Fees
|
%
|
0.25
|
0.25
|
0.25
|
0.25
|
Other Expenses
|
%
|
0.20
|
0.17
|
0.27
|
0.17
|
Acquired Fund Fees and Expenses
|
%
|
0.471
|
0.421
|
0.421
|
0.421
|
Total Annual Portfolio Operating Expenses
|
%
|
1.13
|
1.03
|
1.16
|
1.03
|
Waivers and Reimbursements
|
%
|
(0.14)2
|
(0.07)3
|
(0.25)4
|
(0.12)4
|
Total Annual Portfolio Operating Expenses after Waivers and
Reimbursements
|
%
|
0.99
|
0.96
|
0.91
|
0.91
|
Class S2
|
|
|
|
|
|
Management Fees
|
%
|
0.21
|
N/A
|
0.22
|
0.19
|
Distribution and/or Shareholder Services (12b-1) Fees
|
%
|
0.40
|
N/A
|
0.40
|
0.40
|
Other Expenses
|
%
|
0.20
|
N/A
|
0.27
|
0.17
|
Acquired Fund Fees and Expenses
|
%
|
0.471
|
N/A
|
0.421
|
0.421
|
Total Annual Portfolio Operating Expenses
|
%
|
1.28
|
N/A
|
1.31
|
1.18
|
Waivers and Reimbursements
|
%
|
(0.14)2
|
N/A
|
(0.25)4
|
(0.12)4
|
Total Annual Portfolio Operating Expenses after Waivers and
Reimbursements
|
%
|
1.14
|
N/A
|
1.06
|
1.06
|
|
|
Solution Moderately
Conservative
|
Strategic Allocation
Conservative
|
Solution
Conservative
|
Solution Conservative
Pro Forma
|
||||||||||||
Class
|
|
1 Yr
|
3 Yrs
|
5 Yrs
|
10
Yrs
|
1 Yr
|
3 Yrs
|
5 Yrs
|
10
Yrs
|
1 Yr
|
3 Yrs
|
5 Yrs
|
10
Yrs
|
1 Yr
|
3 Yrs
|
5 Yrs
|
10
Yrs
|
Class ADV
|
$
|
126
|
409
|
728
|
1,632
|
N/A
|
N/A
|
N/A
|
N/A
|
118
|
396
|
722
|
1,646
|
118
|
382
|
679
|
1,542
|
Class I
|
$
|
76
|
252
|
459
|
1,058
|
73
|
242
|
426
|
960
|
67
|
239
|
454
|
1,072
|
67
|
225
|
409
|
943
|
Class R6
|
$
|
76
|
242
|
429
|
968
|
N/A
|
N/A
|
N/A
|
N/A
|
67
|
230
|
426
|
993
|
67
|
213
|
375
|
843
|
Class S
|
$
|
101
|
331
|
595
|
1,349
|
98
|
321
|
562
|
1,253
|
93
|
318
|
589
|
1,363
|
93
|
303
|
545
|
1,237
|
Class S2
|
$
|
116
|
378
|
675
|
1,520
|
N/A
|
N/A
|
N/A
|
N/A
|
108
|
365
|
669
|
1,534
|
108
|
350
|
625
|
1,410
|
Annual Portfolio Operating Expenses
Expenses you pay each year as a % of the value of your investment
|
|
Before the
Reorganization
– Strategic Allocation Growth
|
Before the
Reorganization
– Solution Aggressive
|
After the
Reorganization
– Solution Aggressive
(Pro Forma)
|
|
|
|
|
|
|
Class I
|
|
|
|
|
Management Fees
|
%
|
0.18
|
0.21
|
0.18
|
Distribution and/or Shareholder Services (12b-1) Fees
|
%
|
None
|
None
|
None
|
Other Expenses
|
%
|
0.16
|
0.29
|
0.13
|
Acquired Fund Fees and Expenses
|
%
|
0.481
|
0.521
|
0.521
|
Total Annual Portfolio Operating Expenses
|
%
|
0.82
|
1.02
|
0.83
|
Waivers and Reimbursements
|
%
|
(0.05)2
|
(0.13)3
|
(0.06)4
|
Total Annual Portfolio Operating Expenses after Waivers and
Reimbursements
|
%
|
0.77
|
0.89
|
0.77
|
Class S
|
|
|
|
|
Management Fees
|
%
|
0.18
|
0.21
|
0.18
|
Distribution and/or Shareholder Services (12b-1) Fees
|
%
|
0.25
|
0.25
|
0.25
|
Other Expenses
|
%
|
0.16
|
0.29
|
0.13
|
Acquired Fund Fees and Expenses
|
%
|
0.481
|
0.521
|
0.521
|
|
Before the
Reorganization
– Strategic Allocation Growth
|
Before the
Reorganization
– Solution Aggressive
|
After the
Reorganization
– Solution Aggressive
(Pro Forma)
|
|
Total Annual Portfolio Operating Expenses
|
%
|
1.07
|
1.27
|
1.08
|
Waivers and Reimbursements
|
%
|
(0.05)2
|
(0.13)3
|
(0.06)4
|
Total Annual Portfolio Operating Expenses after Waivers and
Reimbursements
|
%
|
1.02
|
1.14
|
1.02
|
|
|
Strategic Allocation Growth
|
Solution Aggressive
|
Solution Aggressive
Pro Forma
|
|||||||||
Class
|
|
1 Yr
|
3 Yrs
|
5 Yrs
|
10 Yrs
|
1 Yr
|
3 Yrs
|
5 Yrs
|
10 Yrs
|
1 Yr
|
3 Yrs
|
5 Yrs
|
10 Yrs
|
Class I
|
$
|
79
|
257
|
450
|
1,009
|
91
|
298
|
537
|
1,224
|
85
|
261
|
443
|
969
|
Class S
|
$
|
104
|
335
