Prospectus [RiverSource Investments Logo]
RiverSource(SM)
Selective Fund
Prospectus July 29, 2005
Amended as of Oct. 3, 2005
> RiverSource Selective Fund (formerly AXP(R) Selective Fund) seeks to
provide shareholders with current income and preservation of capital.
As with all mutual funds, the Securities and Exchange Commission has not
approved or disapproved these securities or passed upon the adequacy of this
prospectus. Any representation to the contrary is a criminal offense.
You may qualify for sales charge discounts on purchases of Class A shares.
Please notify your financial advisor or investment professional if you have
other accounts holding shares of RiverSource funds to determine whether you
qualify for a sales charge discount. See "Buying and Selling Shares" for more
information.
Not FDIC Insured o May Lose Value o No Bank Guarantee
Table of Contents
The Fund 3p
Objective 3p
Principal Investment Strategies 3p
Principal Risks 4p
Past Performance 5p
Fees and Expenses 8p
Other Investment Strategies and Risks 9p
Fund Management and Compensation 10p
Buying and Selling Shares 15p
Transactions Through Unaffiliated
Financial Intermediaries 15p
Valuing Fund Shares 16p
Investment Options 16p
Purchasing Shares 18p
Sales Charges 20p
Exchanging/Selling Shares 25p
Distributions and Taxes 29p
Dividends and Capital
Gain Distributions 29p
Reinvestments 29p
Taxes 29p
Master/Feeder Structure 30p
Financial Highlights 31p
CORPORATE REORGANIZATION
On Sept. 30, 2005, Ameriprise Financial, Inc. (Ameriprise Financial) (formerly
American Express Financial Corporation) was spun off to shareholders of its
parent corporation, American Express Company (American Express), and is now a
separate public company, trading under the ticker symbol AMP. Ameriprise
Financial provides administrative services to the Fund and is the parent company
of the Fund's investment manager, RiverSource Investments, LLC; the Fund's
distributor, Ameriprise Financial Services, Inc. (formerly American Express
Financial Advisors Inc.); and the Fund's transfer agent, RiverSource Service
Corporation (formerly American Express Client Service Corporation). On Oct. 1,
2005, the Fund changed its name, such that it no longer is branded AXP(R). The
Fund now bears the RiverSource(SM) brand. Ameriprise Financial and its
subsidiaries are no longer affiliated with American Express.
The Board of Directors has approved the merger of RiverSource Selective Fund
into RiverSource Diversified Bond Fund (formerly AXP Diversified Bond Fund). The
merger is subject to approval by shareholders of RiverSource Selective Fund. It
is currently anticipated that proxy materials regarding the merger will be
distributed to shareholders in December 2005, and that a meeting for
shareholders to consider the merger will be held in February 2006.
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2p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
The Fund
OBJECTIVE
RiverSource Selective Fund (the Fund) seeks to provide shareholders with current
income and preservation of capital. Because any investment involves risk,
achieving this objective cannot be guaranteed.
The Fund seeks to achieve its objective by investing all of its assets in a
master portfolio (Portfolio) rather than by directly investing in and managing
its own portfolio of securities. The Portfolio has the same objective and
investment policies as the Fund. The Fund's Board of Directors (Board) has
approved the withdrawal of the Fund's assets from the Portfolio, which is
expected to be completed in late 2005 or early 2006. After that date, the Fund
will invest directly in and manage its own portfolio of securities rather than
investing in the Portfolio. For more information, see "Master/Feeder Structure."
PRINCIPAL INVESTMENT STRATEGIES
The Fund's assets are primarily invested in debt obligations. Although the Fund
is not an index fund, under normal market conditions, it will invest primarily
in securities like those included in the Lehman Brothers Aggregate Bond Index
(the "Index"), which are investment grade and denominated in U.S. dollars. The
Index includes securities issued by the U.S. government, corporate bonds, and
mortgage- and asset-backed securities. The Fund will not invest in securities
rated below investment grade, although it may hold securities that have been
downgraded.
In pursuit of the Fund's objective, the Fund's investment manager (RiverSource
Investments, LLC) chooses investments by:
o Reviewing the stage and direction of economic business cycles. Depending on
the stage of the business cycle, the investment manager will choose debt
obligations from the following market sectors: government securities,
corporate securities, and asset-backed securities.
o Reviewing credit characteristics and interest rate outlook.
o Targeting an average portfolio duration within one year of the duration of
the Index which, as of May 31, 2005, was 4.2 years. Duration measures the
sensitivity of bond prices to changes in interest rates. The longer the
duration of a bond, the longer it will take to repay the principal and
interest obligations and the more sensitive it will be to changes in interest
rates. For example, a five year duration means a bond is expected to decrease
in value by 5% if interest rates rise 1% and increase in value by 5% if
interest rates fall 1%.
o Identifying and buying securities that:
o are medium and high quality (investment grade),
o have maturities that complement the investment manager's
expectations for long-term and short-term interest rates, and
o are expected to outperform other market sectors. In this analysis, the
investment manager will take risk factors into account (for example,
whether money has been set aside to cover the cost of principal and
interest payments).
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In evaluating whether to sell a security, the investment manager considers,
among other factors, whether:
o The interest rate or economic outlook changes.
o A sector or industry is experiencing change.
o A security's rating is changed or is vulnerable to a change.
o The security is overvalued relative to alternative investments.
o The investment manager identifies a more attractive opportunity.
PRINCIPAL RISKS
Please remember that with any mutual fund investment you may lose money.
Principal risks associated with an investment in the Fund include:
Active Management Risk. The Fund is actively managed and its performance
therefore will reflect in part the ability of the portfolio managers to make
investment decisions that are suited to achieving the Fund's investment
objective. Due to its active management, the Fund could underperform other
mutual funds with similar investment objectives.
Credit Risk. The risk that the issuer of a security, or the counterparty to a
contract, will default or otherwise become unable or unwilling to honor a
financial obligation, such as payments due on a bond or a note. If the Fund
purchases unrated securities, or if the rating of a security is reduced after
purchase, the Fund will depend on the investment manager's analysis of credit
risk more heavily than usual.
Interest Rate Risk. The risk of losses attributable to changes in interest
rates. Interest rate risk is generally associated with bond prices: when
interest rates rise, bond prices fall. In general, the longer the maturity or
duration of a bond, the greater its sensitivity to changes in interest rates.
Market Risk. The market value of securities may fall or fail to rise. Market
risk may affect a single issuer, sector of the economy, industry, or the market
as a whole. The market value of securities may fluctuate, sometimes rapidly and
unpredictably.
Prepayment and Extension Risk. The risk that a bond or other security might be
called, or otherwise converted, prepaid, or redeemed, before maturity. This risk
is primarily associated with asset-backed securities, including mortgage backed
securities. If a security is converted, prepaid, or redeemed, before maturity,
particularly during a time of declining interest rates, the investment manager
may not be able to reinvest in securities providing as high a level of income,
resulting in a reduced yield to the Fund. Conversely, as interest rates rise,
the likelihood of prepayment decreases. The investment manager may be unable to
capitalize on securities with higher interest rates because the Fund's
investments are locked in at a lower rate for a longer period of time.
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4p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
PAST PERFORMANCE
The following bar chart and table provide some illustration of the risks of
investing in the Fund by showing, respectively:
o how the Fund's performance has varied for each full calendar year shown on
the bar chart, and
o how the Fund's average annual total returns compare to recognized indexes
shown on the table.
Both the bar chart and the table assume that all distributions have been
reinvested. The performance of different classes varies because of differences
in sales charges and other fees and expenses. How the Fund has performed in the
past (before and after taxes) does not indicate how the Fund will perform in the
future. Performance reflects any fee waivers/expense caps in effect for the
periods reported. In the absence of such fee waivers/expense caps, performance
would have been lower. See "Fees and Expenses" for any current fee
waivers/expense caps.
Bar Chart. Class A share information is shown in the bar chart; the sales charge
for Class A shares is not reflected in the bar chart.
Table. The table shows total returns from hypothetical investments in Class A,
Class B, Class C and Class Y shares of the Fund. These returns are compared to
the indexes shown for the same periods. Past performance for Class Y for the
periods prior to March 20, 1995 may be calculated based on the performance of
Class A, adjusted to reflect differences in sales charges, but not differences
in annual Fund operating expenses. For purposes of the performance calculation
in the table we assumed:
o the maximum sales charge for Class A shares,
o sales at the end of the period and deduction of the applicable contingent
deferred sales charge (CDSC) for Class B and Class C shares,
o no sales charge for Class Y shares, and
o no adjustments for taxes paid by an investor on the reinvested
income and capital gains.
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5p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
After-Tax Returns
After-tax returns are shown only for Class A shares. After-tax returns for the
other classes will vary. After-tax returns are calculated using the highest
historical individual federal marginal income tax rate and do not reflect the
impact of state and local taxes. Actual after-tax returns will depend on your
tax situation and most likely will differ from the returns shown in the table.
If you hold your shares in a tax-deferred account, such as a 401(k) plan or an
IRA, the after-tax returns do not apply to you since you will not incur taxes
until you begin to withdraw from your account.
