MAINSTAY FUNDS (Form: 485BPOS, Received: 02/28/2013 06:05:47)

AS FILED WITH THE SECURITIES AND EXCHANGE COMMISSION ON FEBRUARY 27, 2013

FILE NO. 033-02610

FILE NO. 811-04550

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM N-1A

REGISTRATION STATEMENT

UNDER THE SECURITIES ACT OF 1933

Post-Effective Amendment No. 116 x

AND

REGISTRATION STATEMENT

UNDER THE INVESTMENT COMPANY ACT OF 1940

Amendment No. 119 x

THE MAINSTAY FUNDS

(exact name of registrant as specified in charter)

51 MADISON AVENUE, NEW YORK, NEW YORK 10010

(address of principal executive office)

REGISTRANT'S TELEPHONE NUMBER: (212) 576-7000

J. Kevin Gao, Esq.

The MainStay Funds

169 Lackawanna Avenue

Parsippany, NJ 070754

Sander M. Bieber, Esq.

Dechert LLP

1775 I Street, NW

Washington, DC 20006

(NAME AND ADDRESS OF AGENT FOR SERVICE)

It is proposed that this filing will become effective:

¨ Immediately upon filing pursuant to paragraph (b) of Rule 485

x on February 28, 2013, pursuant to paragraph (b)(1) of Rule 485

o 60 days after filing pursuant to paragraph (a)(1) of Rule 485

¨ on February 28, 2013, pursuant to paragraph (a)(1) of Rule 485

o 75 days after filing pursuant to paragraph (a)(2) of Rule 485

If appropriate, check the following box:

o This post-effective amendment designates a new effective date for a previously filed post-effective amendment


Prospectus for MainStay ^{^®} Equity Funds
MainStay Funds ^{^®}	February 28, 2013


	Class A	Investor Class	Class B	Class C	Class I	Class R1	Class R2	Class R3
U.S. Equity
MainStay Common Stock Fund	MSOAX	MCSSX	MOPBX	MGOCX	MSOIX	-	MSORX	-
MainStay Epoch U.S. All Cap Fund	MAAAX	MAWNX	MAWBX	MAWCX	MATIX	-	-	-
MainStay Epoch U.S. Equity Yield Fund	EPLPX	EPLIX	-	EPLKX	EPLCX	-	-	-
MainStay ICAP Equity Fund	ICAUX	ICANX	-	ICAVX	ICAEX	ICAWX	ICAYX	ICAZX
MainStay ICAP Select Equity Fund	ICSRX	ICSOX	ICSQX	ICSVX	ICSLX	ICSWX	ICSYX	ICSZX
MainStay Large Cap Growth Fund	MLAAX	MLINX	MLABX	MLACX	MLAIX	MLRRX	MLRTX	MLGRX
MainStay MAP Fund	MAPAX	MSMIX	MAPBX	MMPCX	MUBFX	MAPRX	MPRRX	MMAPX
MainStay S&P 500 Index Fund	MSXAX	MYSPX	-	-	MSPIX	-	-	-
MainStay U.S. Equity Opportunities Fund	MYCTX	MYCNX	-	MYCCX	MYCIX	-	-	-
MainStay U.S. Small Cap Fund	MOPAX	MOINX	MOTBX	MOPCX	MOPIX	MOPRX	MOTRX	-

International/Global Equity
MainStay Epoch Global Choice Fund	EPAPX	EPAIX	-	EPAKX	EPACX	-	-	-
MainStay Epoch Global Equity Yield Fund	EPSPX	EPSIX	-	EPSKX	EPSYX	-	-	-
MainStay Epoch International Small Cap Fund	EPIPX	EPIIX	-	EPIKX	EPIEX	-	-	-
MainStay ICAP Global Fund	ICGLX	ICGNX	-	ICGCX	ICGRX	-	-	-
MainStay ICAP International Fund	ICEVX	ICELX	-	ICEWX	ICEUX	ICETX	ICEYX	ICEZX
MainStay International Equity Fund	MSEAX	MINNX	MINEX	MIECX	MSIIX	MIERX	MIRRX	MIFRX
MainStay International Opportunities Fund	MYITX	MYINX	-	MYICX	MYIIX	-	-	-







Neither the Securities and Exchange Commission nor any state securities commission has approved or disapproved of these securities or passed upon the accuracy or adequacy of this Prospectus. Any representation to the contrary is a criminal offense.

Table of Contents

U.S. Equity Funds


MainStay Common Stock Fund	4
MainStay Epoch U.S. All Cap Fund	8
MainStay Epoch U.S. Equity Yield Fund	12
MainStay ICAP Equity Fund	16
MainStay ICAP Select Equity Fund	20
MainStay Large Cap Growth Fund*	24
MainStay MAP Fund	28
MainStay S&P 500 Index Fund	33
MainStay U.S. Equity Opportunities Fund	37
MainStay U.S. Small Cap Fund	42

International/Global Equity Funds


MainStay Epoch Global Choice Fund	46
MainStay Epoch Global Equity Yield Fund	50
MainStay Epoch International Small Cap Fund	54
MainStay ICAP Global Fund	58
MainStay ICAP International Fund	62
MainStay International Equity Fund	66
MainStay International Opportunities Fund	70
More About Investment Strategies and Risks	75
Shareholder Guide	83
Know With Whom You Are Investing	112
Financial Highlights	119

* MainStay Large Cap Growth Fund is closed to new investors, with certain exceptions. Please see page 113 for more information.

MainStay Common Stock Fund

Investment Objective

The Fund seeks long-term growth of capital.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 89 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class B		Class C		Class I		Class R2
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None		None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.55	%	0.55	%	0.55	%	0.55	%	0.55	%	0.55	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None		0.25	%
	Other Expenses	0.73	%	0.23	%	0.73	%	0.73	%	0.23	%	0.33	%
	Acquired (Underlying) Fund Fees and Expenses	0.03	%	0.03	%	0.03	%	0.03	%	0.03	%	0.03	%
	Total Annual Fund Operating Expenses	1.56	%	1.06	%	2.31	%	2.31	%	0.81	%	1.16	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.55% on assets up to $500 million; 0.525% on assets from $500 million to $1 billion; and 0.50% on assets in excess of $1 billion.

Example

The 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 (except as indicated with respect to Class B and Class C shares). The Example reflects Class B shares converting into Investor Class shares in years 9-10; fees could be lower if you are eligible to convert to Class A shares instead. The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class B		Class C		Class I	Class R2
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 700	$ 652	$ 234	$ 734	$ 234	$ 334	$ 83	$ 118
3 Years	$ 1,016	$ 869	$ 721	$ 1,021	$ 721	$ 721	$ 259	$ 368
5 Years	$ 1,353	$ 1,103	$ 1,235	$ 1,435	$ 1,235	$ 1,235	$ 450	$ 638
10 Years	$ 2,304	$ 1,773	$ 2,458	$ 2,458	$ 2,646	$ 2,646	$ 1,002	$ 1,409

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 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 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 182% of the average value of its portfolio.

Principal Investment Strategies

The Fund normally invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in common stocks. The Fund primarily invests in common stocks of U.S. companies with market capitalizations that, at the time of investment, are similar to companies in the Standard & Poor's 500 ^{^®} Index ("S&P 500 ^{^®} Index”) (which ranged from $1.6 billion to $500.4 billion as of December 31, 2012) and the Russell 1000 ^{^®} Index (which ranged from $296.4 million to $500.4 billion as of December 31, 2012).

MainStay Common Stock Fund

Investment Process: The Fund seeks to construct a broadly-diversified portfolio across sectors and industries using quantitative analysis to identify undervalued and overvalued securities. Using an objective, disciplined and broadly-applied process, Cornerstone Capital Management Holdings LLC, the Fund’s Subadvisor, selects securities that it believes have the most potential to appreciate, while seeking to limit exposure to risk. The Subadvisor seeks to control the Fund's exposure to risk by diversifying the Fund's portfolio over a large number of securities.

In unusual market conditions, the Fund may invest all or a portion of its assets in investment grade notes and bonds, cash and cash equivalents.

The Subadvisor may sell a security if it no longer believes the security will contribute to meeting the investment objective of the Fund, if better opportunities are identified, or if it determines the initial investment expectations are not being met.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Market Changes Risk: The value of the Fund's investments may change because of broad changes in the markets in which the Fund invests, which could cause the Fund to underperform other funds with similar objectives. From time to time, markets may experience periods of acute stress that may result in increased volatility. Such market conditions tend to add significantly to the risk of short-term volatility in the net asset value of the Fund's shares.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Equity Securities Risk: Investments in common stocks and other equity securities are particularly subject to the risk of changing economic, stock market, industry and company conditions and the risks inherent in the portfolio managers' ability to anticipate such changes that can adversely affect the value of the Fund's holdings. Opportunity for greater gain often comes with greater risk of loss.

Growth Stock Risk: If growth companies do not increase their earnings at a rate expected by investors, the market price of the stock may decline significantly, even if earnings show an absolute increase. Growth company stocks also typically lack the dividend yield that can cushion stock prices in market downturns.

Value Stock Risk: Value stocks may never reach what the Subadvisor believes is their full value or they may go down in value. In addition, different types of stocks tend to shift in and out of favor depending on market and economic conditions, and therefore the Fund's performance may be lower or higher than that of funds that invest in other types of equity securities.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class I shares, first offered on December 28, 2004, include historical performance of Class A shares through December 27, 2004. Investor Class shares were first offered on February 28, 2008 and Class R2 shares were first offered on December 14, 2007. Performance figures for Investor Class shares include the historical performance of Class A shares through February 27, 2008. As of the date of this Prospectus, Class R2 shares have not yet commenced operations. As a result, the performance figures for Class R2 shares include the historical performance of Class A shares through December 31, 2012. The performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

MainStay Common Stock Fund

Annual Returns, Class B Shares

(by calendar year 2003-2012)


Best Quarter
3Q/09	14.68	%
Worst Quarter
4Q/08	-22.08	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	9.51	%	-2.06	%	4.63	%
Class A	10.07	%	-1.57	%	4.89	%
Class B	10.00	%	-2.09	%	4.45	%
Class C	14.00	%	-1.68	%	4.45	%
Class I	16.75	%	-0.16	%	5.89	%
Class R2	16.36	%	-0.55	%	5.38	%
Return After Taxes on Distributions
Class B	9.97	%	-2.11	%	4.22	%
Return After Taxes on Distributions and Sale of Fund Shares
Class B	6.54	%	-1.76	%	3.83	%
S&P 500 ^{^®} Index (reflects no deductions for fees, expenses, or taxes)	16.00	%	1.66	%	7.10	%
Russell 1000 ^{^®} Index (reflects no deductions for fees, expenses, or taxes)	16.42	%	1.92	%	7.52	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class B shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. Cornerstone Capital Management Holdings LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
Cornerstone Capital Management Holdings LLC	Migene Kim, Vice President	Since 2007
	Andrew Ver Planck, Senior Vice President	Since February 2013

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $1,000 applies if you invest in Investor Class, Class B, or Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class, Class B and Class C shares. However, for Investor Class, Class B, or Class C shares purchased through AutoInvest, a monthly systematic investment plan, a $500 initial

MainStay Common Stock Fund

investment minimum ($50 for subsequent purchases) applies. Class R2 shares and institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

The Fund's distributions are generally taxable to you as ordinary income, capital gains, or a combination of the two, unless you are investing through a tax-deferred arrangement, such as a 401(k) plan or an individual retirement account.

Compensation to Financial Intermediary Firms

If you purchase Fund shares through a financial intermediary firm (such as a broker/dealer or bank), the Fund and its related companies may pay the intermediary for the sale of Fund shares and related services. These payments may create a conflict of interest by influencing the financial intermediary firm or your financial adviser to recommend the Fund over another investment. Ask your financial adviser or visit your financial intermediary firm's website for more information. For additional information about compensation to financial intermediaries, please see the section entitled "Compensation to Financial Intermediary Firms" in the "Shareholder Guide" section starting on page 95 of the Prospectus.

MainStay Epoch U.S. All Cap Fund

Investment Objective

The Fund seeks long-term capital appreciation.

Fees and Expenses of the Fund


		Investor Class		Class A		Class B		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.85	%	0.85	%	0.85	%	0.85	%	0.85	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None
	Other Expenses	0.48	%	0.04	%	0.48	%	0.48	%	0.04	%
	Total Annual Fund Operating Expenses	1.58	%	1.14	%	2.33	%	2.33	%	0.89	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.85% on assets up to $500 million; 0.825% on assets from $500 million to $1 billion; and 0.80% on assets in excess of $1 billion.

Example


Expenses After	Investor	Class A	Class B		Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 702	$ 660	$ 236	$ 736	$ 236	$ 336	$ 91
3 Years	$ 1,021	$ 892	$ 727	$ 1,027	$ 727	$ 727	$ 284
5 Years	$ 1,363	$ 1,143	$ 1,245	$ 1,445	$ 1,245	$ 1,245	$ 493
10 Years	$ 2,325	$ 1,860	$ 2,479	$ 2,479	$ 2,666	$ 2,666	$ 1,096

Portfolio Turnover

Principal Investment Strategies

The Fund invests primarily in a diversified portfolio consisting of equity securities of U.S. companies. Under normal circumstances, the Fund will invest at least 80% of its assets (net assets plus any borrowings for investment purposes) in equity securities of U.S. companies across all market capitalizations. Generally, U.S. companies are companies organized in the U.S. that trade primarily in U.S. securities markets. Equity securities include common stocks and securities convertible into common stock, such as warrants, rights, convertible bonds, debentures and convertible preferred stock. Convertible preferred stocks and debentures must be rated investment grade by an independent rating agency, such as Baa3 or

MainStay Epoch U.S. All Cap Fund

better by Moody's Investors Service Inc. or BBB- or better by Standard & Poor's when purchased, or if unrated, considered by Epoch Investment Partners, Inc., the Fund’s Subadvisor, to be of comparable quality.

Investment Process: The Subadvisor invests primarily in companies that generate increasing levels of free cash flow and that use it to create returns for shareholders.

The security selection process focuses on free-cash-flow analytics as opposed to traditional accounting-based metrics. The Subadvisor seeks to identify companies with a consistent, straightforward ability to both generate free cash flow and to intelligently allocate it among internal reinvestment opportunities, acquisitions, dividends, share repurchases and/or debt reduction.

The Subadvisor may sell or reduce a position in a security when it believes its investment objectives have been met or when the security is deemed less attractive relative to another security on a return/risk basis. The Subadvisor may sell or reduce a position in a security if it sees the investment thesis failing to materialize.

Although the Fund may invest in securities across all market capitalizations, it may invest a significant portion of its assets in companies of one particular market capitalization category when the Fund's Subadvisor believes such companies offer attractive opportunities. The Fund may also invest up to 15% of its net assets in foreign securities, which are generally securities issued by companies that are organized outside of the U.S. and trade primarily in markets outside the U.S.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Mid-Cap and Small-Cap Stock Risk: Stocks of mid-cap and small-cap companies may be subject to greater price volatility, significantly lower trading volumes, cyclical, static or moderate growth prospects and greater spreads between their bid and ask prices than stocks of larger companies. Because these businesses frequently rely on narrower product lines and niche markets, they can suffer isolated setbacks. Smaller capitalization companies may be more vulnerable to adverse business or market developments.

Convertible Securities Risk: Convertible securities may be subordinate to other securities. In part, the total return for a convertible security depends upon performance of the underlying stock into which it can be converted. Also, issuers of convertible securities are often not as strong financially as those issuing securities with higher credit ratings, are more likely to encounter financial difficulties and typically are more vulnerable to changes in the economy, such as a recession or a sustained period of rising interest rates, which could affect their ability to make interest and principal payments. If an issuer stops making interest and/or principal payments, the Fund could lose its entire investment.

Foreign Securities Risk: Investments in foreign securities may be riskier than investments in U.S. securities. Differences between U.S. and foreign regulatory regimes and securities markets, including less stringent investor protections and disclosure standards of some foreign markets, less liquid trading markets and political and economic developments in foreign countries may affect the value of the Fund's investments in foreign securities. Foreign securities may also subject the Fund's investments to changes in currency rates. These risks may be greater with respect to securities of companies that conduct their business activities in emerging markets or whose securities are traded principally in emerging markets.

Past Performance

MainStay Epoch U.S. All Cap Fund

Russell 3000 ^{^®} Index measures the performance of the largest 3,000 U.S. companies representing approximately 98% of the investable U.S. equity market.

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class A, B and C shares, first offered on January 2, 2004, include the historical performance of Class I shares through January 1, 2004. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008. The performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class I Shares

(by calendar year 2003-2012)


Best Quarter
3Q/09	14.85	%
Worst Quarter
4Q/08	-27.32	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	4.31	%	-2.07	%	5.22	%
Class A	4.83	%	-1.66	%	5.44	%
Class B	4.74	%	-2.06	%	5.02	%
Class C	8.58	%	-1.73	%	5.02	%
Class I	11.17	%	-0.27	%	6.44	%
Return After Taxes on Distributions
Class I	9.22	%	-0.79	%	6.05	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	9.76	%	-0.26	%	5.66	%
Russell 3000 ^{^®} Index (reflects no deductions for fees, expenses, or taxes)	16.42	%	2.04	%	7.68	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. Epoch Investment Partners, Inc. serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
Epoch Investment Partners, Inc.	David Pearl, Executive Vice President & Co-Chief Investment Officer	Since 2009
	Michael Welhoelter, Managing Director	Since 2009
	William Priest, Chief Executive Officer & Co-Chief Investment Officer	Since 2009

How to Purchase and Sell Shares

MainStay Epoch U.S. All Cap Fund

or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $1,000 applies if you invest in Investor Class, Class B, or Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class, Class B and Class C shares. However, for Investor Class, Class B, or Class C shares purchased through AutoInvest, a monthly systematic investment plan, a $500 initial investment minimum ($50 for subsequent purchases) applies. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

Compensation to Financial Intermediary Firms

MainStay Epoch U.S. Equity Yield Fund

Investment Objective

The Fund seeks current income and capital appreciation.

