Cash
This data point identifies the percentage of the fund's net assets held in cash. Cash encompasses both actual cash and cash equivalents (fixed-income securities with a maturity of one year or less) held by the portfolio plus receivables minus payables. Negative percentages of cash indicate that the portfolio is leveraged, meaning it has borrowed against its own assets to buy more securities or that it has used other techniques to gain more than 100% exposure to the market.

U.S. Stocks
The percentage listed under the heading 'U.S. Stocks' incorporates only the portfolio's common stock holdings in U.S.-based companies.

Foreign Stocks
When listed, this data point reflects only the percentage of a portfolio's holdings that are held in foreign stocks, and is calculated from the fund's most recent portfolio. Foreign Stocks includes foreign bonds that are convertible into equity, as well as foreign convertible preferreds.

Bonds
This data point identifies the percentage of the fund's net assets held in bonds. Bonds include everything from government notes to high-yield corporate bonds.

Other
Other includes preferred stocks (equity securities that pay dividends at a specific rate) as well as domestic convertible bonds and domestic convertible preferreds, which are corporate securities that are exchangeable for a set amount of another form of security (usually common shares) at a prestated price. Other also may denote holdings in not-so-neatly-categorized securities, such as warrants and options.

Not Classified
Not all securities in all fund portfolios can be identified or classified by Morningstar. If a security cannot be identified or classified, it will be reflected in the number.

Expected Allocation
In the world of investing, things aren't always what they seem. Say an investor puts 100% of their assets in two domestic-equity funds. On the surface, it might seem that they have 100% exposure to stocks in the United States. Most likely, that won't be the case. By charter, most mutual funds have the flexibility to own securities from several asset classes--stocks, bonds, cash, etc.--and from different countries. That's why Morningstar looks at a mutual fund's underlying holdings--not just it's stated prospectus objective--when determining asset allocations. This way, you know exactly what you own.

Equity Style Box
This section displays the percentage of stocks in the portfolio that fall into each of the nine areas of the Equity Style Box. After determining the equity style of each stock or fund, we sum the weights (%) of the holdings with the same style. This equals the total weighting for that particular investment style in the portfolio.

Style Box
The equity style box is a nine-box matrix that displays both the fund's investment methodology and the size of the companies in which it invests. Combining these two variables offers a broad view of a fund's holdings and risk.

The Equity Style box for domestic-stock funds comprises two components: market capitalization on the vertical axis and valuation on the horizontal axis.

Market Capitalization
Morningstar ties market cap to the relative movements of the market. The top 5% of the 5000 largest domestic stocks in Morningstar's equity database are classified as large-cap, the next 15% of the 5000 are mid-cap, and the remaining 80% (as well as companies that fall outside the largest 5000) are small-cap.

Morningstar then determines a fund's market cap by ranking the stocks in a fund's portfolio from the largest market-capitalized stock to the smallest, and then calculating the average weighted market capitalization of the stocks in the middle quintile (middle 40th percentile to 60th percentile) of the portfolio. After a fund's market cap has been determined, Morningstar places the fund in the large-cap, mid-cap, or small-cap group (noted above).

Valuation
Morningstar categorizes funds by comparing the stocks in their portfolios with the most relevant of the three market-cap groups. Specifically, each stock in our equities database receives a price-to-earnings (P/E) score and a price-to-book (P/B) score. This is derived by dividing each stock's P/E and P/B by the asset-weighted median P/E and asset-weighted median P/B (respectively) of the stock's market cap group. For example, to calculate the asset-weighted median P/E, we first rank the P/E ratios of the stocks in each market-cap group from highest to lowest, then count down by their market caps until we reach the 50th percentile of that market-cap group. The P/E ratio attached to that stock is the asset-weighted median P/E. We do the same to find the asset-weighted median P/B. (We do not calculate these figures for international stocks.)

Next, we calculate the P/E Style Box Score and the P/B Style Box Score for each fund by ranking the stocks in a fund's portfolio by their P/E Scores and P/B Scores, respectively, and then calculating an average weighted P/E score and an average weighted P/B score from the stocks in the middle quintile of each fund's portfolio. (International stocks are again not included in this calculation.) These average weighted scores are the P/E Style Box Score and the P/B Style Box Score of the fund's portfolio.

For each measure, 1.00 represents the market-cap group average. If the fund has a P/E Style Box score + P/B Style Box Score that exceeds 2.25, the fund is categorized as growth. If the combined score falls below 1.75, the fund is categorized as value. Finally, if the score is between 1.75 and 2.25, the fund is categorized as blend.

International Stock Style
Investment style data are computed differently for international-stock funds than they are for domestic-stock funds. Because earnings are reported in decidedly different ways in other regions, Morningstar uses price/cash flow, rather than price/earnings, for International Investment Style data. Cash flow from operations takes into account net income and adds back all the adjustments that earnings accounting can make for non-cash expenses--such as depreciation and the use of reserve accounts--and subtracts out all cash payments. International funds' price/cash flow and price/book ratios are viewed in relation to the MSCI Europe Australia Far East (EAFE) Index, rather than against the domestic S & P 500 index.