The return after taxes on distributions for a period may be the same as the
return before taxes for the same period if there were no distributions or if the
distributions were small. The return after taxes on distributions and sale of
Fund shares for a period may be greater than the return before taxes for the
same period if there was a tax loss realized on sale of Fund shares. The benefit
of the tax loss (since it can be used to offset other gains) may result in a
higher return.
[BAR CHART]
CLASS A SHARE PERFORMANCE
(based on calendar years)
+21.22% +2.50% +8.25% +8.18% -1.11% +9.97% +6.89% +2.43% +3.13% +3.90%
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004
During the periods shown in the bar chart, the highest return for a calendar
quarter was +7.43% (quarter ended June 30, 1995) and the lowest return for a
calendar quarter was -2.98% (quarter ended March 31, 1996).
The 4.75% sales charge applicable to Class A shares of the Fund is not reflected
in the bar chart; if reflected, returns would be lower than those shown. The
performance of other classes may vary from that shown because of differences in
expenses.
The Fund's Class A year-to-date return at June 30, 2005 was +1.97%.
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6p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
Average Annual Total Returns (for periods ended Dec. 31, 2004)
Since Since
1 year 5 years 10 years inception (B&Y) inception (b)
RiverSource Selective:
Class A
Return before taxes -1.04% +4.21% +5.88% N/A N/A
Return after taxes on distributions -2.23% +2.43% +3.53% N/A N/A
Return after taxes on distributions
and sale of fund shares -0.69% +2.49% +3.57% N/A N/A
Class B
Return before taxes -1.88% +4.09 N/A +5.26(a) N/A
Class C
Return before taxes +2.13% N/A N/A N/A +4.50%(b)
Class Y
Return before taxes +4.07% +5.39% N/A +6.21%(b) N/A
Lehman Brothers Aggregate Bond Index
(reflects no deduction for fees, expenses or taxes) +4.34% +7.71% +7.72% +7.38%(c) +7.66%(d)
Lipper Corporate Debt -- A rated Funds Index +4.51% +7.22% +7.23% +6.89%(c) +7.29%(d)
(a) Inception date is March 20, 1995.
(b) Inception date is June 26, 2000.
(c) Measurement period started April 1, 1995.
(d) Measurement period started July 1, 2000.
The Lehman Brothers Aggregate Bond Index, an unmanaged index, is made up of a
representative list of government, corporate, asset-backed and mortgage-backed
securities. The index is frequently used as a general measure of bond market
performance. The index reflects reinvestment of all distributions and changes in
market prices, but excludes brokerage commissions or other fees.
The Lipper Corporate Debt - A rated Funds Index includes the 30 largest
corporate debt A rated funds tracked by Lipper Inc. The index's returns include
net reinvested dividends.
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7p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
FEES AND EXPENSES
Fund investors pay various expenses. The table below describes the fees and
expenses that you may pay if you buy and hold shares of the Fund. Expenses are
based on the Fund's most recent fiscal year, adjusted to reflect current fees.
Shareholder Fees (fees paid directly from your investment)
Class A Class B Class C Class Y
Maximum sales charge (load) imposed on purchases(a)
(as a percentage of offering price) 4.75% none none none
Maximum deferred sales charge (load) imposed on sales
(as a percentage of offering price at time of purchase) none(b) 5% 1% none
Annual Fund Operating Expenses(c) (expenses that are deducted from Fund assets)
As a percentage of average daily net assets: Class A Class B Class C Class Y
Management fees 0.52% 0.52% 0.52% 0.52%
Distribution (12b-1) fees 0.25% 1.00% 1.00% 0.00%
Other expenses(d) 0.27% 0.28% 0.29% 0.36%
Total 1.04% 1.80% 1.81% 0.88%
Fee waiver/expense reimbursement 0.15% 0.16% 0.17% 0.16%
Net expenses(e) 0.89% 1.64% 1.64% 0.72%
(a) This charge may be reduced depending on the value of your total investments
in RiverSource funds. See "Sales Charges."
(b) For Class A purchases over $1,000,000 on which no sales charge is assessed,
a 1% sales charge may apply if you sell your shares within one year after
purchase.
(c) Both in this table and the following example Fund operating expenses
include expenses charged by both the Fund and its Portfolio as described
under "Fund Management and Compensation."
(d) Other expenses include an administrative services fee, a transfer agency
fee, a custody fee and other nonadvisory expenses and, for Class Y shares,
a shareholder service fee.
(e) The investment manager and its affiliates have contractually agreed to
waive certain fees and to absorb certain expenses until May 31, 2006,
unless sooner terminated at the discretion of the Fund's Board. Any amounts
waived will not be reimbursed by the Fund. Under this agreement, net
expenses will not exceed 0.89% for Class A; 1.64% for Class B: 1.64% for
Class C and 0.72% for Class Y.
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Examples
These examples are intended to help you compare the cost of investing in the
Fund with the cost of investing in other mutual funds.
These examples assume that you invest $10,000 in the Fund for the time periods
indicated and then redeem all of your shares at the end of those periods. These
examples also assume that your investment has a 5% return each year and that the
Fund's operating expenses remain the same. Although your actual costs may be
higher or lower, based on these assumptions your costs would be:
1 year 3 years 5 years 10 years
Class A(a) $562 $776 $1,009 $1,677
Class B $667(b) $951(b) $1,161(b) $1,907(c)
Class C $267(b) $553 $ 965 $2,118
Class Y $ 74 $265 $ 473 $1,074
(a) Includes a 4.75% sales charge.
(b) Includes the applicable CDSC.
(c) Based on conversion of Class B shares to Class A shares in the ninth year
of ownership.
You would pay the following expenses if you did not redeem your shares:
1 year 3 years 5 years 10 years
Class A(a) $562 $776 $1,009 $1,677
Class B $167 $551 $ 961 $1,907(b)
Class C $167 $553 $ 965 $2,118
Class Y $ 74 $265 $ 473 $1,074
(a) Includes a 4.75% sales charge.
(b) Based on conversion of Class B shares to Class A shares in the ninth year
of ownership.
OTHER INVESTMENT STRATEGIES AND RISKS
Other Investment Strategies. In addition to the principal investment strategies
previously described, the Fund may invest in other securities and may use other
investment strategies that are not principal investment strategies.
Additionally, the Fund may use derivatives (financial instruments where the
value depends upon, or is derived from, the value of something else) such as
futures, options and forward contracts, to produce incremental earnings, to
hedge existing positions or to increase flexibility. Just as with securities in
which the Fund invests directly, derivatives are subject to a number of risks,
including market, liquidity, interest rate and credit risk. In addition, a
relatively small price movement in the underlying security, currency or index
may result in a substantial gain or loss for the Fund using derivatives. Even
though the Fund's policies permit the use of derivatives in this manner, the
portfolio managers are not required to use derivatives. For more information on
strategies and holdings, and the risks of such strategies, including other
derivative instruments that the Fund may use, see the Fund's Statement of
Additional Information (SAI) and its annual and semiannual reports.
Unusual Market Conditions. During unusual market conditions, the Fund may
temporarily invest more of its assets in money market securities than during
normal market conditions. Although investing in these securities would serve
primarily to avoid losses, this type of
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9p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
investing also could prevent the Fund from achieving its investment objective.
During these times, the portfolio managers may make frequent securities trades
that could result in increased fees, expenses and taxes, and decreased
performance.
Portfolio Turnover. Trading of securities may produce capital gains, which are
taxable to shareholders when distributed. Active trading may also increase the
amount of commissions or mark-ups paid to broker-dealers that the Fund pays when
it buys and sells securities. The Fund's historical portfolio turnover rate,
which measures how frequently the Fund buys and sells investments, is shown in
the "Financial Highlights."
Securities Transaction Commissions. Securities transactions involve the payment
by the Fund of brokerage commissions to broker-dealers, on occasion as
compensation for research or brokerage services (commonly referred to as "soft
dollars"), as the portfolio managers buy and sell securities for the Fund in
pursuit of its objective. A description of the policies governing the Fund's
securities transactions and the dollar value of brokerage commissions paid by
the Fund are set forth in the SAI. The brokerage commissions set forth in the
SAI do not include implied commissions or mark-ups (implied commissions) paid by
the Fund for principal transactions (transactions made directly with a dealer or
other counterparty), including most fixed income securities and certain
derivatives. In addition, brokerage commissions do not reflect other elements of
transaction costs, including the extent to which the Fund's purchase and sale
transactions may cause the market to move and change the market price for an
investment.
Although brokerage commissions and implied commissions are not reflected in the
expense table under "Fees and Expenses," they are reflected in the total return
of the Fund.
Directed Brokerage. The Fund's Board of Directors (Board) has adopted a policy
prohibiting the investment manager, or any subadviser, from considering sales of
shares of the Fund as a factor in the selection of broker-dealers through which
to execute securities transactions.
Additional information regarding securities transactions can be found in the
SAI.