Fees and Expenses of the Fund


		Investor Class		Class A		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.80	%	0.80	%	0.80	%	0.80	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	None
	Other Expenses	1.09	%	1.14	%	1.09	%	1.14	%
	Total Annual Fund Operating Expenses ³	2.14	%	2.19	%	2.89	%	1.94	%
	Waivers / Reimbursements ³	(0.87	)%	(0.87	)%	(0.87	)%	(0.87	)%
	Total Annual Fund Operating Expenses After Waivers / Reimbursements	1.27	%	1.32	%	2.02	%	1.07	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.80% on assets up to $500 million; and 0.79% on assets in excess of $500 million.

3. New York Life Investment Management LLC ("New York Life Investments") has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for Class A shares do not exceed 1.32% of its average daily net assets. New York Life Investments will apply an equivalent waiver or reimbursement, in an equal number of basis points, to the other share classes. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example

The 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 (except as indicated with respect to Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period
1 Year	$ 672	$ 677	$ 205	$ 305	$ 109
3 Years	$ 1,104	$ 1,118	$ 813	$ 813	$ 525
5 Years	$ 1,561	$ 1,585	$ 1,447	$ 1,447	$ 966
10 Years	$ 2,822	$ 2,870	$ 3,152	$ 3,152	$ 2,194

Portfolio Turnover

Principal Investment Strategies

The Fund generally invests in a diversified portfolio consisting of equity securities of U.S. companies that have a history of attractive dividend yields and positive growth in operating cash flow. Under normal circumstances, the Fund invests at least 80% of its assets (net assets plus any

MainStay Epoch U.S. Equity Yield Fund

borrowings for investment purposes) in equity securities of dividend-paying U.S. companies across all market capitalizations. Generally, U.S. companies are companies organized in the U.S. that trade primarily in U.S. securities markets. The Fund may invest up to 15% of its net assets in securities of foreign companies. Generally, foreign companies are companies organized outside the U.S. and that trade primarily in non-U.S. securities markets.

Investment Process: Epoch Investment Partners, Inc., the Fund's Subadvisor, invests primarily in companies that generate increasing levels of free cash flow and have managements that use it to create returns for shareholders.

The Subadvisor seeks to find and invest in companies that meet its definition of quality-companies that are free cash flow positive or becoming free cash flow positive, that are debt free or deleveraging, and that are led by strong management. The Subadvisor evaluates whether a company has a focus on shareholder yield by analyzing the company's existing cash dividend, the company's share repurchase activities, and the company's debt reduction activities as well as the likelihood of positive changes to each of these criteria, among other factors.

The Subadvisor may sell or reduce a position in a security if it sees an interruption to the dividend policy, a deterioration in fundamentals or when the security is deemed less attractive relative to another security on a return/risk basis. The Subadvisor may sell or reduce a position in a security when it believes its investment objectives have been met or if the investment thesis is failing to materialize.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Past Performance

The following bar chart and tables indicate some of the risks of investing in the Fund. The bar chart shows you how the Fund's calendar year performance has varied over the life of the Fund. Sales loads are not reflected in the bar chart. If they were, returns would be less than those shown. The average annual total returns table shows how the Fund's average annual total returns (before and after taxes) for the one-year period and the life of the Fund compare to those of two broad-based securities market indices. The Fund has selected the Russell 1000 ^{^®} Value Index, as a replacement of the Russell 1000 ^{^®} Index, as its primary benchmark, but has retained the Russell 1000 ^{^®} Index as its secondary benchmark. The Russell 1000 ^{^®} Value Index measures the performance of the large-cap value segment of the U.S. equity universe. It includes those Russell 1000 ^{^®} Index companies with lower price-to-book ratios and lower expected growth values. The Fund selected the Russell 1000 ^{^®} Value Index as its primary benchmark because it believes that this index is more reflective of its current investment style. The Fund has selected the Russell 1000 ^{^®} Index as a secondary benchmark. The Russell 1000 ^{^®} Index measures the performance of the large-cap segment of the U.S. equity universe. It is a subset of the Russell 3000 ^{^®} Index and includes approximately 1,000 of the largest securities based on a combination of their market cap and current index membership. The Russell 1000 ^{^®} represents approximately 92% of the U.S. market.

MainStay Epoch U.S. Equity Yield Fund

Performance figures for Class I and Class A shares reflect the historical performance of the Institutional shares and Class P shares, respectively, of the Epoch U.S. Large Cap Fund (the predecessor to the Fund, which was subject to a different fee structure, and for which Epoch Investment Partners, Inc. served as investment adviser) for periods prior to November 16, 2009. Performance data for the classes varies based on differences in their fee and expense structures. The Fund commenced operations on December 3, 2008. Class A shares (formerly Class P shares) were first offered on February 3, 2009. Performance figures for Class C and Investor Class shares, first offered November 16, 2009, reflect the historical performance of Class I shares through November 15, 2009, adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. On August 31, 2012, the Fund changed its investment objective and principal investment strategies. Performance figures for dates prior to August 31, 2012 reflect the Fund's prior investment objective and principal investment strategies. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class I Shares

(by calendar year 2009-2012)


Best Quarter
2Q/09	15.85	%
Worst Quarter
3Q/11	-16.22	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		Life of Fund
Return Before Taxes
Investor Class	6.25	%	12.67	%
Class A	6.17	%	12.59	% ^*
Class C	10.66	%	13.46	%
Class I	12.52	%	14.58	%
Return After Taxes on Distributions
Class I	9.06	%	12.32	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	12.73	%	12.19	%
Russell 1000 ^{^®} Value Index (reflects no deductions for fees, expenses, or taxes)	17.51	%	13.85	%
Russell 1000 ^{^®} Index (reflects no deductions for fees, expenses, or taxes)	16.42	%	16.20	%

* Reflects performance from February 3, 2009.

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. Epoch Investment Partners, Inc. serves as the Fund's Subadvisor.

MainStay Epoch U.S. Equity Yield Fund


Subadvisor	Portfolio Managers	Service Date
Epoch Investment Partners, Inc.	Eric Sappenfield, Managing Director	Since 2012
	Michael Welhoelter, Managing Director	Since 2009
	William Priest, Chief Executive Officer & Co-Chief Investment Officer	Since 2009
	John Tobin, Director	Since February 2013
	Kera Van Valen, Director	Since February 2013

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $2,500 applies if you invest in Investor Class or Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class and Class C shares. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

Compensation to Financial Intermediary Firms

MainStay ICAP Equity Fund

Investment Objective

The Fund seeks total return.

Fees and Expenses of the Fund


		Investor Class		Class A		Class C		Class I		Class R1		Class R2		Class R3
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None		None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	1.00	%	None		None		None		None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.80	%	0.80	%	0.80	%	0.80	%	0.80	%	0.80	%	0.80	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	None		None		0.25	%	0.50	%
	Other Expenses	0.38	%	0.12	%	0.38	%	0.12	%	0.22	%	0.22	%	0.22	%
	Total Annual Fund Operating Expenses ³	1.43	%	1.17	%	2.18	%	0.92	%	1.02	%	1.27	%	1.52	%
	Waivers / Reimbursements ³	0.00	%	0.00	%	0.00	%	(0.02	)%	0.00	%	0.00	%	0.00	%
	Total Annual Fund Operating Expenses After Waivers / Reimbursements ³	1.43	%	1.17	%	2.18	%	0.90	%	1.02	%	1.27	%	1.52	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.80% on assets up to $5 billion; and 0.775% on assets in excess of $5 billion.

3. New York Life Investment Management LLC ("New York Life Investments") has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for Class I shares do not exceed 0.90% of its average daily net assets. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example

The 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 (except as indicated with respect to Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class C		Class I	Class R1	Class R2	Class R3
	Class		Assuming no redemption	Assuming redemption at end of period
1 Year	$ 688	$ 663	$ 221	$ 321	$ 92	$ 104	$ 129	$ 155
3 Years	$ 978	$ 901	$ 682	$ 682	$ 291	$ 325	$ 403	$ 480
5 Years	$ 1,289	$ 1,158	$ 1,169	$ 1,169	$ 507	$ 563	$ 697	$ 829
10 Years	$ 2,169	$ 1,892	$ 2,513	$ 2,513	$ 1,129	$ 1,248	$ 1,534	$ 1,813

Portfolio Turnover

MainStay ICAP Equity Fund

Principal Investment Strategies

The Fund invests primarily in U.S. dollar-denominated equity securities of U.S. and foreign companies with market capitalizations (at the time of investment) of at least $3 billion. The Fund seeks to achieve a total return greater than the Russell 1000 ^{^®} Value Index over longer periods of time and indices comprised of value-oriented stocks over shorter periods of time.

The Fund typically holds between 40 and 50 securities. Under normal circumstances, the Fund will invest at least 80% of its assets (net assets plus any borrowings for investment purposes) in common stocks and other equity securities. Other equity securities may include American Depositary Receipts, warrants, real estate investment trusts ("REITs"), preferred stocks and other securities convertible or exchangeable into common stock. The Fund intends to be virtually fully invested in equity securities at all times.

Investment Process: Institutional Capital LLC’s (“ICAP” or “Subadvisor”) investment process involves the following key components: Identify Best Values – ICAP identifies stocks that it believes offer the best values and seeks to avoid companies that are exhibiting excessive deterioration in earnings trends. ICAP also considers the dividend yield as a component of total returns when evaluating the attractiveness of a security; Identify Catalysts – ICAP focuses on what it believes the key investment variables (catalysts) are that could potentially impact the security's market value. These catalysts are primarily company-specific, such as a new product, restructuring or a change in management, but occasionally the catalyst can be thematic - dependent on macroeconomic or industry trends; Portfolio Construction – After a review of stock recommendations, ICAP's portfolio management team determines whether or not to add the stock to the portfolio or to monitor it for future purchase.

ICAP continuously monitors each security and evaluates whether to eliminate it when its price target is achieved, the catalyst becomes inoperative or another stock offers a greater opportunity.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Mid-Cap Stock Risk: Stocks of mid-cap companies may be subject to greater price volatility, significantly lower trading volumes, cyclical, static or moderate growth prospects and greater spreads between their bid and ask prices than stocks of larger companies. Because these businesses frequently rely on narrower product lines and niche markets, they can suffer isolated setbacks.

Depositary Receipts Risk: Investments in depositary receipts may entail the special risks of foreign investing, including currency exchange fluctuations, government regulations, and the potential for political and economic instability.

Concentrated Portfolio Risk: Because the Fund invests in relatively few holdings, a larger percentage of its assets may be invested in a particular issuer or in fewer companies than is typical of other mutual funds. This may increase volatility. The Fund will be more susceptible to adverse economic, political, regulatory or market developments affecting a single issuer.

MainStay ICAP Equity Fund

management skills, may not be diversified, may experience substantial cost in the event of borrower or lessee defaults and are subject to heavy cash flow dependency.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class A, C, R1, R2 and R3 shares, first offered September 1, 2006, include the historical performance of Class I shares through August 31, 2006. Performance figures for Investor Class shares, first offered on April 29, 2008, include the historical performance of Class A shares through April 28, 2008. Performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class I Shares

(by calendar year 2003-2012)


Best Quarter
3Q/09	16.29	%
Worst Quarter
4Q/08	-22.43	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	8.17	%	-0.39	%	6.97	%
Class A	8.46	%	-0.18	%	7.09	%
Class C	12.64	%	-0.02	%	6.77	%
Class I	15.09	%	1.26	%	8.01	%
Class R1	14.99	%	1.16	%	7.91	%
Class R2	14.66	%	0.89	%	7.63	%
Class R3	14.39	%	0.65	%	7.37	%
Return After Taxes on Distributions
Class I	14.74	%	0.99	%	7.01	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	10.25	%	1.03	%	6.80	%
Russell 1000 ^{^®} Value Index (reflects no deductions for fees, expenses, or taxes)	17.51	%	0.59	%	7.38	%
S&P 500 ^{^®} Index (reflects no deductions for fees, expenses, or taxes)	16.00	%	1.66	%	7.10	%

MainStay ICAP Equity Fund

deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. Institutional Capital LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
Institutional Capital LLC	Jerrold K. Senser, Chief Executive Officer & Chief Investment Officer	Since 1994
	Thomas R. Wenzel, Senior Executive Vice President & Co-Director of Research	Since 1994
	Thomas M. Cole, Senior Executive Vice President & Co-Director of Research	Since 2012

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $1,000 applies if you invest in Investor Class and Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies for investments in Investor Class and Class C shares. However, for Investor Class and Class C shares investing through AutoInvest, a monthly systematic investment plan, a $500 initial investment minimum ($50 for subsequent purchases) applies. Class R1, Class R2, Class R3 shares and institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

Compensation to Financial Intermediary Firms

MainStay ICAP Select Equity Fund

Investment Objective

The Fund seeks total return.

Fees and Expenses of the Fund


		Investor Class		Class A		Class B		Class C		Class I		Class R1		Class R2		Class R3
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None		None		None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None		None		None		None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.80	%	0.80	%	0.80	%	0.80	%	0.80	%	0.80	%	0.80	%	0.80	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None		None		0.25	%	0.50	%
	Other Expenses	0.38	%	0.20	%	0.38	%	0.38	%	0.20	%	0.30	%	0.30	%	0.30	%
	Total Annual Fund Operating Expenses ³	1.43	%	1.25	%	2.18	%	2.18	%	1.00	%	1.10	%	1.35	%	1.60	%
	Waivers / Reimbursements ³	0.00	%	(0.07	)%	0.00	%	0.00	%	(0.10	)%	0.00	%	0.00	%	0.00	%
	Total Annual Fund Operating Expenses After Waivers / Reimbursements ³	1.43	%	1.18	%	2.18	%	2.18	%	0.90	%	1.10	%	1.35	%	1.60	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.80% on assets up to $5 billion; and 0.775% on assets in excess of $5 billion.

3. New York Life Investment Management LLC ("New York Life Investments") has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) of a class do not exceed the following percentages of average daily net assets: Class A, 1.18%; and Class I, 0.90%. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example


Expenses After	Investor	Class A	Class B		Class C		Class I	Class R1	Class R2	Class R3
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 688	$ 664	$ 221	$ 721	$ 221	$ 321	$ 92	$ 112	$ 137	$ 163
3 Years	$ 978	$ 918	$ 682	$ 982	$ 682	$ 682	$ 308	$ 350	$ 428	$ 505
5 Years	$ 1,289	$ 1,192	$ 1,169	$ 1,369	$ 1,169	$ 1,169	$ 543	$ 606	$ 739	$ 871
10 Years	$ 2,169	$ 1,972	$ 2,323	$ 2,323	$ 2,513	$ 2,513	$ 1,216	$ 1,340	$ 1,624	$ 1,900

Portfolio Turnover

MainStay ICAP Select Equity Fund

reflected in 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 64% of the average value of its portfolio.

Principal Investment Strategies

The Fund will typically hold between 25 and 30 securities. Under normal circumstances, the Fund will invest at least 80% of its assets (net assets plus borrowings for investment purposes) in common stocks and other equity securities. Other equity securities may include American Depositary Receipts, warrants, real estate investment trusts ("REITs"), preferred stocks and other securities convertible or exchangeable into common stock.

Investment Process: Institutional Capital LLC's ("ICAP" or "Subadvisor") investment process involves the following key components: Identify Best Values – ICAP identifies stocks that it believes offer the best values and seeks to avoid companies that are exhibiting excessive deterioration in earnings trends. ICAP also considers the dividend yield as a component of total returns when evaluating the attractiveness of a security; Identify Catalysts – ICAP focuses on what it believes the key investment variables (catalysts) are that could potentially impact the security's market value. These catalysts are primarily company-specific, such as a new product, restructuring or a change in management, but occasionally the catalyst can be thematic - dependent on macroeconomic or industry trends; Portfolio Construction – After a review of stock recommendations, ICAP's portfolio management team determines whether or not to add the stock to the portfolio or to monitor it for future purchase.

ICAP continuously monitors each security and evaluates whether to eliminate it when its price target is achieved, the catalyst becomes inoperative or another stock offers a greater opportunity.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

MainStay ICAP Select Equity Fund

Real Estate Investment Trust Risk: Investments in REITs involve risks associated with direct ownership of real estate, including decline in property values, extended vacancies, increases in property taxes and changes in interest rates. Additionally, REITs are dependent upon management skills, may not be diversified, may experience substantial cost in the event of borrower or lessee defaults and are subject to heavy cash flow dependency.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class A, C, R1, R2 and R3 shares, first offered September 1, 2006, include the historical performance of Class I shares through August 31, 2006. Performance figures for Investor Class shares, first offered on April 29, 2008, include the historical performance of Class A shares through April 28, 2008. Performance figures for Class B shares, first offered on November 13, 2009, include the historical performance of Class I shares through November 12, 2009.Performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class I Shares

(by calendar year 2003-2012)


Best Quarter
4Q/03	16.27	%
Worst Quarter
4Q/08	-22.00	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	8.43	%	-0.14	%	8.64	%
Class A	8.70	%	0.08	%	8.77	%
Class B	8.90	%	-0.15	%	8.45	%
Class C	12.87	%	0.24	%	8.45	%
Class I	15.35	%	1.50	%	9.68	%
Class R1	15.22	%	1.36	%	9.55	%
Class R2	14.94	%	1.11	%	9.28	%
Class R3	14.54	%	0.85	%	9.00	%
Return After Taxes on Distributions
Class I	15.07	%	1.25	%	9.02	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	10.33	%	1.24	%	8.42	%
Russell 1000 ^{^®} Value Index (reflects no deductions for fees, expenses, or taxes)	17.51	%	0.59	%	7.38	%
S&P 500 ^{^®} Index (reflects no deductions for fees, expenses, or taxes)	16.00	%	1.66	%	7.10	%

MainStay ICAP Select Equity Fund

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. Institutional Capital LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
Institutional Capital LLC	Jerrold K. Senser, Chief Executive Officer & Chief Investment Officer	Since 1997
	Thomas R. Wenzel, Senior Executive Vice President & Co-Director of Research	Since 1997
	Thomas M. Cole, Senior Executive Vice President & Co-Director of Research	Since 2012

How to Purchase and Sell Shares

Tax Information

Compensation to Financial Intermediary Firms

MainStay Large Cap Growth Fund

Investment Objective

The Fund seeks long-term growth of capital.

Fees and Expenses of the Fund

The Fund is closed to new investors, with certain exceptions. Please see page 113 of the Prospectus for additional information.


