Ivy VIP Limited-Term Bond

Market Sector Update

  • The first quarter saw strong performance in U.S. Treasuries and U.S. corporate bonds. The yield on the 2-year U.S. Treasury Note ended the quarter at 2.26%, nearly 23 basis points (bps) lower than year-end 2018. Yield compression was more pronounced on the 5-year U.S. Treasury Note, as it ended March at 2.23%, 28 bps lower than the end of last year.
  • The Bloomberg Barclays U.S. Credit Index, a good overall gauge for investment grade credit, tightened 30 bps during the quarter and delivered an excess return of 252 bps over duration-matched U.S. Treasuries.
  • After raising rates for the ninth time in this tightening cycle in December, the Federal Reserve (Fed) started a new message of “patience” in January. During the press conference following the January Federal Open Market Committee (FOMC) meeting, Fed Chairman Jerome Powell implied that rate hikes were off the table for the remainder of the year. This greatly surprised the markets, as the message in December was to expect two hikes in 2019. The new messaging caused a rally in the U.S. Treasury market, which also was boosted by the partial government shutdown, weakening domestic and global economic data, ongoing Brexit drama and the continued trade war with China.
  • The FOMC’s March meeting included the plan to end the balance sheet reduction program in September. Chairman Powell expressed satisfaction with strong employment and low inflationary pressures. He indicated the Fed can afford to be patient and help keep the economy plugging along until inflation continually exceeds the 2% target. This should keep interest rates lower for longer and opens the possibility that the Fed hiking cycle is over.
  • The yield curve inverted slightly on March 22 as the spread between the 10-year U.S. Treasury Note and the 3-month U.S. Treasury Bill turned negative. The inversion lasted five business days. Historically, an inverted yield curve implies a forthcoming recession, but the time lag can be significant – typically six to 24 months following the inversion.

Portfolio Strategy

  • The Portfolio had a positive return, but slightly underperformed relative to its benchmark for the quarter.
  • We reduced the Fund’s cash position, which we had kept at a higher level due to market uncertainty in late 2018. We increased our allocation to U.S. Treasuries during the first quarter. We also increased our exposure to commercial mortgage-backed securities (CMBS), preferring them to the types of mortgage-backed securities in which the Fed has been involved. CMBS often have “bullet like” maturities, similar to both corporate bonds and U.S. Treasuries.
  • With more certainty on Fed policy, we increased duration in the Fund, but still remain below benchmark duration.

Outlook

  • We will be opportunistic in further reducing our corporate bond exposure and increase our U.S. Treasury exposure over the next several months.
  • We believe fixed income should perform well with the Fed on hold and waiting for inflation to achieve its target level. Some market participants believe the next move from the Fed will be a rate cut. Domestic rates are much higher than in other developed markets, most notably Japan and Europe, where negative rates have been in place for several years. The Fed may come to believe that the current federal funds rate range of 2.25%-2.50% is the neutral rate in this environment.

The opinions expressed are those of the Portfolio’s managers and are not meant as investment advice or to predict or project the future performance of any investment product. The opinions are current through March 31, 2019, are subject to change at any time based on market and other current conditions, and no forecasts can be guaranteed. This commentary is being provided as a general source of information and is not intended as a recommendation to purchase, sell, or hold any specific security or to engage in any investment strategy. Investment decisions should always be made based on an investor’s specific objectives, financial needs, risk tolerance and time horizon. Past performance is not a guarantee of future results.

The Bloomberg Barclays U.S. Credit Index measures the investment grade, U.S. dollar-denominated, fixed-rate, taxable corporate and government-related bond markets, including a non-corporate component of non- U.S. agencies, sovereigns, supranationals and local authorities. It is not possible to invest directly in an index.

Risk factors: The value of the Portfolio's shares will change, and you could lose money on your investment. An investment in the Portfolio is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency

Annuities are long-term financial products designed for retirement purposes. Annuity and life insurance guarantees are based on the financial strength and claims-paying ability of the issuing insurance company. The guarantees have no bearing on the performance of a variable investment option. Variable investment options are subject to market risk, including loss of principal. There are charges and expenses associated with annuities and variable life insurance products, including mortality and expense risk charges, management fees, administrative fees, expenses for optional riders and deferred sales charges for early withdrawals. Withdrawals before age 59 1/2 may be subject to a 10% IRS tax penalty and surrender charges may apply.

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Susan K. Regan

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Ivy Government Securities Fund

Market Sector Update

  • The first quarter saw strong performance in U.S. Treasuries and U.S. corporate bonds. The yield on the 2-year U.S. Treasury Note ended the quarter at 2.26%, nearly 23 basis points (bps) lower than year-end 2018. Yield compression was more pronounced on the 5-year U.S. Treasury Note, as it ended March at 2.23%, 28 bps lower than the end of last year.
  • The first quarter saw sound returns for mortgage-backed securities. The Bloomberg Barclays U.S. Mortgage Backed Securities Index, a subset of the Fund’s benchmark, returned 2.17% in the quarter, an excess return of 28 bps over duration-neutral U.S. Treasuries.
  • After raising rates for the ninth time in this tightening cycle in December, the U.S. Federal Reserve (Fed) started a new message of “patience” in January. During the press conference following the January Federal Open Market Committee (FOMC) meeting, Fed Chairman Jerome Powell implied that rate hikes were off the table for the remainder of the year. This greatly surprised the markets, as the message in December was to expect two hikes in 2019. The new messaging caused a rally in the U.S. Treasury market, which also was boosted by the partial government shutdown, weakening domestic and global economic data, ongoing Brexit drama and the continued trade war with China.
  • The FOMC’s March meeting included the plan to end the balance sheet reduction program in September. Chairman Powell expressed satisfaction with strong employment and low inflationary pressures. He indicated the Fed can afford to be patient and help keep the economy plugging along until inflation continually exceeds the 2% target. This should keep interest rates lower for longer and opens the possibility that the Fed hiking cycle is over.
  • The yield curve inverted slightly on March 22 as the spread between the 10-year U.S. Treasury Note and the 3-month U.S. Treasury Bill turned negative. The inversion lasted five business days. Historically, an inverted yield curve implies a forthcoming recession, but the time lag can be significant - typically six to 24 months following the inversion.

