FundSource® Mutual Fund Advisory

Professionally-managed, diversified mutual fund portfolios

The FundSource® program offers investors access to professionally managed portfolios of mutual funds. Portfolios are constructed from a recommended list of more than 240 mutual funds selected by Wells Fargo Advisors' Manager Strategy Group. Mutual funds on the recommended list have been carefully selected based on an extensive evaluation of the fund's management team, investment process and performance. The cornerstone of the portfolio construction process is asset allocation guidance. Optimal Blend portfolios are constructed to provide investors access to a broad range investment strategies designed for various investor risk profiles. Your Financial Advisor is available to help you determine the most appropriate Optimal Blend portfolio strategy that best fits your investment goals and tolerance for risk. FundSource® offers more than 40 predefined Optimal Blend portfolios, or investors may customize allocations of funds using research recommended funds.

A sophisticated approach to mutual fund investing

Many investors own mutual funds as a way to pursue their investment goals. Too often though, they end up with too many or too few, ones that don't work well together or ones that don't make sense given their circumstances. FundSource® may be an answer to those problems. With FundSource®, you get access to carefully constructed blends of mutual funds based on the analysis and advice of investment professionals. It is a program designed with the types of services and features previously available primarily to institutional and ultra-high-net-worth investors. FundSource® provides a framework for establishing an investment strategy that takes into account your financial goals, tolerance for risk and your willingness to make adjustments as your life changes. Your Financial Advisor will ask questions and take you through a process to create an investment plan tailored to your needs.

FundSource® asset allocation models

Moving left to right, this chart shows FundSource® allocation recommendations with increasing levels of portfolio risk and correspondingly higher levels of potential return. Investors with similar invesment objectives may have different risk tolerances, therefore our asset allocation models provide allocation recommendations for investors with degrees of risk tolerance.

Fund Source asset allocation models


Traditional fixed income includes all investment-grade debt. Alternative income includes high-yield debt, emerging markets debt and REITS. Commodities equals basic goods used in commerce that are generally interchangeable with other commodities of the same type. Commodities are most often used as inputs in the production of other goods or services. There are special risks associated with an investment in real estate, including credit risks, interest rate fluctuations, and the impact of varied economic conditions.

Exposure to commodities markets subject an investment to greater share price volatility than an investment in traditional equity or debt securities. Products that invest in commodities may employ more complex strategies which may expose investors to additional risks.

High-yield bonds, also known as junk bonds, are subject to greater risk of loss of principal and interest, including default risk, than higher-rated bonds. Bond prices fluctuate inversely to changes in interest-rates. Therefore, a general rise in interest rates can result in the decline of the value of your investment.

The prices of small-and mid-cap company stocks are generally more volatile than large company stocks. They often involve higher risks because small-and mid-cap companies may lack the management expertise, financial resources, product diversification and competitive strengths to endure adverse economic conditions.

Investing in foreign securities presents certain risks not associated with domestic investments, such as currency fluctuation, political and economic instability, and different accounting standards. This may result in greater share price volatility. Investing in emerging markets normally accentuates these risks.

The mutual funds in the FundSource® program are available by prospectus only. Please consider the investment objectives, risk, charges and expenses carefully before investing.The prospectuses, which contain this and other information, can be obtained by calling your Financial Advisor. Read it carefully before you invest.

The fees for the FundSource® program include advisory services, performance measurement, transaction costs, custody services and trading. The fees do not cover the fees and expenses of the underlying funds and customary brokerage charges may apply to non-programassets.The standard fee schedule, which is negotiable, is based on account size and an assumed active equity portfolio. There is a minimum quarterly client fee requirement of $75 to maintain this type of account. Please carefully review the Wells Fargo Advisors advisory disclosure document for a full description of our services, including fees and expenses. Advisory accounts are not designed for excessively traded or inactive accounts and may not be suitable for all investors. The minimum account size for this program is $25,000.

Take the first step to talk about customizing your future and planning ahead by calling Clarke Investment Management at (847) 381-7300 or email for a timely response and sage Wall Street advice with a Main Street perspective.