		Investor Class		Class A		Class B		Class C		Class I		Class R1		Class R2		Class R3
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None		None		None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None		None		None		None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.61	%	0.61	%	0.61	%	0.61	%	0.61	%	0.61	%	0.61	%	0.61	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None		None		0.25	%	0.50	%
	Other Expenses	0.24	%	0.18	%	0.24	%	0.24	%	0.18	%	0.28	%	0.28	%	0.28	%
	Total Annual Fund Operating Expenses ³	1.10	%	1.04	%	1.85	%	1.85	%	0.79	%	0.89	%	1.14	%	1.39	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.75% on assets up to $500 million; 0.725% on assets from $500 million to $750 million; 0.71% on assets from $750 million to $1 billion; 0.70% on assets from $1 billion to $2 billion; 0.66% on assets from $2 billion to $3 billion; 0.61% on assets from $3 billion to $7 billion; 0.585% on assets from $7 billion to $9 billion; and 0.575% on assets in excess of $9 billion.

3. New York Life Investments has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) of Class I shares do not exceed 0.88% of its average daily net assets. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example


Expenses After	Investor	Class A	Class B		Class C		Class I	Class R1	Class R2	Class R3
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 656	$ 650	$ 188	$ 688	$ 188	$ 288	$ 81	$ 91	$ 116	$ 142
3 Years	$ 880	$ 863	$ 582	$ 882	$ 582	$ 582	$ 252	$ 284	$ 362	$ 440
5 Years	$ 1,123	$ 1,092	$ 1,001	$ 1,201	$ 1,001	$ 1,001	$ 439	$ 493	$ 628	$ 761
10 Years	$ 1,816	$ 1,751	$ 1,973	$ 1,973	$ 2,169	$ 2,169	$ 978	$ 1,096	$ 1,386	$ 1,669

Portfolio Turnover

MainStay Large Cap Growth Fund

reflected in 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 60% of the average value of its portfolio.

Principal Investment Strategies

Under normal circumstances, the Fund invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in large capitalization companies, which are companies having a market capitalization in excess of $4 billion at the time of purchase. Typically, Winslow Capital Management, LLC, the Fund's Subadvisor, invests substantially all of the Fund's investable assets in domestic securities. However, the Fund is permitted to invest up to 20% of its net assets in foreign securities, which are generally securities issued by companies organized outside the U.S. and traded primarily in markets outside the U.S.

Investment Process: The Fund invests in those companies that the Subadvisor believes will provide an opportunity for achieving superior portfolio returns (i.e., returns in excess of the returns of the average stock mutual fund) over the long term. The Subadvisor seeks to invest in companies that have the potential for above-average future earnings growth with management focused on shareholder value.

When purchasing stocks for the Fund, the Subadvisor looks for companies typically having some or all of the following attributes: addressing markets with growth opportunities; favorable market share; identifiable and sustainable competitive advantages; a management team that can perpetuate the firm's competitive advantages; and, attractive, and preferably rising, returns on invested capital.

The Subadvisor takes a "bottom-up" investment approach when selecting investments. This means it bases investment decisions on company specific factors, not general economic conditions.

Under normal market conditions, the Subadvisor employs a sell discipline pursuant to which it may sell some or all of its position in a stock when a stock becomes fully valued, the fundamental business prospects are deteriorating, or the position exceeds limits set by the Subadvisor.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class A shares include the historical performance of the FMI Winslow Growth Fund (a predecessor to the Fund) through March 31, 2005, adjusted to reflect the current maximum sales charge applicable to the Class A shares. Performance figures for Class B, Class C, Class I, Class R1 and Class R2 shares, each of which was first offered on April 1, 2005, and the Class R3 shares which were first offered on April 28, 2006, include the historical performance of Class A shares through March 31, 2005 and April 27, 2006, respectively. Performance figures for Investor Class shares, first offered on February

MainStay Large Cap Growth Fund

28, 2008, include the historical performance of Class A shares through February 27, 2008. Performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class A Shares

(by calendar year 2003-2012)


Best Quarter
2Q/03	18.21	%
Worst Quarter
4Q/08	-22.57	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	6.74	%	0.84	%	8.34	%
Class A	6.69	%	0.92	%	8.38	%
Class B	7.11	%	0.81	%	8.13	%
Class C	10.96	%	1.20	%	8.11	%
Class I	13.21	%	2.39	%	9.41	%
Class R1	13.09	%	2.28	%	9.26	%
Class R2	12.86	%	2.03	%	9.00	%
Class R3	12.61	%	1.81	%	8.71	%
Return After Taxes on Distributions
Class A	6.68	%	0.85	%	8.34	%
Return After Taxes on Distributions and Sale of Fund Shares
Class A	4.36	%	0.78	%	7.44	%
Russell 1000 ^{^®} Growth Index (reflects no deductions for fees, expenses, or taxes)	15.26	%	3.12	%	7.52	%
S&P 500 ^{^®} Index (reflects no deductions for fees, expenses, or taxes)	16.00	%	1.66	%	7.10	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class A shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. Winslow Capital Management, LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
Winslow Capital Management, LLC	Clark J. Winslow, Chief Executive Officer & Chief Investment Officer	Since 2005
	Justin H. Kelly, Senior Managing Director	Since 2005
	R. Bart Wear, Senior Managing Director	Since 2005

How to Purchase and Sell Shares

MainStay Large Cap Growth Fund

or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $1,000 applies if you invest in Investor Class, Class B, or Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class, Class B and Class C shares. However, for Investor Class, Class B, or Class C shares purchased through AutoInvest, a monthly systematic investment plan, a $500 initial investment minimum ($50 for subsequent purchases) applies. Class R1, Class R2, Class R3 shares and institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

Compensation to Financial Intermediary Firms

MainStay MAP Fund

Investment Objective

The Fund seeks long-term appreciation of capital.

Fees and Expenses of the Fund


		Investor Class		Class A		Class B		Class C		Class I		Class R1		Class R2		Class R3
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None		None		None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None		None		None		None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.74	%	0.74	%	0.74	%	0.74	%	0.74	%	0.74	%	0.74	%	0.74	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None		None		0.25	%	0.50	%
	Other Expenses	0.35	%	0.15	%	0.35	%	0.35	%	0.15	%	0.25	%	0.25	%	0.25	%
	Total Annual Fund Operating Expenses	1.34	%	1.14	%	2.09	%	2.09	%	0.89	%	0.99	%	1.24	%	1.49	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.75% on assets up to $1 billion; 0.70% on assets from $1 billion to $3 billion; and 0.675% on assets in excess of $3 billion, plus a fee for fund accounting services previously provided by New York Life Investment Management LLC ("New York Life Investments") under a separate fund accounting agreement. This addition to the management fee amounted to 0.01% of the Fund's average daily net assets, but did not result in a net increase in Total Annual Fund Operating Expenses.

Example


Expenses After	Investor	Class A	Class B		Class C		Class I	Class R1	Class R2	Class R3
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 679	$ 660	$ 212	$ 712	$ 212	$ 312	$ 91	$ 101	$ 126	$ 152
3 Years	$ 951	$ 892	$ 655	$ 955	$ 655	$ 655	$ 284	$ 315	$ 393	$ 471
5 Years	$ 1,244	$ 1,143	$ 1,124	$ 1,324	$ 1,124	$ 1,124	$ 493	$ 547	$ 681	$ 813
10 Years	$ 2,074	$ 1,860	$ 2,229	$ 2,229	$ 2,421	$ 2,421	$ 1,096	$ 1,213	$ 1,500	$ 1,779

Portfolio Turnover

MainStay MAP Fund

Principal Investment Strategies

The Fund normally invests at least 65% of its total assets in equity-type securities, including common stocks, and securities convertible into, or exchangeable for, common stocks, across all market capitalizations. The Fund primarily invests in domestic securities but may invest up to 35% of its net assets in foreign securities, which are generally securities issued by companies organized outside the U.S. and traded primarily in markets outside the U.S. Securities of foreign issuers that are represented by American Depositary Receipts or that are listed on a U.S. securities exchange or traded in the U.S. over-the-counter markets are not considered "foreign securities" for the purpose of this limitation.

The Fund employs two subadvisors, Institutional Capital LLC ("ICAP") and Markston International LLC ("Markston"), with investment processes and styles that New York Life Investment Management LLC, the Fund's Manager, believes are complementary. Each Subadvisor is responsible for managing a portion of the Fund's assets, as designated by the Manager from time to time.

Investment Process: Each Subadvisor seeks securities that are out of favor but where a catalyst exists for turning such securities into investments that the Subadvisor believes will have improved performance. The Subadvisors' investment processes and styles are as follows:

ICAP: ICAP uses a team approach with a primarily large-cap value oriented investment style. ICAP's investment process involves the following key components: Identify Best Values – ICAP identifies stocks that it believes offer the best values and seeks to avoid companies that are exhibiting excessive deterioration in earnings trends. ICAP also considers the dividend yield as a component of total returns when evaluating the attractiveness of a security; Identify Catalysts – ICAP focuses on what it believes the key investment variables (catalysts) are that could potentially impact the security's market value. These catalysts are primarily company-specific, such as a new product, restructuring or a change in management, but occasionally the catalyst can be thematic - dependent on macroeconomic or industry trends; Portfolio Construction – After a review of stock recommendations, ICAP's portfolio management team determines whether or not to add the stock to the portfolio or to monitor it for future purchase.

ICAP continuously monitors each security and evaluates whether to eliminate it when its price target is achieved, the catalyst becomes inoperative or another stock offers a greater opportunity.

Markston: Factors examined by Markston to seek value opportunities include statistical indications, such as low multiples of book value or cash flow, and more fundamental factors, such as industry consolidations. Markston also emphasizes the presence of a catalyst that may unlock a company's potential, such as management changes, restructurings and sales of underperforming assets. Markston also assesses the judgment, quality and integrity of company management and the track record of capital deployment. Certain securities may be acquired from time to time in an effort to earn short-term profits.

Although, under normal circumstances, Markston holds securities for a relatively long period of time, it may sell investments when it believes the opportunity for current profits or the risk of market decline outweighs the prospect of capital gains.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisors may not produce the desired results.

Value Stock Risk: Value stocks may never reach what the Subadvisors believe is their full value or they may go down in value. In addition, different types of stocks tend to shift in and out of favor depending on market and economic conditions, and therefore the Fund's performance may be lower or higher than that of funds that invest in other types of equity securities.

MainStay MAP Fund

securities. Foreign securities may also subject the Fund's investments to changes in currency rates. These risks may be greater with respect to securities of companies that conduct their business activities in emerging markets or whose securities are traded principally in emerging markets.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class R1 and R2 shares, first offered on January 2, 2004, include the historical performance of Class A shares through January 1, 2004. Performance figures for Class R3 shares, which were first offered on April 28, 2006, include the historical performance of Class A shares through April 27, 2006. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008. The performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class I Shares

(by calendar year 2003-2012)


Best Quarter
2Q/03	20.27	%
Worst Quarter
4Q/08	-22.97	%

MainStay MAP Fund

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	9.37	%	-0.04	%	7.84	%
Class A	9.59	%	0.14	%	7.94	%
Class B	9.85	%	-0.07	%	7.64	%
Class C	13.85	%	0.33	%	7.64	%
Class I	16.23	%	1.53	%	8.87	%
Class R1	16.08	%	1.41	%	8.74	%
Class R2	15.84	%	1.19	%	8.49	%
Class R3	15.53	%	0.92	%	8.19	%
Return After Taxes on Distributions
Class I	15.99	%	1.32	%	8.12	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	10.85	%	1.26	%	7.65	%
Russell 3000 ^{^®} Index (reflects no deductions for fees, expenses, or taxes)	16.42	%	2.04	%	7.68	%
S&P 500 ^{^®} Index (reflects no deductions for fees, expenses, or taxes)	16.00	%	1.66	%	7.10	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investments serves as the Fund's Manager. Institutional Capital LLC and Markston International LLC serve as the Fund's Subadvisors.


Subadvisors	Portfolio Managers	Service Date
Markston International LLC	Roger Lob, Member	Since 1987
	Christopher Mullarkey, Managing Member	Since 2002
	James Mulvey, Portfolio Manager	Since February 2013
Institutional Capital LLC	Thomas R. Wenzel, Senior Executive Vice President & Co-Director of Research	Since 2006
	Jerrold K. Senser, Chief Executive Officer & Chief Investment Officer	Since 2006
	Thomas M. Cole, Senior Executive Vice President & Co-Director of Research	Since 2012

How to Purchase and Sell Shares

Tax Information

MainStay MAP Fund

Compensation to Financial Intermediary Firms

MainStay S&P 500 Index Fund

Investment Objective

The Fund seeks investment results that correspond to the total return performance (reflecting reinvestment of dividends) of common stocks in the aggregate, as represented by the S&P 500 ^{^®} Index.

Fees and Expenses of the Fund


		Investor Class		Class A		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	3.00	%	3.00	%	None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.24	%	0.24	%	0.24	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	None
	Other Expenses	0.38	%	0.19	%	0.19	%
	Total Annual Fund Operating Expenses ³	0.87	%	0.68	%	0.43	%
	Waivers / Reimbursements ³	(0.08	)%	(0.08	)%	(0.08	)%
	Total Annual Fund Operating Expenses After Waivers / Reimbursements ³	0.79	%	0.60	%	0.35	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.25% on assets up to $1 billion; 0.225% on assets from $1 billion to $2 billion; 0.215% on assets from $2 billion to $3 billion; and 0.20% on assets in excess of $3 billion.

3. New York Life Investment Management LLC ("New York Life Investments") has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for Class A shares do not exceed 0.60% of its average daily net assets. New York Life Investments will apply an equivalent waiver or reimbursement, in an equal number of basis points, to the other share classes. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example


Expenses After	Investor	Class A	Class I
	Class
1 Year	$ 378	$ 359	$ 36
3 Years	$ 561	$ 503	$ 130
5 Years	$ 760	$ 660	$ 233
10 Years	$ 1,333	$ 1,114	$ 534

Portfolio Turnover

Principal Investment Strategies

The Fund normally invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in stocks as represented in the Standard & Poor's 500 ^{^®} Index ("S&P 500 ^{^®} Index”) in the same proportion, to the extent feasible.

MainStay S&P 500 Index Fund

The Fund may invest up to 20% of its total assets in options and futures contracts to maintain cash reserves, while being fully invested, to facilitate trading or to reduce transaction costs. The Fund may invest in such derivatives to try to enhance returns or reduce the risk of loss by hedging certain of its holdings.

Investment Process: Cornerstone Capital Management Holdings LLC, the Fund's Subadvisor, uses statistical techniques to determine which stocks are to be purchased or sold to replicate the S&P 500 ^{^®} Index to the extent feasible. From time to time, adjustments may be made in the Fund's holdings because of changes in the composition of the S&P 500 ^{^®} Index. The correlation between the investment performance of the Fund and the S&P 500 ^{^®} Index is expected to be at least 0.95, before charges, fees and expenses, on an annual basis. A correlation of 1.00 would indicate perfect correlation, which would be achieved when the net asset value of the Fund, including the value of its dividend and capital gains distributions, increases or decreases in exact proportion to changes in the S&P 500 ^{^®} Index.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

S&P 500 ^{^®} Index Risk: If the value of the S&P 500 ^{^®} Index declines, the net asset value of shares of the Fund will also decline. The Fund's ability to mirror the S&P 500 ^{^®} Index may be affected by, among other things, transaction costs; changes in either the composition of the S&P 500 ^{^®} Index or the number of shares outstanding for the components of the S&P 500 ^{^®} Index; and the timing and amount of contributions to, and redemptions from, the Fund by shareholders.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class A shares, first offered on January 2, 2004, include the historical performance of Class I shares through January 1, 2004. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008. The performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

MainStay S&P 500 Index Fund

Annual Returns, Class I Shares

(by calendar year 2003-2012)


Best Quarter
2Q/09	15.82	%
Worst Quarter
4Q/08	-21.95	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	11.77	%	0.45	%	6.14	%
Class A	11.87	%	0.51	%	6.17	%
Class I	15.64	%	1.40	%	6.82	%
Return After Taxes on Distributions
Class I	15.34	%	1.12	%	6.52	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	10.56	%	1.14	%	5.93	%
S&P 500 ^{^®} Index (reflects no deductions for fees, expenses, or taxes)	16.00	%	1.66	%	7.10	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. Cornerstone Capital Management Holdings LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
Cornerstone Capital Management Holdings LLC	Francis J. Ok, Senior Vice President	Since 1996
	Lee Baker, Vice President	Since 2008

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $1,000 applies if you invest in Investor Class shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class shares. However, for Investor Class shares purchased through AutoInvest, a monthly systematic investment plan, a $500 initial investment minimum ($50 for subsequent purchases) applies. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

MainStay S&P 500 Index Fund

Compensation to Financial Intermediary Firms

MainStay U.S. Equity Opportunities Fund

(formerly known as MainStay 130/30 Core Fund)

Investment Objective

The Fund seeks long-term growth of capital.

Fees and Expenses of the Fund


		Investor Class		Class A		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets)	1.00	%	1.00	%	1.00	%	1.00	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	None
	Other Expenses
	Dividend Expense on Securities Sold Short	0.27	%	0.25	%	0.26	%	0.26	%
	Broker Fees and Charges on Short Sales	0.80	%	0.80	%	0.80	%	0.80	%
	Remainder of Other Expenses	0.29	%	0.05	%	0.30	%	0.06	%
	Total Other Expenses	1.36	%	1.10	%	1.36	%	1.12	%
	Acquired (Underlying) Fund Fees and Expenses	0.02	%	0.02	%	0.02	%	0.02	%
	Total Annual Fund Operating Expenses ²	2.63	%	2.37	%	3.38	%	2.14	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. New York Life Investment Management LLC ("New York Life Investments") has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for Class A shares do not exceed 1.50% of its average daily net assets. New York Life Investments will apply an equivalent waiver or reimbursement, in an equal number of basis points, to the other share classes. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example

The 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 (except as indicated with respect to Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period
1 Year	$ 801	$ 777	$ 341	$ 441	$ 217
3 Years	$ 1,322	$ 1,249	$ 1,039	$ 1,039	$ 670
5 Years	$ 1,868	$ 1,746	$ 1,760	$ 1,760	$ 1,149
10 Years	$ 3,351	$ 3,107	$ 3,667	$ 3,667	$ 2,472

Portfolio Turnover

MainStay U.S. Equity Opportunities Fund

Principal Investment Strategies

The Fund normally invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in U.S. equity securities. The Fund primarily invests in common stocks of well-established U.S. companies, primarily those with large capitalizations, that are in the Russell 1000 ^{^®} Index or have market capitalizations that are similar to companies in that Index (which ranged from $296.4 million to $500.4 billion as of December 31, 2012). The Fund may also invest in equity securities with market capitalizations outside of the range of the Russell 1000 ^{^®} Index.

