Lord Abbett Securities Trust

 

PROSPECTUS

MARCH 1, 2024

                     
                       
     

CLASS

TICKER

 

CLASS

TICKER

 

CLASS

TICKER

 
 

LORD ABBETT
ALPHA STRATEGY FUND

 

A 

ALFAX

 

I 

ALFYX

 

R4 

ALFKX

 
   

C 

ALFCX

 

P 

N/A

 

R5 

ALFTX

 
     

F 

ALFFX

 

R2 

ALFQX

 

R6 

ALFVX

 
     

F3 

ALFOX

 

R3 

ALFRX

       
                       
 

LORD ABBETT
FOCUSED GROWTH
FUND

 

A 

LFGAX

 

I 

LFGIX

 

R5 

LFGTX

 
   

C 

LFGCX

 

R2 

N/A

 

R6 

LFGVX

 
   

F 

LFGFX

 

R3 

LFGQX

       
     

F3 

LFGOX

 

R4 

LFGSX

       
                       
 

LORD ABBETT
FOCUSED LARGE CAP
VALUE FUND

 

A 

LAFLX

 

I 

LIFLX

 

R5 

LFLTX

 
   

C 

LCFLX

 

R2 

N/A

 

R6 

LVFLX

 
   

F 

LFFLX

 

R3 

LQFLX

       
     

F3 

LOFLX

 

R4 

LSFLX

       
                       
 

LORD ABBETT
FOCUSED SMALL CAP
VALUE FUND

 

A 

LFVAX

 

I 

LMVYX

 

R5 

LMVVX

 
   

C 

LFVCX

 

R2 

N/A

 

R6 

LMVWX

 
   

F 

LFSFX

 

R3 

N/A

       
     

F3 

LMVOX

 

R4 

N/A

       
                       
 

LORD ABBETT
FUNDAMENTAL EQUITY
FUND

 

A 

LDFVX

 

I 

LAVYX

 

R4 

LAVSX

 
   

C 

GILAX

 

P 

LAVPX

 

R5 

LAVTX

 
   

F 

LAVFX

 

R2 

LAVQX

 

R6 

LAVVX

 
     

F3 

LDFOX

 

R3 

LAVRX

       
                       
 

LORD ABBETT
GLOBAL EQUITY FUND

 

A 

LGCAX

 

I 

LGCYX

 

R5 

LGCVX

 
   

C 

LGCCX

 

R2 

N/A

 

R6 

LGCWX

 
     

F 

LGCFX

 

R3 

LGCRX

       
     

F3 

LGCOX

 

R4 

LGCSX

       
                       
                       
 

LORD ABBETT
GROWTH LEADERS

FUND

 

A 

LGLAX

 

I 

LGLIX

 

R5 

LGLUX

 
   

C 

LGLCX

 

R2 

LGLQX

 

R6 

LGLVX

 
   

F 

LGLFX

 

R3 

LGLRX

       
     

F3 

LGLOX

 

R4 

LGLSX

       
                       
 

LORD ABBETT
HEALTH CARE FUND

 

A 

LHCAX

 

I 

LHCIX

 

R5 

LHCTX

 
   

C 

LHCCX

 

R2 

N/A

 

R6 

LHCVX

 
     

F 

LHCFX

 

R3 

LHCQX

       
     

F3 

LHCOX

 

R4 

LHCSX

       
                       
         

                             
         
                       
     

CLASS

TICKER

 

CLASS

TICKER

 

CLASS

TICKER

 
                       
 

LORD ABBETT
INTERNATIONAL
EQUITY FUND

 

A 

LICAX

 

I 

LICYX

 

R4 

LICSX

 
   

C 

LICCX

 

P 

LICPX

 

R5 

LICTX

 
   

F 

LICFX

 

R2 

LICQX

 

R6 

LICVX

 
     

F3 

LICOX

 

R3 

LICRX

       
                       
 

LORD ABBETT
INTERNATIONAL
OPPORTUNITIES FUND

 

A 

LAIEX

 

I 

LINYX

 

R4 

LINSX

 
   

C 

LINCX

 

P 

LINPX

 

R5 

LINTX

 
   

F 

LINFX

 

R2 

LINQX

 

R6 

LINVX

 
     

F3 

LOIEX

 

R3 

LINRX

       
                       
 

LORD ABBETT
INTERNATIONAL VALUE
FUND

 

A 

LIDAX

 

I 

LAIDX

 

R5 

LIRTX

 
   

C 

LIDCX

 

R2 

LIDRX

 

R6 

LIRVX

 
   

F 

LIDFX

 

R3 

LIRRX

       
     

F3 

LIDOX

 

R4 

LIRSX

       
                       
 

LORD ABBETT
MICRO CAP GROWTH

FUND

 

A 

LAMGX

 

I 

LMIYX

 

R5 

N/A

 
   

C 

LCMGX

 

R2 

N/A

 

R6 

N/A

 
   

F 

LFMGX

 

R3 

N/A

       
     

F3 

N/A

 

R4 

N/A

       
                       
 

LORD ABBETT
VALUE OPPORTUNITIES
FUND

 

A 

LVOAX

 

I 

LVOYX

 

R4 

LVOSX

 
   

C 

LVOCX

 

P 

LVOPX

 

R5 

LVOTX

 
   

F 

LVOFX

 

R2 

LVOQX

 

R6 

LVOVX

 
     

F3 

LVOOX

 

R3 

LVORX

       
                       
                       
                       
                       
                       
                       
                       
                       
                       
                       
                       
 

The Lord Abbett Micro Cap Growth Fund generally is not available for purchase by new investors, except as described in this prospectus. Please see the section “Information about the Availability of Micro Cap Growth Fund” for more information.

The U.S. Securities and Exchange Commission has not approved or disapproved of these securities or determined whether this prospectus is accurate or complete. Any representation to the contrary is a criminal offense.

 
 

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

 
         

 

TABLE OF CONTENTS

 

FUND SUMMARY

   

Alpha Strategy Fund

3

Focused Growth Fund

14

Focused Large Cap Value Fund

23

Focused Small Cap Value Fund

33

Fundamental Equity Fund

43

Global Equity Fund

52

Growth Leaders Fund

62

Health Care Fund

71

International Equity Fund

83

International Opportunities Fund

94

International Value Fund

104

Micro Cap Growth Fund

114

Value Opportunities Fund

123

Tax Information

132

Payments to Broker-Dealers and Other Financial Intermediaries

132

 

MORE INFORMATION ABOUT THE FUNDS

   

Investment Objectives

133

Principal Investment Strategies

134

Principal Risks

166

Additional Information About Investment and Operational Risks

207

Disclosure of Portfolio Holdings

213

Management and Organization of the Funds

213

Information About the Availability of Micro Cap Growth Fund

219

 

INFORMATION FOR MANAGING YOUR FUND ACCOUNT

   

Choosing a Share Class

220

Sales Charges

228

Sales Charge Reductions and Waivers

230

Financial Intermediary Compensation

234

Purchases

239

Exchanges

241

Redemptions

242

Account Services and Policies

244

Distributions and Taxes

252

 

FINANCIAL INFORMATION

   

Alpha Strategy Fund

256

Focused Growth Fund

260

Focused Large Cap Value Fund

264

Focused Small Cap Value Fund

268

Fundamental Equity Fund

272

Global Equity Fund

276

Growth Leaders Fund

280

Health Care Fund

284


   

International Equity Fund

288

International Opportunities Fund

292

International Value Fund

296

Micro Cap Growth Fund

300

Value Opportunities Fund

302

 

APPENDIX

   

Appendix A: Intermediary-Specific Sales Charge
Reductions and Waivers

A- 1

Appendix B: Underlying Funds of Alpha Strategy Fund

B- 1


 

FUND SUMMARY

Alpha Strategy Fund

INVESTMENT OBJECTIVE

The Fund’s investment objective is long-term capital appreciation.

FEES AND EXPENSES

This table describes the fees and expenses that you may pay if you buy, hold, and sell shares of the Fund. You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the tables and examples below. You may qualify for sales charge discounts if you and certain members of your family invest, or agree to invest in the future, at least $50,000 in the Lord Abbett Family of Funds. More information about these and other discounts is available from your financial intermediary and in “Sales Charge Reductions and Waivers” on page 230 of the prospectus, Appendix A to the prospectus, titled “Intermediary-Specific Sales Charge Reductions and Waivers,” and “Purchases, Redemptions, Pricing, and Payments to Dealers” on page 9-1 of Part II of the statement of additional information (“SAI”).

