The Mutual Funds Performance Guide can help you more easily compare and evaluate the mutual
fund investments available through Schwab.


The information presented in this report is obtained from sources deemed to be reliable,
but no guarantees are made as to its accuracy, completeness or suitability for any purpose.


Fund results represent historical performance and do not predict future returns.
It is important to realize that share prices and investment returns fluctuate up and down, so your
investment may be worth more or less than your original cost when you redeem your shares.


Before investing in any fund, please request a copy of the prospectus and read it carefully to make
sure that, the fund is appropriate for your goals and risk tolerance. The prospectus contains important
information on the fund's objectives, strategies, risks and expenses which can help you decide if it
is suitable for you. Prospectuses for all mutual funds available through Schwab may be obtained
free of charge by calling 1-800-2 NO-LOAD.


For some funds, the manager may have waived all or a portion of the fees during a given period. This
fee waiver will have the effect of increasing the fund's reported returns, and should be weighed in
evaluating the fund's performance. You can find out if a fund's manager has waived any fees by reading
the prospectus.


Some of the funds in this guide invest in international securities, which can involve greater risks
than U.S. investments. Some risks specific to foreign investments include political and economic
instability as well as changing currency exchange rates. If you're considering an investment
in an international fund, be sure to read the risk section of the prospectus carefully.


Taxes can affect the return you realize from a mutual fund investment. At Schwab, we don't offer tax
advice, so before you make any mutual fund investment, we suggest that you consult your tax advisor.


Effect of transaction fees

Schwab charges transaction fees on some mutual fund purchases an redemptions which are not
reflected in the performance data provided in the guide. If these fees were factored into the
performance data, the fund's results would be lower. For funds with sales charges or loads,
the performance data in the guide reflect the maximum charges.


About fund availability

Not all funds in this guide are registered for sale in all states. Check with your Schwab mutual fund
representative about funds which you are interested in.


If you would like some more detailed information regarding individual definitions
and additional information you should consider when selecting an investment including
the unique risks associated with certain types of mutual funds, please see the
Help section.