The Fund generally will hold long positions, either directly or through derivatives, equal to approximately 130% of the Fund's net assets, and short positions, either directly or through derivatives, equal to approximately 30% of the Fund's net assets. The proceeds from the short sales may be used to purchase all or a portion of the additional long positions. The long and short positions held by the Fund may vary over time as market opportunities develop. Under normal market conditions, the Fund's long positions may range from 120% to 140% of its net assets and its short positions may range from 20% to 40% of its net assets. The Fund's short sales positions are intended to allow the Fund to maintain additional long positions while keeping the Fund's net exposure to the market at a level similar to a "long only" strategy. As a result, the Fund intends to maintain an approximate 100% net long exposure to the equity market. Additionally, this long/short strategy enables the Fund to reflect both negative and positive views on individual stocks, and by employing this strategy, the Fund seeks to produce returns that exceed those of the Russell 1000 ^{^®} Index. However, in times of unusual or adverse market, economic, regulatory or political conditions, the Fund's long positions may be less than 120% of its net assets and/or its short positions may be less than 20% of its net assets. Periods of unusual or adverse market, economic, regulatory or political conditions may exist for as long as 6 months and, in some cases, longer.

The Fund may also invest in derivatives such as futures, options, forward commitments and swap agreements, including total return swaps, to try to enhance returns or reduce the risk of loss by hedging certain of its holdings. The Fund may also invest in real estate investment trusts ("REITs"). REITs are pooled investment vehicles that invest primarily in either real estate or real estate-related loans.

Investment Process: The Fund seeks to construct a broadly-diversified portfolio across sectors and industries using quantitative analysis to identify undervalued and overvalued securities. Investments are selected using an objective, disciplined and broadly-applied process while seeking to limit exposure to risk. Cornerstone Capital Management Holdings LLC, the Fund’s Subadvisor, seeks to control the Fund’s exposure to risk by diversifying the Fund’s portfolio over a large number of securities. Based on quantitative analysis, the Fund takes long positions in, or overweights relative to the Russell 1000 ^{^®} Index, equity securities ( i.e. , purchases securities outright) that the Subadvisor believes have a high probability of providing a total return greater than the Russell 1000 ^{^®} Index. Also, the Fund will underweight or sell short securities that it believes are likely to underperform. This means that the Fund may sell a security that it does not own, which it may do, for example, when the Subadvisor believes that the value of the security will decline.

In unusual market conditions, the Fund may invest all or a portion of its assets in investment grade notes and bonds, cash and cash equivalents.

The Subadvisor may sell a security, or reduce or eliminate a short position, if it no longer believes the security will contribute to meeting the investment objective of the Fund, if better opportunities are identified, or if it determines the initial investment expectations are not being met.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Short Selling Risk: If a security sold short increases in price, the Fund may have to cover its short position at a higher price than the short sale price, resulting in a loss. The Fund may have substantial short positions and must borrow those securities to make delivery to the buyer. The Fund may not be able to borrow a security that it needs to deliver or it may not be able to close out a short position at an acceptable price and may have to sell related long positions before it had intended to do so. Thus, the Fund may not be able to successfully implement its short sale strategy due to limited availability of desired securities or for other reasons. The Fund also may be required to pay a premium and other transaction costs, which

MainStay U.S. Equity Opportunities Fund

would increase the cost of the security sold short. The amount of any gain will be decreased, and the amount of any loss increased, by the amount of the premium, dividends, interest or expenses the Fund may be required to pay in connection with the short sale.

Until the Fund replaces a borrowed security, it is required to maintain a segregated account of cash or liquid assets with the Fund's custodian to cover the Fund's short position. Generally, securities held in a segregated account cannot be sold unless they are replaced with other liquid assets. The Fund's ability to access the pledged collateral may also be impaired in the event the broker fails to comply with the terms of the contract. In such instances the Fund may not be able to substitute or sell the pledged collateral. Additionally, the Fund must maintain sufficient liquid assets (less any additional collateral pledged to the broker), marked-to-market daily, to cover the short sale obligations. This may limit the Fund's investment flexibility, as well as its ability to meet redemption requests or other current obligations. Because losses on short sales arise from increases in the value of the security sold short, such losses are theoretically unlimited. By contrast, a loss on a long position arises from decreases in the value of the security and is limited by the fact that a security's value cannot go below zero.

By investing the proceeds received from selling securities short, the Fund could be deemed to be employing a form of leverage, which creates special risks. The use of leverage may increase the Fund's exposure to long positions and make any change in the Fund's net asset value greater than it would be without the use of leverage. This could result in increased volatility of returns. There is no guarantee that the Fund will leverage its portfolio, or if it does, that the Fund's leveraging strategy will be successful or that it will produce a higher return on an investment.

Regulatory Risk: Regulatory authorities in the United States or other countries may prohibit or restrict the ability of the Fund to fully implement its short-selling strategy, either generally or with respect to certain industries or countries, which may impact the Fund's ability to fully implement its investment strategies. Certain foreign countries have adopted, and others may adopt, rules restricting the short-selling of certain stocks. Typically, these restrictions have been focused on financial stocks. The duration and scope of these restrictions have varied from country to country.

Derivatives Risk: Derivatives are investments whose value depends on (or is derived from) the value of an underlying instrument, such as a security, asset, reference rate or index. Derivative strategies often involve leverage, which may exaggerate a loss, potentially causing the Fund to lose more money than it would have lost had it invested in the underlying instrument. Derivatives may be difficult to sell, unwind or value. Derivatives may also be subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable to honor its contractual obligations to the Fund. Swap transactions tend to shift the Fund's investment exposure from one type of investment to another, and therefore entail the risk that a party will default on its payment obligations to the Fund. Futures may be more volatile than direct investments in the instrument underlying the futures, and may not correlate perfectly to the underlying instrument. Futures also may involve a small initial investment relative to the risk assumed, which could result in losses greater than if they had not been used. Due to fluctuations in the price of the underlying security, the Fund may not be able to profitably exercise an option and may lose its entire investment in an option. Forward commitments entail the risk that the instrument may be worth less when it is issued or received than the price the Fund agreed to pay when it made the commitment. The use of foreign currency forwards may result in currency exchange losses due to fluctuations in currency exchange rates or an imperfect correlation between portfolio holdings denominated in a particular currency and the forward contracts entered into by the Fund.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. The Fund commenced operations on June 29, 2007. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008, adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer class would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

MainStay U.S. Equity Opportunities Fund

Annual Returns, Class I Shares

(by calendar year 2008-2012)


Best Quarter
3Q/09	15.03	%
Worst Quarter
4Q/08	-22.09	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		Life of Fund
Return Before Taxes
Investor Class	8.63	%	-1.01	%	-2.67	%
Class A	8.84	%	-0.81	%	-2.49	%
Class C	13.04	%	-0.65	%	-2.41	%
Class I	15.45	%	0.55	%	-1.26	%
Return After Taxes on Distributions
Class I	14.08	%	0.02	%	-1.75	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	11.46	%	0.40	%	-1.14	%
Russell 1000 ^{^®} Index (reflects no deductions for fees, expenses, or taxes)	16.42	%	1.92	%	1.50	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. Cornerstone Capital Management Holdings LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
Cornerstone Capital Management Holdings LLC	Mona Patni, Vice President	Since 2007
	Andrew Ver Planck, Senior Vice President	Since February 2013

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $1,000 applies if you invest in Investor Class or Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class and Class C shares. However, for Investor Class and Class C shares purchased through AutoInvest, a monthly systematic investment plan, a $500 initial investment minimum ($50 for subsequent purchases) applies. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

MainStay U.S. Equity Opportunities Fund

Tax Information

Compensation to Financial Intermediary Firms

MainStay U.S. Small Cap Fund

Investment Objective

The Fund seeks long-term capital appreciation by investing primarily in securities of small-cap companies.

Fees and Expenses of the Fund


		Investor Class		Class A		Class B		Class C		Class I		Class R1		Class R2
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None		None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None		None		None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.85	%	0.85	%	0.85	%	0.85	%	0.85	%	0.85	%	0.85	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None		None		0.25	%
	Other Expenses	0.59	%	0.29	%	0.59	%	0.59	%	0.29	%	0.42	%	0.42	%
	Total Annual Fund Operating Expenses	1.69	%	1.39	%	2.44	%	2.44	%	1.14	%	1.27	%	1.52	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.85% on assets up to $1 billion; and 0.80% on assets in excess of $1 billion.

Example

The 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 (except as indicated with respect to Class B and Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class B		Class C		Class I	Class R1	Class R2
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 712	$ 684	$ 247	$ 747	$ 247	$ 347	$ 116	$ 129	$ 155
3 Years	$ 1,053	$ 966	$ 761	$ 1,061	$ 761	$ 761	$ 362	$ 403	$ 480
5 Years	$ 1,417	$ 1,269	$ 1,301	$ 1,501	$ 1,301	$ 1,301	$ 628	$ 697	$ 829
10 Years	$ 2,438	$ 2,127	$ 2,591	$ 2,591	$ 2,776	$ 2,776	$ 1,386	$ 1,534	$ 1,813

Portfolio Turnover

Principal Investment Strategies

The Fund normally invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in equity securities of U.S. companies with market capitalizations at the time of investment of $3.5 billion or less, which include common stocks, securities convertible into common stock and exchange traded funds ("ETFs") whose underlying securities are issued by small capitalization companies. The Fund may also invest in mid-cap stocks. Securities of U.S. companies are those traded primarily in the U.S. securities markets.

MainStay U.S. Small Cap Fund

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Exchange Traded Fund Risk: The risks of owning an ETF generally reflect the risks of owning the underlying securities they are designed to track, although lack of liquidity in an ETF could result in it being more volatile than the underlying portfolio of securities. Disruptions in the markets for the securities underlying ETFs purchased or sold by the Fund could result in losses on the Fund's investment in ETFs. ETFs also have management fees that increase their costs versus the costs of owning the underlying securities directly.

Past Performance

MainStay U.S. Small Cap Fund

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class A and B shares, first offered on January 2, 2004, include the historical performance of Class I shares through January 1, 2004. Performance figures for Class C shares, first offered on January 2, 2004, include the historical performance of the L Class shares (which were redesignated as Class C shares on January 2, 2004) from December 30, 2002 through January 1, 2004 and the historical performance of the Class I shares through December 29, 2002. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008. Performance for Class R1 and Class R2 shares, first offered on July 31, 2012, include the historical performance of Class I shares through July 30, 2012. The performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class I Shares

(by calendar year 2003-2012)


Best Quarter
2Q/09	38.29	%
Worst Quarter
4Q/08	-25.23	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	5.88	%	3.45	%	8.87	%
Class A	6.17	%	3.65	%	8.98	%
Class B	6.16	%	3.50	%	8.66	%
Class C	10.17	%	3.85	%	8.68	%
Class I	12.56	%	5.16	%	9.99	%
Class R1	12.45	%	5.06	%	9.88	%
Class R2	12.21	%	4.80	%	9.61	%
Return After Taxes on Distributions
Class I	12.39	%	4.95	%	8.96	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	8.20	%	4.34	%	8.47	%
Russell 2500™ Index (reflects no deductions for fees, expenses, or taxes)	17.88	%	4.34	%	10.49	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. Epoch Investment Partners, Inc. serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
Epoch Investment Partners, Inc.	David Pearl, Executive Vice President & Co-Chief Investment Officer	Since 2009
	Michael Welhoelter, Managing Director	Since 2009
	Janet K. Navon, Managing Director	Since 2011

MainStay U.S. Small Cap Fund

How to Purchase and Sell Shares

Tax Information

Compensation to Financial Intermediary Firms

MainStay Epoch Global Choice Fund

Investment Objective

The Fund seeks long-term capital appreciation.

Fees and Expenses of the Fund


		Investor Class		Class A		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets)	1.00	%	1.00	%	1.00	%	1.00	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	None
	Other Expenses	0.46	%	0.23	%	0.46	%	0.23	%
	Total Annual Fund Operating Expenses ²	1.71	%	1.48	%	2.46	%	1.23	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. New York Life Investment Management LLC ("New York Life Investments") has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for Class A shares do not exceed 1.54% of its average daily net assets. New York Life Investments will apply an equivalent waiver or reimbursement, in an equal number of basis points, to the other share classes. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example

The 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 (except as indicated with respect to Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period
1 Year	$ 714	$ 692	$ 249	$ 349	$ 125
3 Years	$ 1,059	$ 992	$ 767	$ 767	$ 390
5 Years	$ 1,427	$ 1,313	$ 1,311	$ 1,311	$ 676
10 Years	$ 2,458	$ 2,221	$ 2,796	$ 2,796	$ 1,489

Portfolio Turnover

Principal Investment Strategies

The Fund generally invests in a portfolio consisting of equity securities of companies across all market capitalizations. Under normal circumstances, the Fund will invest at least 80% of its net assets in equity securities of companies located throughout the world. U.S. equity securities include common stocks and depositary receipts. Under normal market conditions, the Fund will invest a significant amount of its assets (at least 40%, unless Epoch Investment Partners, Inc., the Fund's Subadvisor, deems market conditions to be unfavorable, in which case the Fund will invest at

MainStay Epoch Global Choice Fund

least 30%) in securities of foreign companies. Generally, foreign companies are companies organized outside the U.S. and that trade primarily in non-U.S. securities markets. The Fund will normally invest in companies located in at least three countries outside of the U.S. Although the Fund may invest in securities across all market capitalizations, it may at any given time invest a significant portion of its assets in companies of one particular market capitalization category when the Fund's Subadvisor believes such companies offer attractive opportunities.

The Fund typically holds between 20 and 35 securities, which may be denominated in both U.S. and non-U.S. currencies.

Investment Process: The Subadvisor invests primarily in companies that generate increasing levels of free cash flow and have managements that use it to create returns for shareholders.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Past Performance

Performance figures for Class I and Class A shares reflect the historical performance of the Institutional shares and Class P shares, respectively, of the Epoch U.S. All Cap Equity Fund (the predecessor to the Fund, which was subject to a different fee structure, and had different principal investment strategies and investment process, and for which Epoch Investment Partners, Inc. served as investment adviser) for periods prior to November 16, 2009. Performance data for the classes varies based on differences in their fee and expense structures. The Fund commenced operations on July 25, 2005. Class A shares (formerly Class P shares) were first offered on August 15, 2006. Performance figures for Class C and Investor Class shares, first offered November 16, 2009, reflect the historical performance of Class I shares through November 15, 2009, adjusted

MainStay Epoch Global Choice Fund

for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class I Shares

(by calendar year 2006-2012)


Best Quarter
2Q/09	15.66	%
Worst Quarter
4Q/08	-23.70	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		Life of Fund
Return Before Taxes
Investor Class	11.06	%	-1.99	%	1.43	%
Class A	11.30	%	-1.87	%	1.48	% ^*
Class C	15.68	%	-1.26	%	1.70	%
Class I	18.06	%	-0.14	%	2.81	%
Return After Taxes on Distributions
Class I	18.07	%	-0.22	%	2.58	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	11.93	%	-0.15	%	2.35	%
MSCI World Index (reflects no deductions for fees, expenses, or taxes)	15.83	%	-1.18	%	3.86	%

* Reflects performance from August 15, 2006.

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. Epoch Investment Partners, Inc. serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
Epoch Investment Partners, Inc.	William Priest, Chief Executive Officer & Co-Chief Investment Officer	Since 2009
	Michael Welhoelter, Managing Director	Since 2009
	David Pearl, Executive Vice President & Co-Chief Investment Officer	Since 2011

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $2,500 applies if you invest in Investor Class or Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class and Class C shares. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

MainStay Epoch Global Choice Fund

Tax Information

Compensation to Financial Intermediary Firms

MainStay Epoch Global Equity Yield Fund

Investment Objective

The Fund seeks a high level of income. Capital appreciation is a secondary investment objective.

Fees and Expenses of the Fund


		Investor Class		Class A		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets)	0.70	%	0.70	%	0.70	%	0.70	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	None
	Other Expenses	0.18	%	0.18	%	0.18	%	0.18	%
	Total Annual Fund Operating Expenses	1.13	%	1.13	%	1.88	%	0.88	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

Example

The 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 (except as indicated with respect to Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period
1 Year	$ 659	$ 659	$ 191	$ 291	$ 90
3 Years	$ 889	$ 889	$ 591	$ 591	$ 281
5 Years	$ 1,138	$ 1,138	$ 1,016	$ 1,016	$ 488
10 Years	$ 1,849	$ 1,849	$ 2,201	$ 2,201	$ 1,084

Portfolio Turnover

Principal Investment Strategies

The Fund generally invests in a diversified portfolio consisting of equity securities of companies located throughout the world, including the U.S., that have a history of attractive dividend yields and positive growth in operating cash flow. Under normal circumstances, the Fund invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in equity securities of dividend-paying companies across all market capitalizations. Equity securities include common stocks and depositary receipts. The Fund may invest up to 20% of its net assets in securities issued by companies located in emerging markets when the Fund's Subadvisor, Epoch Investment Partners, Inc., believes they represent attractive investment opportunities. Securities held by the Fund may be denominated in both U.S. and non-U.S. currencies. Under normal market conditions, the Fund will invest a significant amount of its net assets (at least 40%, unless the Subadvisor deems market conditions to be unfavorable, in which case the Fund will invest at least 30%) in securities of foreign companies. Generally, foreign companies are companies organized outside the U.S.

MainStay Epoch Global Equity Yield Fund

and that trade primarily in non-U.S. securities markets. The Fund will normally invest in companies located in at least three countries outside of the U.S. The Fund seeks a dividend yield greater than the dividend yield of the MSCI World Index.

Investment Process: The Subadvisor invests primarily in companies that generate increasing levels of free cash flow and have managements that use it to create returns for shareholders.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Emerging Markets Risk: The risks related to investing in foreign securities are generally greater with respect to securities of companies that conduct their business activities in emerging markets or whose securities are traded principally in emerging markets. The risks of investing in emerging markets include the risks of illiquidity, increased price volatility, smaller market capitalizations, less government regulation, less extensive and less frequent accounting, financial and other reporting requirements, risk of loss resulting from problems in share registration and custody, substantial economic and political disruptions and the nationalization of foreign deposits or assets.