           

Shareholder Fees(1) 

(Fees paid directly from your investment)

 

Class

 

A

C

F, F3, I, P, R2, R3, R4, R5, and R6

 

Maximum Sales Charge (Load) Imposed on Purchases
(as a percentage of offering price)

5.75%

None

None

 

Maximum Deferred Sales Charge (Load)
(as a percentage of offering price or redemption
proceeds, whichever is lower)

None(2)

1.00%(3)

None

 

               

Annual Fund Operating Expenses

 

(Expenses that you pay each year as a percentage of the value of your investment)

 

Class

A

 C

F

F3

 I

 P

 

Management Fees(4)

0.10%

0.10%

0.10%

0.10%

0.10%

0.10%

 

Distribution and Service (12b-1) Fees

0.25%

1.00%

0.10%

None

None

0.45%

 

Other Expenses

0.19%

0.19%

0.19%

0.11%

0.19%

0.19%

 

Acquired Fund Fees and Expenses

0.92%

0.92%

0.92%

0.92%

0.92%

0.92%

 

Total Annual Fund Operating Expenses

1.46%

2.21%

1.31%

1.13%

1.21%

1.66%

 

PROSPECTUS – Alpha Strategy Fund

3


             

Annual Fund Operating Expenses (continued)

 

(Expenses that you pay each year as a percentage of the value of your investment)

 

Class

R2

R3

R4

R5

R6

 

Management Fees(4)

0.10%

0.10%

0.10%

0.10%

0.10%

 

Distribution and Service (12b-1) Fees

0.60%

0.50%

0.25%

None

None

 

Other Expenses

0.19%

0.19%

0.19%

0.19%

0.11%

 

Acquired Fund Fees and Expenses

0.92%

0.92%

0.92%

0.92%

0.92%

 

Total Annual Fund Operating Expenses

1.81%

1.71%

1.46%

1.21%

1.13%

 

   

(1)

A shareholder transacting in share classes without a front-end sales charge may be required to pay a commission to its financial intermediary. Please contact your financial intermediary for more information about whether such a commission may apply to your transaction.

(2)

A contingent deferred sales charge (“CDSC”) of 1.00% may be assessed on certain Class A shares purchased or acquired without a sales charge if they are redeemed before the first day of the month in which the one-year anniversary of the purchase falls.

(3)

A CDSC of 1.00% may be assessed on Class C shares if they are redeemed before the first anniversary of their purchase.

(4)

Lord, Abbett & Co. LLC (“Lord Abbett”) presently is waiving the Fund’s entire management fee on a voluntary basis. This voluntary management fee waiver may be discontinued at any time without notice.

Example

This Example is intended to help you compare the cost of investing in the Fund with the cost of investing in other mutual funds. The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem all of your shares at the end of those periods. The Example also assumes that your investment has a 5% return each year and that the Fund’s operating expenses remain the same. Class C shares automatically convert to Class A shares after eight years. The expense example for Class C shares for the ten-year period reflects the conversion to Class A shares. Although your actual costs may be higher or lower, based on these assumptions your costs would be:

                                   

Class

If Shares Are Redeemed

If Shares Are Not Redeemed

 

 

1 Year

3 Years

5 Years

10 Years

1 Year

3 Years

5 Years

10 Years

 

Class A Shares

$

715

$

1,010

$

1,327

$

2,221

$

715

$

1,010

$

1,327

$

2,221

 

Class C Shares

$

324

$

691

$

1,185

$

2,355

$

224

$

691

$

1,185

$

2,355

 

Class F Shares

$

133

$

415

$

718

$

1,579

$

133

$

415

$

718

$

1,579

 

Class F3 Shares

$

115

$

359

$

622

$

1,375

$

115

$

359

$

622

$

1,375

 

Class I Shares

$

123

$

384

$

665

$

1,466

$

123

$

384

$

665

$

1,466

 

Class P Shares

$

169

$

523

$

902

$

1,965

$

169

$

523

$

902

$

1,965

 

Class R2 Shares

$

184

$

569

$

980

$

2,127

$

184

$

569

$

980

$

2,127

 

Class R3 Shares

$

174

$

539

$

928

$

2,019

$

174

$

539

$

928

$

2,019

 

Class R4 Shares

$

149

$

462

$

797

$

1,746

$

149

$

462

$

797

$

1,746

 

Class R5 Shares

$

123

$

384

$

665

$

1,466

$

123

$

384

$

665

$

1,466

 

Class R6 Shares

$

115

$

359

$

622

$

1,375

$

115

$

359

$

622

$

1,375

 

PROSPECTUS – Alpha Strategy Fund

4


Portfolio Turnover. The Fund pays transaction costs, such as commissions, when it buys and sells securities (or “turns over” its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account. These costs, which are not reflected in the annual fund operating expenses or in the example, affect the Fund’s performance. During the most recent fiscal year, the Fund’s portfolio turnover rate was 4% of the average value of its portfolio.

PRINCIPAL INVESTMENT STRATEGIES

The Fund is a “fund of funds” that invests in affiliated mutual funds (the “underlying funds”) managed by Lord Abbett. Under normal conditions, through the underlying funds, the Fund indirectly invests in the equity securities of U.S. and foreign micro-cap, small, and mid-sized companies. The Fund uses a “blend” strategy to gain investment exposure to both growth and value stocks, or to stocks with characteristics of both.

Equity securities in which an underlying fund may invest include common stocks, preferred stocks, equity interests in trusts (including real estate investment trusts and privately offered trusts), partnerships, joint ventures, limited liability companies and vehicles with similar legal structures, and other instruments with similar economic characteristics.

Securities of foreign companies include emerging market companies, American Depositary Receipts (“ADRs”), and other similar depositary receipts. In addition to ADRs, the Fund generally defines foreign companies as those whose securities are traded primarily on non-U.S. securities exchanges.

In addition to investing in the underlying funds, the Fund may invest directly in any type of derivative as part of its investment strategies or for risk management purposes. Currently, the Fund may invest in derivatives consisting principally of futures, forwards, options, and swaps. To the extent that the Fund invests directly in derivatives, the Fund intends to do so primarily for non-hedging purposes. The market value of the Fund’s directly held positions in derivatives, determined at the time of the most recent position established, will not exceed 50% of the Fund’s net assets. The Fund currently expects, however, that the market value of such instruments, determined at the time of the most recent position established, will not exceed 35% of the Fund’s net assets under normal conditions. These percentage limitations exclude Fund assets indirectly invested in derivatives through the underlying funds.

The Fund’s portfolio management team generally employs a bottom-up investment approach emphasizing long-term value. The investment team may also consider the risks and return potential presented by environmental, social, and governance (“ESG”) factors in investment decisions. The Fund may sell or reallocate its investments among the underlying funds for a variety of reasons, such as to secure gains, limit losses, redeploy assets, increase cash, or satisfy redemption requests, among others. The Fund may deviate from the investment strategy described above

PROSPECTUS – Alpha Strategy Fund

5


for temporary defensive purposes. The Fund may miss certain investment opportunities if defensive strategies are used and thus may not achieve its investment objective.

PRINCIPAL RISKS

As with any investment in a mutual fund, investing in the Fund involves risk, including the risk that you may receive little or no return on your investment. When you redeem your shares, they may be worth more or less than what you paid for them, which means that you may lose a portion or all of the money you invested in the Fund. The principal risks of investing in the Fund also are the principal risks of investing in the underlying funds. These risks, which could adversely affect the Fund’s performance, include:

· Underlying Funds Risk: The assets of the Fund are invested principally in the underlying funds. As a result, the investment performance of the Fund is directly related to the investment performance of the underlying funds in which it invests. The Fund is exposed to the same risks as the underlying funds in direct proportion to the allocation of its assets among the underlying funds. To the extent that the Fund invests a significant portion of its assets in a single underlying fund it may be more susceptible to risks associated with that fund and its investments. It is possible that the holdings of underlying funds may contain securities of the same issuers, thereby increasing the Fund’s exposure to such issuers. There can be no assurance that the investment objective of any underlying fund will be achieved. In addition, the Fund’s shareholders will indirectly bear their proportionate share of the underlying funds’ fees and expenses, as well as their proportionate share of the Fund’s fees and expenses.

