Legg Mason ClearBridge Tactical Dividend Income Fund

Our goal¹

High current income; capital appreciation is a secondary objective

What we invest in

The fund invests in a diversified portfolio of equity and equity-related securities that provide investment income, dividend payments or other distributions, or in other investments with similar economic characteristics, including common stocks, preferred stocks, convertible preferred stocks and other securities convertible into equity securities, master limited partnerships (MLPs), real estate investment trusts (REITs), closed-end investment companies, including business development companies (BDCs), and royalty trusts.

Our approach

The fund's portfolio managers combine bottom-up stock selection with top-down thematic overlay to construct a diversified portfolio with the goal of generating high current income. They conduct fundamental research and dividend analysis to identify companies that have the ability to pay attractive dividends and have assets or earnings prospects that are either unrecognized or undervalued, have attractive valuations, or are expected to have positive changes in earnings prospects.

What should I know before investing?

Equity securities are subject to price fluctuation and possible loss of principal. Short selling is a speculative strategy. Unlike the possible loss on a security that is purchased, there is no limit on the amount of loss on an appreciating security that is sold short. Derivatives, such as options and futures, can be illiquid, may disproportionately increase losses and have a potentially large impact on Fund performance. The manager's investment style may become out of favor and/or the manager's selection process may prove incorrect; which may have a negative impact on the Fund's performance. Derivatives, such as options and futures, which can be illiquid, may disproportionately increase losses and have a potentially large impact on Fund performance. The fund may invest in real estate investment trusts (REITs), which are closely linked to the performance of the real estate markets. REITs are subject to illiquidity, credit and interest rate risks, as well as risks associated with small- and mid-cap investments. Investments in MLPs include the risks of declines in energy and commodity prices, decreases in energy demand, adverse weather conditions, natural or other disasters, changes in government regulation, and changes in tax laws, and other risks of the MLP and energy sector. The Fund may engage in short selling, which is a speculative strategy that involves special risks. Unlike the possible loss on a security that is purchased, there is no limit on the amount of loss on an appreciating security that is sold short. Dividends fluctuate and are subject to change. Dividends represent past performance and there is no guarantee they will continue to be paid. Diversification does not guarantee a profit or protect against a loss. Additional risks may include those risks associated with investing in foreign and small- and mid-cap stocks. Please see the prospectus for more information.

Meet your ClearBridge managers

Mark McAllister, CFA (industry since 1987) and Peter Vanderlee, CFA (industry since 1999) are co-portfolio managers of your Fund.

They're part of the investment team at ClearBridge Advisors, Legg Mason's largest equity manager. ClearBridge offers institutional and individual investors a variety of traditional and alternative equity strategies. With an investment heritage dating back over 45 years, ClearBridge offers distinctive manager insights and proprietary fundamental research.

Legg Mason's unique structure provides you with access to this specialized expertise. We offer a powerful portfolio of solutions through our independent investment management firms.