Other Fixed Income Investments

Equity UITs

Fixed portfolios of equities selected by a predetermined criterion or strategy.
Offer diversification, liquidity with low minimum investment.

Bond UITs

Fixed portfolios of professionally selected tax-exempt1 or taxable bonds.
Offer steady income, liquidity, and diversification.

Yield Enhanced Securities

Provide relatively high yield, with exposure to the equity market.
Fixed regular interest payment and a payment of principal at maturity based on the price of the underlying stock or index.
Usually limit the investor's participation in the growth of the underlying security.

Investors should consider carefully information contained in the prospectus, including investment objectives, risks, charges and expenses. You can request a prospectus by calling 800-435-4000. Please read the prospectus carefully before investing.

Investment value will fluctuate, and shares, when redeemed, may be worth more or less than original cost.

Bond investments generally lose value during periods of increasing interest rates.

1. Income may be subject to the alternative minimum tax (AMT), and capital appreciation from discounted bonds may be subject to state or local taxes. Capital gains are not exempt from federal income tax.

(1205-9027)

Suggested next steps:

New to Schwab?
Call 866-855-9104 to learn about fixed-income investing.

Already a Schwab client?
Call 888-621-4355 to talk to a Schwab fixed-income specialist.