· Affiliated Underlying Funds Risk: The Fund invests principally in underlying funds advised by Lord Abbett, which presents certain conflicts of interest. Generally, Lord Abbett will receive more revenue from investing in the underlying funds than it would if it invested in unaffiliated funds. In addition, Lord Abbett is subject to conflicts of interest in allocating portfolio assets among the various underlying funds because the fees payable to Lord Abbett by underlying funds differ. Lord Abbett may have an incentive to select underlying funds that will result in the greatest net management fee revenue to Lord Abbett and its affiliates, even if that results in increased expenses for the Fund. In addition, the Fund’s investments in affiliated underlying funds may be beneficial to Lord Abbett in managing the underlying funds, by helping the underlying funds achieve economies of scale or by enhancing cash flows to the underlying funds. If the Fund invests in an underlying fund with higher expenses, the Fund’s performance would be lower than if the Fund had invested in an underlying fund with comparable performance but lower expenses.

· New Underlying Funds Risk: The Fund may invest in underlying funds that are recently organized. There can be no assurance that a new underlying fund will reach or maintain a sufficient asset size to effectively implement its

PROSPECTUS – Alpha Strategy Fund

6


investment strategy. In addition, until the Fund achieves sufficient scale, the Fund may experience proportionally higher expenses than it would experience if it invested in a fund with a larger asset base.

· Portfolio Management Risk: If the strategies used and investments selected by the Fund’s portfolio management team fail to produce the intended result, the Fund may suffer losses or underperform other funds with the same investment objective or strategies, even in a favorable market.

· Market Risk: The market values of securities will fluctuate, sometimes sharply and unpredictably, based on overall economic conditions, governmental actions or intervention, market disruptions caused by trade disputes or other factors, political developments, and other factors. Prices of equity securities tend to rise and fall more dramatically than those of debt securities.

· Equity Securities Risk: Equity securities, as well as equity-like securities such as convertible debt securities, may experience significant volatility. Such securities may fall sharply in response to adverse events affecting overall markets, a particular industry or sector, or an individual company’s financial condition.

· Industry and Sector Risk: Although the Fund does not employ an industry or sector focus, its exposure to specific industries or sectors will increase from time to time based on the portfolio management team’s perception of investment opportunities. If the Fund is overweight in a single industry or sector relative to its benchmark index, the Fund will face an increased risk that the value of its portfolio will decrease because of events disproportionately affecting that industry or sector. Furthermore, investments in particular industries or sectors may be more volatile than the broader market as a whole.

· Micro-Cap, Small, and Mid-Sized Company Risk: Investments in micro-cap, small, and mid-sized companies may involve greater risks than investments in larger, more established companies. Securities of micro-cap, small, and mid-sized companies tend to be more sensitive to changing economic, market, and industry conditions and tend to be more volatile and less liquid than equity securities of larger companies, especially over the short term. The securities of micro-cap, small, and mid-sized companies tend to trade less frequently than those of larger, more established companies, which can adversely affect the pricing of these securities and the ability to sell these securities in the future.

· Blend Style Risk: Growth stocks typically trade at higher multiples of current earnings than other stocks. Growth stocks often are more sensitive to market fluctuations than other securities because their market prices are highly sensitive to future earnings expectations. At times when it appears that these expectations may not be met, prices of growth stocks typically fall. Growth stocks may be more volatile than securities of slower-growing issuers. The prices of value stocks may lag the stock market for long periods of time if the market fails to recognize the company’s intrinsic worth. Value investing also is subject to the

PROSPECTUS – Alpha Strategy Fund

7


risk that a company judged to be undervalued may actually be appropriately priced or even overpriced. A portfolio that combines growth and value styles may diversify these risks and lower its volatility, but there is no assurance this strategy will achieve that result.

· Foreign and Emerging Market Company Risk: Investments in foreign companies and in U.S. companies with economic ties to foreign markets generally involve special risks. These companies may be more vulnerable to economic, political, and social instability and subject to less government supervision, lack of transparency, inadequate regulatory and accounting standards, and foreign taxes. Foreign company securities also include ADRs, which may be less liquid than the underlying shares in their primary trading market. Foreign securities also may subject the Fund’s investments to changes in currency exchange rates. Emerging market securities generally are more volatile than other foreign securities, and are subject to greater liquidity, regulatory, and political risks. Investments in emerging markets may be considered speculative and generally are riskier than investments in more developed markets. Emerging markets are more likely to experience hyperinflation and currency devaluations. Securities of emerging market companies may have far lower trading volumes and less liquidity than securities of issuers in developed markets. Companies with economic ties to emerging markets may be susceptible to the same risks as companies organized in emerging markets.

· Foreign Currency Risk: Investments in securities that are denominated or receiving revenues in foreign currencies are subject to the risk that those currencies will decline in value relative to the U.S. dollar, or, in the case of hedged positions, that the U.S. dollar will decline in value relative to the currency being hedged. Foreign currency exchange rates may fluctuate significantly over short periods of time.

· Derivatives Risk: The risks associated with derivatives may be different from and greater than the risks associated with directly investing in securities and other investments. Derivatives may increase the Fund’s volatility and reduce its returns. Derivatives may not perform as expected and the Fund may not realize the intended benefits. Whether the Fund’s use of derivatives is successful may depend on, among other things, the portfolio managers’ ability to correctly forecast market movements, company and industry valuation levels and trends, changes in foreign exchange and interest rates, and other factors. If the portfolio managers incorrectly forecast these and other factors, the Fund’s performance could suffer. In addition, given their complexity, derivatives are subject to the risk that improper or misunderstood documentation may expose the Fund to losses.

· Liquidity/Redemption Risk: The Fund may lose money when selling securities at inopportune times to fulfill shareholder redemption requests. The risk of loss may increase depending on the size and frequency of redemption requests,

PROSPECTUS – Alpha Strategy Fund

8


whether the redemption requests occur in times of overall market turmoil or declining prices, and whether the securities the Fund intends to sell have decreased in value or are illiquid. The Fund may be less able to sell illiquid securities at its desired time or price. It may be more difficult for the Fund to value its investments in illiquid securities than more liquid securities.

An investment in the Fund is not a deposit of any bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. For more information on the principal risks of the Fund, please see the “More Information About the Funds – Principal Risks” section in the prospectus.

PERFORMANCE

The bar chart and table below provide some indication of the risks of investing in the Fund by illustrating the variability of the Fund’s returns. Each assumes reinvestment of dividends and distributions. The Fund’s past performance, before and after taxes, is not necessarily an indication of how the Fund will perform in the future. No performance is shown for Class P shares because the Fund has no Class P shares outstanding.

The bar chart shows changes in the performance of the Fund’s Class A shares from calendar year to calendar year. This chart does not reflect the sales charge applicable to Class A shares. If the sales charge were reflected, returns would be lower. Performance for the Fund’s other share classes will vary due to the different expenses each class bears. Updated performance information is available at www.lordabbett.com or by calling 888-522-2388.

 

Bar Chart (per calendar year) - Class A Shares

PerformanceBarChartData(14:2.9,15:-1.06,16:9.2,17:20.59,18:-9.44,19:24.82,20:26.08,21:14.94,22:-23.44,23:13.91)

Best Quarter2nd Q 2020+29.50%    Worst Quarter1st Q 2020-28.64%

The table below shows how the Fund’s average annual total returns compare to the returns of securities market indices with investment characteristics similar to those

PROSPECTUS – Alpha Strategy Fund

9


of the Fund as well as to a broad-based securities market index.1 The Fund’s average annual total returns include applicable sales charges.

The after-tax returns of Class A shares included in the table below are calculated using the historical highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes. In some cases, the return after taxes on distributions and sale of Fund shares may exceed the return before taxes due to a tax benefit resulting from realized losses on a sale of Fund shares at the end of the period that is used to offset other gains. Actual after-tax returns depend on an investor’s tax situation and may differ from those shown. The after-tax returns shown are not relevant to investors who hold their Fund shares through tax-advantaged arrangements such as 401(k) plans or Individual Retirement Accounts (“IRAs”). After-tax returns for other share classes are not shown in the table and will vary from those shown for Class A shares.

1The Fund has adopted the S&P 500® Index as its broad-based securities market index.