FUND MANAGEMENT AND COMPENSATION
Investment Manager
RiverSource Investments, LLC (the investment manager or RiverSource
Investments), 200 Ameriprise Financial Center, Minneapolis, Minnesota 55474, is
the investment manager to the RiverSource funds, and is a wholly-owned
subsidiary of Ameriprise Financial, Inc. (Ameriprise Financial). Ameriprise
Financial is a financial planning and financial services company that has been
offering solutions for clients' asset accumulation, income management and
protection needs for more than 110 years. In addition to managing investments
for all of the RiverSource funds, RiverSource Investments manages investments
for itself and its affiliates. For institutional clients, RiverSource
Investments and its affiliates provide investment management and related
services, such as separate account asset management, institutional trust and
custody, and employee benefit plan administration, as well as other investment
products. For all of its clients, RiverSource Investments seeks to allocate
investment opportunities in an equitable manner over time. See the SAI for more
information.
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The Portfolio pays RiverSource Investments a fee for managing is assets. The
Fund pays its proportionate share of the fee. Under the Investment Management
Services Agreement (Agreement), the fee for the most recent fiscal year was
0.52% of the Portfolio's average daily net assets. Under the Agreement, the
Portfolio also pays taxes, brokerage commissions, and nonadvisory expenses. A
discussion regarding the basis for the Board approving the Agreement is
available in the Fund's most recent shareholder report.
Portfolio Manager(s). The portfolio managers responsible for the day-to-day
management of the Fund are:
Tom Murphy, CFA, Portfolio Manager
o Co-Managed the Portfolio since 2003.
o Leader of the investment grade corporate bond sector team.
o Joined RiverSource Investments (previously American Express Financial
Corporation (AEFC)) in 2002.
o Managing Director and Portfolio Manager, BlackRock Financial Management,
2002; various positions, Zurich Scudder, 1992 to 2002.
o Began investment career in 1986.
o MBA, University of Michigan.
Scott Kirby, Portfolio Manager
o Co-Managed the Portfolio since June 2003.
o Leader of the structured assets sector team.
o Employed by RiverSource Investments (previously AEFC) from 1979 to 1985 and
from 1987 to the present.
o Began investment career in 1979.
o MBA, University of Minnesota.
Jamie Jackson, CFA, Portfolio Manager
o Co-Managed the Portfolio since June 2003.
o Leader of the liquid assets sector team.
o Joined RiverSource Investments (previously AEFC) in 2003.
o Co-head of U.S. Investment Grade Fixed Income, UBS Global Asset Management,
1997 to 2003.
o Began investment career in 1988.
o MBA, Marquette University.
The fixed income department of RiverSource Investments is divided into six
sector teams, each of which includes a portfolio manager or portfolio managers
and several analysts, and each of which specializes in a specific sector of the
fixed income market. The Fund's portfolio managers lead the teams that
specialize in the sectors in which the Fund primarily invests, and collectively
determine allocation of Fund assets among the sectors.
The SAI provides additional information about portfolio manager compensation,
management of other accounts and ownership of shares in the Fund.
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11p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
Additional Services and Compensation
As described above, RiverSource Investments receives compensation for acting as
the Fund's investment manager. RiverSource Investments and its affiliates also
receive compensation for providing other services to the Fund.
Administration Services. Ameriprise Financial provides or compensates others to
provide administrative services to the RiverSource funds. These services include
administrative, accounting, treasury, and other services. Fees paid by the Fund
for these services are included under "Other expenses" in the expense table
under "Fees and Expenses."
Custody Services. Ameriprise Trust Company, 200 Ameriprise Financial Center,
Minneapolis, Minnesota 55474, (the custodian or Ameriprise Trust Company),
provides custody services to all but a limited number of the RiverSource funds,
including this Fund for which U.S. Bank National Association provides custody
services. In addition, Ameriprise Trust Company is paid for certain transaction
fees and out-of-pocket expenses incurred while providing services to the funds.
Fees paid by the Fund for these services are included under "Other expenses" in
the expense table under "Fees and Expenses."
Distribution Services. Ameriprise Financial Services, Inc., 70100 Ameriprise
Financial Center, Minneapolis, Minnesota 55474 (the distributor or Ameriprise
Financial Services), provides underwriting and distribution services to the
RiverSource funds. Under the Distribution Agreement and related distribution and
shareholder servicing plan(s), the distributor receives distribution and
shareholder servicing fees. The distributor pays a portion of these fees to
financial advisors and retains a portion of these fees to support its
distribution and shareholder servicing activity. For third party sales, the
distributor re-allows a portion of these fees to the financial intermediaries
that sell Fund shares and provide services to shareholders, and retains a
portion of these fees to support its distribution and shareholder servicing
activity. Fees paid by the Fund for these services are set forth under
"Distribution (12b-1) fees" in the expense table under "Fees and Expenses." More
information on how these fees are used is set forth under "Investment Options"
and in the SAI. The distributor also administers any sales charges paid by an
investor at the time of purchase or at the time of sale (deferred sales charge).
See "Shareholder Fees (fees paid directly from your investment)" under "Fees and
Expenses" for the scheduled sales charge of each share class. See "Buying and
Selling Shares" for variations in the scheduled sales charges, and for how these
sales charges are used by the distributor. See "Other Investment Strategies and
Risks" for Fund policy regarding directed brokerage.
Transfer Agency Services. RiverSource Service Corporation, 70100 Ameriprise
Financial Center, Minneapolis, Minnesota 55474 (the transfer agent or
RiverSource Service Corporation), provides or compensates others to provide
transfer agency services to the RiverSource funds. The RiverSource funds pay the
transfer agent a fee, which varies by share class, as set forth in the SAI and
reimburses the transfer agent for its out-of-pocket expenses incurred while
providing these transfer agency services to the funds. Fees paid by the Fund for
these services are included under "Other expenses" in the expense table under
"Fees and Expenses." RiverSource funds are primarily sold through Ameriprise
Financial Services which is allocated a portion of these fees for providing
services to Fund shareholders. RiverSource Service Corporation may also pay a
portion of these fees to other financial intermediaries that provide
sub-recordkeeping and other services to Fund shareholders.
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The SAI provides additional information about the services provided and the fee
schedules for the agreements set forth above.
Payments to Financial Intermediaries
RiverSource Investments and its affiliates may make additional cash payments out
of their own resources to financial intermediaries, such as broker-dealers,
banks, qualified plan administrators and recordkeepers, or other institutions,
including inter-company allocation of resources to affiliated broker-dealers
such as Ameriprise Financial Services (financial intermediaries) in connection
with the sale of shares of the Fund and/or the provision of services to the Fund
or its shareholders. These payments may create an incentive for the financial
intermediary, its employees or registered representatives to recommend or sell
shares of the Fund to its customers. These payments and inter-company
allocations are in addition to any 12b-1 distribution and/or shareholder service
fees or other amounts paid by the Fund under distribution or shareholder
servicing plans, or paid by the Fund for shareholder account maintenance,
sub-accounting or recordkeeping services provided directly by the financial
intermediary providing such services. In exchange for these payments and
inter-company allocations, RiverSource Investments and its affiliates may
receive preferred access to registered representatives of a financial
intermediary (for example, the ability to make presentations in branch offices
or at conferences) or preferred access to customers of the financial
intermediary (for example, the ability to advertise or directly interact with
the financial intermediary's customers in order to sell the Fund). These
arrangements are sometimes referred to as "revenue sharing payments." In some
cases, these arrangements may create an incentive for a financial intermediary
or its representatives to recommend or sell shares of a fund and may create a
conflict of interest between a financial intermediary's financial interest and
its duties to its customers. Please contact the financial intermediary through
which you are purchasing shares of the Fund for details about any payments it
may receive in connection with the sale of Fund shares or the provision of
services to the Fund.
These payments and inter-company allocations are usually calculated based on a
percentage of fund sales, and/or as a percentage of fund assets attributable to
a particular financial intermediary. These payments may also be negotiated based
on other criteria or factors including, but not limited to, the financial
intermediary's affiliation with the investment manager, its reputation in the
industry, its ability to attract and retain assets, its access to target
markets, its customer relationships and the scope and quality of services it
provides. The amount of payment or inter-company allocation may vary by
financial intermediary and by type of sale (e.g., purchases of different share
classes or purchases of the Fund through a qualified plan or through a wrap
program), and may be significant.
From time to time, RiverSource Investments and its affiliates may make other
payments, including non-cash compensation, to financial intermediaries or their
representatives in the form of gifts of nominal value, occasional meals,
tickets, or other entertainment, support for due diligence trips, training and
educational meetings or conference sponsorships, support for recognition
programs, and other forms of non-cash compensation permissible under regulations
to which these financial intermediaries and their representatives are subject.
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Additional Management Information
Manager of Manager Exemption. The Fund has received an order from the Securities
and Exchange Commission that permits RiverSource Investments, subject to the
approval of the Board, to appoint a subadviser or change the terms of a
subadvisory agreement for the Fund without first obtaining shareholder approval.
Before the Fund may rely on the order, holders of a majority of the Fund's
outstanding voting securities will need to approve operating the Fund in this
manner. If shareholder approval is received, the Fund may add or change
unaffiliated subadvisers or the fees paid to subadvisers from time to time
without the expense and delays associated with obtaining shareholder approval of
the change. There is no assurance shareholder approval will be received, and no
changes will be made without shareholder approval until that time.