Portfolio Strategy

  • The Fund had a positive return, but slightly underperformed its benchmark for the quarter.
  • We tactically reduced duration, a measure of sensitivity of a bond’s price to a change in interest rates, in the Fund during the quarter. We took profit in medium- and longer-term securities and added to our holdings of shorter-duration securities. We will not allow the Fund’s duration to stray too far from the benchmark, but felt the rate move was overdone in the short-term and a shorter duration position was warranted.

Outlook

  • We believe fixed income should perform well with the Fed on hold and waiting for inflation to achieve its target level. Some market participants believe the next move from the Fed will be a rate cut.
  • Domestic rates are much higher than in other developed markets, most notably Japan and Europe, where negative rates have been in place for several years. The Fed may come to believe that the current federal funds rate range of 2.25%-2.50% is the neutral rate in this environment.

The opinions expressed are those of the Fund’s managers and are not meant as investment advice or to predict or project the future performance of any investment product. The opinions are current through March 31, 2019, are subject to change at any time based on market and other current conditions, and no forecasts can be guaranteed. This commentary is being provided as a general source of information and is not intended as a recommendation to purchase, sell, or hold any specific security or to engage in any investment strategy. Investment decisions should always be made based on an investor’s specific objectives, financial needs, risk tolerance and time horizon. Past performance is not a guarantee of future results.

The Bloomberg Barclays U.S. Mortgage Backed Securities Index tracks agency mortgage-backed pass-through securities (both fixed-rate and hybrid adjustable-rate mortgage) guaranteed by Ginnie Mae (GNMA), Fannie Mae (FNMA), and Freddie Mac (FHLMC). It is not possible to invest directly in an index.

Risk factors: The value of the Fund's shares will change, and you could lose money on your investment. An investment in the Fund is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Fixed income securities are subject to interest rate risk and, as such, the net asset value of the fund may fall as interest rates rise. Investing in below investment grade securities may carry a greater risk of nonpayment of interest or principal than higher-rated bonds. These and other risks are more fully described in the Fund's prospectus. Not all funds or fund classes may be offered at all broker/ dealers.

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Mark Beischel
Susan K. Regan

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Ivy California Municipal High Income Fund

Market Sector Update

  • California municipal bonds provided solid positive returns in the quarter. Despite the rebound in the equity market, flows into California municipal bonds remained strong. Spreads have continued to compress with little supply.
  • The Federal Reserve (Fed) indicated it will not raise rates in 2019 and expects only one more increase in this tightening cycle. This led to the entire municipal yield curve experiencing positive returns with maturities greater than 20 years providing the strongest returns.
  • High yield municipal funds set a record in the first quarter with $4.8 billion of inflows. This resulted in one of the strongest performances in a quarter for high yield municipal bonds. Likewise, this resulted in spreads tightening to levels not seen since 2007. On a ratings basis, AAA versus BBB spreads tightened from 94 to 91 basis points.

Portfolio Strategy

  • The Fund had a positive return for the quarter. It underperformed the Bloomberg Barclays Municipal High Yield Index, but outperformed the Bloomberg Barclays Municipal Bond Index.
  • The Fund is underweight the tobacco sector with an approximate 8% allocation versus 15% in the Bloomberg Barclays Municipal High Yield Index. The underweight position hurt performance as tobacco bonds returned 3.9%. While we do intend to increase exposure over time, we expect the Fund to maintain an underweight position.
  • We are less cautious on California hospitals – we intend to focus on higher quality systems and avoid smaller soleregional providers. The Fund is underweight the hospital sector at 8% versus 13% in the Bloomberg Barclays Municipal Bond Index. Going forward, we anticipate the Fund’s exposure to be in line with the benchmark.
  • The Fund has relatively small exposure to insured Puerto Rico bonds (1.2%), whose income is exempt from both California and federal taxes. With the restructuring of the territories sales-tax-backed bonds, we may look for opportunities but they would not represent more than 1% of the Fund's total net assets.
  • The Fund’s non-rated exposure currently sits at 25%, which is a maximum for the Fund. We don’t expect this allocation to vary meaningfully.
  • We have been measured in investing cash, which is approximately 7%. We will continue to invest based on current market fundamentals with the intent of reducing the cash position to less than 5%. With spreads compressed to 2007 levels, we do not feel comfortable chasing yield and will look for one-off opportunities as they arise.
  • We continue to favor revenue bonds over tax-backed debt. We believe revenue bonds provide higher yields and better diversification from general tax and pension issues affecting many municipalities. If recent high-profile defaults in general obligations have taught us any lesson, then it is that revenue bonds with strong collateral recovery fare much better in the event of a default.
  • We are seeking opportunities in bonds with more defensive structures as interest rates continue to hover around historically low levels and credit spreads continue to be tight. We remain shorter duration than the benchmark. However, with the slope of the yield curve we feel comfortable adding duration in higher quality names.

Outlook

  • We believe the strength in the high yield market should continue in the near term as positive inflows along with low levels of issuance generate positive results.
  • We still believe the California municipal market is attractive versus other fixed income asset classes, based on strong demand due to high taxes and continued low supply. In our view, debt issuance for 2019 may be higher than most estimates, possibly up 20% to more historical norms.
  • We continue to be cautious when looking at spread product with the compression of spreads due to the rally in the quarter and new investment options that continue to offer little collateral for investors. Along with the Fed’s concern regarding growth, we feel it is more important to focus on quality as we think spreads will widen if the economy slows.
  • We expect the Fed to remain on the sidelines for the remainder of the year. We are concerned about potential global trade wars with China and the European Union and the impact on the global economy. On a positive note, with the government shutdown ended, we expect second-quarter gross domestic product to rebound slightly.
  • We will continue to monitor how tariffs and the one-year threat of closing the southern border might cause the Fed to reassess current interest rate policy. With the Fund’s duration at 102% of the Bloomberg Barclays Municipal Bond Index and adequate levels of cash, we feel appropriately structured to weather the impact of a long trade war and potential border closure.

The opinions expressed are those of the Fund’s managers and are not meant as investment advice or to predict or project the future performance of any investment product. The opinions are current through March 31, 2019, are subject to change at any time based on market and other current conditions, and no forecasts can be guaranteed. This commentary is being provided as a general source of information and is not intended as a recommendation to purchase, sell, or hold any specific security or to engage in any investment strategy. Investment decisions should always be made based on an investor’s specific objectives, financial needs, risk tolerance and time horizon Past performance is not a guarantee of future results.

The Bloomberg Barclays Municipal Bond Index is an unmanaged index comprised of securities that represent the long-term municipal bond market.