Past Performance

MainStay Epoch Global Equity Yield Fund

Performance figures for Class I and Class A shares reflect the historical performance of the Institutional shares and Class P shares, respectively, of the Epoch Global Equity Shareholder Yield Fund (the predecessor to the Fund, which was subject to a different fee structure, and for which Epoch Investment Partners, Inc. served as investment adviser) for periods prior to November 16, 2009. Performance data for the classes varies based on differences in their fee and expense structures. The Fund commenced operations on December 27, 2005. Class A shares (formerly Class P shares) were first offered on August 2, 2006. Performance figures for Class C and Investor Class shares, first offered November 16, 2009, reflect the historical performance of Class I shares through November 15, 2009, adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class I Shares

(by calendar year 2006-2012)


Best Quarter
3Q/10	14.30	%
Worst Quarter
4Q/08	-15.14	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		Life of Fund
Return Before Taxes
Investor Class	4.46	%	0.50	%	4.74	%
Class A	4.57	%	0.49	%	3.70	% ^*
Class C	8.74	%	0.83	%	4.73	%
Class I	10.86	%	1.79	%	5.74	%
Return After Taxes on Distributions
Class I	10.34	%	1.13	%	4.64	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	7.72	%	1.32	%	4.47	%
MSCI World Index (reflects no deductions for fees, expenses, or taxes)	15.83	%	-1.18	%	2.97	%

* Reflects performance from August 2, 2006.

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

MainStay Epoch Global Equity Yield Fund

Management

New York Life Investment Management LLC serves as the Fund's Manager. Epoch Investment Partners, Inc. serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
Epoch Investment Partners, Inc.	Eric Sappenfield, Managing Director	Since 2009
	Michael Welhoelter, Managing Director	Since 2009
	William Priest, Chief Executive Officer & Co-Chief Investment Officer	Since 2009

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $2,500 applies if you invest in Investor Class or Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class and Class C shares. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

Compensation to Financial Intermediary Firms

MainStay Epoch International Small Cap Fund

Investment Objective

The Fund seeks long-term capital appreciation.

Fees and Expenses of the Fund


		Investor Class		Class A		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	1.10	%	1.10	%	1.10	%	1.10	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	None
	Other Expenses	0.41	%	0.29	%	0.41	%	0.29	%
	Total Annual Fund Operating Expenses ^2,3	1.76	%	1.64	%	2.51	%	1.39	%
	Waivers / Reimbursements ^2,3	(0.05	)%	(0.05	)%	(0.05	)%	(0.05	)%
	Total Annual Fund Operating Expenses After Waivers / Reimbursements ^2,3	1.71	%	1.59	%	2.46	%	1.34	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is 1.10% on all assets. New York Life Investment Management LLC (“New York Life Investments”) has contractually agreed to waive a portion of its management fee so that the management fee does not exceed 1.05%. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

3. New York Life Investments has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for Class A shares do not exceed 1.65% of its average daily net assets. New York Life Investments will apply an equivalent waiver or reimbursement, in an equal number of basis points, to the other share classes. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example

The 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 (except as indicated with respect to Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period
1 Year	$ 714	$ 703	$ 249	$ 349	$ 136
3 Years	$ 1,069	$ 1,034	$ 777	$ 777	$ 435
5 Years	$ 1,447	$ 1,388	$ 1,331	$ 1,331	$ 756
10 Years	$ 2,505	$ 2,383	$ 2,842	$ 2,842	$ 1,664

Portfolio Turnover

MainStay Epoch International Small Cap Fund

Principal Investment Strategies

The Fund seeks to achieve its investment objective by investing in a diversified portfolio consisting mostly of equity securities of companies located outside the U.S., which may include companies in emerging markets. Under normal circumstances, the Fund will invest at least 80% of its assets (net assets plus any borrowings for investment purposes) in the equity securities of "small capitalization" companies located outside of the U.S. Equity securities include common stock, depository receipts, and securities convertible into common stock, such as warrants, rights, convertible bonds, debentures and convertible preferred stocks. Typically, a company is considered to be a "small capitalization" company if it has, at the time of purchase by the Fund, a market capitalization that is below $5 billion or in the range of the companies included in the MSCI World Ex U.S. Small Cap Index (which ranged from approximately $47.3 million to $4.9 billion as of December 31, 2012). The Fund will normally invest in companies located in at least three countries outside of the U.S. A company is considered to be located in a particular country if it: (i) is organized under the laws of the country; (ii) has securities which are principally traded on a stock exchange in the country; (iii) derives at least 50% of its revenues from goods produced or sold, investments made, or services performed in the country; or (iv) maintains at least 50% of its assets in the country. Although the Fund is not subject to any additional geographic requirement, the Fund expects that the majority of its investments will be in the developed markets of Canada, Western Europe, Asia and Australasia. The Fund may invest more than 25% of its net assets in securities of companies located in each of the United Kingdom and Japan. In order to gain additional exposure to the international, small capitalization market, the Fund may also invest in exchange traded funds ("ETFs"), whose underlying securities are issued by international small capitalization companies.

Investment Process: Epoch Investment Partners, Inc., the Fund's Subadvisor, invests primarily in companies that generate free cash flow and have managements that use it to create returns for shareholders.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Small-Cap Stock Risk: Stocks of small capitalization companies may be subject to greater price volatility, significantly lower trading volumes, cyclical, static or moderate growth prospects, and greater spreads between bid and ask prices than stocks of larger companies. Small-capitalization companies may be more vulnerable to adverse business or market developments.

MainStay Epoch International Small Cap Fund

to changes in the economy, such as a recession or a sustained period of rising interest rates, which could affect their ability to make interest and principal payments. If an issuer stops making interest and/or principal payments, the Fund could lose its entire investment.

Past Performance

Performance figures for Class I and Class A shares reflect the historical performance of the Institutional shares and Class P shares, respectively, of the Epoch International Small Cap Fund (the predecessor to the Fund, which was subject to a different fee structure, and for which Epoch Investment Partners, Inc. served as investment adviser) for periods prior to November 16, 2009. Performance data for the classes varies based on differences in their fee and expense structures. The Fund commenced operations on January 25, 2005. Class A shares (formerly Class P shares) were first offered on August 2, 2006. Performance figures for Class C and Investor Class shares, first offered November 16, 2009, reflect the historical performance of Class I shares through November 15, 2009, adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class I Shares

(by calendar year 2006-2012)


Best Quarter
2Q/09	28.06	%
Worst Quarter
3Q/08	-26.68	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		Life of Fund
Return Before Taxes
Investor Class	12.40	%	-3.84	%	5.81	%
Class A	12.56	%	-3.83	%	1.54	% ^*
Class C	17.05	%	-3.31	%	5.91	%
Class I	19.35	%	-2.33	%	6.98	%
Return After Taxes on Distributions
Class I	19.20	%	-2.87	%	6.02	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	13.40	%	-2.19	%	5.76	%
MSCI World Ex U.S. Small Cap Index (reflects no deductions for fees, expenses, or taxes)	17.48	%	-0.70	%	5.17	%

* Reflects performance from August 2, 2006.

MainStay Epoch International Small Cap Fund

deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. Epoch Investment Partners, Inc. serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
Epoch Investment Partners, Inc.	Eric Citerne, Managing Director	Since 2011
	Michael Welhoelter, Managing Director	Since 2009
	William Priest, Chief Executive Officer & Co-Chief Investment Officer	Since 2009

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $2,500 applies if you invest in Investor Class or Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class and Class C shares. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

Compensation to Financial Intermediary Firms

MainStay ICAP Global Fund

Investment Objective

The Fund seeks total return.

Fees and Expenses of the Fund


		Investor Class		Class A		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets)	0.80	%	0.80	%	0.80	%	0.80	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	None
	Other Expenses	0.54	%	0.33	%	0.54	%	0.33	%
	Total Annual Fund Operating Expenses ²	1.59	%	1.38	%	2.34	%	1.13	%
	Waivers / Reimbursements ²	(0.39	)%	(0.23	)%	(0.39	)%	(0.23	)%
	Total Annual Fund Operating Expenses After Waivers / Reimbursements ²	1.20	%	1.15	%	1.95	%	0.90	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. New York Life Investment Management LLC ("New York Life Investments") has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for a class do not exceed the following amounts of average daily net assets: Investor Class, 1.20%; Class A, 1.15%; Class C, 1.95%; and Class I, 0.90%. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example

The 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 (except as indicated with respect to Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period
1 Year	$ 666	$ 661	$ 198	$ 298	$ 92
3 Years	$ 988	$ 942	$ 693	$ 693	$ 336
5 Years	$ 1,333	$ 1,243	$ 1,215	$ 1,215	$ 600
10 Years	$ 2,304	$ 2,097	$ 2,646	$ 2,646	$ 1,354

Portfolio Turnover

Principal Investment Strategies

The Fund invests primarily in equity securities of U.S. and foreign companies with market capitalizations (at the time of investment) of at least $3 billion. The Fund invests in equity securities of companies that trade in developed, emerging or developing markets. The Fund's investments may be publicly traded in the U.S. or on a foreign exchange, and may be bought or sold in a foreign currency. The Fund seeks to achieve a total return

MainStay ICAP Global Fund

greater than the MSCI World Index. Under normal market conditions, the Fund will invest a significant amount of its total assets (at least 40%, unless the Subadvisor deems market conditions to be unfavorable, in which case the Fund will invest at least 30%) in securities of companies organized or located outside the U.S. or doing a substantial amount of business outside the U.S. The Fund will allocate its assets among companies of various countries (at least three different countries), including the U.S.

The Fund will typically hold between 40 and 60 securities. The Fund invests in common stocks and other equity securities and currencies. Other equity securities may include American Depositary Receipts, European Depositary Receipts, Global Depositary Receipts, real estate investment trusts ("REITs"), warrants, preferred stocks and other securities convertible or exchangeable into common stock. Common stocks of foreign companies are generally equity securities issued by a company organized outside of the U.S. and are traded primarily in markets outside the U.S. The Fund may invest in foreign currency transactions (forwards) and futures transactions, which are types of derivative transactions, to enhance returns or reduce the risk of loss by hedging certain of its holdings.

ICAP continuously monitors each security and evaluates whether to eliminate it when its price target is achieved, the catalyst becomes inoperative or another stock offers a greater opportunity.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

MainStay ICAP Global Fund

Derivatives Risk: Derivatives are investments whose value depends on (or is derived from) the value of an underlying instrument, such as a security, asset, reference rate or index. Derivative strategies often involve leverage, which may exaggerate a loss, potentially causing the Fund to lose more money than it would have lost had it invested in the underlying instrument. Derivatives may be difficult to sell, unwind or value. Derivatives may also be subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable to honor its contractual obligations to the Fund. Futures may be more volatile than direct investments in the instrument underlying the futures, and may not correlate perfectly to the underlying instrument. Futures also may involve a small initial investment relative to the risk assumed, which could result in losses greater than if they had not been used. Forward commitments entail the risk that the instrument may be worth less when it is issued or received than the price the Fund agreed to pay when it made the commitment. The use of foreign currency forwards may result in currency exchange losses due to fluctuations in currency exchange rates or an imperfect correlation between portfolio holdings denominated in a particular currency and the forward contracts entered into by the Fund.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. The Fund commenced operations on April 30, 2008. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class I Shares

(by calendar year 2009-2012)


Best Quarter
2Q/09	20.36	%
Worst Quarter
3Q/11	-18.51	%

MainStay ICAP Global Fund

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		Life of Fund
Return Before Taxes
Investor Class	10.49	%	-1.23	%
Class A	10.65	%	-1.14	%
Class C	15.05	%	-0.74	%
Class I	17.23	%	0.30	%
Return After Taxes on Distributions
Class I	17.09	%	0.03	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	11.75	%	0.22	%
MSCI World Index (reflects no deductions for fees, expenses, or taxes)	15.83	%	-0.33	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. Institutional Capital LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
Institutional Capital LLC	Jerrold K. Senser, Chief Executive Officer & Chief Investment Officer	Since 2008
	Thomas R. Wenzel, Senior Executive Vice President & Co-Director of Research	Since 2008
	Thomas M. Cole, Senior Executive Vice President & Co-Director of Research	Since 2012

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $1,000 applies if you invest in Investor Class or Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class and Class C shares. However, for Investor Class and Class C shares purchased through AutoInvest, a monthly systematic investment plan, a $500 initial investment minimum ($50 for subsequent purchases) applies. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

Compensation to Financial Intermediary Firms

MainStay ICAP International Fund

Investment Objective

The Fund seeks total return.

Fees and Expenses of the Fund


		Investor Class		Class A		Class C		Class I		Class R1		Class R2		Class R3
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None		None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	1.00	%	None		None		None		None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.80	%	0.80	%	0.80	%	0.80	%	0.80	%	0.80	%	0.80	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	None		None		0.25	%	0.50	%
	Other Expenses	0.40	%	0.26	%	0.40	%	0.26	%	0.36	%	0.36	%	0.36	%
	Total Annual Fund Operating Expenses ³	1.45	%	1.31	%	2.20	%	1.06	%	1.16	%	1.41	%	1.66	%
	Waivers / Reimbursements ³	0.00	%	0.00	%	0.00	%	(0.11	)%	0.00	%	0.00	%	0.00	%
	Total Annual Fund Operating Expenses After Waivers / Reimbursements ³	1.45	%	1.31	%	2.20	%	0.95	%	1.16	%	1.41	%	1.66	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.80% on assets up to $5 billion; and 0.775% on assets in excess of $5 billion.

3. New York Life Investment Management LLC ("New York Life Investments") has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for Class I shares do not exceed 0.95% of its average daily net assets. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example

The 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 (except as indicated with respect to Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class C		Class I	Class R1	Class R2	Class R3
	Class		Assuming no redemption	Assuming redemption at end of period
1 Year	$ 689	$ 676	$ 223	$ 323	$ 97	$ 118	$ 144	$ 169
3 Years	$ 983	$ 942	$ 688	$ 688	$ 326	$ 368	$ 446	$ 523
5 Years	$ 1,299	$ 1,229	$ 1,180	$ 1,180	$ 574	$ 638	$ 771	$ 902
10 Years	$ 2,190	$ 2,042	$ 2,534	$ 2,534	$ 1,284	$ 1,409	$ 1,691	$ 1,965

Portfolio Turnover

MainStay ICAP International Fund

Principal Investment Strategies

The Fund invests primarily in equity securities of foreign companies with market capitalizations (at the time of investment) of at least $3 billion. The Fund invests in equity securities of companies that trade in developed, emerging or developing markets. The Fund's investments may be publicly traded in the U.S. or on a foreign exchange, and may be bought or sold in a foreign currency. The Fund seeks to achieve a total return greater than the MSCI EAFE ^{^®} Index.

Under normal circumstances, the Fund will typically hold between 30 and 50 securities. The Fund intends to have at all times a majority of assets invested in foreign companies, with significant investments in at least three countries outside the United States. The Fund invests in foreign common stocks and other equity securities and currencies. Other equity securities may include American Depositary Receipts, European Depositary Receipts, Global Depositary Receipts, real estate investment trusts ("REITs"), warrants, preferred stocks and other securities convertible or exchangeable into common stock. Common stocks of foreign companies are generally equity securities issued by a company organized outside of the U.S. and are traded primarily in markets outside the U.S. The Fund may invest in foreign currency transactions (forwards) and futures transactions, which are types of derivative transactions, to enhance returns or reduce the risk of loss by heding certain of its holdings.

ICAP continuously monitors each security and evaluates whether to eliminate it when its price target is achieved, the catalyst becomes inoperative or another stock offers a greater opportunity.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

MainStay ICAP International Fund

Derivatives Risk: Derivatives are investments whose value depends on (or is derived from) the value of an underlying instrument, such as a security, asset, reference rate or index. Derivative strategies often involve leverage, which may exaggerate a loss, potentially causing the Fund to lose more money than it would have lost had it invested in the underlying instrument. Derivatives may be difficult to sell, unwind or value. Derivatives may also be subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable to honor its contractual obligations to the Fund. Futures may be more volatile than direct investments in the instrument underlying the futures, and may not correlate perfectly to the underlying instrument. Futures also may involve a small initial investment relative to the risk assumed, which could result in losses greater than if they had not been used. Forward commitments entail the risk that the instrument may be worth less when it is issued or received than the price the Fund agreed to pay when it made the commitment. The use of foreign currency forwards may result in currency exchange losses due to fluctuations in currency exchange rates or an imperfect correlation between portfolio holdings denominated in a particular currency and the forward contracts entered into by the Fund.

Past Performance

Annual Returns, Class I Shares

(by calendar year 2003-2012)


Best Quarter
2Q/09	22.50	%
Worst Quarter
3Q/02	-23.77	%

MainStay ICAP International Fund

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	9.83	%	-4.05	%	9.09	%
Class A	9.94	%	-3.88	%	9.18	%
Class C	14.34	%	-3.68	%	8.88	%
Class I	16.78	%	-2.46	%	10.13	%
Class R1	16.64	%	-2.59	%	10.00	%
Class R2	16.24	%	-2.89	%	9.70	%
Class R3	15.94	%	-3.13	%	9.42	%
Return After Taxes on Distributions
Class I	16.71	%	-2.57	%	9.39	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	11.66	%	-1.90	%	8.92	%
MSCI EAFE ^{^®} Index (reflects no deductions for fees, expenses, or taxes)	17.32	%	-3.69	%	8.21	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. Institutional Capital LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
Institutional Capital LLC	Jerrold K. Senser, Chief Executive Officer & Chief Investment Officer	Since 1997
	Thomas R. Wenzel, Senior Executive Vice President & Co-Director of Research	Since 1997
	Thomas M. Cole, Senior Executive Vice President & Co-Director of Research	Since 2012

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $1,000 applies if you invest in Investor Class and Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies for investments in Investor Class and Class C shares. However, for Investor Class and Class C shares investing through AutoInvest, a monthly systematic investment plan, a $500 initial investment minimum ($50 for subsequent purchases) applies. Class R1, Class R2, Class R3 shares and institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

Compensation to Financial Intermediary Firms

MainStay International Equity Fund

Investment Objective

The Fund seeks long-term growth of capital.

