NOTES TO FINANCIAL STATEMENTS
(6) FINANCIAL INSTRUMENTS:
In general, the following instruments are used for hedging purposes as described below. However, these
instruments may also be used to seek to enhance potential gain in circumstances where hedging is not involved.
The nature, risks and objectives of these instruments are set forth more fully in the Fund's Prospectus and
Statement of Additional Information.
The Fund may trade the following instruments with off-balance sheet risk:
Call and put options give the holder the right to purchase or sell a security or currency or enter into a swap
arrangement on a future date at a specified price. The Fund may use options to seek to hedge against risks of
market exposure and changes in securities prices and foreign currencies, as well as to seek to enhance returns.
Writing puts and buying calls tend to increase the Fund's exposure to the underlying instrument. Buying puts and
writing calls tend to decrease the Fund's exposure to the underlying instrument, or hedge other Fund investments.
Options, both held and written by the Fund, are reflected in the accompanying Statement of Assets and Liabilities
at market value. The underlying face amount at value of any open purchased options is shown in the Schedule of
Investments. This amount reflects each contract's exposure to the underlying instrument at period end. Losses
may arise from changes in the value of the underlying instruments, if there is an illiquid secondary market for the
contract or if the counterparty does not perform under the contract's terms.
Premiums received from writing options which expire are treated as realized gains. Premiums received from
writing options which are exercised or are closed are added to or offset against the proceeds or amount paid on
the transaction to determine the realized gain or loss. Realized gains and losses on purchased options are included
in realized gains and losses on investment securities, except purchased options on foreign currency w