|
585
|
1,301
|
116
|
376
|
671
|
1,510
|
104
|
331
|
584
|
1,306
|
Average Annual Total Returns %
(for the periods ended December 31, 2023)
|
|
|
1 Year
|
5 Years
|
10 Years
|
Since
Inception
|
Inception
Date
|
|
|
|
|
|
|
|
Class I
|
%
|
15.92
|
7.98
|
5.84
|
N/A
|
04/03/89
|
S&P Target Risk® Growth Index1
|
%
|
15.38
|
7.73
|
5.96
|
N/A
|
|
Bloomberg U.S. Aggregate Bond Index2
|
%
|
5.53
|
1.10
|
1.81
|
N/A
|
|
MSCI EAFE® Index1
|
%
|
18.24
|
8.16
|
4.28
|
N/A
|
|
Russell 3000® Index2
|
%
|
25.96
|
15.16
|
11.48
|
N/A
|
|
Class S
|
%
|
15.71
|
7.72
|
5.58
|
N/A
|
05/29/03
|
S&P Target Risk® Growth Index1
|
%
|
15.38
|
7.73
|
5.96
|
N/A
|
|
Bloomberg U.S. Aggregate Bond Index2
|
%
|
5.53
|
1.10
|
1.81
|
N/A
|
|
MSCI EAFE® Index1
|
%
|
18.24
|
8.16
|
4.28
|
N/A
|
|
Russell 3000® Index2
|
%
|
25.96
|
15.16
|
11.48
|
N/A
|
|
Average Annual Total Returns %
(for the periods ended December 31, 2023)
|
|
|
1 Year
|
5 Years
|
10 Years
|
Since
Inception
|
Inception
Date
|
|
|
|
|
|
|
|
Class I
|
%
|
11.68
|
5.27
|
4.52
|
N/A
|
04/28/06
|
60% Bloomberg U.S. Aggregate Bond Index; 30% Russell 1000® Index; 10% MSCI EAFE®
Index1
|
%
|
12.86
|
6.31
|
5.24
|
N/A
|
|
Bloomberg U.S. Aggregate Bond Index1
|
%
|
5.53
|
1.10
|
1.81
|
N/A
|
|
Russell 1000® Index1
|
%
|
26.53
|
15.52
|
11.80
|
N/A
|
|
MSCI EAFE® Index1
|
%
|
18.24
|
8.16
|
4.28
|
N/A
|
|
Class S
|
%
|
11.42
|
4.99
|
4.28
|
N/A
|
04/28/06
|
60% Bloomberg U.S. Aggregate Bond Index; 30% Russell 1000® Index; 10% MSCI EAFE®
Index1
|
%
|
12.86
|
6.31
|
5.24
|
N/A
|
|
Bloomberg U.S. Aggregate Bond Index1
|
%
|
5.53
|
1.10
|
1.81
|
N/A
|
|
Russell 1000® Index1
|
%
|
26.53
|
15.52
|
11.80
|
N/A
|
|
MSCI EAFE® Index1
|
%
|
18.24
|
8.16
|
4.28
|
N/A
|
|
Average Annual Total Returns %
(for the periods ended December 31, 2023)
|
|
|
1 Year
|
5 Years
|
10 Years
|
Since
Inception
|
Inception
Date
|
|
|
|
|
|
|
|
Class I
|
%
|
11.92
|
5.29
|
4.44
|
N/A
|
07/05/95
|
Bloomberg U.S. Aggregate Bond Index1
|
%
|
5.53
|
1.10
|
1.81
|
N/A
|
|
Class S
|
%
|
11.57
|
5.01
|
4.17
|
N/A
|
08/05/05
|
Bloomberg U.S. Aggregate Bond Index1
|
%
|
5.53
|
1.10
|
1.81
|
N/A
|
|
Average Annual Total Returns %
(for the periods ended December 31, 2023)
|
|
|
1 Year
|
5 Years
|
10 Years
|
Since
Inception
|
Inception
Date
|
|
|
|
|
|
|
|
Class ADV
|
%
|
11.40
|
5.39
|
4.20
|
N/A
|
07/02/07
|
S&P Target Risk® Moderate Index1
|
%
|
12.41
|
5.66
|
4.48
|
N/A
|
|
Class I
|
%
|
12.08
|
5.90
|
4.72
|
N/A
|
07/02/07
|
S&P Target Risk® Moderate Index1
|
%
|
12.41
|
5.66
|
4.48
|
N/A
|
|
Class R6
|
%
|
12.07
|
5.92
|
4.72
|
N/A
|
05/02/16
|
S&P Target Risk® Moderate Index1
|
%
|
12.41
|
5.66
|
4.48
|
N/A
|
|
Class S
|
%
|
11.86
|
5.67
|
4.48
|
N/A
|
07/02/07
|
S&P Target Risk® Moderate Index1
|
%
|
12.41
|
5.66
|
4.48
|
N/A
|
|
Class S2
|
%
|
11.66
|
5.49
|
4.31
|
N/A
|
04/30/10
|
S&P Target Risk® Moderate Index1
|
%
|
12.41
|
5.66
|
4.48
|
N/A
|
|
Average Annual Total Returns %
(for the periods ended December 31, 2023)
|
|
|
1 Year
|
5 Years
|
10 Years
|
Since
Inception
|
Inception
Date
|
|
|
|
|
|
|
|
Class ADV
|
%
|
8.79
|
3.73
|
3.22
|
N/A
|
04/30/10
|
S&P Target Risk® Conservative Index1
|
%
|
10.94
|
4.60
|
3.76
|
N/A
|
|
Class I
|
%
|
9.32
|
4.25
|
3.72
|
N/A
|
04/30/10
|
S&P Target Risk® Conservative Index1
|
%
|
10.94
|
4.60
|
3.76
|
N/A
|
|
|
|
1 Year
|
5 Years
|
10 Years
|
Since
Inception
|
Inception
Date
|
Class R6
|
%
|
9.26
|
4.24
|
3.72
|
N/A
|
05/02/16
|
S&P Target Risk® Conservative Index1
|
%
|
10.94
|
4.60
|
3.76
|
N/A
|
|
Class S
|
%
|
9.12
|
3.99