Affiliated Funds-of-Funds. RiverSource Investments also serves as investment
manager to the RiverSource Portfolio Builder Funds (Portfolio Builder Funds), a
group of six funds-of-funds that provide asset-allocation services to
shareholders by investing in shares of other RiverSource funds, including the
Fund. The Fund may experience relatively large purchases or redemptions from the
Portfolio Builder Funds. Although RiverSource Investments seeks to minimize the
impact of these transactions by structuring them over a reasonable period of
time, the Fund may experience increased expenses as it buys and sells securities
to manage transactions for the Portfolio Builder Funds. In addition, because the
Portfolio Builder Funds may own a substantial portion of the Fund, a redemption
by the Portfolio Builder Funds could cause the Fund's expense ratio to increase
as the Fund's fixed costs would be spread over a smaller asset base. RiverSource
Investments monitors expense levels and is committed to offering funds that are
competitively priced. RiverSource Investments will report to the Fund's Board on
the steps it has taken to manage any potential conflicts.
Fund Holdings Disclosure. The Fund's Board has adopted policies and procedures
that govern the timing and circumstances of disclosure to shareholders and third
parties of information regarding the securities owned by the Fund. A description
of these policies and procedures is included in the Fund's SAI.
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14p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
Buying and Selling Shares
TRANSACTIONS THROUGH UNAFFILIATED FINANCIAL INTERMEDIARIES
Where authorized by the distributor, shares of the Fund may be available through
certain 401(k) or other qualified plans, banks, broker-dealers or other
institutions (financial intermediaries). These financial intermediaries may
charge you additional fees for the services they provide and they may have
different policies not described in this prospectus. Some policy differences may
include different minimum investment amounts, exchange privileges, fund choices
and cutoff times for investments. Additionally, recordkeeping, transaction
processing and payments of distributions relating to your account may be
performed by the financial intermediaries or their representatives through whom
shares are held. Since the Fund may not have a record of your transactions, you
should always contact the financial intermediary through whom you purchased the
Fund to make changes to or give instructions concerning your account or to
obtain information about your account. The Fund and the distributor are not
responsible for the failure of one of these financial intermediaries to carry
out its obligations to its customers.
Availability and Transferability of Fund Shares. Please consult your investment
professional or financial intermediary to determine availability of the Fund.
Currently, RiverSource funds may be purchased or sold through affiliated
broker-dealers of RiverSource Investments, including Ameriprise Financial
Services and Securities America, Inc. (Securities America), and through a
limited number of unaffiliated institutions. If you set up an account at another
financial intermediary, you will not be able to transfer RiverSource fund
holdings to that account unless that institution has obtained a selling
agreement with the distributor of the RiverSource funds. If you set up an
account with an unaffiliated financial intermediary that does not have, and is
unable to obtain, such a selling agreement, you must either maintain your
position with Ameriprise Financial Services or Securities America, find another
financial intermediary with such a selling agreement, or sell your shares,
paying any applicable deferred sales charge. Please be aware that transactions
in taxable accounts would generate a taxable event and may result in an
increased income tax liability.
For more information, please call RiverSource Service Corporation at (888)
791-3380.
The public offering price for Class A shares of the Fund is the net asset value
(NAV) plus a sales charge, and for Class B, C, and Y shares, the NAV. Orders in
good form are priced at the NAV next determined after you place your order. Good
form or good order means that your instructions have been received in the form
required by the distributor. This may include, for example, providing the fund
name and account number, the amount of the transaction and all required
signatures. For more information, refer to the sections on "Purchasing Shares"
and "Exchanging/Selling Shares," or contact your financial advisor or investment
professional. If you buy or sell shares through an authorized financial
intermediary, consult that firm to determine its procedures for accepting and
processing orders. The financial intermediary may charge a fee for its services.
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15p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
VALUING FUND SHARES
The NAV is the value of a single share of the Fund. The NAV is determined by
dividing the value of the Fund's assets, minus any liabilities, by the number of
shares outstanding. The NAV is calculated as of the close of business on the New
York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time, on each day that
the NYSE is open. The Fund's securities are valued primarily on the basis of
market quotations obtained from outside pricing services approved and monitored
under procedures adopted by the Board. Certain short-term securities with
maturities of 60 days or less are valued at amortized cost.
When reliable market quotations are not readily available, securities are priced
at fair value based on procedures adopted by the Board. These procedures are
also used when the value of a security held by the Fund is materially affected
by events that occur after the close of the primary market on which the security
is traded but prior to the time as of which the Fund's NAV is determined.
Valuing securities at fair value involves reliance on judgment. The fair value
of a security is likely to differ from any available quoted or published price.
Foreign investments are valued in U.S. dollars. Some of the Fund's securities
may be listed on foreign exchanges that trade on weekends or other days when the
Fund does not price its shares. In that event, the NAV of the Fund's shares may
change on days when shareholders will not be able to purchase or sell the Fund's
shares.
INVESTMENT OPTIONS
1. Class A shares are sold to the public with a sales charge at the time of
purchase and an annual distribution and shareholder servicing (12b-1) fee of
0.25%.
2. Class B shares are sold to the public with a contingent deferred sales charge
(CDSC) and an annual distribution and shareholder servicing (12b-1) fee of
1.00%.
3. Class C shares are sold to the public without a sales charge at the time of
purchase and with an annual distribution and shareholder servicing (12b-1)
fee of 1.00%. Class C shares redeemed within one year after purchase may be
subject to a CDSC.
4. Class Y shares are sold to qualifying institutional investors without a sales
charge or distribution fee, but with a separate shareholder servicing fee of
0.10%. Please see the SAI for information on eligibility requirements to
purchase Class Y shares.
The distribution and shareholder servicing fees for Class A, Class B and Class C
shares are subject to the requirements of Rule 12b-1 under the Investment
Company Act of 1940, as amended, and are used to reimburse the distributor for
certain expenses it incurs in connection with distributing the Fund's shares and
providing services to Fund shareholders. These expenses include payment of
distribution and shareholder servicing fees to financial intermediaries that
sell shares of the Fund. Financial intermediaries receive shareholder servicing
fees equal to 0.25% of the average daily net assets of Class A, Class B and
Class C shares sold and held through them. For Class A and Class B shares, the
distributor begins to pay these fees immediately after purchase. For Class C
shares, the distributor begins to pay these fees one year after purchase.
Financial intermediaries also receive distribution fees equal to 0.75% of the
average daily net assets of Class C shares sold and held through them, which the
distributor begins to pay one year after purchase. For Class B shares, the
Fund's distributor retains the 0.75% distribution fee in order to finance the
payment of sales commissions to
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16p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
financial intermediaries that sell Class B shares, and to pay for other
distribution related expenses. Financial intermediaries may compensate their
financial advisors and investment professionals with the shareholder servicing
and distribution fees paid to them by the distributor.
The shareholder servicing fees for Class Y shares are used to reimburse the
distributor for providing services and assistance to shareholders regarding
ownership of their shares or their accounts.
The Fund also offers an additional class of shares, Class I, exclusively to
certain institutional investors. Class I shares are made available through a
separate prospectus supplement provided to investors eligible to purchase the
shares.
Investment options summary
The Fund offers different classes of shares. There are differences among the
fees and expenses for each class. Not everyone is eligible to buy every class.
After determining which classes you are eligible to buy, decide which class best
suits your needs. Your financial advisor or investment professional can help you
with this decision.
The following table shows the key features of each class:
Class A Class B Class C Class Y
- ---------------- -------------- ------------ ------------ ---------------
Availability Available to Available Available Limited to
all to all to all qualifying
investors. investors. investors. institutional
investors.
- ---------------- -------------- ------------ ------------ ---------------
Initial Sales Yes. Payable No. Entire No. Entire No. Entire
Charge at time of purchase purchase purchase
purchase. price is price is price is
Lower sales invested invested invested in
charge for in shares in shares shares of the
larger of the of the Fund.
investments. Fund. Fund.
- ---------------- -------------- ------------ ------------ ---------------
Deferred Sales On purchases Maximum 5% 1% CDSC None.
Charge over CDSC may apply
$1,000,000, during the if you
1% CDSC may first year sell your
apply if you decreasing shares
sell your to 0% within one
shares after six year after
within one years. purchase.
year after
purchase.
- ---------------- -------------- ------------ ------------ ---------------
12b-1 Yes. 0.25% Yes. 1.00% Yes. 1.00% Yes. 0.10%
Distribution
Fee and/or
Shareholder
Service Fee*
- ---------------- -------------- ------------ ------------ ---------------
Conversion to N/A Yes, No. No.
Class A automatically
in ninth
year of
ownership.
- ---------------- -------------- ------------ ------------ ---------------
* The Fund has adopted a plan under Rule 12b-1 of the Investment Company Act of
1940, as amended, that allows it to pay distribution and shareholder
servicing-related expenses for the sale of Class A, Class B and Class C
shares. The Fund has also adopted a separate shareholder servicing plan to
pay for servicing-related expenses related to Class Y shares. Because these
fees are paid out of the Fund's assets on an on-going basis, over time, these
fees will increase the cost of your investment and may cost you more than
paying other types of distribution (sales) or servicing charges.
Should you purchase Class A, Class B or Class C shares?
If your investments in RiverSource funds total $100,000 or more, Class A shares
may be the better option because the sales charge is reduced for larger
purchases. If you qualify for a waiver of the sales charge, Class A shares will
be the best option.