Fees and Expenses of the Fund


		Investor Class		Class A		Class B		Class C		Class I		Class R1		Class R2		Class R3
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None		None		None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None		None		None		None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.89	%	0.89	%	0.89	%	0.89	%	0.89	%	0.89	%	0.89	%	0.89	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None		None		0.25	%	0.50	%
	Other Expenses	0.60	%	0.26	%	0.60	%	0.60	%	0.26	%	0.36	%	0.36	%	0.36	%
	Total Annual Fund Operating Expenses	1.74	%	1.40	%	2.49	%	2.49	%	1.15	%	1.25	%	1.50	%	1.75	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.89% on assets up to $500 million and 0.85% on assets in excess of $500 million.

Example


Expenses After	Investor	Class A	Class B		Class C		Class I	Class R1	Class R2	Class R3
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 717	$ 685	$ 252	$ 752	$ 252	$ 352	$ 117	$ 127	$ 153	$ 178
3 Years	$ 1,068	$ 969	$ 776	$ 1,076	$ 776	$ 776	$ 365	$ 397	$ 474	$ 551
5 Years	$ 1,442	$ 1,274	$ 1,326	$ 1,526	$ 1,326	$ 1,326	$ 633	$ 686	$ 818	$ 949
10 Years	$ 2,489	$ 2,137	$ 2,642	$ 2,642	$ 2,826	$ 2,826	$ 1,398	$ 1,511	$ 1,791	$ 2,062

Portfolio Turnover

MainStay International Equity Fund

Principal Investment Strategies

The Fund invests in those companies that meet the quality and valuation criteria of Cornerstone Capital Management Holdings LLC, the Fund's Subadvisor.

The Fund normally invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in equity securities of issuers, wherever organized, which operate mainly outside the U.S. The Fund invests in securities of companies which conduct business in a variety of countries, with a minimum of five countries other than the U.S. This includes countries with established economies as well as emerging market countries that the Subadvisor believes present favorable opportunities. The Fund may also invest in exchange traded funds ("ETFs").

Investment Process : The Subadvisor seeks to identify investment opportunities through “bottom-up” analysis and fundamental research. The Subadvisor performs research to identify reasonably priced companies with competitive market advantages that it believes are able to benefit from long-term market trends and that the Subadvisor believes are able to sustainably grow earnings over time regardless of economic climate. Allocations to countries and industries are also a result of the "bottom-up" stock selection process and, as a result, may deviate from the country and industry weightings in the benchmark. The Fund may not perform as well as its peers or benchmark during periods when the stock market favors the securities of businesses with low-quality earnings.

Generally, the Fund seeks to limit its investments in securities of: (i) any one company; (ii) companies in the same industry; (iii) companies located in any one country; and (iv) companies located in emerging markets (currently limited to 15% of the Fund’s assets measured at the time of investment).

The Subadvisor may sell a security if it no longer believes the security will contribute to meeting the investment objective of the Fund. In considering whether to sell a security, the Subadvisor may evaluate, among other things, whether the security has approached full valuation, if the investment thesis is invalidated, if superior opportunities to redeploy exist or emerge, or if industry group or country weights or individual positions need to be adjusted.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Equity Securities Risk: Investments in common stocks and other equity securities are particularly subject to the risk of changing economic, stock market, industry and company conditions and the risks inherent in the portfolio manager's ability to anticipate such changes that can adversely affect the value of the Fund's holdings. Opportunity for greater gain often comes with greater risk of loss.

Past Performance

MainStay International Equity Fund

periods compare to those of two broad-based securities market indices. The Fund has selected the MSCI EAFE ^{^®} Index as its primary benchmark. The MSCI EAFE ^{^®} Index consists of international stocks representing the developed world outside of North America. The Fund has selected the MSCI ACWI ^{^®} (All Country World Index) Ex U.S. as a secondary benchmark. The MSCI ACWI ^{^®} Ex U.S. is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets, excluding the United States of America.

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class I, R1 and R2 shares, first offered on January 2, 2004, include the historical performance of Class B shares through January 1, 2004. Performance figures for Class R3 shares, first offered on April 28, 2006, include the historical performance of Class B shares through April 27, 2006. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008. The performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class B Shares

(by calendar year 2003-2012)


Best Quarter
2Q/03	17.23	%
Worst Quarter
3Q/11	-19.57	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	12.02	%	-3.18	%	6.69	%
Class A	12.52	%	-2.90	%	6.84	%
Class B	12.65	%	-3.19	%	6.47	%
Class C	16.76	%	-2.82	%	6.48	%
Class I	19.29	%	-1.52	%	7.87	%
Class R1	19.15	%	-1.62	%	7.73	%
Class R2	18.86	%	-1.86	%	7.49	%
Class R3	18.62	%	-2.09	%	7.15	%
Return After Taxes on Distributions
Class B	12.65	%	-3.51	%	5.91	%
Return After Taxes on Distributions and Sale of Fund Shares
Class B	8.22	%	-2.65	%	5.72	%
MSCI EAFE ^{^®} Index (reflects no deductions for fees, expenses, or taxes)	17.32	%	-3.69	%	8.21	%
MSCI ACWI ^{^®} Ex U.S. (reflects no deductions for fees, expenses, or taxes)	16.83	%	-2.89	%	9.74	%

Management

New York Life Investment Management LLC serves as the Fund's Manager. Cornerstone Capital Management Holdings LLC serves as the Fund's Subadvisor.

MainStay International Equity Fund


Subadvisor	Portfolio Manager	Service Date
Cornerstone Capital Management Holdings LLC	Edward Ramos, Senior Vice President	Since 2011
	Carlos Garcia-Tunon, Vice President	Since February 2013
	Eve Glatt, Vice President	Since February 2013

How to Purchase and Sell Shares

Tax Information

Compensation to Financial Intermediary Firms

MainStay International Opportunities Fund

(formerly known as MainStay 130/30 International Fund)

Investment Objective

The Fund seeks long-term growth of capital.

Fees and Expenses of the Fund


		Investor Class		Class A		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets)	1.10	%	1.10	%	1.10	%	1.10	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	None
	Other Expenses
	Dividend Expense on Securities Sold Short	0.52	%	0.54	%	0.53	%	0.52	%
	Broker Fees and Charges on Short Sales	1.07	%	1.07	%	1.07	%	1.07	%
	Remainder of Other Expenses	0.43	%	0.23	%	0.44	%	0.24	%
	Total Other Expenses	2.02	%	1.84	%	2.04	%	1.83	%
	Acquired (Underlying) Fund Fees and Expenses	0.05	%	0.05	%	0.05	%	0.05	%
	Total Annual Fund Operating Expenses ²	3.42	%	3.24	%	4.19	%	2.98	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. New York Life Investment Management LLC ("New York Life Investments") has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for Class A shares do not exceed 1.60% of its average daily net assets. New York Life Investments will apply an equivalent waiver or reimbursement, in an equal number of basis points, to the other share classes. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example

The 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 (except as indicated with respect to Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period
1 Year	$ 876	$ 859	$ 421	$ 521	$ 301
3 Years	$ 1,543	$ 1,493	$ 1,272	$ 1,272	$ 921
5 Years	$ 2,231	$ 2,150	$ 2,138	$ 2,138	$ 1,567
10 Years	$ 4,049	$ 3,895	$ 4,364	$ 4,364	$ 3,299

Portfolio Turnover

MainStay International Opportunities Fund

Principal Investment Strategies

The Fund invests primarily in equity securities of foreign companies. The Fund will typically invest in companies with capitalizations similar to those in the MSCI EAFE ^{^®} Index at the time of investment (which ranged from $1.0 billion to $210 billion as of December 31, 2012). The Fund may also invest in equity securities with market capitalizations outside of the range of the MSCI EAFE ^{^®} Index. The Fund may invest in equity securities of companies that trade in emerging or developing markets, as determined by the Fund's Subadvisor, Cornerstone Capital Management Holdings LLC, with significant investments under normal circumstances in at least three countries outside of the United States.

The Fund generally will hold long positions, either directly or through derivatives, equal to approximately 130% of the Fund's net assets, and short positions, either directly or through derivatives, equal to approximately 30% of the Fund's net assets. The proceeds from the short sales may be used to purchase all or a portion of the additional long positions. The long and short positions held by the Fund may vary over time as market opportunities develop. Under normal market conditions, the Fund's long positions may range from 120% to 140% of its net assets and its short positions may range from 20% to 40% of its net assets. The Fund's short sales positions are intended to allow the Fund to maintain additional long positions while keeping the Fund's net exposure to the market at a level similar to a "long only" strategy. As a result, the Fund intends to maintain an approximate 100% net long exposure to the equity market. Additionally, this long/short strategy enables the Fund to reflect both negative and positive views on individual stocks, and by employing this strategy, the Fund seeks to produce returns that exceed those of the MSCI EAFE ^{^®} Index. However, in times of unusual or adverse market, economic, regulatory or political conditions, the Fund's long positions may be less than 120% of its net assets and/or its short positions may be less than 20% of its net assets. Periods of unusual or adverse market, economic, regulatory or political conditions may exist for as long as 6 months and, in some cases, up to a year.

The Fund may also invest in derivatives, such as futures, options, forward commitments and swap agreements, to try to enhance returns or reduce the risk of loss by hedging certain of its holdings. The Fund may invest in American Depositary Receipts.

Investment Process: The Fund seeks to construct a broadly diversified portfolio across countries, sectors and industries using quantitative analysis to identify undervalued and overvalued securities. Investments are selected using an objective, disciplined and broadly-applied process while seeking to limit exposure to risk. The Subadvisor seeks to control the Fund's exposure to risk by diversifying the Fund's portfolio over a large number of securities. Based on quantitative analysis, the Fund takes long positions in, or overweights relative to the MSCI EAFE ^{^®} Index, equity securities (i.e., purchases securities outright) that the Fund's Subadvisor believes have a high probability of providing a total return greater than the MSCI EAFE ^{^®} Index. Also, the Fund will underweight or sell short securities that it believes are likely to underperform. This means that the Fund may sell a security that it does not own, which it may do, for example, when the Subadvisor believes that the value of the security will decline.

In unusual market conditions, the Fund may invest all or a portion of its assets in equity securities of U.S. issuers, investment grade notes and bonds, cash and cash equivalents.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

MainStay International Opportunities Fund

Equity Securities Risk: Investments in common stocks and other equity securities are particularly subject to the risk of changing economic, stock market, industry and company conditions and the risks inherent in the portfolio manager's ability to anticipate such changes that can adversely affect the value of the Fund's holdings. Opportunity for greater gain often comes with greater risk of loss.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. The Fund commenced operations on September 28, 2007. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008, adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer class would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

MainStay International Opportunities Fund

Annual Returns, Class I Shares

(by calendar year 2008-2012)


Best Quarter
2Q/09	24.94	%
Worst Quarter
3Q/08	-22.31	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		Life of Fund
Return Before Taxes
Investor Class	14.50	%	-5.21	%	-5.88	%
Class A	14.77	%	-5.11	%	-5.79	%
Class C	19.36	%	-4.88	%	-5.62	%
Class I	21.76	%	-3.83	%	-4.57	%
Return After Taxes on Distributions
Class I	21.68	%	-3.90	%	-4.84	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	14.90	%	-3.05	%	-3.85	%
MSCI EAFE ^{^®} Index (reflects no deductions for fees, expenses, or taxes)	17.32	%	-3.69	%	-3.84	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. Cornerstone Capital Management Holdings LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Manager	Service Date
Cornerstone Capital Management Holdings LLC	Andrew Ver Planck, Senior Vice President	Since 2007

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $1,000 applies if you invest in Investor Class or Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class and Class C shares. However, for Investor Class and Class C shares purchased through AutoInvest, a monthly systematic investment plan, a $500 initial investment minimum ($50 for subsequent purchases) applies. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

MainStay International Opportunities Fund

Compensation to Financial Intermediary Firms

More About Investment Strategies and Risks

Information about each Fund's objective, principal investment strategies, investment practices and principal risk factors appears in the relevant summary section for each Fund at the beginning of the Prospectus. The information below describes in greater detail the investments, investment practices and other risks pertinent to the Funds. Some of the Funds may use the investments/strategies discussed below more than other Funds.

Additional information about the investment practices of the Funds and risks pertinent to these practices is included in the Statement of Additional Information ("SAI"). The following information is provided in alphabetical order and not necessarily in order of importance.

American Depositary Receipts ("ADRs")

The Funds may invest in ADRs. ADRs, which are typically issued by a U.S. financial institution (a "depositary"), evidence ownership interests in a security or pool of securities issued by a foreign company which are held by a depositary. ADRs are denominated in U.S. dollars and trade in the U.S. securities markets. Because ADRs are not denominated in the same currency as the underlying securities into which they may be converted, they are subject to currency risks. In addition, depositary receipts involve many of the same risks of investing directly in foreign securities. Generally, ADRs are considered to be foreign securities.

Debt Securities

Investors buy debt securities primarily to profit through interest payments. Governments, banks and companies raise cash by issuing or selling debt securities to investors. Debt securities may be bought directly from those issuers or in the secondary trading markets. There are many different types of debt securities, including (without limitation) bonds, notes, and debentures.

Some debt securities pay interest at fixed rates of return, while others pay interest at variable rates. Interest may be paid at different intervals. Some debt securities do not make regular interest payments, but instead are initially sold at a discount to the principal amount that is to be paid at maturity.

The risks involved with investing in debt securities include (without limitation):

· Credit risk: The purchaser of a debt security lends money to the issuer of that security. If the issuer does not pay back the loan, the holder of the security may experience a loss on its investment.

· Maturity risk: A debt security with a longer maturity may fluctuate in value more than a debt security with a shorter maturity. Therefore, the net asset value ("NAV") of a Fund that holds debt securities with a longer average maturity may fluctuate in value more than the NAV of a Fund that holds debt securities with a shorter average maturity.

· Market risk: Like other securities, debt securities are subject to the forces of supply and demand. Low demand may negatively impact the price of a debt security.

· Interest rate risk: The value of debt securities usually changes when interest rates change. Generally, when interest rates go up, the value of a debt security goes down and when interest rates go down, the value of a debt security goes up.

Debt securities rated below investment grade by an independent rating agency, such as Standard & Poor's ("S&P") or Moody's Investor Service, Inc. ("Moody's") are considered to have speculative characteristics and some may be commonly referred to as "junk bonds." Junk bonds entail default and other risks greater than those associated with higher-rated securities.

The duration of a bond or mutual fund portfolio is an indication of sensitivity to changes in interest rates. In general, the longer a Fund's duration, the more it will react to changes in interest rates and the greater the risk and return potential.

A laddered maturity schedule means a portfolio is structured so that a certain percentage of the securities will mature each year. This helps a Fund manage duration and risk, and attempts to create a more consistent return.

Derivative Transactions

The Funds may enter into derivative transactions, or "derivatives," which may include options, forwards, futures, options on futures and swap agreements. The value of derivatives is based on certain underlying equity or fixed-income securities, interest rates, currencies or indices. The use of these transactions is a highly specialized activity that involves investment techniques, tax planning and risks that are different from those of ordinary securities transactions. Derivatives may be hard to sell at an advantageous price or time and typically are very sensitive to changes in the underlying security, interest rate, currency or index. As a result, derivatives can be highly volatile. If the Manager or the Subadvisor is incorrect about its expectations of changes in interest rates or market conditions, the use of derivatives could result in a loss, which in some cases may be unlimited. When using derivatives, there is a risk that a Fund will lose money if the contract counterparty does not make the required payments or otherwise fails to comply with the terms of the contract. In the event of the bankruptcy or insolvency of a counterparty, a Fund could experience the loss of some or all of its investment or experience delays in liquidating its positions, including declines in the value of its investment during the period in which the Fund seeks to enforce its rights, and an inability to realize any gains on its investment during such period. A Fund may also incur fees and expenses in enforcing its

More About Investment Strategies and Risks

rights. In addition, certain derivative transactions can result in leverage. Leverage involves investment exposure in an amount exceeding the initial investment. Leverage can cause increased volatility by magnifying gains or losses. Investments in derivatives may cause a Fund to earn income that is taxable when distributed to shareholders. As investment companies registered with the Securities and Exchange Commission ("SEC"), the Funds must maintain reserves of liquid assets to "cover" obligations with respect to certain kinds of derivative instruments.

Emerging Markets

The risks of foreign investments are usually much greater for emerging markets. Investments in emerging markets may be considered speculative. Emerging markets are riskier than more developed markets because they tend to develop unevenly and may never fully develop. They are more likely to experience hyperinflation and currency devaluations, which adversely affect returns to U.S. investors. In addition, many emerging markets have far lower trading volumes and less liquidity than developed markets. Since these markets are often small, they may be more likely to suffer sharp and frequent price changes or long-term price depression because of adverse publicity, investor perceptions or the actions of a few large investors. In addition, traditional measures of investment value used in the U.S., such as price to earnings ratios, may not apply to certain small markets. Also, there may be less publicly available information about issuers in emerging markets than would be available about issuers in more developed capital markets, and such issuers may not be subject to accounting, auditing and financial reporting standards and requirements comparable to those to which U.S. companies are subject.

Many emerging markets have histories of political instability and abrupt changes in policies. As a result, their governments are more likely to take actions that are hostile or detrimental to private enterprise or foreign investment than those of more developed countries, including expropriation of assets, confiscatory taxation, high rates of inflation or unfavorable diplomatic developments. Some countries have pervasiveness of corruption and crime that may hinder investments. Certain emerging markets may also face other significant internal or external risks, including the risk of war, and ethnic, religious and racial conflicts. In addition, governments in many emerging market countries participate to a significant degree in their economies and securities markets, which may impair investment and economic growth. National policies that may limit a Fund's investment opportunities include restrictions on investment in issuers or industries deemed sensitive to national interests.

Emerging markets may also have differing legal systems and the existence or possible imposition of exchange controls, custodial restrictions or other foreign or U.S. governmental laws or restrictions applicable to such investments. Sometimes, they may lack or be in the relatively early development of legal structures governing private and foreign investments and private property. In addition to withholding taxes on investment income, some countries with emerging markets may impose differential capital gains taxes on foreign investors.

