Before investing, visit flexshares.com/prospectus to obtain a prospectus that includes the investment objectives, risks, fees, expenses and other information you should read carefully and consider carefully. Foreside Fund Services, LLC, distributor.
Investment in FlexShares Ready Access Variable Income Fund (RAVI) is subject to numerous risks including possible loss of principal. Highlighted risks: active management; interest rate/maturity (value of underlying assets may fall due to changing interest rates); debt extension & prepayment (an issuer may exercise its right to pay principal on an obligation later or sooner than expected); concentration (may invest more than 25% of assets into securities of a single developed market). See prospectus for full description of risks.
Liquidity is the degree to which an asset or security can be bought or sold in the market without affecting the asset's price. Assets that can be easily bought or sold are known as liquid assets. The concept of "preserving liquidity" focuses on holding short maturity fixed income investments which have no tolerance for transactional price variability in any context. This focus on stability of principal may mean no income return is generated. "Investing liquidity" on the other hand focuses on holding short maturity fixed income investments, that are positioned strategically or tactically with other risk-based asset classes, which can tolerate a very modest degree of transactional price variability in order to earn an income return.