|
3.47
|
N/A
|
04/30/10
|
S&P Target Risk® Conservative Index1
|
%
|
10.94
|
4.60
|
3.76
|
N/A
|
|
Class S2
|
%
|
8.88
|
3.83
|
3.32
|
N/A
|
04/30/10
|
S&P Target Risk® Conservative Index1
|
%
|
10.94
|
4.60
|
3.76
|
N/A
|
|
Average Annual Total Returns %
(for the periods ended December 31, 2023)
|
|
|
1 Year
|
5 Years
|
10 Years
|
Since
Inception
|
Inception
Date
|
|
|
|
|
|
|
|
Class I
|
%
|
18.65
|
9.55
|
6.74
|
N/A
|
07/05/95
|
Russell 3000® Index1
|
%
|
25.96
|
15.16
|
11.48
|
N/A
|
|
Class S
|
%
|
18.40
|
9.27
|
6.47
|
N/A
|
08/05/05
|
Russell 3000® Index1
|
%
|
25.96
|
15.16
|
11.48
|
N/A
|
|
Average Annual Total Returns %
(for the periods ended December 31, 2023)
|
|
|
1 Year
|
5 Years
|
10 Years
|
Since
Inception
|
Inception
Date
|
|
|
|
|
|
|
|
|
|
1 Year
|
5 Years
|
10 Years
|
Since
Inception
|
Inception
Date
|
Class I
|
%
|
21.21
|
11.21
|
7.69
|
N/A
|
05/01/13
|
S&P Target Risk Aggressive® Index1
|
%
|
18.40
|
9.78
|
7.20
|
N/A
|
|
Class S
|
%
|
20.90
|
10.94
|
7.43
|
N/A
|
05/01/13
|
S&P Target Risk Aggressive® Index1
|
%
|
18.40
|
9.78
|
7.20
|
N/A
|
|
|
Target Portfolios
|
Acquiring Portfolios
|
Investment Adviser
|
Voya Investments, LLC
|
Same
|
Management Fee
(as a percentage of average daily net
assets)
|
Balanced
0.60%
Solution Moderately Conservative
0.400% on assets in Direct Investments1
0.200% on assets in Underlying Funds2
Strategic Allocation Conservative
0.70% on assets in Direct Investments3
0.40% on assets in Other Investments4
0.18% on assets in Underlying Funds2
Strategic Allocation Growth
0.70% on assets in Direct Investments3
0.40% on assets in Other Investments4
0.18% on assets in Underlying Funds2
|
Balanced Income
0.550%
Solution Conservative
0.400% on assets in Direct Investments1
0.200% on assets in Underlying Funds2, 5
Solution Aggressive
0.400% on assets in Direct Investments1
0.200% on assets in Underlying Funds2, 5
|
Sub-Adviser
|
Voya Investment Management Co. LLC
|
Same
|
Sub-Advisory Fee
(as a percentage of average daily net
assets)
|
Balanced
0.225%
Solution Moderately Conservative
0.13500% on assets in Direct Investments1
0.04500% on assets in Underlying Funds2
Strategic Allocation Conservative
0.27% on assets in Direct Investments3
0.14% on assets in Other Investments4
0.02% on assets in Underlying Funds2
Strategic Allocation Growth
0.27% on assets in Direct Investments3
0.14% on assets in Other Investments4
0.02% on assets in Underlying Funds2
|
Balanced Income
0.2480%
Solution Conservative
0.13500% on assets in Direct Investments1
0.04500% on assets in Underlying Funds2
Solution Aggressive
0.13500% on assets in Direct Investments1
0.04500% on assets in Underlying Funds2
|
Portfolio Managers
|
Balanced
Lanyon Blair, CFA, CAIA
(since 05/23)
Barbara Reinhard, CFA
(since 05/18)
Solution Moderately Conservative
Lanyon Blair, CFA, CAIA
(since 05/23)
Barbara Reinhard, CFA
(since 09/19)
Strategic Allocation Conservative
Lanyon Blair, CFA, CAIA
(since 05/23)
Barbara Reinhard, CFA
(since 05/18)
Strategic Allocation Growth
Lanyon Blair, CFA, CAIA
(since 05/23)
Barbara Reinhard, CFA
(since 05/18)
|
Balanced Income
Vincent Costa, CFA
(since 05/19)
Barbara Reinhard, CFA
(since 05/23)
Brian Timberlake, Ph.D., CFA
(since 05/19)
Leigh Todd, CFA
(since 10/22)
Solution Conservative
Lanyon Blair, CFA, CAIA
(since 05/23)
Barbara Reinhard, CFA
(since 09/19)
Solution Aggressive
Lanyon Blair, CFA, CAIA
(since 05/23)
Barbara Reinhard, CFA
(since 09/19)
|
Distributor
|
Voya Investments Distributor, LLC
|
Same
|
Class
|
Shares Outstanding