Practices in relation to settlement of securities transactions in emerging markets involve higher risks than those in developed markets, in part because a Fund will need to use brokers and counterparties that are less well capitalized, and custody and registration of assets in some countries may be unreliable. The possibility of fraud, negligence, undue influence being exerted by the issuer or refusal to recognize ownership exists in some emerging markets, and, along with other factors, could result in ownership registration being completely lost. A Fund would absorb any loss resulting from such registration problems and may have no successful claim for compensation. In addition, communications between the U.S. and emerging market countries may be unreliable, increasing the risk of delayed settlements or losses of security certificates.

Equity Securities

Publicly held corporations may raise needed cash by issuing or selling equity securities to investors. When a Fund buys the equity securities of a corporation it becomes a part owner of the issuing corporation. Equity securities may be bought on domestic stock exchanges, foreign stock exchanges, or in the over-the-counter market. There are many different types of equity securities, including (without limitation) common stocks, preferred stocks, ADRs, and real estate investment trusts.

Investors buy equity securities to make money through dividend payments and/or selling them for more than they paid. The risks involved with investing in equity securities include (without limitation):

· Changing economic conditions: Equity securities may fluctuate as a result of general economic conditions, including changes in interest rates.

· Industry and company conditions: Certain industries or individual companies may come in and out of favor with investors. In addition, changing technology and competition may make the equity securities of a company or industry more volatile.

· Security selection: A portfolio manager may not be able to consistently select equity securities that appreciate in value, or anticipate changes that can adversely affect the value of a Fund's holdings. Investments in smaller and mid-size companies may be more volatile than investments in larger companies.

More About Investment Strategies and Risks

Exchange Traded Funds (“ETFs”)

To the extent a Fund may invest in securities of other investment companies, the Fund may invest in shares of ETFs. ETFs are investment companies that trade like stocks. Like stocks, shares of ETFs are not traded at NAV, but may trade at prices above or below the value of their underlying portfolios. The price of an ETF is derived from and based upon the securities held by the ETF. The level of risk involved in the purchase or sale of an ETF is similar to the risk involved in the purchase or sale of a traditional common stock, except that the pricing mechanism for an ETF is based on a basket of securities. Thus, the risks of owning an ETF generally reflect the risks of owning the underlying securities they are designed to track, although lack of liquidity in an ETF could result in it being more volatile than the underlying portfolio of securities. Disruptions in the markets for the securities underlying ETFs purchased or sold by a Fund could result in losses on the Fund's investment in ETFs. ETFs are subject to management fees and other fees that may increase their costs versus the costs of owning the underlying securities directly. A Fund may from time to time invest in ETFs, primarily as a means of gaining exposure for its portfolio to the market without investing in individual securities, particularly in the context of managing cash flows into the Fund.

Foreign Securities

Generally, foreign securities are issued by companies organized outside the U.S. and are traded primarily in markets outside the U.S. Generally, foreign debt securities are issued by companies organized outside the U.S., but may be traded on bond markets or over-the-counter markets in the U.S. Foreign securities may be more difficult to sell than U.S. securities. Investments in foreign securities may involve difficulties in receiving or interpreting financial and economic information, possible imposition of taxes, higher brokerage and custodian fees, possible currency exchange controls or other government restrictions, including possible seizure or nationalization of foreign deposits or assets. Foreign securities may also be less liquid and more volatile than U.S. securities. There may also be difficulty in invoking legal protections across borders. In addition, investments in emerging market countries present risks to a greater degree than those presented by investments in countries with developed securities markets and more advanced regulatory systems. See “Emerging Markets” above.

Many of the foreign securities in which the Funds invest will be denominated in foreign currency. Changes in foreign currency exchange rates will affect the value of securities denominated or quoted in foreign currencies. Exchange rate movements can be large and can endure for extended periods of time, affecting either favorably or unfavorably the value of the Funds' assets. However, a Fund may engage in foreign currency transactions to attempt to protect itself against fluctuations in currency exchange rates in relation to the U.S. dollar. See "Risk Management Techniques" below.

Futures Transactions

A Fund may purchase and sell single stock futures or stock index futures to hedge the equity portion of its investment portfolio with regard to market (systemic) risk or to gain market exposure to that portion of the market represented by the futures contracts. A Fund may also purchase and sell other futures when deemed appropriate, in order to hedge the equity or non-equity portions of its portfolio. In addition, to the extent that it invests in foreign securities, and subject to any applicable restriction on the Fund's ability to invest in foreign currencies, each Fund may enter into contracts for the future delivery of foreign currencies to hedge against changes in currency exchange rates. Subject to compliance with applicable rules and restrictions, the Funds also may enter into futures contracts traded on foreign futures exchanges.

A Fund may purchase and sell futures contracts on debt securities and on indices of debt securities in order to hedge against anticipated changes in interest rates that might otherwise have an adverse effect upon the value of a Fund's securities. A Fund may also enter into such futures contracts for other appropriate risk management, income enhancement and investment purposes.

There are several risks associated with the use of futures contracts and options on futures contracts as hedging techniques. There can be no assurance that a liquid market will exist at the time when a Fund seeks to close out a futures contract. If no liquid market exists, a Fund would remain obligated to meet margin requirements until the position is closed. Futures may involve a small initial investment relative to the risk assumed, which could result in losses greater than if they had not been used. There can be no guarantee that there will be a correlation between price movements in the hedging vehicle and in a Fund's securities being hedged, even if the hedging vehicle closely correlates with the Fund's investments, such as with single stock futures contracts. If the price of a futures contract changes more than the price of the securities or currencies, a Fund will experience either a loss or a gain on the futures contracts that will not be completely offset by changes in the price of the securities or currencies that are the subject of the hedge. In addition, there are significant differences between the securities and futures markets that could result in an imperfect correlation between the markets, causing a given hedge not to achieve its objectives.

Global Depositary Receipts ("GDRs") and European Depositary Receipts ("EDRs")

To the extent a Fund may invest in foreign securities, a Fund may invest in GDRs and EDRs. GDRs and EDRs are receipts issued by foreign banks or trust companies, or foreign branches of U.S. banks that represent an interest in shares of either a foreign or U.S. corporation. GDRs and EDRs may not be denominated in the same currency as the underlying securities into which they may be converted, and are subject to currency risks. Depositary receipts involve many of the same risks of investing directly in foreign securities.

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Growth Stocks

Certain Funds may invest in equity securities of companies that their portfolio managers believe will experience relatively rapid earnings growth. Such "growth stocks" typically trade at higher multiples of current earnings than other securities. Therefore, the values of growth stocks may be more sensitive to changes in current or expected earnings than the values of other securities.

The principal risk of investing in growth stocks is that investors expect growth companies to increase their earnings at a certain rate that is generally higher than the rate expected for non-growth companies. If these expectations are not met, the market price of the stock may decline significantly, even if earnings showed an absolute increase. Growth stocks also typically lack the dividend yield that can cushion stock prices in market downturns.

Illiquid and Restricted Securities

A Fund's investments may include illiquid securities or restricted securities. The principal risk of investing in illiquid and restricted securities is that they may be difficult to sell. Securities and other investments purchased by a Fund that are liquid at the time of purchase may subsequently become illiquid due to events relating to the issuer of the securities, market events, economic conditions or investor perceptions. Domestic and foreign markets are becoming more and more complex and interrelated, so that events in one sector of the market or the economy or in one geographical region, can reverberate and have negative consequences for other market, economic or regional sectors in a manner that may not be reasonably foreseen. With respect to over-the-counter traded securities, the continued viability of any over-the-counter secondary market depends on the continued willingness of dealers and other participants to purchase the securities.

If one or more instruments in a Fund's portfolio become illiquid, the Fund may exceed its limit on illiquid instruments. In the event that this occurs, the Fund must take steps to bring the aggregate amount of illiquid instruments back within the prescribed limitations as soon as reasonably practicable. This requirement would not force a Fund to liquidate any portfolio instrument where the Fund would suffer a loss on the sale of that instrument. Where no clear indication of the value of a particular investment is available, the investment will be valued at its fair value according to valuation procedures approved by the Funds' Boards. These cases include, among others, situations where the secondary markets on which a security has previously been traded are no longer viable for lack of liquidity. The value of illiquid securities may reflect a discount, which may be significant, from the market price of comparable securities for which a liquid market exists, and thus negatively affect a Fund's NAV. For more information on fair valuation, please see "Fair Valuation and Portfolio Holdings Disclosure."

Restricted securities are securities that are sold only through negotiated private transactions and not to the general public, due to certain restrictions imposed by federal securities laws.

Information Regarding Standard & Poor's ^®

"Standard & Poor's ^{^®} ," "S&P ^{^®} ," "S&P 500 ^{^®} ," "Standard & Poor's 500," and "500" are trademarks of The McGraw-Hill Companies, Inc. and have been licensed for use by New York Life Investments. The MainStay S&P 500 Index Fund is not sponsored, endorsed, sold or promoted by Standard & Poor's, and Standard & Poor's makes no representation regarding the advisability of investing in the Fund.

Initial Public Offerings ("IPOs")

Certain Funds may invest in securities that are made available in IPOs. IPO securities may be volatile, and the Funds cannot predict whether investments in IPOs will be successful. As a Fund grows in size, the positive effect of IPO investments on the Fund may decrease.

Investment Policies and Objectives

Certain of the Funds have names which suggest a focus on a particular type of investment. In accordance with Rule 35d-1 under the 1940 Act, each of these Funds has adopted a policy that it will, under normal circumstances invest at least 80% of the value of its assets (net assets plus the amount of any borrowings for investment purposes) in investments of the type suggested by its name. For a list of these policies, please see the SAI. This requirement is applied at the time a Fund invests its assets. If, subsequent to an investment by a Fund, this requirement is no longer met, the Fund's future investments will be made in a manner that will bring the Fund into compliance with this requirement. In addition, in appropriate circumstances, synthetic investments may count toward the 80% minimum if they have economic characteristics similar to the other investments included in the basket. The MainStay Funds have adopted a policy to provide a Fund's shareholders with at least 60 days' prior notice of any change in this non-fundamental policy with respect to investments of the type suggested by its name. For additional information, please see the SAI.

When the discussion states that a Fund invests "primarily" in a certain type or style of investment, this means that under normal circumstances the Fund will invest at least 65% of its assets, as described above, in that type or style of investment.

Certain of the Funds can invest their net assets in ETFs that invest in similar securities and count such holdings towards various guideline tests (such as the 80% test required under Rule 35d-1 under the Investment Company Act of 1940, as amended (the "1940 Act")).

Each Fund’s investment objective is non-fundamental and may be changed without shareholder approval.

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Large Transaction Risks

From time to time, the Funds may receive large purchase or redemption orders from affiliated or unaffiliated mutual funds or other investors. Such large transactions could have adverse effects on a Fund's performance if the Fund were required to sell securities or invest cash at times when it otherwise would not do so. This activity could also accelerate the realization of capital gains and increase a Fund's transaction costs.

Lending of Portfolio Securities

Although not considered to be a principal investment strategy at this time, all of the Funds may lend their portfolio securities. Portfolio securities may be loaned to brokers, dealers and financial institutions to realize additional income under guidelines adopted by the Funds' Boards. A risk of lending portfolio securities, as with other extensions of credit, is the possible loss of rights in the collateral should the borrower fail financially. In determining whether to lend securities, the Manager, the Subadvisors, or its/their agents, will consider all relevant facts and circumstances, including the creditworthiness of the borrower.

Loan Participation Interests

Loan participation interests, also referred to as Participations, are fractional interests in an underlying corporate loan and may be purchased from an agent bank, co-lenders or other holders of Participations. There are three types of Participations which a Fund may purchase. A Participation in a novation of a corporate loan involves a Fund assuming all of the rights of the lender in a corporate loan, including the right to receive payments of principal and interest and other amounts directly from the borrower and to enforce its rights as a lender directly against the borrower. Second, a Fund may purchase a Participation in an assignment of all or a portion of a lender's interest in a corporate loan, in which case the Fund may be required generally to rely on the assigning lender to demand payment and to enforce its rights against the borrower, but would otherwise be entitled to all of such lender's rights in the underlying corporate loan. Third, a Fund may also purchase a Participation in a portion of the rights of a lender in a corporate loan, in which case, a Fund will be entitled to receive payments of principal, interest and fees, if any, but generally will not be entitled to enforce its rights against the agent bank or borrower. A Fund must rely on the lending institution for that purpose.

The principal credit risk associated with acquiring Participations from a co-lender or another Participant is the credit risk associated with the underlying corporate borrower. A Fund may incur additional credit risk, however, when it is in the position of Participant rather than co-lender because the Fund must then assume the risk of insolvency of the co-lender from which the Participation was purchased and that of any person interposed between the Fund and the co-lender.

Master Limited Partnerships ("MLPs")

Certain Funds may invest in MLPs. MLPs are limited partnerships in which ownership interests are publicly traded and are operated under the supervision of one or more general partners. Investment in MLPs carries with it many of the risks inherent in investing in a partnership. State law governing partnerships is often less restrictive than state law governing corporations. Accordingly, there may be fewer protections afforded to investors in an MLP. Limited partners may also have more limited control and limited rights to vote on matter affecting the MLP. A change in current tax law or in the underlying business mix of a given MLP could result in an MLP being treated as a corporation for U.S. federal income tax purposes, which would result in such MLP being required to pay U.S. federal income tax on its taxable income. The classification of an MLP as a corporation for U.S. federal income tax purposes would have the effect of reducing the amount of cash available for distribution by the MLP. Thus, if any of the MLPs owned by a Fund were treated as corporations for U.S. federal income tax purposes, it could result in a reduction of the value of an investment in the Fund and lower income.

Mid-Cap and Small-Cap Stocks

The general risks associated with equity securities and liquidity risk are particularly pronounced for stocks of companies with market capitalizations that are small compared to other publicly traded companies. These companies may have limited product lines, markets or financial resources or they may depend on a few key employees. Stocks of mid-capitalization and small-capitalization companies may trade less frequently and in lesser volume than more widely held securities, and their values may fluctuate more sharply than other securities. They may also trade in the over-the-counter market or on a regional exchange, or may otherwise have limited liquidity. Generally, the smaller the company, the greater these risks become.

Options

An option is a contract that gives the purchaser (holder) of the option, in return for a premium, the right to buy from (call) or sell to (put) the seller (writer) of the option the security or currency underlying the option at a specified exercise price at any time during the term of the option. If a Fund's Manager or Subadvisor judges market conditions incorrectly or employs a strategy that does not correlate well with the Fund's investments, these techniques could result in a loss, regardless of whether the intent was to reduce risk or increase return.

Other Investment Companies

A Fund may invest in other investment companies, including open-end funds, closed-end funds, and ETFs.

A Fund may purchase the securities of another investment company to temporarily gain exposure to a portion of the market while awaiting purchase of securities or as an efficient means of gaining exposure to a particular asset class. The Fund might also purchase shares of another investment company to gain exposure to the securities in the investment company’s portfolio at times when the Fund

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may not be able to buy those securities directly. Any investment in another investment company would be consistent with the Fund’s objective and investment program.

The risks of owning another investment company are generally similar to the risks of investment directly in the securities in which that investment company invests. However, an investment company may not achieve its investment objective or execute its investment strategy effectively, which may adversely affect the Fund’s performance. In addition, because closed-end funds and ETFs trade on a secondary market, their shares may trade at a premium or discount to the actual net asset value of their portfolio securities and their shares may have greater volatility because of the potential lack of liquidity.

Portfolio Turnover

Portfolio turnover measures the amount of trading a Fund does during the year. Due to their trading strategies, certain Funds may experience a portfolio turnover rate of over 100%. The portfolio turnover rate for each Fund is found in the relevant summary sections for each Fund and the Financial Highlights. The use of certain investment strategies may generate increased portfolio turnover. A Fund with a high turnover rate (at or over 100%) often will have higher transaction costs (which are paid by the Fund) and may generate short-term capital gains (on which you'll pay taxes, even if you don't sell any shares by year-end).

Real Estate Investment Trusts ("REITs")

The Funds may invest in REITs. REITs are pooled investment vehicles that invest primarily in either real estate or real estate-related loans. Investment in REITs carries with it many of the risks associated with direct ownership of real estate, including declines in property values, extended vacancies, increases in property taxes, and changes in interest rates. In addition to these risks, REITs are dependent upon management skills, may not be diversified, may experience substantial cost in the event of borrower or lessee defaults, and are subject to heavy cash flow dependency. A REIT could possibly fail to qualify for tax free pass-through of income under the Internal Revenue Code of 1986, as amended, or could fail to maintain its exemption from registration under the 1940 Act. The failure of a company to qualify as a REIT under federal tax law may have adverse consequences.

Rights and Warrants

To the extent that a Fund invests in equity securities, the Fund may invest in rights and warrants. The holder of a stock purchase right or a warrant has the right to purchase a given number of shares of a particular issuer at a specified price until expiration of the warrant. Such investments can provide a greater potential for profit or loss than an equivalent investment in the underlying security. Prices of rights and warrants do not necessarily move in tandem with the prices of the underlying securities, and warrants are speculative investments. Rights and warrants pay no dividends and confer no rights other than a purchase option. If a right or warrant is not exercised by the date of its expiration, the Fund will lose its entire investment in such right or warrant.

Risk Management Techniques

Various techniques can be used to increase or decrease a Fund’s exposure to changing security prices, interest rates, currency exchange rates, commodity prices or other factors that affect security values. These techniques may involve derivative transactions such as buying and selling futures contracts and options on futures contracts, entering into foreign currency transactions (such as foreign currency forward contracts and options on foreign currencies) and purchasing put or call options on securities and securities indices.

These practices can be used in an attempt to adjust the risk and return characteristics of a Fund's portfolio of investments. For example, to gain exposure to a particular market, a Fund may be able to purchase a futures contract with respect to that market. The use of such techniques in an attempt to reduce risk is known as "hedging." If the Manager or Subadvisor judges market conditions incorrectly or employs a strategy that does not correlate well with the Fund’s investments, these techniques could result in a loss, which in some cases may be unlimited, regardless of whether the intent was to reduce risk or increase return. These techniques may increase the volatility of a Fund and may involve a small investment of cash relative to the magnitude of the risk assumed. In addition, these techniques could result in a loss if the counterparty to the transaction does not perform as promised.