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Average Annual Total Returns

 

(for the periods ended December 31, 2023)

 

Class

1 Year

5 Years

10 Years

Life of Class

Inception
Date for
Performance

 

Class A Shares

 

 

 

 

 

 

 

Before Taxes

7.38%

8.25%

6.08%

-

 

 

 

After Taxes on Distributions

7.30%

6.54%

3.72%

-

 

 

 

After Taxes on Distributions and Sale of Fund Shares

4.49%

6.35%

4.31%

-

 

 

Class C Shares(1)

12.06%

8.73%

5.91%

-

 

 

Class F Shares

14.07%

9.72%

6.87%

-

 

 

Class F3 Shares

14.29%

9.92%

-

8.15%

4/4/2017

 

Class I Shares

14.15%

9.82%

6.98%

-

 

 

Class R2 Shares

13.52%

9.17%

6.34%

-

 

 

Class R3 Shares

13.60%

9.28%

6.45%

-

 

 

Class R4 Shares

13.89%

9.54%

-

6.65%

6/30/2015

 

Class R5 Shares

14.15%

9.82%

-

6.92%

6/30/2015

 

Class R6 Shares

14.28%

9.91%

-

7.00%

6/30/2015

 

Index

 

 

 

 

 

 

Russell 2000® Index

16.93%

9.97%

7.16%

7.27%

6/30/2015

 

(reflects no deduction for fees, expenses, or taxes)

7.44%

4/4/2017

 

85% Russell 2000® Index / 15% S&P Developed Ex-U.S. SmallCap® Index

16.57%

9.59%

6.89%

7.02%

6/30/2015

 

(reflects no deduction for fees, expenses, or taxes)

7.17%

4/4/2017

 

S&P 500® Index

26.29%

15.69%

12.03%

12.42%

6/30/2015

 

(reflects no deduction for fees, expenses, or taxes)

12.99%

4/4/2017

 

Lipper Average

 

 

 

 

 

 

Lipper Small-Cap Core Category Average

15.67%

10.85%

7.11%

7.40%

6/30/2015

 

(reflects no deduction for sales charges or taxes)

7.50%

4/4/2017

 

 

   

(1)

Class C shares convert to Class A shares eight years after purchase. Class C share performance does not reflect the impact of such conversion to Class A shares.

MANAGEMENT

Investment Adviser. The Fund’s investment adviser is Lord Abbett.

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Portfolio Managers.

   

Portfolio Managers/Title

Member of
the Portfolio
Management
Team Since

Giulio Martini, Partner and Director of Strategic Asset Allocation

2015

Matthew R. DeCicco, Partner and Director of Equities

2022

Jahiz Barlas, Portfolio Manager

2023

PURCHASE AND SALE OF FUND SHARES

The minimum initial and additional amounts shown below vary depending on the class of shares you buy and the type of account. Certain financial intermediaries may impose different restrictions than those described below. For Class I shares, the minimum investment shown below applies to certain types of institutional investors, but does not apply to registered investment advisers or retirement and benefit plans otherwise eligible to invest in Class I shares. Class P shares are closed to substantially all new investors. See “Choosing a Share Class – Investment Minimums” in the prospectus for more information.

       

Investment Minimums — Initial/Additional Investments

Class

A(1) and C

F, F3, P, R2, R3, R4, R5, and R6

I

General and IRAs without Invest-A-Matic Investments

Initial: $1,500
Additional: No minimum

N/A

Initial: $1 million
Additional: No minimum

Invest-A-Matic Accounts(2)

Initial: $250
Additional: $50

N/A

N/A

IRAs, SIMPLE and SEP Accounts with Payroll Deductions

No minimum

N/A

N/A

Fee-Based Advisory Programs and Retirement and Benefit Plans

No minimum

No minimum

No minimum

(1) There is no investment minimum for Class A shares purchased by investors maintaining an account with a financial intermediary that has entered into an agreement with Lord Abbett Distributor LLC (“Lord Abbett Distributor”) to offer Class A shares through a load-waived network or platform, which may or may not charge transaction fees.

(2) There is no minimum initial investment for Invest-A-Matic accounts held directly with the Fund, including IRAs.

You may sell (redeem) shares through your securities broker, financial professional or financial intermediary on any business day the Fund calculates its net asset value (“NAV”). If you have direct account access privileges, you may redeem your shares by contacting the Fund in writing at Lord Abbett Funds Service Center, P.O. Box 534489, Pittsburgh, PA 15253-4489 (regular mail) or Attention: 534489, 500 Ross Street 154-0520, Pittsburgh, PA 15262 (overnight mail), by calling 888-522-2388 or by accessing your account online at www.lordabbett.com.

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OTHER IMPORTANT INFORMATION REGARDING FUND SHARES

For important information about taxes and payments to broker-dealers and other financial intermediaries, please turn to the “Tax Information” and “Payments to Broker-Dealers and Other Financial Intermediaries” sections of the prospectus.

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FUND SUMMARY

Focused Growth Fund

INVESTMENT OBJECTIVE

The Fund’s investment objective is to seek capital appreciation.

FEES AND EXPENSES

This table describes the fees and expenses that you may pay if you buy, hold, and sell shares of the Fund. You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the tables and examples below. You may qualify for sales charge discounts if you and certain members of your family invest, or agree to invest in the future, at least $50,000 in the Lord Abbett Family of Funds. More information about these and other discounts is available from your financial intermediary and in “Sales Charge Reductions and Waivers” on page 230 of the prospectus, Appendix A to the prospectus, titled “Intermediary-Specific Sales Charge Reductions and Waivers,” and “Purchases, Redemptions, Pricing, and Payments to Dealers” on page 9-1 of Part II of the statement of additional information (“SAI”).

           

Shareholder Fees(1) 

(Fees paid directly from your investment)

 

Class

 

A

C

F, F3, I, R2, R3, R4, R5, and R6

 

Maximum Sales Charge (Load) Imposed on Purchases
(as a percentage of offering price)

5.75%

None

None

 

Maximum Deferred Sales Charge (Load)
(as a percentage of offering price or redemption
proceeds, whichever is lower)

None(2)

1.00%(3)

None

 

             

Annual Fund Operating Expenses

 

(Expenses that you pay each year as a percentage of the value of your investment)

 

Class

A

 C

F

F3

 I

 

Management Fees

0.65%

0.65%

0.65%

0.65%

0.65%

 

Distribution and Service (12b-1) Fees

0.25%

1.00%

0.10%

None

None

 

Other Expenses

0.80%

0.80%

0.80%

0.65%

0.80%

 

Total Annual Fund Operating Expenses

1.70%

2.45%

1.55%

1.30%

1.45%

 

Fee Waiver and/or Expense Reimbursement(4)

(0.65)%

(0.65)%

(0.75)%(5)

(0.65)%

(0.65)%

 

Total Annual Fund Operating Expenses After Fee Waiver and/or Expense Reimbursement(4)

1.05%

1.80%

0.80%

0.65%(6)

0.80%

 

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Annual Fund Operating Expenses (continued)

 

(Expenses that you pay each year as a percentage of the value of your investment)

 

Class

R2

R3

R4

R5

R6

 

Management Fees

0.65%

0.65%

0.65%

0.65%

0.65%

 

Distribution and Service (12b-1) Fees

0.60%

0.50%

0.25%

None

None

 

Other Expenses

0.80%

0.80%

0.80%

0.80%

0.65%

 

Total Annual Fund Operating Expenses

2.05%

1.95%

1.70%

1.45%

1.30%

 

Fee Waiver and/or Expense Reimbursement(4)

(0.65)%

(0.65)%

(0.65)%

(0.65)%

(0.65)%

 

Total Annual Fund Operating Expenses After Fee Waiver and/or Expense Reimbursement(4)

1.40%

1.30%

1.05%

0.80%

0.65%(6)

 

   

(1)

A shareholder transacting in share classes without a front-end sales charge may be required to pay a commission to its financial intermediary. Please contact your financial intermediary for more information about whether such a commission may apply to your transaction.

(2)

A contingent deferred sales charge (“CDSC”) of 1.00% may be assessed on certain Class A shares purchased or acquired without a sales charge if they are redeemed before the first day of the month in which the one-year anniversary of the purchase falls.

(3)

A CDSC of 1.00% may be assessed on Class C shares if they are redeemed before the first anniversary of their purchase.

(4)

For the period from March 1, 2024 through February 28, 2025, Lord, Abbett & Co. LLC (“Lord Abbett”) has contractually agreed to waive its fees and reimburse expenses to the extent necessary to limit total net annual operating expenses, excluding any applicable 12b-1 fees, acquired fund fees and expenses, interest-related expenses, taxes, expenses related to litigation and potential litigation, and extraordinary expenses, to an annual rate of 0.65% for each of Class F3 and R6 shares and to an annual rate of 0.80% for each other class. This agreement may be terminated only by the Fund’s Board of Trustees.