The Bloomberg Barclays Municipal High Yield Index is an unmanaged index made up of bonds that are non-investment grade, unrated, or rated below Ba1 by Moody’s Investors Service with a remaining maturity of at least one year. It is not possible to invest directly in an index.

Risk factors: The value of the Fund’s shares will change, and you could lose money on your investment. Fixed income securities are subject to interest rate risk and, as such, the net asset value of the Fund may fall as interest rates rise. Investing in below investment grade securities may carry a greater risk of nonpayment of interest or principal than higher-rated bonds. The Fund may include a significant portion of its investments that will pay interest that is taxable under the Alternative Minimum Tax (AMT). Exempt-interest dividends the Fund pays may be subject to state and local income taxes. The portion of the dividends the Fund pays that is attributable to interest earned on U.S. government securities generally is not subject to those taxes, although distributions by the Fund to its shareholders of net realized gains on the sale of those securities are fully subject to those taxes. The municipal securities market generally, or certain municipal securities in particular, may be significantly affected by adverse political, legislative or regulatory changes or litigation at the Federal or state level. These and other risks are more fully described in the Fund’s prospectus. Not all funds or fund classes may be offered at all broker/dealers. Because the Fund invests predominantly in California municipal securities, events in California are likely to affect the Fund’s investments and its performance. As with California municipal securities, events in any of the U.S. territories, such as Puerto Rico, Guam and the U.S. Virgin Islands, where the Fund is invested may affect the Fund’s investments and its performance. These events may include economic or political policy changes, tax base erosion, constitutional limits on tax increases, budget deficits and other financial difficulties, and changes in the credit ratings assigned to municipal issuers of California or U.S. territories.

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Michael J. Walls

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Ivy Wilshire Global Allocation Fund

Market Sector Update

  • The U.S. stock market, as represented by the Wilshire 5000 Total Market Index, was up 14.11% for the first quarter of 2019. This marks the strongest quarter for U.S. equities since 2009, when the market was rebounding from the 2008 recession. Smaller capitalization stocks outperformed their large-cap counterparts during the quarter as growth stocks outpaced value stocks.
  • Equity markets outside of the U.S. also had a strong start to 2019, although they generally underperformed the U.S. equity market. Trade talks between the U.S. and China continued with occasional signs of progress. Any completed agreement would help clarify a huge unknown and could have a positive effect on global markets and economies.
  • U.S. bond markets rallied during the quarter, as credit spreads narrowed rapidly and the 10-year Treasury yield fell late in the quarter. The bellwether 10-year Treasury yield ended the quarter at 2.41%, down 28 basis points from December.
  • The U.S. Federal Reserve (Fed) left the federal funds rate unchanged during the quarter after a 0.25-percentagepoint increase in December. However, the Fed did change its projection for 2019 from two rate increases to none.
  • The U.S. Federal Reserve increased its benchmark overnight interest rate by 25 bps in December to a range of 2.25- 2.50%.
  • Real gross domestic product growth slowed to 2.2% annualized during the fourth quarter of 2018. At 2.9%, real growth for that year was the strongest since 2015. Consumer spending was the main driver of growth for the first quarter.

Portfolio Strategy

  • The Fund had a positive return for the quarter but lagged the return of its blended benchmark index. The Fund uses a “fund-of-funds” structure that allocates assets among affiliated equity and fixed income mutual funds with both domestic and foreign investment strategies. As of quarter end, the Ivy International Core Equity Fund was the largest underlying fund allocation at about 14.4%, followed by Ivy Emerging Markets Equity Fund at 10.3%.
  • Global equity markets rallied strongly during the quarter and buoyed most risk assets, including high yield fixed income and investment grade corporate credit. For the quarter, global equities, represented by the MSCI ACWI, gained 12.18%. The Fund’s exposure to global equities and credit was a material driver of returns during the quarter.
  • The Fund ended the quarter with about 34.1% allocated to fixed income products, about 29.6% allocated to domestic equity products and about 35.9% allocated to foreign equity and global real estate products.
  • The three largest contributors to performance in the quarter were the allocations to the Ivy Emerging Markets Equity Fund, Ivy International Core Equity Fund and Ivy Large Cap Growth Fund. The Ivy Mid Cap Growth Fund was the underlying allocation with the strongest absolute performance during the quarter.
  • The Fund’s largest position, Ivy International Core Equity, was the largest contributor to performance. Overall, exposure to equity funds contributed to the majority of Fund performance for the quarter.

Outlook

  • The Fund’s allowable allocation ranges are wide, but we anticipate equity-oriented investments will range from 55-75% and fixed income-oriented investments will range from 25-45% during most market environments. The Fund’s long-term strategic target is a 65% allocation to global equities and 35% to global fixed income.
  • Following the sharp selloff in the fourth quarter, U.S. equities entered the first quarter priced attractively relative to projected earnings. The immediate rally was not unexpected and despite a slowdown in U.S. corporate earnings growth, we believe both U.S. and foreign equities remain priced fairly.
  • While the risks of a recession are growing, signs do not point towards an imminent U.S. or global recession. We continue to believe that continued economic growth will allow most asset classes to avoid a steep and protracted drawdown.
  • In the current investment environment, we still believe the most compelling equity investment opportunities include foreign equities. In our Fund allocations, we remain overweight foreign equities, with a large overweight to emerging markets equities, relative to developed market equities. Within fixed income, we remain underweight duration due to our belief that the front end of the domestic yield curve will continue to rise and the overall yield curve will continue to flatten or perhaps invert.

  • The opinions expressed are those of the Fund’s managers and are not meant as investment advice or to predict or project the future performance of any investment product. The opinions are current through March 31, 2019, are subject to change at any time based on market and other current conditions, and no forecasts can be guaranteed. This commentary is being provided as a general source of information and is not intended as a recommendation to purchase, sell, or hold any specific security or to engage in any investment strategy. Investment decisions should always be made based on an investor’s specific objectives, financial needs, risk tolerance and time horizon. Past performance is not a guarantee of future results.

    The Wilshire 5000 Total Market Index is an unmanaged index that represents the total U.S. equity market. The MSCI ACWI captures large- and mid-capitalization equities in 23 developed market countries and 24 emerging markets countries and covers approximately 85% of global equities. It is not possible to invest directly in an index.

