The fund may invest in other types of exchange-traded products, such as Exchange Traded Notes ("ETNs") and exchange-traded pooled investment vehicles (collectively, with the Underlying ETFs, "Underlying ETPs"). ETNs are debt obligations of investment banks which are traded on exchanges and the returns of which are linked to the performance of market indices.
Shares of Russell ETFs are not individually redeemable and trade at market price (not NAV). Shares may be acquired and redeemed in Creation Units only, typically consisting of aggregations of 50,000 shares. Investors may purchase or sell ETF shares throughout the day on an exchange through a securities brokerage account. All ETFs are subject to management fees and expenses.
One cannot invest directly in an index.
The Fund employs an asset allocation strategy that provides exposure to multiple asset classes in a variety of domestic and foreign markets. Neither the Fund nor Russell Investment Management Company (the "Adviser") can offer any assurance that the asset allocation of the Fund will either maximize returns or minimize risks. The tactical asset allocation component of the Fund's strategy may not work as intended. The value of your investment may decrease if the Adviser's judgment about the attractiveness, value or market trends affecting a particular asset class, sector, strategy or Underlying ETF is incorrect. The Fund's risk profile with respect to particular asset classes, sectors or strategies may change at any time based on the Adviser's tactical asset allocation decisions.
Non-U.S. securities have risks relating to political, economic and regulatory conditions in foreign countries. The risk associated with non-U.S. securities may be amplified for emerging markets securities. As with all investments, there are certain risks of investing in an ETF, and you could lose money on an investment in an ETF.
When the Fund invests in Underlying ETFs, in addition to directly bearing the expenses associated with its own operations, it will bear a pro rata portion of the Underlying ETFs' expenses (including operating costs and management fees). Consequently, an investment in the Fund entails more direct and indirect expenses than a direct investment in the Underlying ETF. The Fund may invest in Underlying ETFs that pay Frank Russell Company, as index provider, an index license fee, possibly resulting in additional compensation being paid to Russell by the Underlying ETF. RIMCo does not consider any additional compensation that Russell might receive when selecting Underlying ETFs.