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17p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
If you invest less than $100,000, consider how long you plan to hold your
shares. Class B shares have a higher annual distribution fee than Class A shares
and a CDSC for six years. Class B shares convert to Class A shares in the ninth
year of ownership. Class B shares purchased through reinvested dividends and
distributions also will convert to Class A shares in the same proportion as the
other Class B shares.
Class C shares also have a higher annual distribution fee than Class A shares.
Class C shares have no sales charge if you hold the shares for longer than one
year. Unlike Class B shares, Class C shares do not convert to Class A. As a
result, you will pay a 1% distribution fee for as long as you hold Class C
shares. If you choose a deferred sales charge option (Class B or Class C), you
should consider the length of time you intend to hold your shares. To help you
determine which investment is best for you, consult your financial advisor or
investment professional.
For more information, see the SAI.
PURCHASING SHARES
Financial intermediaries are required by law to obtain certain personal
information from each person who opens an account in order to verify the
identity of the person. As a result, when you open an account you will be asked
to provide your name, permanent street address, date of birth, and Social
Security or Employer Identification number. You may also be asked for other
identifying documents or information. If you do not provide this information,
the Fund, or the financial intermediary through which you are investing in the
Fund, may not be able to open an account for you. If the Fund or if the
financial intermediary through which you are investing in the Fund is unable to
verify your identity, your account may be closed, or other steps may be taken,
as deemed appropriate.
To purchase shares with a financial intermediary other than Ameriprise Financial
Services, please consult your financial intermediary. See "Transactions Through
Unaffiliated Financial Intermediaries" for more information. The following
section explains policies of the RiverSource funds and how you can purchase Fund
shares from Ameriprise Financial Services.
If you do not have an existing RiverSource fund account with Ameriprise
Financial Services, you will need to establish a brokerage account. Your
financial advisor or investment professional will help you fill out and submit
an application. Once your account is set up, you can choose among several
convenient ways to invest.
When you purchase, your order will be priced at the next NAV calculated after
your order is accepted by the Fund. If your application does not specify which
class of shares you are purchasing, we will assume you are investing in Class A
shares.
Important: When you open an account, you must provide your correct Taxpayer
Identification Number (TIN), which is either your Social Security or Employer
Identification number.
If you do not provide and certify the correct TIN, you could be subject to
backup withholding of 28% of taxable distributions and proceeds from certain
sales and exchanges. You also could be subject to further penalties, such as:
o a $50 penalty for each failure to supply your correct TIN,
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18p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
o a civil penalty of $500 if you make a false statement that
results in no backup withholding, and
o criminal penalties for falsifying information.
You also could be subject to backup withholding, if the IRS notifies us to do
so, because you failed to report required interest or dividends on your tax
return.
How to determine the correct TIN
For this type of account: Use the Social Security or Employer
Identification number of:
- ----------------------------------- -------------------------------------------
Individual or joint account The individual or one of the owners
listed on the joint account
- ----------------------------------- -------------------------------------------
Custodian account of a minor The minor
(Uniform Gifts/Transfers to
Minors Act)
- ----------------------------------- -------------------------------------------
A revocable living trust The grantor-trustee (the person who puts
the money into the trust)
- ----------------------------------- -------------------------------------------
An irrevocable trust, pension The legal entity (not the personal
trust or estate representative or trustee, unless no
legal entity is designated in the account
title)
- ----------------------------------- -------------------------------------------
Sole proprietorship or The owner
single-owner LLC
- ----------------------------------- -------------------------------------------
Partnership or multi-member LLC The partnership
- ----------------------------------- -------------------------------------------
Corporate or LLC electing The corporation
corporate status on Form 8832
- ----------------------------------- -------------------------------------------
Association, club or tax-exempt The organization
organization
- ----------------------------------- -------------------------------------------
For details on TIN requirements, contact your financial advisor or investment
professional to obtain a copy of Form W-9, "Request for Taxpayer Identification
Number and Certification." You also may obtain the form on the Internet at
www.irs.gov.
Methods of purchasing shares
By mail
Once your account has been established, send your check to:
Ameriprise Financial Services
70200 Ameriprise Financial Center
Minneapolis, MN 55474
Minimum amounts
Initial investment: $2,000*
Additional investments: $500**
Account balances: $300
Qualified account balances: none
If your Fund account balance falls below $300 for any reason, including a market
decline, you will be asked to increase it to $300 or establish a scheduled
investment plan. If you do not do so within 30 days, your shares may be
automatically redeemed and the proceeds mailed to you.
* $1,000 for tax qualified accounts.
** $100 minimum add-on for existing mutual fund accounts outside of a
brokerage account.
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19p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
By scheduled investment plan
Minimum amounts
Initial investment: $2,000*
Additional investments: $100**
Account balances: none (on a scheduled
investment plan with
monthly payments)
If your Fund account balance is below $2,000, you must make payments at least
monthly.
* $100 for accounts outside of a brokerage account.
** $50 minimum per payment for qualified accounts outside
of a brokerage account.
By wire or electronic funds transfer
Please contact your financial advisor or investment professional for specific
instructions.
Minimum wire purchase amount: $1,000 or new account minimum, as applicable.
By telephone
If you have a brokerage account, you may use the money in your account to make
initial and subsequent purchases.
To place your order, call:
(800) 297-7378 for brokerage accounts
(800) 967-4377 for wrap accounts
SALES CHARGES
Class A -- initial sales charge alternative
Your purchase price for Class A shares is generally the NAV plus a front-end
sales charge. Sales charges vary depending on the amount of your purchase. The
distributor receives the sales charge and re-allows a portion of the sales
charge to the financial intermediary through which you purchased the shares. The
distributor retains the balance of the sales charge. Sales charge* for Class A
shares:
As a % of Maximum re-allowance
Total market value As a % of purchase price** net amount invested as a % of purchase price
Up to $49,999 4.75% 4.99% 4.00%
$50,000-$99,999 4.25 4.44 3.50
$100,000-$249,999 3.50 3.63 3.00
$250,000-$499,999 2.50 2.56 2.15
$500,000-$999,999 2.00 2.04 1.75
$1,000,000 or more*** 0.00 0.00 0.00
* Because of rounding in the calculation of the offering price, the portion
of the sales charge retained by the distributor may vary and the actual
sales charge you pay may be more or less than the sales charge calculated
using these percentages.
** Offering price includes the sales charge.
*** Although there is no sales charge for purchases with a total market value
over $1,000,000, and therefore no re-allowance, the distributor may pay a
sales commission to a financial intermediary making a sale with a total
market value of $1,000,000 to $3,000,000, a sales commission up to 1.00%;
$3,000,000 to $10,000,000, a sales commission up to 0.50%; and $10,000,000
or more, a sales commission up to 0.25%.
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20p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
Rights of Accumulation
You may be able to reduce the sales charge on Class A shares, based on the
combined market value of your accounts.
The current market values of the following investments are eligible to be added
together for purposes of determining the sales charge on your purchase:
o Your current investment in this Fund, and
o Previous investments you and members of your primary household group have
made in Class A, Class B or Class C shares in this and other RiverSource
funds, provided your investment was subject to a sales charge.
o Your primary household group consists of you, your spouse or domestic
partner, and your unmarried children under age 21 sharing a mailing
address. For purposes of this policy a domestic partner is an individual
who shares your primary residence and with whom you own joint property. If
you or any member of your primary household group elects to separate from
the primary household group (for example, by asking that account statements
be sent to separate addresses), your assets will no longer be combined for
purposes of reducing your sales charge.
The following accounts are eligible to be included in determining the sales
charge on your purchase:
o Individual or joint accounts held outside of a brokerage account;
o Individual or joint accounts held through a brokerage account;
o Roth and traditional IRAs, SEPs, SIMPLEs and TSCAs, provided they are
invested in Class A, Class B or Class C shares that are subject to a sales
charge;
o UGMA/UTMA accounts for which you, your spouse, or your domestic partner is
parent or guardian of the minor child;
o Revocable trust accounts for which you or a member of your primary household
group, individually, is the beneficiary;
o Accounts held in the name of your, your spouse's, or your domestic partner's
sole proprietorship or single owner limited liability company or S
corporation; and
o Qualified retirement plan assets, provided that you are the sole owner of the
business sponsoring the plan, are the sole participant (other than a spouse)
in the plan, and have no intention of adding participants to the plan.
The following accounts are not eligible to be included in determining the sales
charge on your purchase:
o Accounts of pension and retirement plans with multiple participants, such as
401(k) plans (which are combined to reduce the sales charge for the entire
pension or retirement plan and therefore are not used to reduce the sales
charge for your individual accounts);
o Investments in Class A shares where the sales charge is waived, for example,
purchases through wrap accounts, including Ameriprise Strategic Portfolio
Service Advantage
(SPS);
o Investments in Class D, Class E, or Class Y shares;
o Investments in 529 plans, donor advised funds, variable annuities, variable
life insurance products, wrap accounts or managed separate accounts; and
o Charitable and irrevocable trust accounts.
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21p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
If you purchase RiverSource fund shares through different channels or different
financial intermediaries, and you want to include those assets toward a reduced
sales charge, you must inform Ameriprise Financial Services, your financial
advisor or investment professional in writing about the other accounts when
placing your purchase order. When placing your purchase order, you must provide
your most recent account statement and contact information regarding the other
accounts. A financial intermediary other than Ameriprise Financial Services may
require additional information.