(5)

For the period from March 1, 2024 through February 28, 2025, Lord Abbett Distributor LLC (“Lord Abbett Distributor”) has contractually agreed to waive the Fund’s 0.10% Rule 12b-1 fee for Class F shares. This agreement may be terminated only by the Fund’s Board of Trustees.

(6)

These amounts have been updated from fiscal year amounts to reflect current fees and expenses.

Example

This Example is intended to help you compare the cost of investing in the Fund with the cost of investing in other mutual funds. The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem all of your shares at the end of those periods. The Example also assumes that your investment has a 5% return each year and that the Fund’s operating expenses remain the same, giving effect to the fee waiver and expense reimbursement arrangement described above. Class C shares automatically convert to Class A shares after eight years. The expense example for Class C shares for the ten-year period reflects the conversion to Class A shares. Although your actual costs may be higher or lower, based on these assumptions your costs would be:

PROSPECTUS – Focused Growth Fund

15


                                   

Class

If Shares Are Redeemed

If Shares Are Not Redeemed

 

 

1 Year

3 Years

5 Years

10 Years

1 Year

3 Years

5 Years

10 Years

 

Class A Shares

$

676

$

1,020

$

1,387

$

2,417

$

676

$

1,020

$

1,387

$

2,417

 

Class C Shares

$

283

$

702

$

1,247

$

2,551

$

183

$

702

$

1,247

$

2,551

 

Class F Shares

$

82

$

416

$

774

$

1,782

$

82

$

416

$

774

$

1,782

 

Class F3 Shares

$

66

$

348

$

651

$

1,511

$

66

$

348

$

651

$

1,511

 

Class I Shares

$

82

$

395

$

730

$

1,679

$

82

$

395

$

730

$

1,679

 

Class R2 Shares

$

143

$

580

$

1,043

$

2,327

$

143

$

580

$

1,043

$

2,327

 

Class R3 Shares

$

132

$

549

$

992

$

2,222

$

132

$

549

$

992

$

2,222

 

Class R4 Shares

$

107

$

472

$

862

$

1,954

$

107

$

472

$

862

$

1,954

 

Class R5 Shares

$

82

$

395

$

730

$

1,679

$

82

$

395

$

730

$

1,679

 

Class R6 Shares

$

66

$

348

$

651

$

1,511

$

66

$

348

$

651

$

1,511

 

Portfolio Turnover. The Fund pays transaction costs, such as commissions, when it buys and sells securities (or “turns over” its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account. These costs, which are not reflected in the annual fund operating expenses or in the example, affect the Fund’s performance. During the most recent fiscal year, the Fund’s portfolio turnover rate was 169% of the average value of its portfolio.

PRINCIPAL INVESTMENT STRATEGIES

The Fund invests in equity securities of companies that the portfolio management team believes demonstrate above-average, long-term growth potential in all market capitalization ranges. Under normal conditions, the Fund invests at least 50% of its net assets in companies having a market capitalization at the time of purchase that falls within the market capitalization range of companies in the Russell 1000® Index.

Equity securities in which the Fund may invest include common stocks, preferred stocks, equity interests in trusts (including real estate investment trusts and privately offered trusts), partnerships, joint ventures, limited liability companies and vehicles with similar legal structures, other instruments convertible or exercisable into the foregoing, and other investments with similar economic characteristics.

The Fund may invest up to 10% of its net assets in securities of foreign companies, including emerging market companies, American Depositary Receipts (“ADRs”), and other similar depositary receipts. In addition to ADRs, the Fund generally defines foreign companies as those whose securities are traded primarily on non-U.S. securities exchanges. The Fund considers emerging market countries to include countries that are not currently classified as a developed market by Morgan Stanley Capital International (“MSCI”).

The Fund engages in active and frequent trading of its portfolio securities.

The Fund utilizes a focused investment strategy and is non-diversified under the Investment Company Act of 1940, as amended (the “1940 Act”), and may invest a

PROSPECTUS – Focused Growth Fund

16


greater portion of its assets in the securities of a single issuer or in the securities of fewer issuers than a diversified mutual fund.

The investment team may also consider the risks and return potential presented by environmental, social, and governance (“ESG”) factors in investment decisions. The Fund may sell a security when the Fund believes the security is less likely to benefit from the current market and economic environment, or shows signs of deteriorating fundamentals, among other reasons. The Fund may deviate from the investment strategy described above for temporary defensive purposes. The Fund may miss certain investment opportunities if defensive strategies are used and thus may not achieve its investment objective.

PRINCIPAL RISKS

As with any investment in a mutual fund, investing in the Fund involves risk, including the risk that you may receive little or no return on your investment. When you redeem your shares, they may be worth more or less than what you paid for them, which means that you may lose a portion or all of the money you invested in the Fund. The principal risks of investing in the Fund, which could adversely affect its performance, include:

· Portfolio Management Risk: If the strategies used and investments selected by the Fund’s portfolio management team fail to produce the intended result, the Fund may suffer losses or underperform other funds with the same investment objective or strategies, even in a favorable market.

· Market Risk: The market values of securities will fluctuate, sometimes sharply and unpredictably, based on overall economic conditions, governmental actions or intervention, market disruptions caused by trade disputes or other factors, political developments, and other factors. Prices of equity securities tend to rise and fall more dramatically than those of debt securities.

· Equity Securities Risk: Equity securities, as well as equity-like securities such as convertible debt securities, may experience significant volatility. Such securities may fall sharply in response to adverse events affecting overall markets, a particular industry or sector, or an individual company’s financial condition.

· Industry and Sector Risk: Although the Fund does not employ an industry or sector focus, its exposure to specific industries or sectors will increase from time to time based on the portfolio management team’s perception of investment opportunities. If the Fund is overweight in a single industry or sector relative to its benchmark index, the Fund will face an increased risk that the value of its portfolio will decrease because of events disproportionately affecting that industry or sector. Furthermore, investments in particular industries or sectors may be more volatile than the broader market as a whole.

· Focused Investing Risk: To the extent that the Fund invests its assets in the securities of a small number of issuers, the Fund will be subject to greater

PROSPECTUS – Focused Growth Fund

17


volatility with respect to its investments than a fund that invests in the securities of a larger number of issuers.

· Growth Investing Risk: Growth stocks typically trade at higher multiples of current earnings as compared to other stocks, which may lead to inflated prices. Growth stocks often are more sensitive to market fluctuations than other securities because their market prices are highly sensitive to future earnings expectations. At times when it appears that these expectations may not be met, prices of growth stocks typically fall. Growth stocks may be more volatile than securities of slower-growing issuers.

· Large Company Risk: Larger, more established companies may be less able to respond quickly to certain market developments. In addition, larger companies may have slower rates of growth as compared to successful, but less well-established, smaller companies.

· Mid-Sized and Small Company Risk: Investments in mid-sized and small companies may involve greater risks than investments in larger, more established companies. Securities of mid-sized and small companies tend to be more sensitive to changing economic, market, and industry conditions and tend to be more volatile and less liquid than equity securities of larger companies, especially over the short term. The securities of mid-sized and small companies tend to trade less frequently than those of larger, more established companies, which can adversely affect the pricing of these securities and the ability to sell these securities in the future.

· Foreign and Emerging Market Company Risk: Investments in foreign companies and in U.S. companies with economic ties to foreign markets generally involve special risks. These companies may be more vulnerable to economic, political, and social instability and subject to less government supervision, lack of transparency, inadequate regulatory and accounting standards, and foreign taxes. Foreign company securities also include ADRs, which may be less liquid than the underlying shares in their primary trading market. Foreign securities also may subject the Fund’s investments to changes in currency exchange rates. Emerging market securities generally are more volatile than other foreign securities, and are subject to greater liquidity, regulatory, and political risks. Investments in emerging markets may be considered speculative and generally are riskier than investments in more developed markets. Emerging markets are more likely to experience hyperinflation and currency devaluations. Securities of emerging market companies may have far lower trading volumes and less liquidity than securities of issuers in developed markets. Companies with economic ties to emerging markets may be susceptible to the same risks as companies organized in emerging markets.

· Non-Diversification Risk: The Fund is a non-diversified mutual fund under the 1940 Act. This means that the Fund may invest a greater portion of its assets in,

PROSPECTUS – Focused Growth Fund

18


and own a greater amount of the voting securities of, a single issuer or guarantor than a diversified fund. As a result, the value of the Fund’s investments may be more adversely affected by a single economic, political or regulatory event than the value of the investments of a diversified mutual fund.

· Liquidity/Redemption Risk: The Fund may lose money when selling securities at inopportune times to fulfill shareholder redemption requests. The risk of loss may increase depending on the size and frequency of redemption requests, whether the redemption requests occur in times of overall market turmoil or declining prices, and whether the securities the Fund intends to sell have decreased in value or are illiquid. The Fund may be less able to sell illiquid securities at its desired time or price. It may be more difficult for the Fund to value its investments in illiquid securities than more liquid securities.

· High Portfolio Turnover Risk: High portfolio turnover may result in increased transaction costs, reduced investment performance, and higher taxes resulting from increased realized capital gains, including short-term capital gains taxable as ordinary income when distributed to shareholders.

An investment in the Fund is not a deposit of any bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. For more information on the principal risks of the Fund, please see the “More Information About the Funds – Principal Risks” section in the prospectus.

PERFORMANCE

The bar chart and table below provide some indication of the risks of investing in the Fund by illustrating the variability of the Fund’s returns. Each assumes reinvestment of dividends and distributions. The Fund’s past performance, before and after taxes, is not necessarily an indication of how the Fund will perform in the future. No performance is shown for Class R2 shares because the Fund has no Class R2 shares outstanding.

The bar chart shows changes in the performance of the Fund’s Class A shares from calendar year to calendar year. This chart does not reflect the sales charge applicable to Class A shares. If the sales charge were reflected, returns would be lower. Performance for the Fund’s other share classes will vary due to the different expenses each class bears. Updated performance information is available at www.lordabbett.com or by calling 888-522-2388.

PROSPECTUS – Focused Growth Fund

19


 

Bar Chart (per calendar year) - Class A Shares

PerformanceBarChartData(20:86.1,21:12.94,22:-39.06,23:33.8)

Best Quarter2nd Q 2020+41.99%    Worst Quarter2nd Q 2022-24.49%

The table below shows how the Fund’s average annual total returns compare to the returns of a securities market index with investment characteristics similar to those of the Fund as well as to a broad-based securities market index.1 The Fund’s average annual total returns include applicable sales charges.

The after-tax returns of Class A shares included in the table below are calculated using the historical highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes. In some cases, the return after taxes on distributions and sale of Fund shares may exceed the return before taxes due to a tax benefit resulting from realized losses on a sale of Fund shares at the end of the period that is used to offset other gains. Actual after-tax returns depend on an investor’s tax situation and may differ from those shown. The after-tax returns shown are not relevant to investors who hold their Fund shares through tax-advantaged arrangements such as 401(k) plans or Individual Retirement Accounts (“IRAs”). After-tax returns for other share classes are not shown in the table and will vary from those shown for Class A shares.

1 The Fund as adopted the S&P 500® Index as its broad-based securities market index.

PROSPECTUS – Focused Growth Fund

20


           

Average Annual Total Returns

 

(for the periods ended December 31, 2023)

 

Class

1 Year

Life of Class

Inception
Date for
Performance

 

Class A Shares

 

 

1/31/2019

 

 

Before Taxes

26.10%

13.55%

 

 

 

After Taxes on Distributions

26.10%

11.81%

 

 

 

After Taxes on Distributions and Sale of Fund Shares

15.45%

10.34%

 

 

Class C Shares(1)

31.82%

14.09%

1/31/2019

 

Class F Shares

34.12%

15.23%

1/31/2019

 

Class F3 Shares

34.28%

15.33%

1/31/2019

 

Class I Shares

34.10%

15.24%

1/31/2019

 

Class R3 Shares

33.48%

14.67%

1/31/2019

 

Class R4 Shares

33.78%

14.95%

1/31/2019

 

Class R5 Shares

34.17%

15.24%

1/31/2019

 

Class R6 Shares

34.28%

15.33%

1/31/2019

 

Index

 

 

 

 

Russell 1000® Growth Index

42.68%

17.79%

1/31/2019

 

(reflects no deduction for fees, expenses, or taxes)

 

S&P 500® Index

26.29%

14.17%

1/31/2019

 

(reflects no deduction for fees, expenses, or taxes)

 

 

   

(1)

Class C shares convert to Class A shares eight years after purchase. Class C share performance does not reflect the impact of such conversion to Class A shares.

MANAGEMENT

Investment Adviser. The Fund’s investment adviser is Lord Abbett.

Portfolio Managers.

   

Portfolio Managers/Title

Member of
the Portfolio
Management
Team Since

F. Thomas O’Halloran, Partner and Portfolio Manager

2019

Vernon T. Bice, Portfolio Manager

2019

Matthew R. DeCicco, Partner and Director of Equities

2019

PROSPECTUS – Focused Growth Fund

21


PURCHASE AND SALE OF FUND SHARES

The minimum initial and additional amounts shown below vary depending on the class of shares you buy and the type of account. Certain financial intermediaries may impose different restrictions than those described below. For Class I shares, the minimum investment shown below applies to certain types of institutional investors, but does not apply to registered investment advisers or retirement and benefit plans otherwise eligible to invest in Class I shares. See “Choosing a Share Class – Investment Minimums” in the prospectus for more information.

       

Investment Minimums — Initial/Additional Investments

Class

A(1) and C

F, F3, R2, R3, R4, R5, and R6

I

General and IRAs without Invest-A-Matic Investments

Initial: $1,500
Additional: No minimum

N/A

Initial: $1 million
Additional: No minimum

Invest-A-Matic Accounts(2)

Initial: $250
Additional: $50

N/A

N/A

IRAs, SIMPLE and SEP Accounts with Payroll Deductions

No minimum

N/A

N/A

Fee-Based Advisory Programs and Retirement and Benefit Plans

No minimum

No minimum

No minimum

(1) There is no investment minimum for Class A shares purchased by investors maintaining an account with a financial intermediary that has entered into an agreement with Lord Abbett Distributor to offer Class A shares through a load-waived network or platform, which may or may not charge transaction fees.

(2) There is no minimum initial investment for Invest-A-Matic accounts held directly with the Fund, including IRAs.

You may sell (redeem) shares through your securities broker, financial professional or financial intermediary on any business day the Fund calculates its net asset value (“NAV”). If you have direct account access privileges, you may redeem your shares by contacting the Fund in writing at Lord Abbett Funds Service Center, P.O. Box 534489, Pittsburgh, PA 15253-4489 (regular mail) or Attention: 534489, 500 Ross Street 154-0520, Pittsburgh, PA 15262 (overnight mail), by calling 888-522-2388 or by accessing your account online at www.lordabbett.com.

OTHER IMPORTANT INFORMATION REGARDING FUND SHARES

For important information about taxes and payments to broker-dealers and other financial intermediaries, please turn to the “Tax Information” and “Payments to Broker-Dealers and Other Financial Intermediaries” sections of the prospectus.

PROSPECTUS – Focused Growth Fund

22


 

FUND SUMMARY

Focused Large Cap Value Fund

INVESTMENT OBJECTIVE

The Fund’s investment objective is to seek long-term capital appreciation.

FEES AND EXPENSES

This table describes the fees and expenses that you may pay if you buy, hold, and sell shares of the Fund. You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the tables and examples below. You may qualify for sales charge discounts if you and certain members of your family invest, or agree to invest in the future, at least $50,000 in the Lord Abbett Family of Funds. More information about these and other discounts is available from your financial intermediary and in “Sales Charge Reductions and Waivers” on page 230 of the prospectus, Appendix A to the prospectus, titled “Intermediary-Specific Sales Charge Reductions and Waivers,” and “Purchases, Redemptions, Pricing, and Payments to Dealers” on page 9-1 of Part II of the statement of additional information (“SAI”).

