The fund invests at least 80% of its net assets (plus any borrowings for investment purposes) in companies with market capitalizations that are within the S&P Mid Cap 400 Index or the Russell MidCap Value Index. It invests in a diversified mix of common stocks of mid-size U.S. companies that are believed to be undervalued by various measures and offer good prospects for capital appreciation. The fund may invest up to 10% of its total assets in hybrid instruments. It normally has less than 10% of its assets in cash and cash equivalents.