Short Sales

If a security sold short increases in price, a Fund may have to cover its short position at a higher price than the short sale price, resulting in a loss. A Fund may have substantial short positions and may borrow those securities to make delivery to the buyer. A Fund may not be able to borrow a security that it needs to deliver or it may not be able to close out a short position at an acceptable price and may have to sell related long positions before it had intended to do so. Thus, a Fund may not be able to successfully implement its short sale strategy due to the limited availability of desired securities or for other reasons. Because losses on short sales arise from increases in the value of the security sold short, such losses are theoretically unlimited.

When borrowing a security for delivery to a buyer, a Fund also may be required to pay a premium and other transaction costs, which would increase the cost of the security sold short. A Fund must normally repay to the lender an amount equal to any dividends or interest that accrues while the loan is outstanding. The amount of any gain will be decreased, and the amount of any loss increased, by the amount of the premium, dividends, interest or expenses a Fund may be required to pay in connection with the short sale. Also, the lender of a security may terminate the loan at a time when a Fund is unable to borrow the same security for delivery. In that case, the Fund would need to purchase a replacement security at the then current market price or "buy in" by paying the lender an amount equal to the cost of purchasing the security.

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Until a Fund replaces a borrowed security, it is required to maintain a segregated account of cash or liquid assets with a broker or custodian to cover the Fund's short position. Securities held in a segregated account cannot be sold while the position they are covering is outstanding, unless they are replaced with similar securities. Additionally, a Fund must maintain sufficient liquid assets (less any additional collateral held by the broker), marked-to-market daily, to cover the short sale obligation. This may limit a Fund's investment flexibility, as well as its ability to meet redemption requests or other current obligations.

By investing the proceeds received from selling securities short, a Fund is employing a form of leverage, which creates special risks. The use of leverage may increase a Fund's exposure to long equity positions and make any change in the Fund's NAV greater than without the use of leverage. This could result in increased volatility of returns. There is no guarantee that a Fund will leverage its portfolio, or if it does, that the Fund's leveraging strategy will be successful. A Fund cannot guarantee that the use of leverage will produce a higher return on an investment.

Swap Agreements

The Funds may enter into swap agreements, including but not limited to, interest rate, credit default, index, equity (including total return), and currency exchange rate swap agreements to attempt to obtain a desired return at a lower cost than a direct investment in an instrument yielding that desired return. In a typical swap transaction, two parties agree to exchange the returns (or differentials in rates of returns) earned or realized on particular investments or instruments. The payments may be adjusted for transaction costs, interest payments, the amount of interest paid on the investment or instrument or other factors.

Whether the use of swap agreements will be successful will depend on whether the Manager or Subadvisor correctly predicts movements in the value of particular securities, interest rates, indices and currency exchange rates. In addition, swap agreements entail the risk that a party will default on its payment obligations to a Fund. For example, credit default swaps can result in losses if a Fund does not correctly evaluate the creditworthiness of the company on which the credit default swap is based. Such instruments are not afforded the same protections as may apply to participants trading futures or options on organized exchanges, such as the performance guarantee of an exchange clearinghouse. Because they are two-party contracts and because they may have terms of greater than seven days, swap agreements may be considered to be illiquid. There is a risk that the other party could go bankrupt and the Fund would lose the value of the security it should have received in the swap. For additional information on swaps, see "Derivative Transactions" above. Also, see the "Tax Information" section in the SAI for information regarding the tax considerations relating to swap agreements.

Temporary Defensive Investments

In times of unusual or adverse market, economic or political conditions, for temporary defensive purposes or for liquidity purposes, each Fund may invest outside the scope of its principal investment strategies. Under such conditions, a Fund may not invest in accordance with its investment objective or principal investment strategies and, as a result, there is no assurance that the Fund will achieve its investment objective. Under such conditions, each Fund may also invest without limit in cash or money market securities or other investments.

In unusual market conditions, the MainStay International Equity Fund may invest all or a portion of its assets in equity securities of U.S. issuers, investment grade notes and bonds, and cash and cash equivalents.

Value Stocks

The Funds may invest in companies that may not be expected to experience significant earnings growth, but whose securities their portfolio managers believe are selling at a price lower than their true value. Companies that issue such "value stocks" may have experienced adverse business developments or may be subject to special risks that have caused their securities to be out of favor. The principal risk of investing in value stocks is that they may never reach what the Fund's portfolio manager believes is their full value or that they may go down in value. If a portfolio manager's assessment of a company's prospects is wrong, or if the market does not recognize the value of the company, the price of that company's stocks may decline or may not approach the value that the portfolio manager anticipates.

When-Issued Securities and Forward Commitments

Debt securities are often issued on a when-issued or forward commitment basis. The price (or yield) of such securities is fixed at the time a commitment to purchase is made, but delivery and payment for the securities take place at a later date. During the period between purchase and settlement, no payment is made by a Fund and no interest accrues to the Fund. There is a risk that the security could be worth less when it is issued than the price a Fund agreed to pay when it made the commitment. Similarly, a Fund may commit to purchase a security at a future date at a price determined at the time of the commitment. The same procedure and risks exist for forward commitments as for when-issued securities.

Zero Coupon and Payment-in-Kind Bonds

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issuance. Because interest on zero coupon obligations is not paid to the Funds on a current basis but is, in effect, compounded, the value of this type of security is subject to greater fluctuations in response to changing interest rates than the value of debt obligations that distribute income regularly.

Zero coupon bonds and payment-in-kind bonds tend to be subject to greater market risk than interest paying securities of similar maturities. The discount represents income, a portion of which a Fund must accrue and distribute every year even though the Fund receives no payment on the investment in that year. Therefore, these investments tend to be more volatile than securities which pay interest periodically and in cash.

In addition, there may be special tax considerations associated with investing in high-yield/high-risk bonds structured as zero coupon or payment-in-kind securities. Interest on these securities is recorded annually as income even though no cash interest is received until the security's maturity or payment date. As a result, the amounts that have accrued each year are required to be distributed to shareholders and such amounts will be taxable to shareholders. Additionally, a Fund may have to sell some of its assets to distribute cash to shareholders. These actions are likely to reduce the Fund’s assets and may thereby increase its expense ratio and decrease its rate of return.

Shareholder Guide

The following pages are intended to provide information regarding how to buy and sell shares of the MainStay Funds and to help you understand the costs associated with buying, holding and selling your MainStay Fund investments. Not all of the MainStay Funds discussed below are offered in this Prospectus. Furthermore, certain share classes are not available for all MainStay Funds or to all investors.

For additional details regarding the information described in this Shareholder Guide or if you have any questions, please contact your financial adviser or the MainStay Funds by calling toll-free 800-MAINSTAY (624-6782) or by visiting the website at mainstayinvestments.com.

Please note that shares of the MainStay Funds are generally not available for purchase by foreign investors. The MainStay Funds reserve the right to: (i) pay dividends from net investment income and distributions from net capital gains in a check mailed to any investor who becomes a non-U.S. resident; and (ii) to redeem shares and close the account of an investor who becomes a non-U.S. resident.

SIMPLE IRA Plan accounts and certain other retirement plan accounts may not be eligible to invest in certain MainStay Funds, and may only be eligible to hold Investor Class shares.

The following terms are used in this Shareholder Guide:

· "MainStay Asset Allocation Funds" collectively refers to the MainStay Conservative Allocation Fund, MainStay Moderate Allocation Fund, MainStay Moderate Growth Allocation Fund and MainStay Growth Allocation Fund.

· "MainStay Epoch Funds" collectively refers to the MainStay Epoch U.S. Equity Yield Fund, MainStay Epoch Global Choice Fund, MainStay Epoch Global Equity Yield Fund and MainStay Epoch International Small Cap Fund.

· "MainStay International/Global Equity Funds" collectively refers to the MainStay Epoch Global Choice Fund, MainStay Epoch Global Equity Yield Fund, MainStay Epoch International Small Cap Fund, MainStay ICAP Global Fund, MainStay ICAP International Fund, MainStay International Equity Fund and MainStay International Opportunities Fund.

· "MainStay Mixed Asset Funds" collectively refers to the MainStay Balanced Fund, MainStay Convertible Fund, MainStay Income Builder Fund and MainStay Marketfield Fund.

· “MainStay Municipal Bond Funds” collectively refers to the MainStay California Tax Free Opportunities Fund, MainStay High Yield Municipal Bond Fund, MainStay New York Tax Free Opportunities Fund and MainStay Tax Free Bond Fund.

· "MainStay Target Date Funds" collectively refers to the MainStay Retirement 2010 Fund, MainStay Retirement 2020 Fund, MainStay Retirement 2030 Fund, MainStay Retirement 2040 Fund and MainStay Retirement 2050 Fund.

· "MainStay Taxable Bond Funds" collectively refers to the MainStay Floating Rate Fund, MainStay Global High Income Fund, MainStay Government Fund, MainStay High Yield Corporate Bond Fund, MainStay High Yield Opportunities Fund, MainStay Indexed Bond Fund, MainStay Intermediate Term Bond Fund, MainStay Money Market Fund, MainStay Short Duration High Yield Fund, MainStay Short Term Bond Fund and MainStay Unconstrained Bond Fund.

· "MainStay U.S. Equity Funds" collectively refers to the MainStay Common Stock Fund, MainStay Cornerstone Growth Fund, MainStay Epoch U.S. All Cap Fund, MainStay Epoch U.S. Equity Yield Fund, MainStay ICAP Equity Fund, MainStay ICAP Select Equity Fund, MainStay Large Cap Growth Fund, MainStay MAP Fund, MainStay S&P 500 Index Fund, MainStay U.S. Equity Opportunities Fund and MainStay U.S. Small Cap Fund.

· The Board of Trustees of MainStay Funds Trust, the Board of Trustees of The MainStay Funds, and the Board of Directors of Eclipse Funds Inc. are collectively referred to as the "Board."

· The Investment Company Act of 1940, as amended, is referred to as the "1940 Act."

· New York Life Investment Management LLC is referred to as the "Manager" or "New York Life Investments."

· New York Life Insurance Company is referred to as "New York Life."

· NYLIM Service Company LLC is referred to as the "Transfer Agent" or "NYLIM Service Company."

· NYLIFE Distributors LLC, the MainStay Funds’ principal underwriter and distributor, is referred to as the "Distributor" or "NYLIFE Distributors."

· The New York Stock Exchange is referred to as the "Exchange."

· Net asset value is referred to as "NAV."

· The Securities and Exchange Commission is referred to as the "SEC."

· Automated Clearing House, the electronic process by which shares may be purchased, is referred to as “ACH.”

Shareholder Guide

BEFORE YOU INVEST — DECIDING WHICH CLASS OF SHARES TO BUY

The MainStay Funds offer Investor Class, and Class A, B, C, I, R1, R2 and R3 shares, as applicable. Each share class of a MainStay Fund represents an interest in the same portfolio of securities, has the same rights and is identical in all respects to the other classes, except that, to the extent applicable, each class also bears its own service and distribution expenses and may bear incremental transfer agency costs resulting from its sales arrangements. In addition, each class has its own sales charge and expense structure, providing you with different choices for meeting the needs of your situation. Depending upon how you wish to purchase shares of a MainStay Fund and the MainStay Fund in which you wish to invest, the share classes available to you may vary.

The decision as to which class of shares is best suited to your needs depends on a number of factors that you should discuss with your financial adviser. Important factors to consider include:

· how much you plan to invest;

· how long you plan to hold your shares;

· the total expenses associated with each class of shares; and

· whether you qualify for any reduction or waiver of sales charge.

As with any business, running a mutual fund involves costs. There are regular operating costs, such as investment advisory fees, marketing and distribution expenses, and custodial, transfer agency, legal and accounting fees, among others. These operating costs are typically paid from the assets of a MainStay Fund, and thus, all investors in the MainStay Funds indirectly share the costs. The expenses for each MainStay Fund are presented in the Funds’ respective Prospectuses in the tables entitled, "Fees and Expenses of the Fund," under the heading, "Annual Fund Operating Expenses." As the fee tables show, certain costs are borne equally by each share class. In cases where services or expenses are class-specific, such as distribution and/or service (12b-1) fees, the fees payable for transfer agency services or certain other expenses, the costs may be allocated differently among the share classes.

In addition to the direct expenses that a MainStay Fund bears, MainStay Fund shareholders indirectly bear the expenses of the other funds in which the MainStay Fund invests ("Underlying Funds"), where applicable. The tables entitled "Fees and Expenses of the Fund" reflect a MainStay Fund's estimated indirect expenses from investing in Underlying Funds based on the allocation of the MainStay Fund's assets among the Underlying Funds during the MainStay Fund's most recent fiscal year. These expenses may be higher or lower over time depending on the actual investments of the MainStay Fund's assets in the Underlying Funds and the actual expenses of the Underlying Funds.

In some cases, the Total Annual Fund Operating Expenses reflected in the tables entitled "Fees and Expenses of the Fund" may differ in part from the amounts shown in the Financial Highlights section of the applicable Prospectuses, which reflect only the operating expenses of a MainStay Fund for its prior fiscal year and do not include the MainStay Fund's share of the fees and expenses of any Underlying Fund.

Most significant among the class-specific costs are:

· Distribution and/or Service (12b-1) Fee —named after the SEC rule that permits their payment, 12b-1 fees are paid by a class of shares to reimburse the Distributor for distribution and/or shareholder services such as marketing and selling MainStay Fund shares, compensating brokers and others who sell MainStay Fund shares, advertising, printing and mailing of prospectuses, responding to shareholder inquiries, etc.

· Shareholder Service Fee —this fee covers certain services provided to retirement plans investing in Class R1, Class R2 and Class R3 shares that are not included under a MainStay Fund's 12b-1 plan, such as certain account establishment and maintenance, order processing, and communication services.

An important point to keep in mind about 12b-1 fees and shareholder service fees is that they reduce the value of your shares, and therefore, will proportionately reduce the returns you receive on your investment and any dividends that are paid. See "Information on Fees" in this section for more information about these fees.

In addition to regular operating costs, there are costs associated with an individual investor's transactions and account, such as the compensation paid to your financial adviser for helping you with your investment decisions. The MainStay Funds typically cover such costs by imposing sales charges and other fees directly on the investor either at the time of purchase or upon redemption. These charges and fees for each MainStay Fund are presented earlier in the respective Fund Prospectuses in the tables entitled, "Fees and Expenses of the Fund," under the heading, "Shareholder Fees." Such charges and fees include:

· Initial Sales Charge —also known as a "front-end sales load," refers to a charge that is deducted from your initial investment in Investor Class and Class A shares that is used to compensate the Distributor and/or your financial adviser for their efforts and assistance to you in connection with the purchase. The key point to keep in mind about a front-end sales load is that it reduces the initial amount available to purchase MainStay Fund shares.

· Contingent Deferred Sales Charge —also known as a "CDSC" or "back-end sales load," refers to a charge that is deducted from the proceeds when you redeem MainStay Fund shares (that is, sell shares back to the MainStay Fund). The amount of CDSC that you pay will depend on how long you hold your shares and decreases to zero if you hold your shares long enough. Although you

Shareholder Guide

pay no sales charge at the time of purchase, the Distributor typically pays your financial adviser a commission up-front. In part to compensate the Distributor for this expense over time, you will pay a higher ongoing 12b-1 fee. Over time, these fees may cost you more than paying an initial sales charge.

Distribution and/or service (12b-1) fees, shareholder service fees, initial sales charges and contingent deferred sales charges are each discussed in more detail in this Shareholder Guide. Investor Class, Class A, Class B and Class C shares of the MainStay Money Market Fund are sold with no initial sales charge or CDSC and have no annual 12b-1 fees. The following table gives you a summary of the differences among share classes with respect to such fees and other important factors:

Summary of Important Differences Among Share Classes


	Investor Class	Class A	Class B	Class C	Class I	Class R1	Class R2	Class R3
Initial sales charge	Yes	Yes	None	None	None	None	None	None
Contingent deferred sales charge	None ¹	None ¹	Sliding scale during the first six years after purchase ²	1% on sale of shares held for one year or less ³	None	None	None	None
Ongoing distribution and/or service (12b-1) fees	0.25%	0.25%	0.75% ⁴ distribution and 0.25% service (1.00% total) ⁵	0.75% ⁴ distribution and 0.25% service (1.00% total) ⁵	None	None	0.25%	0.25% distribution and 0.25% service (0.50% total)
Shareholder service fee	None	None	None	None	None	0.10%	0.10%	0.10%
Conversion feature	Yes ⁶	Yes ⁶	Yes ⁶	Yes ⁶	Yes ⁶	No	No	No
Purchase maximum ⁷	None	None	$100,000	$1,000,000 ⁸	None	None	None	None

1. A CDSC of 1.00% may be imposed on certain redemptions made within one year (18 months with respect to MainStay Short Duration High Yield Fund) of the date of purchase on shares that were purchased without an initial sales charge. No sales charge applies on investments of $1 million or more ($500,000 with respect to MainStay California Tax Free Opportunities Fund, MainStay Floating Rate Fund, MainStay High Yield Municipal Bond Fund, MainStay New York Tax Free Opportunities Fund, MainStay Short Duration High Yield Fund and MainStay Tax Free Bond Fund). The Distributor may pay a commission to financial intermediary firms on these purchases from its own resources. See "Sales Charge Reductions and Waivers on Investor Class Shares and Class A Shares" below.

2. The CDSC period for MainStay Floating Rate Fund is a sliding scale during the first four years after purchase.

3. 18 months or less with respect to MainStay Short Duration High Yield Fund.

4. 0.25% for MainStay California Tax Free Opportunities Fund, MainStay New York Tax Free Opportunities Fund and MainStay Tax Free Bond Fund.

5. 0.50% for MainStay California Tax Free Opportunities Fund, MainStay New York Tax Free Opportunities Fund and MainStay Tax Free Bond Fund.

6. See the sections discussing Share Class Considerations and the section entitled "Buying, Selling, Converting and Exchanging Fund Shares—Conversions Between Share Classes" for more information on the voluntary and/or automatic conversions that apply to each share class.

7. Does not apply to purchases by certain retirement plans.

8. $500,000 for MainStay California Tax Free Opportunities Fund, MainStay Floating Rate Fund, MainStay High Yield Municipal Bond Fund, MainStay New York Tax Free Opportunities Fund, MainStay Short Duration High Yield Fund and MainStay Tax Free Bond Fund.

The following discussion is not intended to be investment advice or a recommendation because each investor's financial situation and considerations are different. