Mutual funds provide you with a cost-effective alternative to direct purchases of stocks or bonds – you don't need to be wealthy to invest in them, and depending on the fund you choose, shares can be purchased with little or no minimum investment. Mutual funds offer you a number of benefits including:

• Diversification*
• Professional Management
• Liquidity
• Flexibility
• Convenience

As a shareholder, generally you also receive easy-to-read account statements, detailing information on account values, share transactions, and dividend and capital gains distributions.

* Diversification cannot eliminate the risk of investment loss.

Why Savings May Not Be Enough

To achieve long-term financial goals, your money must work harder than ever. Like many investors today, you may try to put a little money aside each week using a traditional savings account offered by a bank. While any savings account program is commendable, it may not be enough to meet your financial needs due to the effects of inflation. As the price of goods and services climbs, the dollar's buying power sinks. This means that the progress you've made toward saving to build your financial nest egg may likely be diminished by the rising cost of living. Mutual funds, with their professional money management, convenience, and low investment minimums, can be an important tool in helping you meet your long-term financial goals by providing you with the potential to achieve higher rates of return than in a bank account. Keep in mind that with the potential to achieve higher rates of return comes risk of loss which is generally not present in bank accounts as they are generally federally insured up to $100,000.

The Effect of Inflation

Each year the purchasing power of the dollar is eroded by inflation. For example, $1.00 in 1981 was only worth $0.51 at the end of 2001. As the price of goods and services climbs, the dollar's buying power sinks. This is particularly frustrating because any progress you've made toward saving to build your financial nest egg is significantly diminished by the rising cost of living. That is why saving in a bank account may not be enough.

1981-2001

Mutual funds are sold by prospectus, which is available from your registered representative. Please carefully consider investment objectives, risks, charges, and expenses before investing. For this and other information about any mutual fund investment please obtain a prospectus and read it carefully before you invest.  Investment return and principal value will fluctuate with changes in market conditions such that shares may be worth more or less than original cost when redeemed.

Securities offered through MetLife Securities, Inc. a broker-dealer (member FINRA/SIPC). 200 Park Avenue, New York, NY 10166.

The Price You Pay for Safety

In an effort to combat the effects of inflation, many people invest in FDIC-insured certificates of deposit (CDs)1. Yet over time, the 'price' paid for the safety of a CD can be a costly one. The difference in growth potential between a CD and a stock mutual fund, for example, can be critical when trying to reach your long-term goals, such as planning for retirement or finance a child's education.

The following diagram shows the difference between investing in a CD as compared to investing in a more aggressive investment represented in the chart below by the S&P 500 Index. At the end of 20 years, a $10,000 initial investment would have been worth about $171,000 in an equity mutual fund, as compared to only about $37,000 earned by investing in a CD – a difference of about $134,000!

1981-2001

Source: Lipper 6-month CD for 20 years ended 12/31/2001

$10,000 represented by the Standard & Poors 500 Composite Stock Price Index (S&P 500 Index), an unmanaged stock index, versus $10,000 rolled over in a 6-month CD for 20 years ended 12/31/2001.  All interest, dividends and capital gains reinvested.  The S&P 500 Index is a market capitalization weighted price-only index composed of 500 widely held common stocks listed on the New York Stock Exchange, American Stock Exchange and Over-The-Counter Market.  The Index is unmanaged and does not take transaction charges into consideration.  Direct investment in the Index is not possible.  Results are for illustrative purposes only and do not represent any specific product.  A CD guarantees principal and a fixed rate of return; the rate of return of a mutual fund investment is not guaranteed and will fluctuate with changes in market conditions; therefore, there is a greater risk to your investment capital.  Past performance is not a guarantee of future results.