|
I
|
19,978,197.22
|
S
|
116,763.56
|
Total
|
20,094,960.78
|
Class
|
Shares Outstanding
|
I
|
4,862,206.17
|
S
|
308,512.84
|
Total
|
5,170,719.01
|
Class
|
Shares Outstanding
|
ADV
|
404,934.02
|
I
|
33,268.21
|
R6
|
1,221,031.23
|
S
|
1,687,975.75
|
Class
|
Shares Outstanding
|
S2
|
134,838.95
|
Total
|
3,482,048.16
|
Class
|
Shares Outstanding
|
I
|
10,463,350.00
|
S
|
181,903.12
|
Total
|
10,645,253.12
|
|
|
Balanced
Portfolio
|
Balanced
Income
Portfolio
|
Pro Forma
Adjustments
|
Balanced
Income
Pro Forma
Combined
|
Class ADV
|
|
|
|
|
|
Net Assets
|
$
|
N/A
|
46,210,568
|
-
|
46,210,568
|
Shares Outstanding
|
|
N/A
|
5,194,622
|
-
|
5,194,622
|
Net Asset Value Per Share
|
$
|
N/A
|
8.90
|
-
|
8.90
|
Class I
|
|
|
|
|
|
Net Assets
|
$
|
305,054,720
|
6,060,617
|
(190,093)(A)
|
310,925,244
|
Shares Outstanding
|
|
19,864,513
|
639,469
|
12,294,203(B)
|
32,798,185
|
Net Asset Value Per Share
|
$
|
15.36
|
9.48
|
-
|
9.48
|
Class S
|
|
|
|
|
|
Net Assets
|
$
|
1,775,892
|
170,983,587
|
(1,107)(A)
|
172,758,372
|
Shares Outstanding
|
|
116,316
|
18,150,521
|
72,090(B)
|
18,338,927
|
Net Asset Value Per Share
|
$
|
15.27
|
9.42
|
-
|
9.42
|
Class S2
|
|
|
|
|
|
Net Assets
|
$
|
N/A
|
2,455,007
|
-
|
2,455,007
|
Shares Outstanding
|
|
N/A
|
261,113
|
-
|
261,113
|
Net Asset Value Per Share
|
$
|
N/A
|
9.40
|
-
|
9.40
|
|
|
Strategic
Allocation
Conservative
|
Solution
Moderately
Conservative
|
Solution
Conservative
|
Pro Forma
Adjustments
|
Solution
Conservative
Pro Forma
Combined
|
Class ADV
|
|
|
|
|
|
|
Net Assets
|
$
|
N/A
|
3,530,542
|
2,573,170
|
(2,490)(A)
|
6,101,222
|
Shares Outstanding
|
|
N/A
|
405,668
|
268,468
|
(37,395) (B)
|
636,741
|
Net Asset Value Per Share
|
$
|
N/A
|
8.70
|
9.58
|
-
|
9.58
|
Class I
|
|
|
|
|
|
|
Net Assets
|
$
|
54,588,734
|
316,671
|
457,321
|
(24,691)(A)
|
55,338,035
|
Shares Outstanding
|
|
4,859,609
|
34,448
|
47,189
|
769,587(B)
|
5,710,833
|
Net Asset Value Per Share
|
$
|
11.23
|
9.19
|
9.69
|
-
|
9.69
|
Class R6
|
|
|
|
|
|
|
|
|
Strategic
Allocation
Conservative
|
Solution
Moderately
Conservative
|
Solution
Conservative
|
Pro Forma
Adjustments
|
Solution
Conservative
Pro Forma
Combined
|
Net Assets
|
$
|
N/A
|
11,025,571
|
4,202,512
|
(7,776)(A)
|
15,220,307
|
Shares Outstanding
|
|
N/A
|
1,200,110
|
434,002
|
(61,908) (B)
|
1,572,204
|
Net Asset Value Per Share
|
$
|
N/A
|
9.19
|
9.68
|
-
|
9.68
|
Class S
|
|
|
|
|
|
|
Net Assets
|
$
|
3,419,840
|
15,133,589
|
1,702,960
|
(12,207)(A)
|
20,244,182
|
Shares Outstanding
|
|
308,316
|
1,699,230
|
176,839
|
(82,185) (B)
|
2,102,200
|
Net Asset Value Per Share
|
$
|
11.09
|
8.91
|
9.63
|
-
|
9.63
|
Class S2
|
|
|
|
|
|
|
Net Assets
|
$
|
N/A
|
1,185,485
|
679,540
|
(836)(A)
|
1,864,189
|
Shares Outstanding
|
|
N/A
|
135,098
|
71,586
|
(10,267)(B)
|
196,417
|
Net Asset Value Per Share
|
$
|
N/A
|
8.77
|
9.49
|
-
|
9.49
|
|
|
Strategic
Allocation
Growth
Portfolio
|
Solution
Aggressive
Portfolio
|
Pro Forma
Adjustments
|
Solution
Aggressive
Pro Forma
Combined
|
Class ADV
|
|
|
|
|
|
Net Assets
|
$
|
N/A
|
3,611,112
|
-
|
3,611,112
|
Shares Outstanding
|
|
N/A
|
273,792
|
-
|
273,792
|
Net Asset Value Per Share
|
$
|
N/A
|
13.19
|
-
|
13.19
|
Class I
|
|
|
|
|
|
Net Assets
|
$
|
141,166,722
|
1,482,428
|
-
|
142,649,150
|
Shares Outstanding
|
|
10,450,858
|
108,373
|
(131,653)(A)
|
10,427,578
|
Net Asset Value Per Share
|
$
|
13.51
|
13.68
|
-
|
13.68
|
Class R6
|
|
|
|
|
|
Net Assets
|
$
|
N/A
|
27,935,328
|
-
|
27,935,328
|
Shares Outstanding
|
|
N/A
|
2,040,114
|
-
|
2,040,114