           

Shareholder Fees(1) 

(Fees paid directly from your investment)

 

Class

 

A

C

F, F3, I, R2, R3, R4, R5, and R6

 

Maximum Sales Charge (Load) Imposed on Purchases
(as a percentage of offering price)

5.75%

None

None

 

Maximum Deferred Sales Charge (Load)
(as a percentage of offering price or redemption
proceeds, whichever is lower)

None(2)

1.00%(3)

None

 

             

Annual Fund Operating Expenses

 

(Expenses that you pay each year as a percentage of the value of your investment)

 

Class

A

 C

F

F3

 I

 

Management Fees

0.59%

0.59%

0.59%

0.59%

0.59%

 

Distribution and Service (12b-1) Fees

0.25%

1.00%

0.10%

None

None

 

Other Expenses

1.08%

1.08%

1.08%

1.04%

1.08%

 

Total Annual Fund Operating Expenses

1.92%

2.67%(4)

1.77%(4)

1.63%

1.67%(4)

 

Fee Waiver and/or Expense Reimbursement(5)

(0.96)%

(0.96)%

(1.06)%(6)

(0.96)%

(0.96)%

 

Total Annual Fund Operating Expenses After Fee Waiver and/or Expense Reimbursement(5)

0.96%

1.71%

0.71%

0.67%(4)

0.71%

 

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23


             

Annual Fund Operating Expenses (continued)

 

(Expenses that you pay each year as a percentage of the value of your investment)

 

Class

R2

R3

R4

R5

R6

 

Management Fees

0.59%

0.59%

0.59%

0.59%

0.59%

 

Distribution and Service (12b-1) Fees

0.60%

0.50%

0.25%

None

None

 

Other Expenses

1.08%

1.08%

1.08%

1.08%

1.04%

 

Total Annual Fund Operating Expenses

2.27%

2.17%(4)

1.92%

1.67%

1.63%

 

Fee Waiver and/or Expense Reimbursement(5)

(0.96)%

(0.96)%

(0.96)%

(0.96)%

(0.96)%

 

Total Annual Fund Operating Expenses After Fee Waiver and/or Expense Reimbursement(5)

1.31%

1.21%

0.96%

0.71%

0.67%(4)

 

   

(1)

A shareholder transacting in share classes without a front-end sales charge may be required to pay a commission to its financial intermediary. Please contact your financial intermediary for more information about whether such a commission may apply to your transaction.

(2)

A contingent deferred sales charge (“CDSC”) of 1.00% may be assessed on certain Class A shares purchased or acquired without a sales charge if they are redeemed before the first day of the month in which the one-year anniversary of the purchase falls.

(3)

A CDSC of 1.00% may be assessed on Class C shares if they are redeemed before the first anniversary of their purchase.

(4)

These amounts have been updated from fiscal year amounts to reflect current fees and expenses.

(5)

For the period from March 1, 2024 through February 28, 2025, Lord, Abbett & Co. LLC (“Lord Abbett”) has contractually agreed to waive its fees and reimburse expenses to the extent necessary to limit total net annual operating expenses, excluding any applicable 12b-1 fees, acquired fund fees and expenses, interest-related expenses, taxes, expenses related to litigation and potential litigation, and extraordinary expenses, to an annual rate of 0.67% for each of Class F3 and R6 shares and to an annual rate of 0.71% for each other class. This agreement may be terminated only by the Fund’s Board of Trustees.

(6)

For the period from March 1, 2024 through February 28, 2025, Lord Abbett Distributor LLC (“Lord Abbett Distributor”) has contractually agreed to waive the Fund’s 0.10% Rule 12b-1 fee for Class F shares. This agreement may be terminated only by the Fund’s Board of Trustees.

Example

This Example is intended to help you compare the cost of investing in the Fund with the cost of investing in other mutual funds. The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem all of your shares at the end of those periods. The Example also assumes that your investment has a 5% return each year and that the Fund’s operating expenses remain the same, giving effect to the fee waiver and expense reimbursement arrangement described above. Class C shares automatically convert to Class A shares after eight years. The expense example for Class C shares for the ten-year period reflects the conversion to Class A shares. Although your actual costs may be higher or lower, based on these assumptions your costs would be:

PROSPECTUS – Focused Large Cap Value Fund

24


                                   

Class

If Shares Are Redeemed

If Shares Are Not Redeemed

 

 

1 Year

3 Years

5 Years

10 Years

1 Year

3 Years

5 Years

10 Years

 

Class A Shares

$

667

$

1,056

$

1,468

$

2,616

$

667

$

1,056

$

1,468

$

2,616

 

Class C Shares

$

274

$

738

$

1,329

$

2,749

$

174

$

738

$

1,329

$

2,749

 

Class F Shares

$

73

$

454

$

860

$

1,996

$

73

$

454

$

860

$

1,996

 

Class F3 Shares

$

68

$

420

$

796

$

1,852

$

68

$

420

$

796

$

1,852

 

Class I Shares

$

73

$

433

$

817

$

1,896

$

73

$

433

$

817

$

1,896

 

Class R2 Shares

$

133

$

617

$

1,128

$

2,531

$

133

$

617

$

1,128

$

2,531

 

Class R3 Shares

$

123

$

587

$

1,076

$

2,428

$

123

$

587

$

1,076

$

2,428

 

Class R4 Shares

$

98

$

510

$

948

$

2,165

$

98

$

510

$

948

$

2,165

 

Class R5 Shares

$

73

$

433

$

817

$

1,896

$

73

$

433

$

817

$

1,896

 

Class R6 Shares

$

68

$

420

$

796

$

1,852

$

68

$

420

$

796

$

1,852

 

Portfolio Turnover. The Fund pays transaction costs, such as commissions, when it buys and sells securities (or “turns over” its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account. These costs, which are not reflected in the annual fund operating expenses or in the example, affect the Fund’s performance. During the most recent fiscal year, the Fund’s portfolio turnover rate was 61% of the average value of its portfolio.

PRINCIPAL INVESTMENT STRATEGIES

Under normal conditions, the Fund invests at least 80% of its net assets, plus the amount of any borrowings for investment purposes, in securities of large companies. A large company is defined as a company having a market capitalization at the time of purchase that falls within the market capitalization range of companies in the Russell 1000® Index. The Fund seeks to invest in securities of companies that the portfolio management team believes are undervalued by the market and are selling at reasonable prices in relation to the portfolio management team’s assessment of their potential or intrinsic value.

Equity securities in which the Fund may invest include common stocks, preferred stocks, equity interests in trusts (including real estate investment trusts and privately offered trusts), partnerships, joint ventures, limited liability companies and vehicles with similar legal structures, other instruments convertible or exercisable into the foregoing, and other investments with similar economic characteristics.

The Fund also may invest up to 10% of its net assets in debt securities. This limit does not apply to the Fund’s investment in convertible debt securities. The Fund may invest in debt securities of any credit quality, maturity, or duration.

The Fund may invest up to 20% of its net assets in securities of foreign companies, including emerging market companies, American Depositary Receipts (“ADRs”), and other similar depositary receipts. In addition to ADRs, the Fund generally

PROSPECTUS – Focused Large Cap Value Fund

25


defines foreign companies as those whose securities are traded primarily on non-U.S. securities exchanges.

The Fund engages in active and frequent trading of its portfolio securities.

The Fund utilizes a focused investment strategy and is non-diversified under the Investment Company Act of 1940, as amended (the “1940 Act”). That means that the Fund may invest a greater portion of its assets in the securities of a single issuer or in the securities of fewer issuers than a diversified mutual fund.

The investment team may also consider the risks and return potential presented by environmental, social, and governance (“ESG”) factors in investment decisions. The Fund may sell a security when the Fund believes the security is less likely to benefit from the current market and economic environment, or shows signs of deteriorating fundamentals, among other reasons. The Fund may deviate from the investment strategy described above for temporary defensive purposes. The Fund may miss certain investment opportunities if defensive strategies are used and thus may not achieve its investment objective.

PRINCIPAL RISKS

As with any investment in a mutual fund, investing in the Fund involves risk, including the risk that you may receive little or no return on your investment. When you redeem your shares, they may be worth more or less than what you paid for them, which means that you may lose a portion or all of the money you invested in the Fund. The principal risks of investing in the Fund, which could adversely affect its performance, include:

· Portfolio Management Risk: If the strategies used and investments selected by the Fund’s portfolio management team fail to produce the intended result, the Fund may suffer losses or underperform other funds with the same investment objective or strategies, even in a favorable market.

· Market Risk: The market values of securities will fluctuate, sometimes sharply and unpredictably, based on overall economic conditions, governmental actions or intervention, market disruptions caused by trade disputes or other factors, political developments, and other factors. Prices of equity securities tend to rise and fall more dramatically than those of debt securities.

· Equity Securities Risk: Equity securities, as well as equity-like securities such as convertible debt securities, may experience significant volatility. Such securities may fall sharply in response to adverse events affecting overall markets, a particular industry or sector, or an individual company’s financial condition.

· Industry and Sector Risk: Although the Fund does not employ an industry or sector focus, its exposure to specific industries or sectors will increase from time to time based on the portfolio management team’s perception of investment opportunities. If the Fund is overweight in a single industry or sector relative to

PROSPECTUS – Focused Large Cap Value Fund

26


its benchmark index, the Fund will face an increased risk that the value of its portfolio will decrease because of events disproportionately affecting that industry or sector. Furthermore, investments in particular industries or sectors may be more volatile than the broader market as a whole.