    Waddell & Reed Advisors Wilshire Global Allocation Fund merged into Ivy Wilshire Global Allocation Fund on Feb. 26, 2018. The returns prior to this date reflect the performance of Waddell & Reed Advisors Wilshire Global Allocation Fund, which was incepted on March 9, 1995. Ivy Wilshire Global Allocation Fund adopted that performance as the result of a reorganization in which it acquired all assets and liabilities of WRA Wilshire Global Allocation Fund. Prior to the reorganization, the Ivy Wilshire Global Allocation Fund had no assets and had not commenced operations.

    Wilshire Associates sub-advises a portion of the Fund consisting of the multi-asset segment, which invests in affiliated mutual funds, and shall have no responsibility over any other assets or segments of the Fund.

    Risk factors: The value of the Fund’s shares will change, and you could lose money on your investment. The performance of the Fund will depend on the success of the allocations among the chosen underlying funds. International investing involves additional risks, including currency fluctuations, political or economic conditions affecting the foreign country, and differences in accounting standards and foreign regulations. These risks are magnified in emerging markets. Fixed-income securities are subject to interest-rate risk and, as such, the net asset value of the Fund may fall as interest rates rise. Investing in high-income securities may carry a greater risk of nonpayment of interest or principal than higher-rated bonds. Investing in small-capitalization stocks may carry more risk than investing in stocks of larger more well-established companies. Although larger companies tend to be less volatile than companies with smaller market capitalizations, returns on investments in securities of large-capitalization companies could trail the returns on investments in securities of smaller companies. Investing in companies involved in one specified sector may be more risky and volatile than an investment with greater diversification. Investing in the energy sector can be riskier than other types of investment activities because of a range of factors, including price fluctuation caused by real and perceived inflationary trends and political developments, and the cost assumed by energy companies in complying with environmental safety regulations. Investing in commodities is generally considered speculative because of the significant potential for investment loss due to cyclical economic conditions, sudden political events, and adverse international monetary policies. Investment risks associated with investing in real estate securities, in addition to other risks, include rental income fluctuation, depreciation, property tax value changes and differences in real estate market values. Investment risks associated with investing in science and technology securities, in addition to other risks, include: operating in rapidly changing fields, abrupt or erratic market movements, limited product lines, markets or financial resources, management that is dependent on a limited number of people, short product cycles, aggressive pricing of products and services, new market entrants and obsolescence of existing technology. These and other risks are more fully described in the Fund’s prospectus. Not all funds or fund classes may be offered at all broker/ dealers.

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Chace Brundige
W. Jeffery Surles, CFA

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Ivy Securian Real Estate Securities Fund

Market Sector Update

  • The U.S. economy entered 2019 in a position of strength despite high market volatility in the last quarter of 2018. Real gross domestic product (GDP) grew nearly 3% in 2018, and unemployment ended the year near a 50-year low at 3.8%.
  • The Federal Reserve (Fed) struck an increasingly dovish tone as growth expectations eased, which may translate to a more benign environment for risk assets. Despite a robust labor market, marked by low unemployment and increasing wages, inflation remains lower than expected. In March, Fed Chairman Jerome Powell indicated the central bank sees the current federal funds target rate as neutral and no longer projects further hikes this year.
  • Despite a tepid economic outlook, the markets rebounded in first quarter, with the S&P 500 Index producing its best return in 10 years. The real estate sector also was strong as measured by the FTSE NAREIT Equity REITs Index, the Fund’s benchmark, which finished the quarter higher than the broader equity index. Macroeconomic conditions remain favorable for the sector, although the current cycle has moved into its 10th year of expansion.

Portfolio Strategy

  • The Fund delivered a positive return for the quarter, but slightly underperformed its benchmark.
  • The Fund’s overall performance for the period is attributed to more defensive positioning. Exposures in net lease and health care properties that proved beneficial toward the end of last quarter became a detractor to performance as market sentiment turned in early January. While we remain defensive in our positioning, we have modestly reduced our position in health care companies given the dramatic decline in Treasury yields.
  • Office owners were among the best performing real estate investment trusts (REITs ) stocks during the period. Many office stocks entered the year trading at significant discounts to their net asset value (NAV). While operating conditions for these companies remain somewhat challenging, the stock price for many of them represented expectations that were too pessimistic (they became too cheap to ignore, in our opinion.) The Fund has been overweight office names, particularly those with exposure to California and biotech/life science real estate. We continue to view the growth prospects for select office companies as attractive compared with other REITs, primarily driven by the competition of new developments this year and in 2020.
  • Self-storage REITs lagged the broader REIT market in the quarter but with the portfolio’s underweight positioning and favorable stock selection, the sector was additive to performance. Our view on the industry continues to be pessimistic as we see newly delivered supply pressuring revenues for at least the next several quarters.
  • Residential REITs remain overweight positions in the portfolio as we expect steady growth from apartment owners, strong top line growth from manufactured housing companies, and continued outsized demand for single family rental properties driven by increased household formations. After being one of the more additive sectors to portfolio returns during the volatility of last quarter, multi-family returns for the most recent quarter were neutral on the portfolio’s results.
  • Hotel REITs, on the heels of significant underperformance in the prior quarter, benefitted disproportionately from the market rebound. The portfolio was underweight to this sector throughout the quarter, and the combination of negative allocation and selection effects negatively impacted relative performance. We remain underweight the group on concerns that increasing labor costs and continued new supply will pressure earnings, while increasing economic headwinds will pressure sentiment towards the space.
  • Retail REITs were a drag on performance in the quarter, as shopping centers, where the Fund is underweight, were outperformers, while malls as a group were in line but had a negative stock selection effect. The Fund remains underweight to the traditional retail group with the belief that store closings and leasing costs will remain elevated and mute returns for the space.
  • Datacenter REITs outperformed the broader index for the quarter but were a drag on the Fund’s performance in the quarter due to unfavorable stock selection. Pressures on both development yields and the timeframe to stabilize pressured the performance of our larger overweight holdings. That said, demand for the space remains strong, driven most notably by cloud computing, artificial intelligence, and the continued growth of edge computing. Valuation continues to remain compelling for select names and we are overweight the sector.