|
Net Asset Value Per Share
|
$
|
N/A
|
13.69
|
-
|
13.69
|
Class S
|
|
|
|
|
|
Net Assets
|
$
|
2,336,179
|
1,762,659
|
-
|
4,098,838
|
Shares Outstanding
|
|
175,378
|
130,792
|
(2,071) (A)
|
304,099
|
Net Asset Value Per Share
|
$
|
13.32
|
13.48
|
-
|
13.48
|
Class S2
|
|
|
|
|
|
Net Assets
|
$
|
N/A
|
1,942,062
|
-
|
1,942,062
|
Shares Outstanding
|
|
N/A
|
148,601
|
-
|
148,601
|
Net Asset Value Per Share
|
$
|
N/A
|
13.07
|
-
|
13.07
|
Portfolio
|
Class ADV
|
Class S
|
Class S2
|
Balanced Income
|
0.60%
|
0.25%
|
0.40%
|
Solution Conservative
|
0.50%
|
0.25%
|
0.40%
|
Solution Aggressive
|
0.50%
|
0.25%
|
0.40%
|
|
|
Income (loss)
from
investment
operations
|
|
Less distributions
|
|
|
|
|
Ratios to average net assets
|
Supplemental
data
|
|||||||
|
Net asset value, beginning
of year or period |
Net investment income (loss)
|
Net realized and unrealized
gain (loss) |
Total from investment
operations |
From net investment income
|
From net realized gains
|
From return of capital
|
Total distributions
|
Payment from affiliate
|
Net asset value, end of year or period
|
Total Return(1)
|
Expenses before
reductions/additions(2)(3) |
Expenses, net of fee waivers
and/or recoupments, if any(2)(3) |
Expenses, net of all
reductions/additions(2)(3) |
Net investment income
(loss)(2)(3) |
Net assets, end of year or period
|
Portfolio turnover rate
|
Year or Period ended
|
($)
|
($)
|
($)
|
($)
|
($)
|
($)
|
($)
|
($)
|
($)
|
($)
|
(%)
|
(%)
|
(%)
|
(%)
|
(%)
|
($000's)
|
(%)
|
Voya Balanced Income Portfolio
|
|||||||||||||||||
Class I
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12-31-23
|
8.43
|
0.31•
|
0.66
|
0.97
|
0.27
|
—
|
—
|
0.27
|
—
|
9.13
|
11.68
|
0.64
|
0.60
|
0.60
|
3.56
|
6,009
|
142
|
12-31-22
|
10.99
|
0.26•
|
(1.77)
|
(1.51)
|
0.25
|
0.80
|
—
|
1.05
|
—
|
8.43
|
(13.78)
|
0.64
|
0.60
|
0.60
|
2.73
|
6,024
|
104
|
12-31-21
|
10.31
|
0.25•
|
0.71
|
0.96
|
0.28
|
—
|
—
|
0.28
|
—
|
10.99
|
9.42
|
0.62
|
0.60
|
0.60
|
2.29
|
7,878
|
133
|
12-31-20
|
11.19
|
0.29•
|
(0.03)
|
0.26
|
0.42
|
0.72
|
—
|
1.14
|
—
|
10.31
|
3.33
|
0.62
|
0.60
|
0.60
|
2.79
|
7,943
|
69
|
12-31-19
|
10.50
|
0.38•
|
1.55
|
1.93
|
0.57
|
0.67
|
—
|
1.24
|
—
|
11.19
|
18.73
|
0.66
|
0.62
|
0.62
|
3.38
|
8,836
|
231
|
|
|
Income
(loss)
from
investment
operations
|
|
Less distributions
|
|
|
|
|
Ratios to average net
assets
|
Supplemental
data
|
|||||||
|
Net asset value, beginning
of year or period |
Net investment income (loss)
|
Net realized and unrealized
gain (loss) |
Total from investment
operations |
From net investment income
|
From net realized gains
|
From return of capital
|
Total distributions
|
Payment from affiliate
|
Net asset value, end of year or period
|
Total Return(1)
|
Expenses before
reductions/additions(2)(3) |
Expenses, net of fee waivers
and/or recoupments, if any(2)(3) |
Expenses, net of all
reductions/additions(2)(3) |
Net investment income
(loss)(2)(3) |
Net assets, end of year or period
|
Portfolio turnover rate
|
Year or Period ended
|
($)
|
($)
|
($)
|
($)
|
($)
|
($)
|
($)
|
($)
|
($)
|
($)
|
(%)
|
(%)
|
(%)
|
(%)
|
(%)
|
($000's)
|
(%)
|
Class S
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12-31-23
|
8.38
|
0.29•
|
0.66
|
0.95
|
0.25
|
—
|
—
|
0.25
|
—
|
9.08
|
11.42
|
0.89
|
0.85
|
0.85
|
3.30
|
173,258
|
142
|
12-31-22
|
10.92
|
0.23•
|
(1.75)
|
(1.52)
|
0.22
|
0.80
|
—
|
1.02
|
—
|
8.38
|
(13.97)
|
0.89
|
0.85
|
0.85
|
2.47
|
184,513
|
104
|
12-31-21
|
10.25
|
0.22•
|
0.70
|
0.92
|
0.25
|
—
|
—
|
0.25
|
—
|
10.92
|
9.09
|
0.87
|
0.85
|
0.85
|
2.04
|
256,146
|
133
|
12-31-20
|
11.13
|
0.26•
|
(0.03)
|
0.23
|
0.39
|
0.72
|
—
|
1.11
|
—
|
10.25
|
3.03
|
0.87
|
0.85
|
0.85
|
2.55
|
266,536
|
69
|
12-31-19
|
10.45
|
0.36•
|
1.52
|
1.88
|
0.53
|
0.67
|
—
|
1.20
|
—
|
11.13
|
18.40
|
0.91
|
0.87
|
0.87
|
3.18
|
295,942
|
231
|
Voya Solution Aggressive Portfolio
|
|||||||||||||||||
Class I
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12-31-23
|
11.33
|
0.16•
|
2.19
|
2.35
|
0.32
|
0.53
|
—
|
0.85
|
—
|
12.83
|
21.21
|
0.50
|
0.37
|
0.37
|
1.35
|
1,379
|
41
|
12-31-22
|
16.92
|
0.17•
|
(3.35)
|
(3.18)
|
0.39
|
2.02
|
—
|
2.41
|
—
|
11.33
|
(19.67)
|
0.44
|
0.36
|
0.36
|
1.34
|
966
|
93
|
12-31-21
|
14.29
|
0.13•
|
2.70
|
2.83
|
0.20
|
—
|
—
|
0.20
|
—
|
16.92
|
19.87
|
0.43
|
0.31
|
0.31
|
0.82
|
488
|
58
|
12-31-20
|
13.42
|
0.12•
|
1.85
|
1.97
|
0.22
|
0.88
|
—
|
1.10
|
—
|
14.29
|
16.09
|
0.50
|
0.31
|
0.31
|
0.94
|
294
|
85
|
12-31-19
|
11.74
|
0.22•
|
2.67
|
2.89
|
0.22
|
0.99
|
—
|
1.21
|
—
|
13.42
|
25.54
|
0.42
|
0.25
|
0.25
|
1.73
|
600
|
85
|
Class S
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12-31-23
|
11.15
|
0.13•
|
2.16
|
2.29
|
0.26
|
0.53
|
—
|
0.79
|
—
|
12.65
|
20.90
|
0.75
|
0.62
|
0.62
|
1.10
|
1,658
|
41
|
12-31-22
|
16.69
|
0.08•
|
(3.25)
|
(3.17)
|
0.35
|
2.02
|
—
|
2.37
|
—
|
11.15
|
(19.89)
|
0.69
|
0.61
|
0.61
|
0.57
|
2,590
|
93
|
12-31-21
|
14.10
|
0.10•
|
2.66
|
2.76
|
0.17
|
—
|
—
|
0.17
|
—
|
16.69
|
19.62
|
0.68
|
0.56
|
0.56
|
0.64
|
4,426
|
58
|
12-31-20
|
13.25
|
0.10•
|
1.82
|
1.92
|
0.19
|
0.88
|
—
|
1.07
|
—
|
14.10
|
15.83
|
0.75
|
0.56
|
0.56
|
0.80
|
3,666
|
85
|
12-31-19
|
11.60
|
0.15
|
2.67
|
2.82
|
0.18
|
0.99
|
—
|
1.17
|
—
|
13.25
|
25.21
|
0.67
|
0.50
|
0.50
|
1.27
|
3,925
|
85
|
Voya Solution Conservative Portfolio
|
|||||||||||||||||
Class ADV
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12-31-23
|
9.19
|
0.22•
|
0.57
|
0.79
|
0.27
|
0.13
|
—
|
0.40
|
—
|
9.58
|
8.79
|
0.99
|
0.74
|
0.74
|
2.40
|
2,751
|
58
|
12-31-22
|
11.96
|
0.13•
|
(1.72)
|
(1.59)
|
0.35
|
0.83
|
—
|
1.18
|
—
|
9.19
|
(13.78)
|
0.97
|
0.74
|
0.74
|
1.31
|
3,388
|
80
|
12-31-21
|
11.80
|
0.17•
|
0.45
|
0.62
|
0.27
|
0.19
|
—
|
0.46
|
—
|
11.96
|
5.26
|
0.95
|
0.69
|
0.69
|
1.42
|
4,030
|
54
|
12-31-20
|
11.24
|
0.21•
|
0.84
|
1.05
|
0.28
|
0.21
|
—
|
0.49
|
—
|
11.80
|
9.59
|
0.95
|
0.70
|
0.70
|
1.90
|
4,658
|
91
|
12-31-19
|
10.40
|
0.24
|
0.90
|
1.14
|
0.21
|
0.09
|
—
|
0.30
|
—
|
11.24
|
10.99
|
0.92
|
0.67
|
0.67
|
2.10
|
8,336
|
75
|
Class I
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12-31-23
|
9.28
|
0.27•
|
0.57
|
0.84
|
0.32
|
0.13
|
—
|
0.45
|
—
|
9.67
|
9.32
|
0.49
|
0.24
|
0.24
|
2.90
|
445
|
58
|
12-31-22
|
12.07
|
0.18•
|
(1.74)
|
(1.56)
|
0.40
|
0.83
|
—
|
1.23
|
—
|
9.28
|
(13.36)
|
0.47
|
0.24
|
0.24
|
1.73
|
415
|
80
|
12-31-21
|
11.92
|
0.27•
|
0.42
|
0.69
|
0.35
|
0.19
|
—
|
0.54
|
—
|
12.07
|
5.85
|
0.45
|
0.19
|
0.19
|
2.24
|
913
|
54
|
12-31-20
|
11.41
|
0.24•
|
0.86
|
1.10
|
0.38
|
0.21
|
—
|
0.59
|
—
|
11.92
|
9.99
|
0.45
|
0.20
|
0.20
|
2.17
|
238
|
91
|
12-31-19
|
10.54
|
0.31•
|
0.91
|
1.22
|
0.26
|
0.09
|
—
|
0.35
|
—
|
11.41
|
11.65
|
0.42
|
0.17
|
0.17
|
2.82
|
658
|
75
|
Class R6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12-31-23
|
9.28
|
0.27•
|
0.56
|
0.83
|
0.32
|
0.13
|
—
|
0.45
|
—
|
9.66
|
9.26
|
0.41
|
0.24
|
0.24
|
2.90
|
4,641
|
58
|
12-31-22
|
12.07
|
0.19•
|
(1.74)
|
(1.55)
|
0.41
|
0.83
|
—
|
1.24
|
—
|
9.28
|
(13.34)
|
0.39
|
0.24
|
0.24
|
1.84
|
9,008
|
80
|
12-31-21
|
11.93
|
0.24•
|
0.44