Sectors
This section displays the percentage of stocks in the portfolio that are invested in each sector. The sum of the individual sector weightings for each holding multiplied by the weight (%) each holding takes up in the portfolio equals the portfolio weighting for each sector. The percentage of each sector that comprises the S&P 500 index is also listed.Morningstar uses 10 sectors to classify companies: Utilities, Energy, Financials, Industrial Cyclicals, Consumer Durables, Consumer Staples, Services, Retail, Health, and Technology.

Utilities
This number indicates the percentage of stocks in the portfolio that are in the utilities sector, such as electric and gas companies.

Energy
This number indicates the percentage of stocks in the portfolio that are in the energy sector, such as oil and natural gas services.

Financials
This number indicates the percentage of stocks in the portfolio that are in the financials sector, such as banks, insurance companies, and savings and loans.

Industrial Cyclicals
This number indicates the percentage of stocks in the portfolio that are in the consumer durables sector, such as aerospace industries, building supplies, and business equipment companies.

Consumer Durables
This number indicates the percentage of stocks in the portfolio that are in the consumer durables sector, which includes automotives, housewares, and textile manufacturers. It also shows the percentage of consumer durables stocks that make up the Standard & Poor's index.

Consumer Staples
This number indicates the percentage of stocks in the portfolio that are in the consumer staples sector, which includes cosmetics, food production, and tobacco companies.

Services
This number indicates the percentage of stocks in the portfolio that are in the services sector, which includes airlines, publishing companies, motels, and restaurants.

Retail
This number indicates the percentage of stocks in the portfolio that are in the retail sector, such as department stores, food stores, and apparel shops.

Health
This number indicates the percentage of stocks in the portfolio that are in the health sector, such as drug manufacturers, medical-instruments makers, and drug wholesalers.

Technology
This number indicates the percentage of stocks in the portfolio that are in the technology sector, such as business data processing, computer leasing, specialized machinery, and electrical equipment companies.

Stock Types
This section displays the percentage of stocks in the portfolio that are invested in each type. The sum of the individual type weightings for each holding multiplied by the weight (%) each holding takes up in the portfolio equals the portfolio weighting for each type. The percentage of each type that comprises the S&P 500 index is also listed. Morningstar uses 8 types to classify companies: Aggressive Growth, Classic Growth, Slow Growth, Speculative Growth, Cyclical, Distressed, Hard Asset, and High Yield.

Morningstar's type categories distinguish companies by where they are in their economic life cycles or by the underlying economic force driving their earnings. The eight Morningstar stock types are:

Aggressive Growth
These are companies whose revenues and earnings have both been growing significantly faster than the general economy.

Classic Growth
These companies are growing respectably faster than the general economy, and often pay a steady dividend. They tend to be mature and solidly profitable businesses.

Slow Growth
These companies have shown slow revenue and earnings growth (typically less than the rate of GDP growth) over at least three years.

Speculative Growth
These companies have shown strong revenue growth but slower or spotty earnings growth. Very small or young companies also tend to fall into this class.

Cyclical
This type includes companies in the cyclicals and durables sectors, except those in the three types below. The profits of cyclicals tend to rise and fall with the general economy.

Distressed
These companies have had consistently declining cash flows and earnings over the past three years, and/or very high debt.

Hard Asset
These companies deal in assets such as oil, metals, and real estate, which tend to do well in inflationary environments.

High Yield
These companies have dividend yields at least twice the average for large-cap stocks. They tend to be mature, slow-growing companies.

Price/Earnings Ratio
The Price/Earnings (or P/E) Ratio of a portfolio is the weighted average of the price/earnings ratios of the stocks and funds that comprise the portfolio. The P/E ratio of a company, which is a comparison of the price of the company's stock to its trailing 12-month earnings per share, is calculated by dividing these two figures. In computing the average, Morningstar weights each portfolio holding by the percentage of equity assets it represents, so that larger positions have proportionately greater influence on the portfolio's final P/E.

Price/Book Ratio
The Price/Book (P/B) Ratio of a portfolio is calculated by taking the weighted average of the price/book ratios of the stocks and funds that comprise the portfolio. Book value is the total assets of a company, less total liabilities (sometimes referred to as carrying value). A company's price/book ratio is calculated by dividing the market price of its outstanding stock by the company's book value, and then adjusting for the number of shares outstanding. (Stocks with negative book values are excluded from this calculation.) In computing a fund's average P/B, Morningstar weights each portfolio holding by the percentage of equity assets it represents, so that larger positions have proportionately greater influence on the final P/B.

ROA
Return on Assets (ROA) is net income divided by assets.

ROE
Return on Equity (ROE) is net income divided by net worth. ROE is the product of profit margin, sales/assets, and debt leverage; it measures how efficiently a company uses shareholders' equity to generate profits.