Unless you provide Ameriprise Financial Services, your financial advisor or your
investment professional in writing with information about all of the accounts
that may count toward a sales charge reduction, there can be no assurance that
you will receive all of the reductions for which you may be eligible.
For more information on rights of accumulation, please see the SAI.
Letter of Intent (LOI):
Generally, if you intend to invest $50,000 or more over a period of 13 months,
you may be able to reduce the front-end sales charges for investments in Class A
shares by completing and filing a LOI form. The LOI becomes effective only after
the form is processed in good order by the distributor. An LOI can be backdated
up to a maximum of 90 days. If the LOI is backdated, you may include prior
investments in Class A shares that were charged a front-end sales load toward
the LOI commitment amount. If the LOI is backdated, the 13 month period begins
on the date of the earliest purchase included in the LOI.
Holdings More than 90 Days Old. Purchases made more than 90 days before your LOI
is processed by the distributor will not be counted towards the commitment
amount of the LOI and cannot be used as the starting point for the LOI. While
these purchases cannot be included in an LOI, they may help you obtain a reduced
sales charge on future purchases as described in "Rights of Accumulation."
Notification Obligation. If purchasing shares in a brokerage account or through
a financial intermediary, you must request the reduced sales charge when you buy
shares. If you do not complete and file the LOI form, or do not request the
reduced sales charge at the time of purchase, you will not be eligible for the
reduced sales charge.
For more details on LOIs, please contact your financial advisor, investment
professional or see the SAI.
Waivers of the sales charge for Class A shares
Sales charges do not apply to:
o current or retired Board members, officers or employees of the Fund or
Ameriprise Financial or its subsidiaries, their spouses or domestic partners,
children and parents.
o current or retired Ameriprise Financial Services financial advisors,
employees of financial advisors, their spouses or domestic partners, children
and parents.
o portfolio managers employed by subadvisers of the RiverSource funds,
including their spouses or domestic partners, children and parents.
o registered representatives and other employees of financial intermediaries
having a sub-distribution agreement with the distributor, including their
spouses, domestic partners, children and parents.
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22p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
o qualified employee benefit plans offering participants daily access to
RiverSource funds. Eligibility must be determined in advance. For assistance,
please contact your financial advisor or investment professional.
Participants in certain qualified plans where the initial sales charge is
waived may be subject to a deferred sales charge of up to 4%.
o shareholders who have at least $1 million in RiverSource funds. If the
investment is sold within one year after purchase, a CDSC of 1% may be
charged.
o direct rollovers from Ameriprise Retirement Services, provided that the
rollover involves a transfer of Class Y shares in this Fund to Class A shares
in this Fund.
o purchases made:
o with dividend or capital gain distributions from this Fund or from the same
class of another RiverSource fund,
o through or under a wrap fee product or other investment product sponsored
by the distributor or another authorized broker-dealer, investment advisor,
bank or investment professional,
o within a segregated separate account offered by Nationwide Life Insurance
Company or Nationwide Life and Annuity Insurance Company,
o through American Express Personal Trust Services' Asset-Based pricing
alternative, provided by American Express Bank, FSB,
o shareholders whose original purchase was in a Strategist fund merged into a
RiverSource fund in 2000.
Policies related to reducing or waiving the sales charge may be modified or
withdrawn at any time.
Unless you provide Ameriprise Financial Services, your financial advisor or
investment professional with information in writing about all of the factors
that may count toward a waiver of the sales charge, there can be no assurance
that you will receive all of the waivers for which you may be eligible.
You also may view this information about sales charges and breakpoints free of
charge on the Fund's website. Go to www.riversource.com/investments and click on
the hyperlink "Sales Charge Discount Information."
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23p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
Class B and Class C -- contingent deferred sales charge (CDSC)
alternative
For Class B, the CDSC is based on the sale amount and the number of years --
including the year of purchase -- between purchase and sale. The following table
shows how CDSC percentages on sales decline:
If the sale is made during the: The CDSC percentage rate is:*
First year 5%
Second year 4%
Third year 4%
Fourth year 3%
Fifth year 2%
Sixth year 1%
Seventh year 0%
* Because of rounding in the calculation, the portion of the CDSC retained by
the distributor may vary and the actual CDSC you pay may be more or less than
the CDSC calculated using these percentages.
Although there is no front-end sales charge when you buy Class B shares, the
distributor pays a sales commission of 4% to financial intermediaries that sell
Class B shares. A portion of this commission may, in turn, be paid to your
financial advisor. The distributor receives any CDSC imposed when you sell your
Class B shares.
Purchases made prior to May 21, 2005 age on a calendar year basis. Purchases
made beginning May 21, 2005 age on a daily basis. For example, a purchase made
on Nov. 12, 2004 will complete its first year on Dec. 31, 2004 under calendar
year aging. However, a purchase made on Nov. 12, 2005 will complete its first
year on Nov. 11, 2006 under daily aging.
For Class B shares purchased prior to May 21, 2005, those shares will convert to
Class A shares in the ninth calendar year of ownership. For Class B shares
purchased beginning May 21, 2005, those shares will convert to Class A shares
one month after the completion of the eighth year of ownership.
For Class C, a 1% CDSC may be charged if you sell your shares within one year
after purchase. Although there is no front-end sales charge when you buy Class C
shares, the distributor pays a sales commission of 1% to financial
intermediaries that sell Class C shares. A portion of this commission may, in
turn, be paid to your financial advisor. The distributor receives any CDSC
imposed when you sell your Class C shares.
For both Class B and Class C, if the amount you sell causes the value of your
investment to fall below the cost of the shares you have purchased, the CDSC
will be based on the lower of the cost of those shares purchased or market
value. Because the CDSC is imposed only on sales that reduce your total purchase
payments, you do not have to pay a CDSC on any amount that represents
appreciation in the value of your shares, income earned by your shares, or
capital gains.
In addition, the CDSC on your sale, if any, will be based on your oldest
purchase payment. The CDSC on the next amount sold will be based on the next
oldest purchase payment.
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24p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
Example
Assume you had invested $10,000 in Class B shares and that your investment had
appreciated in value to $12,000 after 3 1/2 years, including reinvested
dividends and capital gain distributions. You could sell up to $2,000 worth of
shares without paying a CDSC ($12,000 current value less $10,000 purchase
amount). If you sold $2,500 worth of shares, the CDSC would apply to the $500
representing part of your original purchase price. The CDSC rate would be 3%
because the sale was made during the fourth year after the purchase.
Waivers of the CDSC for Class B shares
The CDSC will be waived on sales of shares:
o in the event of the shareholder's death,
o held in trust for an employee benefit plan, or
o held in IRAs or certain qualified plans if Ameriprise Trust Company is the
custodian, such as Keogh plans, tax-sheltered custodial accounts or corporate
pension plans, provided that the shareholder is:
o at least 59 1/2 years old AND
o taking a retirement distribution (if the sale is part of a transfer to an
IRA or qualified plan, or a custodian-to-custodian transfer, the CDSC will
not be waived) OR
o selling under an approved substantially equal periodic payment arrangement.
Waivers of the CDSC for Class C shares
The CDSC will be waived on sales of shares in the event of the shareholder's
death.
EXCHANGING/SELLING SHARES
To sell or exchange shares held with financial intermediaries other than
Ameriprise Financial Services, please consult your financial intermediary. See
"Transactions Through Unaffiliated Financial Intermediaries" for more
information. The following section explains policies of the RiverSource funds on
how you can exchange or sell shares held with Ameriprise Financial Services.
Exchanges
You may exchange your Fund shares at no charge for shares of the same class of
any other publicly offered RiverSource fund. Exchanges into RiverSource
Tax-Exempt Money Market Fund may only be made from Class A shares. For complete
information on the other fund, including fees and expenses, read that fund's
prospectus carefully. Your exchange will be priced at the next NAV calculated
after your transaction request is received in good order.
Market timing is frequent or short-term trading by certain shareholders intended
to profit at the expense of other shareholders by selling shares of a fund
shortly after purchase. Market timing may adversely impact a fund's performance
by preventing the investment manager from fully investing the assets of the
fund, diluting the value of shares held by long-term shareholders, or increasing
the fund's transaction costs.
See "Valuing Fund Shares" for a discussion of the Fund's policy on fair value
pricing, which is intended, in part, to reduce the frequency and effect of
market timing.
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25p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
The Fund's Board has adopted a policy that is designed to detect and deter
market timing. The Fund seeks to enforce this policy as follows:
o The Fund tries to distinguish market timing from trading that it believes is
not harmful, such as periodic rebalancing for purposes of asset allocation or
dollar cost averaging. Under the Fund's procedures, there is no set number of
transactions in the Fund that constitutes market timing. Even one purchase
and subsequent sale by related accounts may be market timing. Generally, the
Fund seeks to restrict the exchange privilege of an investor who makes more
than three exchanges into or out of the Fund in any 90-day period. Accounts
held by a retirement plan or an institution for the benefit of its
participants or clients, which typically engage in daily transactions, are
not subject to this limit. The Fund seeks the assistance of financial
intermediaries in applying similar restrictions on the sub-accounts of their
participants or clients.
o If an investor's trading activity is determined to be market timing or
otherwise harmful to existing shareholders, the Fund reserves the right to
modify or discontinue the investor's exchange privilege or reject the
investor's purchases or exchanges, including purchases or exchanges accepted
by a financial intermediary. The Fund may treat accounts it believes to be
under common control as a single account for these purposes, although it may
not be able to identify all such accounts.
o Although the Fund does not knowingly permit market timing, it cannot
guarantee that it will be able to identify and restrict all short-term
trading activity. The Fund receives purchase and sale orders through
financial intermediaries where market timing activity may not always be
successfully detected.