|
0.68
|
0.35
|
0.19
|
—
|
0.54
|
—
|
12.07
|
5.77
|
0.37
|
0.19
|
0.19
|
1.95
|
9,365
|
54
|
12-31-20
|
11.41
|
0.28•
|
0.83
|
1.11
|
0.38
|
0.21
|
—
|
0.59
|
—
|
11.93
|
10.09
|
0.39
|
0.20
|
0.20
|
2.46
|
7,547
|
91
|
12-31-19
|
10.54
|
0.30
|
0.92
|
1.22
|
0.26
|
0.09
|
—
|
0.35
|
—
|
11.41
|
11.65
|
0.42
|
0.17
|
0.17
|
2.61
|
5,365
|
75
|
Class S
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12-31-23
|
9.23
|
0.25•
|
0.57
|
0.82
|
0.30
|
0.13
|
—
|
0.43
|
—
|
9.62
|
9.12
|
0.74
|
0.49
|
0.49
|
2.65
|
1,654
|
58
|
12-31-22
|
12.01
|
0.16•
|
(1.74)
|
(1.58)
|
0.37
|
0.83
|
—
|
1.20
|
—
|
9.23
|
(13.60)
|
0.72
|
0.49
|
0.49
|
1.57
|
1,782
|
80
|
12-31-21
|
11.87
|
0.20•
|
0.45
|
0.65
|
0.32
|
0.19
|
—
|
0.51
|
—
|
12.01
|
5.52
|
0.70
|
0.44
|
0.44
|
1.67
|
2,203
|
54
|
12-31-20
|
11.34
|
0.24•
|
0.84
|
1.08
|
0.34
|
0.21
|
—
|
0.55
|
—
|
11.87
|
9.83
|
0.70
|
0.45
|
0.45
|
2.14
|
2,215
|
91
|
12-31-19
|
10.48
|
0.25•
|
0.93
|
1.18
|
0.23
|
0.09
|
—
|
0.32
|
—
|
11.34
|
11.31
|
0.67
|
0.42
|
0.42
|
2.30
|
2,839
|
75
|
|
|
Income
(loss)
from
investment
operations
|
|
Less distributions
|
|
|
|
|
Ratios to average net
assets
|
Supplemental
data
|
|||||||
|
Net asset value, beginning
of year or period |
Net investment income (loss)
|
Net realized and unrealized
gain (loss) |
Total from investment
operations |
From net investment income
|
From net realized gains
|
From return of capital
|
Total distributions
|
Payment from affiliate
|
Net asset value, end of year or period
|
Total Return(1)
|
Expenses before
reductions/additions(2)(3) |
Expenses, net of fee waivers
and/or recoupments, if any(2)(3) |
Expenses, net of all
reductions/additions(2)(3) |
Net investment income
(loss)(2)(3) |
Net assets, end of year or period
|
Portfolio turnover rate
|
Year or Period ended
|
($)
|
($)
|
($)
|
($)
|
($)
|
($)
|
($)
|
($)
|
($)
|
($)
|
(%)
|
(%)
|
(%)
|
(%)
|
(%)
|
($000's)
|
(%)
|
Class S2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12-31-23
|
9.09
|
0.23•
|
0.55
|
0.78
|
0.26
|
0.13
|
—
|
0.39
|
—
|
9.48
|
8.88
|
0.89
|
0.64
|
0.64
|
2.50
|
662
|
58
|
12-31-22
|
11.85
|
0.15•
|
(1.72)
|
(1.57)
|
0.36
|
0.83
|
—
|
1.19
|
—
|
9.09
|
(13.75)
|
0.87
|
0.64
|
0.64
|
1.47
|
1,241
|
80
|
12-31-21
|
11.73
|
0.18•
|
0.44
|
0.62
|
0.31
|
0.19
|
—
|
0.50
|
—
|
11.85
|
5.34
|
0.85
|
0.59
|
0.59
|
1.53
|
1,237
|
54
|
12-31-20
|
11.25
|
0.24•
|
0.82
|
1.06
|
0.37
|
0.21
|
—
|
0.58
|
—
|
11.73
|
9.69
|
0.85
|
0.60
|
0.60
|
2.19
|
1,438
|
91
|
12-31-19
|
10.39
|
0.23•
|
0.93
|
1.16
|
0.21
|
0.09
|
—
|
0.30
|
—
|
11.25
|
11.21
|
0.82
|
0.57
|
0.57
|
2.14
|
393
|
75
|
Name and Address of
Shareholder
|
Percent of Class of
Shares and Type of
Ownership
|
Percentage of
Fund
|
Percentage of
Combined Fund
After the
Reorganization*
|
Venerable Insurance and Annuity Company
1475 Dunwoody Drive
West Chester, PA 19380-1478
|
95.3% Class S;
Beneficial
|
0.6%
|
39.8%
|
Voya Retirement Insurance and Annuity Company
Attn Valuation Unit-TN41
One Orange Way B3N
Windsor, CT 06095
|
68.7% Class I;
Beneficial
|
68.3%
|
30.7%
|
Voya Retirement Insurance and Annuity Company RESL
Attn Valuation Unit-TN41
One Orange Way B3N
Windsor, CT 06095
|
15.7% Class I;
Beneficial
|
15.6%
|
7.0%
|
Name and Address of
Shareholder
|
Percent of Class of
Shares and Type of
Ownership
|
Percentage of
Fund
|
Percentage of
Combined Fund
After the
Reorganization*
|
Voya Institutional Trust Company
1 Orange Way
Windsor, CT 06095-4773
|
97.5% Class A;
5.6% Class I;
Beneficial
|
20.9%
|
11.5%
|