3-Year Earnings Growth Rate (%)
The three-year earnings growth rate of a portfolio is calculated by taking the weighted average of the three-year earnings growth rates of the stocks and funds that comprise the portfolio. For stocks, the three-year growth rate is calculated from the fourth fiscal year (FY4) to the most recently completed fiscal year (FY1). For funds, three-year earnings growth is a measure of the trailing annualized earnings-growth record of the stocks in the portfolio. In computing a fund's average three-year earnings growth, Morningstar weights each portfolio holding by the percentage of equity assets it represents, so that larger positions have proportionately greater influence on the final three-year earnings growth. Stocks with losses during the past three years and those that lack a three-year track record are excluded from this calculation.

Yield (%)
The yield of a portfolio is calculated by taking the weighted average of the yields of the stocks and funds that comprise the portfolio. Yield represents any distributions from fixed-income securities, dividends from stocks, and realized gains from currency transactions. Morningstar calculates yield by dividing the sum of the fund's income distributions (or the sum of the stock's dividend payments) for the past 12 months by the previous month's NAV (or current stock price per share ). The resulting figure is then compared to the S&P 500, to provide a figure relative to the benchmark.

Median Market Capitalization ($ mil)
The median market capitalization of a portfolio is calculated by taking the weighted average of the market capitalizations of the stocks and the median market capitalizations of the funds that comprise the portfolio. For stocks, market capitalization is the current stock-market value of a company's equity, in millions. It is calculated by multiplying the current share price by the number of shares outstanding as of the most recently completed fiscal quarter.

The median market capitalization of a fund's equity portfolio gives you a measure of the size of the companies in which the fund invests. It is the trimmed mean of the market capitalizations of the stocks in the fund's portfolio.

In computing the trimmed mean, Morningstar first ranks the common stocks (domestic and international) in a fund's portfolio from highest to lowest based on their market capitalizations. (The market capitalization of a stock is equal to the number of shares outstanding multiplied by the current price of the stock.) Then, we divide the list into five segments, the first quintile representing the top 20% of equity assets, the second quintile encompassing the next 20% of equity assets, and so on. Finally, we identify the stocks that fall into the third (middle) quintile of the portfolio, and we calculate the average-weighted market capitalization of the stocks in this middle quintile. The result is the median market cap.

Average Mutual Fund Expense Ratio (%)
This is the asset-weighted average expense ratio for your portfolio. Stocks are not considered to have ongoing expenses. Even for mutual funds, the expense ratio does not incorporate all costs associated with owning a fund; for example, loads and brokerage costs are not included in the expense ratio. However, the expense ratio includes most of the major costs (e.g. management fees, performance fees, administrative fees, etc.) and is a good standard gauge of how much you are paying annually for your fund investments.

Expense Ratio of Similarly Weighted Hypothetical Portfolio (%)
This number calculates what you could have expected to pay if your portfolio had a similar asset-class breakdown, but was invested in funds with average expenses in each asset class. This calculation smoothes out expense-related effects of different asset-class weightings. This is necessary for good comparisons because foreign stock funds are more expensive, on average, than domestic stock funds, and both are more expensive than the average bond fund. If your actual asset-weighted expenses are greater than this number, you are paying more than the average investor for your money management services.

Estimated Mutual Fund Expenses ($)
This is the bill your money managers would send you each year if they sent you a bill. To calculate this number, we multiplied your average annual expense ratio by the total amount of assets in your portfolio.

Total Sales Charges Paid ($)
This is the total amount you indicated you paid for the investment. You can edit this figure in the Manage Portfolios box.

Regional Exposure
This section displays the percentage of stocks in the portfolio that are invested in each world region. The sum of the individual world region percentages for each holding multiplied by the weight (%) each holding takes up in the portfolio equals the total percentage of stocks in the portfolio for each world region.

U.S. & Canada
The percentage of the portfolio's net assets that are invested in common stocks traded on U.S. and Canadian exchanges. American Depository Receipts (ADRs) and Global Depository Receipts (GDRs) are assigned to their countries of origin.

Europe
The percentage of the portfolio's stocks that are invested in countries in continental Europe, including Scandinavia, the British Isles, and Russia.

Japan
The percentage of the portfolio's stocks that are invested in Japanese common stocks.

Latin America
The percentage of the portfolio's stocks that are invested in all countries in North and South America south of the United States.

Pacific Rim
The percentage of the portfolio's stocks that are invested in Australia, New Zealand, East and Southeast Asia. Excludes Japan and the Subcontinent countries.

Other Regions
The percentage of the portfolio's stocks that are invested in the Middle East, Asian Subcontinent, African, and island nations, e.g., Israel, South Africa, Pakistan, Bermuda.

Not Classified
Not all securities in all fund portfolios can be identified or classified by Morningstar. If a security cannot be identified or classified, it will be reflected in the number.

Top 10 Holdings
The top 10 holdings of your portfolio by % of assets.