Outlook

  • Markets recovered well in the period, but risks remain in play, most notably slowing growth and geopolitical issues. The violent tightening of financial conditions last quarter was sobering, so we still are attuned to the potential for volatility. However, we think a strong backdrop for the consumer and friendly Fed policies are enough to limit the downside to the economy.
  • With regard to the current commercial real estate cycle, we continue to see stable operating conditions across the sector with few material concerns on the horizon. Bank lending, commercial construction, equity allocations, and overall pricing metrics remain much healthier than was often the case in previous cycle peaks. Simply moving into the later stages of this recovery does not mean sector fundamentals will turn negative.
  • The “bondification” of real estate has been bemoaned by many market participants as irrational, but has become current reality. Higher U.S. Treasury rates have finally materialized, and while share price gains for REITs have been muted the results are far from the catastrophe many have predicted. We continue to believe that REIT share price performance will be heavily influenced by macro events, with support coming from an improving economy and GDP growth while potentially rising borrowing costs, such as a rising 10-Year U.S. Treasury yield, could offer resistance.
  • Valuations of private market transactions continue to support REIT valuations, suggesting REITs currently trade at a discount to NAV. REIT pricing compared to broader fixed income and equity markets also looks attractive compared to historic averages. Significant fund raising in real estate private equity funds suggests further support for real estate valuation.

The opinions expressed are those of the Fund’s managers and are not meant as investment advice or to predict or project the future performance of any investment product. The opinions are current through March 31, 2019, are subject to change at any time based on market and other current conditions, and no forecasts can be guaranteed. This commentary is being provided as a general source of information and is not intended as a recommendation to purchase, sell, or hold any specific security or to engage in any investment strategy. Investment decisions should always be made based on an investor’s specific objectives, financial needs, risk tolerance and time horizon. Past performance is not a guarantee of future results.

The FTSE NAREIT Equity REITs Index is designed to present investors with a comprehensive family of REIT performance indexes that spans the commercial real estate space across the U.S. economy. The FTSE NAREIT Equity REITs index contains all Equity REITs not designated as Timber REITs or Infrastructure REITs. It is not possible to invest directly in an index.

Effective April 30, 2018, the Fund's benchmark changed from the Wilshire U.S. Real Estate Securities Index to the FTSE NAREIT Equity REITs Index.

Effective April 30, 2018, the name of Ivy Advantus Real Estate Securities Fund changed to Ivy Securian Real Estate Securities Fund.

The S&P 500 Index is a float-adjusted market capitalization weighted index that measures the large-cap U.S. equity market. It is not possible to invest directly in an index.

Risk factors: The value of the Fund's shares will change, and you could lose money on your investment. An investment in the Fund is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Investment risks associated with investing in real estate securities, in addition to other risks, include rental income fluctuation, depreciation, property tax value changes and differences in real estate market values. Because the Fund invests more than 25% of its total assets in the real estate industry, the Fund may be more susceptible to a single economic, regulatory, or technical occurrence than a fund that does not concentrate its investments in this industry. These and other risks are more fully described in the Fund's prospectus.

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Ivy ProShares S&P 500 Bond Index Fund

Market Sector Update

  • The Federal Reserve (Fed) left rates unchanged in the quarter and has made quite a shift with respect to signaling further policy changes. In a significant reversal, the central bank announced it will start tapering portfolio runoff in May and cease balance sheet normalization at the end of September.
  • The yield on the 10-year Treasury ended the quarter at 2.41%, 28 basis points (bps) lower than it ended 2018, and 82 bps lower than the current rate-cycle high of 3.23% in November 2018.
  • In March, the downturn in long-term treasury yields triggered an inversion between 3-month and 10-year Treasury yields – the first time since 2007 that such an inversion has occurred.
  • Corporate spreads tightened during the quarter as the average option-adjusted spreads for investment-grade corporate bonds closed 35 bps tighter; spreads on BBB-rate corporate bonds were 55 bps tighter.

Portfolio Strategy

  • A passively managed index fund, the Fund had a positive return for the quarter. Long-duration bonds outperformed shorter-dated bonds for the quarter, as securities with durations longer than 10 years fared best.
  • Given the change in market outlook for further rate hikes, all eleven sectors were positive for the quarter. Higher beta sectors of energy and communication services were the top performers, however, all sectors saw some of the strongest quarterly returns in the past three years.
  • Spreads tightened all along the credit spectrum, with BBB-rated credits performing best.
  • Total issuance of investment-grade corporate bonds was down approximately 5% compared to the first quarter of 2018.

Outlook

  • The Fed appears to have changed its stance on continued rate hikes and has now taken a more “patient,” data dependent view on further tightening. Markets are now expecting a Fed rate hike “pause,” with futures pricing in just a 17% probability of a March rate hike and 0% for a June hike.
  • As was the case in 2018, the U.S. – China trade policy remains a significant risk. Growth in mainland China and Europe pose the greatest risks, as many market participants now see a potential for decelerated growth rate in global gross domestic product in 2019.
  • Markets will also be closely watching the ongoing negotiations regarding Brexit. The U.K. is scheduled to leave the European Union in less than 90 days and there is currently no deal in place. This could have a significant impact on corporate and sovereign bond markets – both in Europe and the U.S.

The opinions expressed are those of the Fund’s managers and are not meant as investment advice or to predict or project the future performance of any investment product. The opinions are current through March 31, 2019, are subject to change at any time based on market and other current conditions, and no forecasts can be guaranteed. This commentary is being provided as a general source of information and is not intended as a recommendation to purchase, sell, or hold any specific security or to engage in any investment strategy. Investment decisions should always be made based on an investor’s specific objectives, financial needs, risk tolerance and time horizon. Past performance is not a guarantee of future results.

The Fund is a passively managed index fund designed to track the performance of its stated benchmark index. It does not invest in securities based on the managers' view of the investment merit of a particular security or company, nor does it conduct conventional investment research or analysis or forecast market movement or trends, in managing the assets of the Fund. The Fund seeks to remain fully invested at all times in securities that, in combination, provide exposure to its respective benchmark Index without regard to market conditions, trends or direction.

The S&P 500® /MarketAxess® Investment Grade Corporate Bond Index seeks to measure the performance of corporate debt issued in the U.S. by S&P 500 companies. It is a market value-weighted subset of the S&P 500 Investment Grade Corporate Bond index that seeks to measure the performance of corporate debt issued in the U.S. by companies (and their subsidiaries in the S&P 500), subject to additional liquidity rules. Indexes are unmanaged and one cannot invest directly in any index.