Voya Retirement Insurance and Annuity Company RESL
Attn Valuation Unit-TN41
One Orange Way B3N
Windsor, CT 06095
|
28.9% Class I;
Beneficial
|
0.8%
|
0.4%
|
ReliaStar Life Insurance Company of New York RESL
1 Orange Way
Windsor, CT 06095
|
65.5% Class I;
Beneficial
|
1.7%
|
0.9%
|
Venerable Insurance and Annuity Company
1475 Dunwoody Drive
West Chester, PA 19380-1478
|
94.5% Class S;
99.8% Class S2;
Beneficial
|
72.0%
|
39.8%
|
Name and Address of
Shareholder
|
Percent of Class of
Shares and Type of
Ownership
|
Percentage of
Fund
|
Percentage of
Combined Fund
After the
Reorganization*
|
Voya Institutional Trust Company
1 Orange Way
Windsor, CT 06095-4773
|
8.2% Class S;
Beneficial
|
0.5%
|
1.0%
|
Voya Retirement Insurance and Annuity Company
Attn Valuation Unit-TN41
One Orange Way B3N
Windsor, CT 06095
|
83.3% Class I;
Beneficial
|
78.4%
|
41.9%
|
Venerable Insurance and Annuity Company
1475 W Dunwoody Dr.
West Chester, PA 19830-1478
|
70.7% Class S;
Beneficial
|
4.2%
|
2.3%
|
ReliaStar Life Insurance Company of New York II
1 Orange Way
Windsor, CT 06095
|
21.1% Class S;
Beneficial
|
1.3%
|
0.7%
|
Name and Address of
Shareholder
|
Percent of Class of
Shares and Type of
Ownership
|
Percentage of
Fund
|
Percentage of
Combined Fund
After the
Reorganization*
|
ReliaStar Life Insurance Co
FBO SVUL I
Attn Jill Barth Conveyor TN41
1 Orange Way
Windsor, CT 06095
|
7.1% Class I;
Beneficial
|
6.6%
|
3.6%
|
Name and Address of
Shareholder
|
Percent of Class of
Shares and Type of
Ownership
|
Percentage of
Fund
|
Percentage of
Combined Fund
After the
Reorganization*
|
Voya Retirement Insurance and Annuity Company
Attn Valuation Unit-TN41
One Orange Way B3N
Windsor, CT 06095
|
100% Class A;
98.4% Class R6;
100% Class S;
100% Class S2;
Beneficial
|
98.5%
|
45.4%
|
Voya Institutional Trust Company
1 Orange Way
Windsor, CT 06095-4773
|
100% Class I;
Beneficial
|
1.0%
|
1.0%
|
Name and Address of
Shareholder
|
Percent of Class of
Shares and Type of
Ownership
|
Percentage of
Fund
|
Percentage of
Combined Fund
After the
Reorganization*
|
Voya Retirement Insurance and Annuity Company
Attn Valuation Unit-TN41
One Orange Way B3N
Windsor, CT 06095
|
99.9% Class A;
20.3% Class I;
96.7% Class R6;
100% Class S;
100% Class S2;
Beneficial
|
94.8%
|
45.4%
|
Voya Institutional Trust Company
1 Orange Way
Windsor, CT 06095
|
21.1% Class I;
Beneficial
|
3.8%
|
0.7%
|
Name and Address of
Shareholder
|
Percent of Class of
Shares and Type of
Ownership
|
Percentage of
Fund
|
Percentage of
Combined Fund
After the
Reorganization*
|
Venerable Insurance and Annuity Company
1475 Dunwoody Drive
West Chester, PA 19380-1478
|
18.2% Class S;
Beneficial
|
0.3%
|
0.3%
|
Voya Retirement Insurance and Annuity Company
Attn Valuation Unit-TN41
One Orange Way B3N
Windsor, CT 06095
|
83.8% Class I;
Beneficial
|
82.4%
|
66.0%
|
Voya Institutional Trust Company
1 Orange Way
Windsor, CT 06095-4773
|
81.8% Class S;
Beneficial
|
1.4%
|
1.9%
|
ReliaStar Life Insurance Co
FBO SVUL I
Attn Jill Barth Conveyor TN41
1 Orange Way
Windsor, CT 06095
|
7.9% Class I;
Beneficial
|
7.7%
|
6.2%
|
Name and Address of
Shareholder
|
Percent of Class of
Shares and Type of
Ownership
|
Percentage of
Fund
|
Percentage of
Combined Fund
After the
Reorganization*
|
Voya Institutional Trust Company
1 Orange Way
Windsor, CT 06095-4773
|
100% Class I;
Beneficial
|
4.1%
|
1.9%
|
Voya Retirement Insurance and Annuity Company
Attn Valuation Unit-TN41
One Orange Way B3N
Windsor, CT 06095
|
99.7% Class A;
98.3% Class R6;
99.7% Class S;
100% Class S2;
Beneficial
|
94.6%
|
18.8%
|