NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
D. FEDERAL TAXES
As a regulated investment company qualified under Subchapter M of the Internal Revenue Code, the Fund is not
subject to income taxes to the extent that it distributes all of its taxable income for its fiscal year.
E. FOREIGN CURRENCY TRANSACTIONS
Investment security valuations, other assets, and liabilities initially expressed in foreign currencies are converted
into U.S. dollars based upon current currency exchange rates. Purchases and sales of foreign investment
securities and income and expenses are converted into U.S. dollars based upon currency exchange rates
prevailing on the respective dates of such transactions.
Section 988 of the Internal Revenue Code provides that gains or losses on certain transactions attributable to
fluctuations in foreign currency exchange rates must be treated as ordinary income or loss. For financial statement
purposes, such amounts are included in net realized gains or losses.
F. INVESTMENT RISK
There are certain additional risks involved in investing in foreign securities that are not inherent in investments in
domestic securities. These risks may involve adverse political and economic developments, including the possible
imposition of capital controls or other foreign governmental laws or restrictions. In addition, the securities of some
foreign companies and securities markets are less liquid and at times may be more volatile than securities of
comparable U.S. companies and U.S. securities markets. The risks described above apply to an even greater
extent to investments in emerging markets. The securities markets of emerging countries are generally smaller, less
developed, less liquid, and more volatile than the securities markets of the U.S. and developed foreign markets.
G. DISTRIBUTIONS TO SHAREHOLDERS
Distributions to shareholders are recorded on the ex-dividend date. Dividends from net investment income and
distributions from capital gains, if any, are reinvested in additional shares