Risk factors: The value of the Fund's shares will change, and you could lose money on your investment. While the Fund attempts to track the performance of its stated index, there is no guarantee or assurance that the methodology used to create the index will result in the Fund achieving high, or even positive, returns. The Index may underperform, and the Fund could lose value, while other indices or measures of market performance increase in value. Fixed-income securities are subject to interest rate risk and, as such, the net asset value of the Fund may fall as interest rates rise. Investing in below investment grade securities may carry a greater risk of nonpayment of interest or principal than higher-rated bonds. As of Nov. 30, 2017, the index was concentrated in the financial industry group; therefore, the Fund is subject to the same risks faced by companies in the financials industry to the same extent as the index is so concentrated. Such risks include extensive government regulation, fluctuation of profitability, and credit losses resulting from financial difficulties of borrowers. A number of factors may affect the Fund's ability to achieve a high degree of correlation with the Index, and there is no guarantee that the Fund will achieve a high degree of correlation. Failure to achieve a high degree of correlation may prevent the Fund from achieving its investment objective. An investment in the Fund is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. These and other risks are more fully described in the Fund's prospectus. Not all funds or fund classes may be offered at all broker/dealers.

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Ivy Mid Cap Income Opportunities

Market Sector Update

  • The stock market roared into 2019 recovering much of the loss it experienced in fourth quarter 2018. The three biggest concerns driving investor consternation in 2018 have all seemingly accrued to the more bullish side.
  • Interest rates reversed course and contracted in the quarter as the Federal Reserve (Fed) moved its forecast to no rate hikes for 2019 and slowed the pace of balance sheet run-off. Trade talks appeared to have shown some promise of resolution over the coming months, decreasing the likelihood of burdensome tariffs. Finally, the deceleration of economic growth and earnings growth do not appear to be worse than forecasted, allowing for more confidence in the macroeconomic outlook.
  • In quarter, the Russell Midcap Index, the Fund’s benchmark, increased 16.53%. All sectors posted positive returns, but only four sectors bested the overall index with information technology and energy as the positive standouts. Health care and industrials rounded out the list of outperforming sectors.
  • The worst performing sectors in the quarter were communications services, consumer staples, utilities, financials and materials. Consumer discretionary and real estate slightly underperformed the benchmark. In the quarter, there was a decisive preference for the fastest growing and most expensive stocks in the market given the sizeable outperformance on these two metrics.
  • Higher dividend yielding stocks were out of favor during the quarter. Those stocks with a dividend yield of greater than 3.3% underperformed the benchmark. In fact, the only outperformance came from either the non-dividend payers or those with less than a 1.1% yield. Long term interest rates declined, ending the quarter at 2.5% on 10-Year US Treasuries.

Portfolio Strategy

  • In the quarter, the Fund had a positive double-digit return but underperformed its benchmark. Sector allocation was negative. Half of the variance was attributed to a cash position as the Fund experienced strong inflows into a market that was increasing steadily. The Fund’s underweight position in information technology and overweight position in materials also acted as headwinds to performance.
  • Stock selection was a considerable headwind during the quarter with underperformance across most sectors. A significant driver of this underperformance was based on the philosophy and process of the Fund juxtaposed to the areas of the market that saw the most significant gains during the quarter. We are generally not exposed to the fastest growing companies in the market and our dividend yield and dividend growth focus keeps us concentrated on valuations, which all acted as significant headwinds in the quarter.
  • The worst relative performance occurred in information technology as no exposure to software names proved to be an opportunity cost to performance. A difficult quarter for National Instruments and difficult quarterly comparisons for Broadridge in its proxy business also hurt relative performance. While producing positive performance, the Fund’s exposure to more moderate growth semiconductor companies also hurt relative performance.
  • Performance by health care closely matched the underperformance of information technology. No exposure to the non-dividend or very low yield paying subsectors of biotechnology and life science tools and services was a headwind to performance as both of those groups significantly outperformed.
  • The industrials sector was also an area of poor stock selection during the quarter. All of our stocks produced positive returns in the period, but two holdings struggled.

Outlook

  • Since the inception of the Fund, we continue to watch several key variables to determine positioning. These variables (domestic economic growth, change in interest rates, change in commodity prices and foreign economic growth) have remained consistent and continue to be monitored.
  • Our outlook for domestic economic growth has remained consistent since the start of 2019. We believe we will see a slower growth environment in 2019 versus 2018, but still expect it to be broadly positive, which should provide nice earnings growth for companies. While the clouds of consternation at the end of 2018 have seemingly dissipated, there are always potential new ones that can emerge; however, we feel first quarter 2019 should mark the low point in growth with acceleration for the remaining quarters of the year.
  • We had been concerned about increasing interest rates and the unintended consequences that could arise given how low and for how long rates had remained depressed. It appears the Fed has kicked the can down the road for “normalizing” the environment and thereby removing what we felt was one of the biggest risks to this cycle given the likely unnatural things that have occurred in the market due to the extended period of low rates. With this risk removed over the near-term, it should be more constructive for the market. We feel the Fund can offer a competitive income component relative to the fixed-income markets while providing the potential for income growth and better capital appreciation.
  • We expect that the moderating inflationary pressures driven by commodity prices has the opportunity to surprise the market over the next six months. Many companies push through pricing with a lag relative to their costs increasing. Over the past 18 months, companies have been combating ever increasing raw materials pricing. Over the next two quarter, we would expect pricing to have caught up to cost inflation, providing margin expansion opportunities for those companies that have pricing power. We also expect this to most directly benefit those heavy users of steel, materials, and freight as all have seen recent deflation. Oil prices increased during the quarter and bears watching, but we expect this increase to be manageable for those companies. Tariffs remain a potential wildcard, but the likelihood of implementation has significantly decreased over the past six months.
  • Much is still unknown across the globe. It appears China has been attempting to stimulate its economy and we expect this will produce accelerating growth over the coming months. As this occurs, it should have follow-on impacts in both Europe and Latin America. Brexit remains a potential risk event, but as the stakes are so high, we continue to expect a moderate outcome versus a more extreme exit. With the near-term removal of higher interest rates given actions by the Fed, it appears the U.S. is still the most stable of the global economies to invest in; however, we do expect global growth acceleration to closely match the likely acceleration in the U.S. economy throughout the year.

The opinions expressed are those of the Fund’s managers and are not meant as investment advice or to predict or project the future performance of any investment product. The opinions are current through March 31, 2019, are subject to change at any time based on market and other current conditions, and no forecasts can be guaranteed. This commentary is being provided as a general source of information and is not intended as a recommendation to purchase, sell, or hold any specific security or to engage in any investment strategy. Investment decisions should always be made based on an investor’s specific objectives, financial needs, risk tolerance and time horizon. Past performance is not a guarantee of future results.