Other exchange policies:
o Exchanges must be made into the same class of shares of the new fund.
o If your exchange creates a new account, it must satisfy the minimum
investment amount for new purchases.
o Once we receive your exchange request, you cannot cancel it.
o Shares of the new fund may not be used on the same day for another exchange.
o If your shares are pledged as collateral, the exchange will be delayed until
written approval is received from the secured party.
Selling Shares
You may sell your shares at any time. The payment will be mailed within seven
days after your request is received in good order.
When you sell shares, the amount you receive may be more or less than the amount
you invested. Your sale price will be the next NAV calculated after your request
is received in good order, minus any applicable CDSC.
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26p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
Repurchases. You can change your mind after requesting a sale and use all or
part of the proceeds to purchase new shares in the same account from which you
sold. If you reinvest in Class A, you will purchase the new shares at NAV rather
than the offering price on the date of a new purchase. If you reinvest in Class
B or Class C, any CDSC you paid on the amount you are reinvesting also will be
reinvested. To take advantage of this waiver, you must send a written request
within 90 days of the date your sale request was processed and include your
account number. This privilege may be limited or withdrawn at any time and use
of this option may have tax consequences.
The Fund reserves the right to redeem in kind.
For more details and a description of other sales policies, please see the SAI.
If you decide to sell your shares within 30 days of a telephoned-in address
change, a written request is required.
Important: Payments sent by a bank authorization, check or money order that are
not guaranteed may take up to ten days to clear. This may cause your scheduled
arrangement or unscheduled request to fail to process if the requested amount
includes unguaranteed funds.
Ways to request an exchange or sale of shares
By regular or express mail
Ameriprise Financial Services
70200 Ameriprise Financial Center
Minneapolis, MN 55474
Include in your letter:
o your account number
o the name of the fund(s)
o the class of shares to be exchanged or sold
o your Social Security number or Employer Identification number
o the dollar amount or number of shares you want to exchange or
sell
o specific instructions regarding delivery or exchange
destination
o signature(s) of registered account owner(s) (All signatures may be required.
Contact your financial advisor or Ameriprise Financial Services for more
information.)
o any paper certificates of shares you hold
Payment will be mailed to the address of record and made payable to the names
listed on the account, unless your request specifies differently and is signed
by all owners.
The express mail delivery charges you pay will vary depending on domestic or
international delivery instructions.
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27p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
By telephone
(800) 297-7378 for brokerage accounts
(800) 967-4377 for wrap accounts
(800) 862-7919 for non-brokerage/wrap accounts
o Reasonable procedures will be used to confirm authenticity of telephone
exchange or sale requests.
o Telephone exchange and sale privileges automatically apply to all accounts
except custodial, corporate or qualified retirement accounts. You may request
that these privileges NOT apply by writing the distributor. Each registered
owner must sign the request.
o Acting on your instructions, your financial advisor may conduct telephone
transactions on your behalf.
o Telephone privileges may be modified or discontinued at any time.
Minimum sale amount: $100
Maximum sale amount: $100,000
By wire
You can wire money from your account to your bank account. Contact your
financial advisor or Ameriprise Financial Services at the above numbers for
additional information.
o Minimum amount: $1,000
o Pre-authorization is required.
o A service fee may be charged against your account for each wire sent.
By scheduled payout plan
o Minimum payment: $100*
o Contact your financial advisor or Ameriprise Financial Services to set up
regular payments.
o Purchasing new shares while under a payout plan may be disadvantageous
because of the sales charges.
* Minimum is $50 in a non-brokerage/wrap account.
Electronic transactions
The ability to initiate transactions via the internet may be unavailable or
delayed at certain times (for example, during periods of unusual market
activity). The Fund and the distributor are not responsible for any losses
associated with unexecuted transactions. In addition, the Fund and the
distributor are not responsible for any losses resulting from unauthorized
transactions if reasonable security measures are followed to validate the
investor's identity. The Fund may modify or discontinue electronic privileges at
any time for any shareholder without prior notice as deemed necessary and in the
best interests of the Fund.
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28p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
Distributions and Taxes
As a shareholder you are entitled to your share of the Fund's net income and net
gains. The Fund distributes dividends and capital gains to qualify as a
regulated investment company and to avoid paying corporate income and excise
taxes.
DIVIDENDS AND CAPITAL GAIN DISTRIBUTIONS
The Fund's net investment income is distributed to you as dividends. Dividends
will generally be composed of ordinary dividend income (which may include
interest income, short-term capital gains and non-qualifying dividends). It is
unlikely the Fund will distribute qualifying dividend income, which is eligible
for preferential tax rates under current tax law. Capital gains are realized
when a security is sold for a higher price than was paid for it. Each realized
capital gain or loss is long-term or short-term depending on the length of time
the Fund held the security. Realized capital gains and losses offset each other.
The Fund offsets any net realized capital gains by any available capital loss
carryovers. Net short-term capital gains are included in net investment income.
Net realized long-term capital gains, if any, are distributed by the end of the
calendar year as capital gain distributions.
REINVESTMENTS
Dividends and capital gain distributions are automatically reinvested in
additional shares in the same class of the Fund, unless:
o you request distributions in cash, or
o you direct the Fund to invest your distributions in the same class of any
publicly offered RiverSource fund for which you have previously opened an
account.
We reinvest the distributions for you at the next calculated NAV after the
distribution is paid.
If you choose cash distributions, you will receive cash only for distributions
declared after your request has been processed.
TAXES
Distributions are subject to federal income tax and may be subject to state and
local taxes in the year they are declared. You must report distributions on your
tax returns, even if they are reinvested in additional shares.
If you buy shares shortly before the record date of a distribution, you may pay
taxes on money earned by the Fund before you were a shareholder. You will pay
the full pre-distribution price for the shares, then receive a portion of your
investment back as a distribution, which may be taxable.
For tax purposes, an exchange is considered a sale and purchase, and may result
in a gain or loss. A sale is a taxable transaction. If you sell shares for less
than their cost, the difference is a capital loss. If you sell shares for more
than their cost, the difference is a capital gain. Your gain may be short term
(for shares held for one year or less) or long term (for shares held for more
than one year).
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29p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
You may not create a tax loss, based on paying a sales charge, by exchanging
shares within 91 days of purchase. If you buy Class A shares and within 91 days
exchange into another fund, you may not include the sales charge in your
calculation of tax gain or loss on the sale of the first fund you purchased. The
sales charge may be included in the calculation of your tax gain or loss on a
subsequent sale of the second fund you purchased. For more information, see the
SAI.
Selling shares held in an IRA or qualified retirement account may subject you to
federal taxes, penalties and reporting requirements. Please consult your tax
advisor.
Important: This information is a brief and selective summary of some of the tax
rules that apply to this Fund. Because tax matters are highly individual and
complex, you should consult a qualified tax advisor.
Master/Feeder Structure
This Fund uses a master/feeder structure. This means that the Fund (a feeder
fund) invests all of its assets in the Portfolio (the master fund). The
master/feeder structure offers the potential for reduced costs because it
spreads fixed costs of portfolio management over a larger pool of assets. Here
is an illustration of the structure:
Investors buy shares in the Fund
|
V
The Fund buys units in the Portfolio
|
V
The Portfolio invests in securities, such as stocks or bonds
Other feeders may include mutual funds and institutional accounts. These feeders
buy the Portfolio's securities on the same terms and conditions as the Fund and
pay their proportionate share of the Portfolio's expenses. However, their
operating costs and sales charges are different from those of the Fund.
Therefore, the investment returns for other feeders are different from the
returns of the Fund.
At a meeting held on January 12-13, 2005, the Fund's Board determined that it
was in the best interests of shareholders to withdraw the Fund's assets from the
master/feeder structure. The necessary steps to finalize the withdrawal are
expected to be completed in late 2005 or early 2006. After that date, the Fund
will invest directly in and manage its own portfolio of securities rather than
investing in a master portfolio. RiverSource Investments, the investment manager
to the master portfolio, will continue to serve as investment manager to the
Fund under the same terms and conditions.
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30p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
Financial Highlights
The financial highlights tables are intended to help you understand the Fund's
financial performance. Certain information reflects financial results for a
single Fund share. The total returns in the tables represent the rate that an
investor would have earned or lost on an investment in the Fund (assuming
reinvestment of all dividends and distributions). This information has been
audited by KPMG LLP, whose report, along with the Fund's financial statements,
is included in the annual report which, if not included with this prospectus, is
available upon request.
