Legg Mason ClearBridge Appreciation Fund

Our goal1

Long-term capital appreciation

What we invest in

The Fund invests primarily in equity securities of medium- and large-sized U.S. companies, but can also invest in small companies. The Fund primarily consists of "blue-chip" companies dominant in their industries, where the managers find the best opportunities for growth at a reasonable price. The Fund may also invest in companies with prospects for sustained earnings growth and/or a cyclical earnings record.

Our approach

The Fund's managers identify companies they believe are well-positioned for long-term growth through such characteristics as strong or improving financial profiles, recognized industry leadership, effective management teams and the desire to earn consistent returns for shareholders. The managers may sometimes hold a significant portion of assets in cash waiting for buying opportunities that meet their selection criteria or to provide a hedge against market declines.

What should I know before investing?

Equity securities are subject to price fluctuation and possible loss of principal. Small- and mid-cap stocks involve greater risks and volatility than large-cap stocks. 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. International investments are subject to special risks including currency fluctuations, social, economic and political uncertainties, which could increase volatility. These risks are magnified in emerging markets.

Meet your ClearBridge managers

Scott Glasser and Michael Kagan are co-portfolio managers of your Fund, with 19 and 25 years of investment industry experience, respectively.

They're part of the senior management 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.

4 stars Overall Morningstar Rating™

Class A and B shares of the Fund rated among 1810 Large Blend Funds as of Jun‑30‑2010. Ratings based upon risk adjusted returns. The Overall Morningstar Rating for the Fund is derived from a weighted average of the performance figures associated with its three‑, five‑ and ten‑ year (if applicable) Morningstar Ratings metrics.

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Lipper Rankings

Category: Large-Cap Core Funds

Rankings Details >

Symbols

CLASSNASDAQCUSIP
ASHAPX52468E105
BSAPBX52468E204
CSAPCX52468E303
FILMPIX52468E600
ISAPYX52468E402
ISLMESX52468E709
RLMPPX52468E501

Morningstar proprietary ratings are as of Jun-30-2010 and are subject to change every month. A 4- or 5-star rating does not necessarily imply that a fund achieved positive results for the period. Past performance is no guarantee of future results. For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a fund's monthly performance (including the effects of sales charges, loads, and redemption fees), placing more emphasis on downward variations and rewarding consistent performance. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star. (Each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in the distribution percentages.) The Overall Morningstar Rating for a fund is derived from a weighted-average of the performance figures associated with its 3-, 5- and 10-year (if applicable) Morningstar Rating metrics. Class A and B shares of the Fund were rated against 1810, 1486, and 772 funds over the 3-, 5- and 10-year periods, respectively. With respect to these funds, Class A and B shares of the Fund received Morningstar Ratings of 4, 4, and 4; 4, 4, and 4; stars for the 3-, 5- and 10-year periods, respectively. Ratings are for A and B share classes only; other classes may have different performance characteristics. Classes have a common portfolio.

Prior to October 5, 2009, the Fund was known as Legg Mason Partners Appreciation Fund. The Fund's investment objective, portfolio managers and investment strategy have not changed. Please see the prospectus for details.

Effective August 6, 2009, Michael Kagan joined the Fund's management team as a co-portfolio manager.

Morningstar ratings are only shown for those funds that have achieved a 4 or 5 star rating.

1There is no guarantee that the Fund’s objective will be met.

Information on Sales Charges, Breakpoints, Sales Charge Waivers and Exchanges
Click here for more information about:
Class A shares:
- what are the front-end sales loads charged on the purchase of Class A shares
- how to qualify for reduced sales charges or breakpoints
- what kinds of accounts can be combined to qualify for reduced sales charges
- what waivers of front-end sales charges are available
Class B shares:
- what are the contingent deferred sales charges payable upon redemption
- what waivers of deferred sales charges are available
Class C shares:
- what are the contingent deferred sales charges payable upon redemption
- what waivers of deferred sales charges are available
Exchange privileges:
- which funds are exchangeable
- what conditions are applicable
Other share classes may be available for which sales charges, breakpoints, sales charge waivers and exchanges may differ. Please speak to a financial professional or click on the link above.
 
Exchange Privileges: Many mutual funds that charge front-end sales loads offer a discount on the sales loads for a large investment. The investment levels required to obtain a reduced sales load are commonly referred to as "breakpoints." Typically, you may be entitled to a lower front-end load based on a single transaction if the dollar amount exceeds one or more breakpoints. In addition, some funds offer discounts based on purchases made over time, under a right of accumulation or letter of intent. The criteria for breakpoints for each mutual fund are set out in the fund prospectus and statements of additional information. FINRA issued an Investor Alert to ensure that investors better understand how breakpoints work and what you may need to know to make sure that, should you purchase shares eligible for breakpoints, you are charged the lowest possible front-end sales charge. Visit the FINRA Website to read the FINRA Investor Alert.

Diversification does not assure a profit or protect against market loss.

INVESTMENT PRODUCTS: NOT FDIC INSURED | NO BANK GUARANTEE | MAY LOSE VALUE

All investments involve risk, including possible loss of principal.

Investors should consider a fund's investment objectives, risks, charges and expenses carefully before investing. The prospectus contains this and other information about a fund. To obtain a free prospectus, please view the product specific page on this website and click on the prospectus link. An investor should read the prospectus carefully before investing.

All investment managers mentioned are subsidiaries of Legg Mason, Inc. Legg Mason Investor Services, LLC, is a subsidiary of Legg Mason, Inc.

This site is intended for U.S. investors only. The products and services described on this site are generally not available to non-U.S. investors.


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