Top 10 holdings (%) as of 03/31/2019: Garmin Ltd. 3.1, Cinemark Holdings, Inc. 3.0, Quest Diagnostic, Inc. 3.0, First American Financial 2.9, American Campus Community 2.9, Glacier Bancorp, Inc. 2.9, Broadridge Financial Solutions 2.9, Packing Corp of America 2.9, Umpqua Holdings Corp. 2.9 and Microchip Technology, Inc. 2.9.

The Russell Midcap Index measures the performance of the mid-cap segment of the U.S. equity universe. It is not possible to invest directly in an index. Commentary is based on Class I shares.

Risk factors: The value of the Fund’s shares will change, and you could lose money on your investment. An investment in the Fund is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Investing in mid-cap stocks may carry more risk than investing in stocks of larger, more well-established companies. The Fund’s emphasis on dividend-paying stocks involves the risk that such stocks may fall out of favor with investors and underperform non-dividend paying stocks and the market as a whole over any period of time. In addition, there is no guarantee that the companies in which the Fund invests will declare dividends in the future or that dividends, if declared, will remain at current levels or increase over time. The amount of any dividend the company may pay may fluctuate significantly. In addition, the value of dividend-paying common stocks can decline when interest rates rise as fixed-income investments become more attractive to investors. This risk may be greater due to the current period of historically low interest rates. The Fund typically holds a limited number of stocks (generally 35 to 50). As a result, the appreciation or depreciation of any one security held by the Fund will have a greater impact on the Fund’s net asset value than it would if the Fund invested in a large number of securities. These and other risks are more fully described in the Fund’s prospectus. Not all funds or fund classes may be offered at all broker/dealers.

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Kimberly A. Scott, CFA
Nathan A. Brown, CFA

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Ivy Pictet Targeted Return Bond Fund

Market Sector Update

  • Concerned about a persistent inflation undershoot and downside risks from global trade, the U.S. Federal Reserve (Fed) made a notable shift from signalling a cumulative three hikes through 2020 at its December meeting to indicating only one hike (zero in 2019 and one hike in 2020) at its March meeting. Also coming as a dovish surprise to the markets was a shift in its balance sheet reduction plans, from being on “autopilot” to ending in September (monthly cap on Treasuries roll-offs will also be halved starting in May). Furthermore, the Fed seems to be more welcoming of an inflation overshoot, as several members advocated consideration of a move to targeting an average inflation rate, which will form part of the Fed’s review of its policy framework in June. Such changes in the Fed’s reaction function resulted in a significant rally in the U.S. Treasury market this quarter, especially in the intermediate part of the curve.
  • Amid still weak data, the European Central Bank (ECB) also turned more dovish. At its March meeting, the ECB extended the forward guidance of no rate hike through the end of the year. Markets have also started to price in some possibility of rate cuts, after ECB President Mario Draghi talked about easing the pressures on bank profitability from negative rates, which gave rise to hopes for a tiered deposit rate system. German bunds rallied sharply in the quarter with long-dated bunds outperforming, reflecting weak data and the increasing chaos around Brexit.
  • With the exception of the Norges Bank, which hiked rates in March and struck a hawkish tone (due to oil strength), the other develped market central banks have all turned more dovish. The Bank of England remained on hold, while the Bank of Canada which previously stated its desire to return to neutral policy rate, is now seeing future increases becoming “highly uncertain”.
  • Despite domestic central banks turning more dovish, the generally risk-friendly first quarter sent the traditional carry/commodity currencies, such as the Canadian dollar, New Zealand dollar and Australian dollar, higher against the U.S. dollar. The traditional safe-haven currencies such as the Japanese yen and and Swiss franc unperformed.

Portfolio Strategy

  • The Fund posted a positive return and outperformed its benchmark in the quarter. Our rates positions had a strong positive contribution, reflecting our long duration positions in the U.S. and Europe, as well as our flatter curve position in German bunds.
  • Our spread positions, in both developed and emerging markets, also contributed positively to performance over the quarter. More specifically, in developed markets, our holdings in financials contributed the most, while in emerging markets, our holdings in Asia (Chinese corporates and India and Indonesia government and quasi-sovereigns) outperformed.
  • Overall, our currency positions was a small detractor to performance for the period.

Outlook

  • The first quarter of the year was dominated by downgrades to the global growth outlook and a more dovish tone by most central banks around the world. So far, financial assets have welcomed the recent central bank dovishness as long as growth remains positive. We continue to believe this mediocre growth / dovish central bank environment is very favorable for fixed income in particular credit and emerging market spreads but we are mindful that this view can be challenged by further weakness in global growth.
  • We agree that in the U.S. chances are that the positive impact of last year’s fiscal package start to fade, tilting the odds towards a weaker economy. Short maturity yields in Europe discard completely the possibility of any policy normalization, which we may argue, also corresponds to concerns about Brexit and the volatile situation in Turkey. Despite all the noise around Brexit, the U.K. has moved towards trying to remove the risk of a "hard Brexit," we have then moved to underweight U.K. Treasuries and kept our long British pound positions.
  • Currencies were mixed during the quarter, reflecting the Fed’s dovishness combined with the reluctance of many central banks around the world to allow their currencies to appreciate against the U.S. dollar in the face potentially weaker growth. We have then moved to reduce our duration in the Fund and have increased our U.S. dollar position in an effort to protect the Fund against another leg down in growth outside the U.S.

The opinions expressed are those of the Fund’s managers for class I shares and are not meant as investment advice or to predict or project the future performance of any investment product. The opinions are current through March 31, 2019, are subject to change at any time based on market and other current conditions, and no forecasts can be guaranteed. This commentary is being provided as a general source of information and is not intended as a recommendation to purchase, sell, or hold any specific security or to engage in any investment strategy. Investment decisions should always be made based on an investor’s specific objectives, financial needs, risk tolerance and time horizon. Past performance is not a guarantee of future results.