Class A
Per share income and capital changes(a)
Fiscal period ended May 31, 2005 2004 2003 2002 2001
Net asset value, beginning of period $8.50 $8.88 $8.74 $8.74 $8.32
----- ----- ----- ----- -----
Income from investment operations:
Net investment income (loss) .31 .28 .33 .40 .52
Net gains (losses) (both realized and unrealized) .20 (.38) .18 .02 .42
----- ----- ----- ----- -----
Total from investment operations .51 (.10) .51 .42 .94
----- ----- ----- ----- -----
Less distributions:
Dividends from net investment income (.32) (.28) (.33) (.40) (.52)
Distributions from realized gains -- -- (.04) (.02) --
----- ----- ----- ----- -----
Total distributions (.32) (.28) (.37) (.42) (.52)
----- ----- ----- ----- -----
Net asset value, end of period $8.69 $8.50 $8.88 $8.74 $8.74
----- ----- ----- ----- -----
Ratios/supplemental data
Net assets, end of period (in millions) $591 $707 $955 $1,042 $1,004
Ratio of expenses to average daily net assets(b) .94%(c) 1.00% .98% .98% .97%
Ratio of net investment income (loss) to average daily net assets 3.54% 3.17% 3.89% 4.45% 6.01%
Portfolio turnover rate (excluding short-term securities) 297% 292% 263% 389% 150%
Total return(d) 6.06% (1.17%) 6.05% 4.85% 11.52%
(a) For a share outstanding throughout the period. Rounded to the nearest cent.
(b) Expense ratio is based on total expenses of the Fund before reduction of
earnings credits on cash balances.
(c) Ameriprise Financial waived/reimbursed the Fund for certain expenses. Had
Ameriprise Financial not done so, the annual ratio of expenses for Class A
would have been 1.02% for the year ended May 31, 2005.
(d) Total return does not reflect payment of a sales charge.
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31p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
Class B
Per share income and capital changes(a)
Fiscal period ended May 31, 2005 2004 2003 2002 2001
Net asset value, beginning of period $8.50 $8.88 $8.74 $8.74 $8.32
----- ----- ----- ----- -----
Income from investment operations:
Net investment income (loss) .24 .21 .27 .33 .45
Net gains (losses) (both realized and unrealized) .20 (.38) .18 .02 .42
----- ----- ----- ----- -----
Total from investment operations .44 (.17) .45 .35 .87
----- ----- ----- ----- -----
Less distributions:
Dividends from net investment income (.25) (.21) (.27) (.33) (.45)
Distributions from realized gains -- -- (.04) (.02) --
----- ----- ----- ----- -----
Total distributions (.25) (.21) (.31) (.35) (.45)
----- ----- ----- ----- -----
Net asset value, end of period $8.69 $8.50 $8.88 $8.74 $8.74
----- ----- ----- ----- -----
Ratios/supplemental data
Net assets, end of period (in millions) $125 $190 $315 $342 $264
Ratio of expenses to average daily net assets(b) 1.69%(c) 1.76% 1.74% 1.73% 1.73%
Ratio of net investment income (loss) to average daily net assets 2.78% 2.40% 3.12% 3.67% 5.25%
Portfolio turnover rate (excluding short-term securities) 297% 292% 263% 389% 150%
Total return(d) 5.26% (1.92%) 5.25% 4.06% 10.69%
(a) For a share outstanding throughout the period. Rounded to the nearest cent.
(b) Expense ratio is based on total expenses of the Fund before reduction of
earnings credits on cash balances.
(c) Ameriprise Financial waived/reimbursed the Fund for certain expenses. Had
Ameriprise Financial not done so, the annual ratio of expenses for Class B
would have been 1.78% for the year ended May 31, 2005.
(d) Total return does not reflect payment of a sales charge.
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32p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
Class C
Per share income and capital changes(a)
Fiscal period ended May 31, 2005 2004 2003 2002 2001(b)
Net asset value, beginning of period $8.50 $8.88 $8.74 $8.74 $8.40
----- ----- ----- ----- -----
Income from investment operations:
Net investment income (loss) .24 .21 .27 .33 .42
Net gains (losses) (both realized and unrealized) .20 (.38) .18 .02 .34
----- ----- ----- ----- -----
Total from investment operations .44 (.17) .45 .35 .76
----- ----- ----- ----- -----
Less distributions:
Dividends from net investment income (.25) (.21) (.27) (.33) (.42)
Distributions from realized gains -- -- (.04) (.02) --
----- ----- ----- ----- -----
Total distributions (.25) (.21) (.31) (.35) (.42)
----- ----- ----- ----- -----
Net asset value, end of period $8.69 $8.50 $8.88 $8.74 $8.74
----- ----- ----- ----- -----
Ratios/supplemental data
Net assets, end of period (in millions) $4 $6 $10 $9 $4
Ratio of expenses to average daily net assets(c) 1.69%(d) 1.76% 1.75% 1.74% 1.73%(e)
Ratio of net investment income (loss) to average daily net assets 2.79% 2.40% 3.07% 3.64% 5.16%(e)
Portfolio turnover rate (excluding short-term securities) 297% 292% 263% 389% 150%
Total return(f) 5.26% (1.92%) 5.24% 4.06% 9.27%(g)
(a) For a share outstanding throughout the period. Rounded to the nearest cent.
(b) Inception date is June 26, 2000.
(c) Expense ratio is based on total expenses of the Fund before reduction of
earnings credits on cash balances.
(d) Ameriprise Financial waived/reimbursed the Fund for certain expenses. Had
Ameriprise Financial not done so, the annual ratio of expenses for Class C
would have been 1.79% for the year ended May 31, 2005.
(e) Adjusted to an annual basis.
(f) Total return does not reflect payment of a sales charge.
(g) Not annualized.
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33 -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
Class Y
Per share income and capital changes(a)
Fiscal period ended May 31, 2005 2004 2003 2002 2001
Net asset value, beginning of period $8.49 $8.88 $8.74 $8.74 $8.32
----- ----- ----- ----- -----
Income from investment operations:
Net investment income (loss) .32 .29 .35 .42 .53
Net gains (losses) (both realized and unrealized) .20 (.39) .18 .02 .42
----- ----- ----- ----- -----
Total from investment operations .52 (.10) .53 .44 .95
----- ----- ----- ----- -----
Less distributions:
Dividends from net investment income (.33) (.29) (.35) (.42) (.53)
Distributions from realized gains -- -- (.04) (.02) --
----- ----- ----- ----- -----
Total distributions (.33) (.29) (.39) (.44) (.53)
----- ----- ----- ----- -----
Net asset value, end of period $8.68 $8.49 $8.88 $8.74 $8.74
----- ----- ----- ----- -----
Ratios/supplemental data
Net assets, end of period (in millions) $50 $86 $177 $188 $218
Ratio of expenses to average daily net assets(b) .77%(c) .84% .82% .81% .82%
Ratio of net investment income (loss) to average daily net assets 3.70% 3.30% 4.04% 4.61% 6.16%
Portfolio turnover rate (excluding short-term securities) 297% 292% 263% 389% 150%
Total return(d) 6.24% (1.13%) 6.22% 5.02% 11.70%
(a) For a share outstanding throughout the period. Rounded to the nearest cent.
(b) Expense ratio is based on total expenses of the Fund before reduction of
earnings credits on cash balances.
(c) Ameriprise Financial waived/reimbursed the Fund for certain expenses. Had
Ameriprise Financial not done so, the annual ratio of expenses for Class Y
would have been 0.86% for the year ended May 31, 2005.
(d) Total return does not reflect payment of a sales charge.
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34p -- RIVERSOURCE SELECTIVE FUND -- 2005 PROSPECTUS
This Fund, along with the other RiverSource funds, is distributed by Ameriprise
Financial Services, Inc. and can be purchased from Ameriprise Financial Services
or from a limited number of other authorized financial intermediaries. The Fund
can be found under the "RiverSource" banner in most mutual fund quotations.
Additional information about the Fund and its investments is available in the
Fund's SAI, and annual and semiannual reports to shareholders. In the Fund's
annual report, you will find a discussion of market conditions and investment
strategies that significantly affected the Fund's performance during its most
recent fiscal year. The SAI is incorporated by reference in this prospectus. For
a free copy of the SAI, the annual report, or the semiannual report, or to
request other information about the Fund or make a shareholder inquiry, contact
your financial advisor, investment professional or Ameriprise Financial
Services.
Ameriprise Financial Services
70100 Ameriprise Financial Center
Minneapolis, MN 55474
(800) 862-7919
TTY: (800) 846-4852
RiverSource Investments Website address:
riversource.com/investments
You may review and copy information about the Fund, including the SAI, at the
Securities and Exchange Commission's (Commission) Public Reference Room in
Washington, D.C. (for information about the public reference room call
1-202-942-8090). Reports and other information about the Fund are available on
the EDGAR Database on the Commission's Internet site at www.sec.gov. Copies of
this information may be obtained, after paying a duplicating fee, by electronic
request at the following E-mail address: publicinfo@sec.gov, or by writing to
the Public Reference Section of the Commission, Washington, D.C. 20549-0102.
Investment Company Act File #811-499
Ticker Symbol
Class A: INSEX Class B:ISEBX
Class C: ASLCX Class I:ASTIX
Class Y: IDEYX
[RiverSource Investments Logo]
RiverSource Investments
200 Ameriprise Financial Center
Minneapolis, MN 55474
S-6376-99 AA (10/05)