· Focused Investing Risk: To the extent that the Fund invests its assets in the securities of a small number of issuers, the Fund will be subject to greater volatility with respect to its investments than a fund that invests in the securities of a larger number of issuers.

· Real Estate Risk: An investment in a real estate investment trust (“REIT”) generally is subject to the risks that impact the value of the underlying properties or mortgages of the REIT. These risks include loss to casualty or condemnation, and changes in supply and demand, interest rates, zoning laws, regulatory limitations on rents, property taxes, and operating expenses. Other factors that may adversely affect REITs include poor performance by management of the REIT, changes to the tax laws, or failure by the REIT to qualify for favorable tax treatment under the Internal Revenue Code of 1986, as amended (the “Code”), and changes in local, regional, or general economic conditions.

· Large Company Risk: Larger, more established companies may be less able to respond quickly to certain market developments. In addition, larger companies may have slower rates of growth as compared to successful, but less well-established, smaller companies.

· Value Investing Risk: The prices of value stocks may lag the stock market for long periods of time if the market fails to recognize the company’s intrinsic worth. Value investing also is subject to the risk that a company judged to be undervalued may actually be appropriately priced or even overpriced.

· Foreign and Emerging Market Company Risk: Investments in foreign companies and in U.S. companies with economic ties to foreign markets generally involve special risks. These companies may be more vulnerable to economic, political, and social instability and subject to less government supervision, lack of transparency, inadequate regulatory and accounting standards, and foreign taxes. Foreign company securities also include ADRs, which may be less liquid than the underlying shares in their primary trading market. Foreign securities also may subject the Fund’s investments to changes in currency exchange rates. Emerging market securities generally are more volatile than other foreign securities, and are subject to greater liquidity, regulatory, and political risks. Investments in emerging markets may be considered speculative and generally are riskier than investments in more developed markets. Emerging markets are more likely to experience hyperinflation and currency devaluations. Securities of emerging market companies may have far lower trading volumes and less liquidity than securities of issuers in developed markets. Companies with economic ties to emerging

PROSPECTUS – Focused Large Cap Value Fund

27


markets may be susceptible to the same risks as companies organized in emerging markets.

· Fixed Income Securities Risk: The Fund is subject to the general risks and considerations associated with investing in debt securities, including the risk that issuers will fail to make timely payments of principal or interest or default altogether. Lower-rated securities in which the Fund may invest may be more volatile and may decline more in price in response to negative issuer developments or general economic news than higher rated securities. In addition, as interest rates rise, the Fund’s investments typically will lose value.

· High Yield Securities Risk: High yield securities (commonly referred to as “junk” bonds) typically pay a higher yield than investment grade securities, but may have greater price fluctuations and have a higher risk of default than investment grade securities. The market for high yield securities may be less liquid due to such factors as interest rate sensitivity, negative perceptions of the junk bond markets generally, and less secondary market liquidity. This may make such securities more difficult to sell at an acceptable price, especially during periods of financial distress, increased market volatility, or significant market decline.

· Credit Risk: Debt securities are subject to the risk that the issuer or guarantor of a security may not make interest and principal payments as they become due or may default altogether. In addition, if the market perceives a deterioration in the creditworthiness of an issuer, the value and liquidity of securities issued by that issuer may decline. To the extent that the Fund holds below investment grade securities, these risks may be heightened. Insured debt securities have the credit risk of the insurer in addition to the credit risk of the underlying investment being insured.

· Interest Rate Risk: As interest rates rise, prices of bonds (including tax-exempt bonds) generally fall, typically causing the Fund’s investments to lose value. Additionally, rising interest rates or lack of market participants may lead to decreased liquidity in fixed income markets. Interest rate changes generally have a more pronounced effect on the market value of fixed-rate instruments, such as corporate bonds, than they have on floating rate instruments, and typically have a greater effect on the price of fixed income securities with longer durations. A wide variety of market factors can cause interest rates to rise, including central bank monetary policy, rising inflation, and changes in general economic conditions.

· Convertible Securities Risk: Convertible securities are subject to the risks affecting both equity and fixed income securities, including market, credit, liquidity, and interest rate risk. Convertible securities tend to be more volatile than other fixed income securities, and the markets for convertible securities may be less liquid than markets for common stocks or bonds. A significant

PROSPECTUS – Focused Large Cap Value Fund

28


portion of convertible securities have below investment grade credit ratings and are subject to increased credit and liquidity risks.

· Non-Diversification Risk: The Fund is a non-diversified mutual fund under the 1940 Act. This means that the Fund may invest a greater portion of its assets in, and own a greater amount of the voting securities of, a single issuer or guarantor than a diversified fund. As a result, the value of the Fund’s investments may be more adversely affected by a single economic, political or regulatory event than the value of the investments of a diversified mutual fund.

· Liquidity/Redemption Risk: The Fund may lose money when selling securities at inopportune times to fulfill shareholder redemption requests. The risk of loss may increase depending on the size and frequency of redemption requests, whether the redemption requests occur in times of overall market turmoil or declining prices, and whether the securities the Fund intends to sell have decreased in value or are illiquid. The Fund may be less able to sell illiquid securities at its desired time or price. It may be more difficult for the Fund to value its investments in illiquid securities than more liquid securities.

· High Portfolio Turnover Risk: High portfolio turnover may result in increased transaction costs, reduced investment performance, and higher taxes resulting from increased realized capital gains, including short-term capital gains taxable as ordinary income when distributed to shareholders.

An investment in the Fund is not a deposit of any bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. For more information on the principal risks of the Fund, please see the “More Information About the Funds – Principal Risks” section in the prospectus.

PERFORMANCE

The bar chart and table below provide some indication of the risks of investing in the Fund by illustrating the variability of the Fund’s returns. Each assumes reinvestment of dividends and distributions. The Fund’s past performance, before and after taxes, is not necessarily an indication of how the Fund will perform in the future. No performance is shown for Class R2 shares because the Fund has no Class R2 shares outstanding.

The bar chart shows changes in the performance of the Fund’s Class A shares from calendar year to calendar year. This chart does not reflect the sales charge applicable to Class A shares. If the sales charge were reflected, returns would be lower. Performance for the Fund’s other share classes will vary due to the different expenses each class bears. Updated performance information is available at www.lordabbett.com or by calling 888-522-2388.

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29


 

Bar Chart (per calendar year) - Class A Shares

PerformanceBarChartData(20:4.61,21:27.77,22:-10.35,23:14.06)

Best Quarter2nd Q 2020+28.97%    Worst Quarter1st Q 2020-36.16%

The table below shows how the Fund’s average annual total returns compare to the returns of a securities market index with investment characteristics similar to those of the Fund as well as to a broad-based securities maket index.1 The Fund’s average annual total returns include applicable sales charges.

The after-tax returns of Class A shares included in the table below are calculated using the historical highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes. In some cases, the return after taxes on distributions and sale of Fund shares may exceed the return before taxes due to a tax benefit resulting from realized losses on a sale of Fund shares at the end of the period that is used to offset other gains. Actual after-tax returns depend on an investor’s tax situation and may differ from those shown. The after-tax returns shown are not relevant to investors who hold their Fund shares through tax-advantaged arrangements such as 401(k) plans or Individual Retirement Accounts (“IRAs”). After-tax returns for other share classes are not shown in the table and will vary from those shown for Class A shares.

1 The Fund has adopted the S&P 500® Index as its broad-based securities market index.

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30


           

Average Annual Total Returns

 

(for the periods ended December 31, 2023)

 

Class

1 Year

Life of Class

Inception
Date for
Performance

 

Class A Shares

 

 

7/31/2019

 

 

Before Taxes

7.50%

7.09%

 

 

 

After Taxes on Distributions

7.50%

4.47%

 

 

 

After Taxes on Distributions and Sale of Fund Shares

4.44%

4.55%

 

 

Class C Shares(1)

12.24%

7.73%

7/31/2019

 

Class F Shares

14.30%

8.79%

7/31/2019

 

Class F3 Shares

14.33%

8.80%

7/31/2019

 

Class I Shares

14.33%

8.80%

7/31/2019

 

Class R3 Shares

13.77%

8.25%

7/31/2019

 

Class R4 Shares

14.15%

8.53%

7/31/2019

 

Class R5 Shares

14.34%

8.79%

7/31/2019

 

Class R6 Shares

14.42%

8.84%

7/31/2019

 

Index

 

 

 

 

Russell 1000® Value Index