Risk factors: The value of the Fund's shares will change, and you could lose money on your investment. An investment in the Fund is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. International investing involves additional risks, including currency fluctuations, political or economic conditions affecting the foreign country, and differences in accounting standards and foreign regulations. These risks are magnified in emerging markets. Fixed income securities are subject to interest rate risk and, as such, the net asset value of the Fund may fall as interest rates rise, especially securities with longer maturities. Investing in below investment grade securities may carry a greater risk of nonpayment of interest or principal than higher rated bonds. The Fund may seek to manage exposure to various foreign currencies, which may involve additional risks. The value of securities, as measured in U.S. dollars, may be unfavorably affected by changes in foreign currency exchange rates or exchange control regulations. Investing in foreign securities involves a number of risks that may not be associated with the U.S. markets and that could affect the Fund's performance unfavorably, such as greater price volatility; comparatively weak supervision and regulation of securities exchanges, fluctuation in foreign currency exchange rates and related conversion costs, adverse foreign tax consequences, or different and/or less stringent financial reporting standards. Mortgage-backed and asset-backed securities in which the Fund may invest are subject to prepayment risk and extension risk. The Fund employs investment management techniques that differ from those often used by traditional bond funds, including a targeted return strategy, and may not always perform in line with the performance of the bond markets. The Fund is also non-diversified and may hold fewer securities than other funds and a decline in the value of these holdings would cause the Fund's overall value to decline to a greater degree than a more diversified fund. The Fund expects to use derivatives in pursuing its investment objective. The use of derivatives presents several risks including the risk that fluctuation in the values of the derivatives may not correlate perfectly with the overall securities markets or with the underlying asset from which the derivative's value is derived. Moreover, some derivatives are more sensitive to interest rate changes and market fluctuations than others, and the risk of loss may be greater than if the derivative technique(s) had not been used. These and other risks are more fully described in the Fund's prospectus.

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Ivy ProShares Russell 2000 Dividend Growers Index Fund

Market Sector Update

  • U.S. small-cap stocks rebounded strongly in the first quarter from sharp losses during the prior reporting period as the Russell 2000 Index, the Fund’s broad market target, advanced 14% for the first quarter of 2019. All told, it was the best quarter for U.S. stocks in nearly 10 years, and followed one of the market’s worst quarters in many years.
  • During the period, mixed economic data and slowing corporate earnings growth were not enough to damper the powerful rally. Instead, investors seemed more focused on the Federal Reserve (Fed), which struck a more dovish tone on future possible interest rate increases.

Portfolio Strategy

  • A passively managed index fund, the Fund underperformed its benchmark, the Russell 2000 Dividend Growth Index, and its broad market target for the quarter.
  • Unfavorable sector allocation impacts primarily drove the relative underperformance, while stock screening also detracted.
  • The Fund’s underweight position to information technology hurt relative performance as these holdings continued to outperform the broader market.
  • Partially offsetting these results was the positive relative performance of the materials sector.

Outlook

  • The Fund remains focused exclusively on companies within the Russell 2000 Index that have grown their dividends for at least 10 consecutive years. While not necessarily providing the highest dividend yield, a strategy based on highquality companies with a consistent track record of dividend growth provides the potential for attractive long-term outperformance.
  • Our outlook on economic expansion and corporate earnings growth remains fairly positive barring a major unforeseen event. We are cautiously optimistic about equities, which should be buoyed by good overall growth and a lack of substantial disruptions. Broadly, we believe the strong inertia to equities will continue.
  • The lower corporate tax rate could allow for additional capital expenditures by businesses and potentially create a boost in optimism that could fuel a virtuous cycle of greater investment that buoys business confidence, which in turn leads to even more investment.

The opinions expressed are those of the Fund’s managers and are not meant as investment advice or to predict or project the future performance of any investment product. The opinions are current through March 31, 2019, are subject to change at any time based on market and other current conditions, and no forecasts can be guaranteed. This commentary is being provided as a general source of information and is not intended as a recommendation to purchase, sell, or hold any specific security or to engage in any investment strategy. Investment decisions should always be made based on an investor’s specific objectives, financial needs, risk tolerance and time horizon. Past performance is not a guarantee of future results.

The Fund is a passively managed index fund designed to track the performance of its stated benchmark index. It does not invest in securities based on the managers' view of the investment merit of a particular security or company, nor does it conduct conventional investment research or analysis or forecast market movement or trends, in managing the assets of the Fund. The Fund seeks to remain fully invested at all times in securities that, in combination, provide exposure to its respective benchmark Index without regard to market conditions, trends or direction.

Rachel Ames served as a portfolio manager on the Fund until April 2018.

The Russell 2000 Dividend Growth Index measures the performance of Russell 2000 companies that have increased dividends every year for the last 10 consecutive years. The Index treats each constituent as a distinct investment opportunity without regard to its size by equally weighting each company. The Russell 2000 Index is an index measuring the performance approximately 2,000 small-cap companies in the Russell 3000 Index, which is made up of 3,000 of the biggest U.S. stocks. It is not possible to invest directly in an index.

Risk factors: The value of the Fund’s shares will change, and you could lose money on your investment. Small capitalization companies in which the Index and, by extension, the Fund are exposed may go in and out of favor based on market and economic conditions. The Fund’s emphasis on dividend-paying stocks involves the risk that such stocks may fall out of favor with investors and underperform non-dividend paying stocks and the market as a whole over any period of time. In addition, there is no guarantee that the companies in which the Fund invests will declare dividends in the future or that dividends, if declared, will remain at current levels or increase over time. The amount of any dividend the company may pay may fluctuate significantly. In addition, the value of dividend-paying common stocks can decline when interest rates rise as fixed-income investments become more attractive to investors. This risk may be greater due to the current period of historically low interest rates. An investment in the Fund is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. These and other risks are more fully described in the Fund’s prospectus. Not all funds or fund classes may be offered at all broker/dealers.

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Mid-cap madness: Bracketing a better portfolio

U.S. mid caps are one of the most dynamic investment types in the market. Mid caps’ spot in the center of the range means they often bring strong risk/return potential for today’s nervous investor. In a time when the right portfolio construction matters more than ever, explore the opportunity to win with mid caps.

SPEAKERS

Kim Scott, CFA
Portfolio Manager
Ivy Investment Management Company
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Nathan Brown, CFA
Portfolio Manager
Ivy Investment Management Company
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David Borberg, CFA
Client Portfolio Manager
Ivy Investment Management Company
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U.S. mid caps are one of the most dynamic investment types in the market. Mid caps’ spot in the center of the range means they often bring strong risk/return potential for today’s nervous investor. In a time when the right portfolio construction matters more than ever, explore the opportunity to win with mid caps.

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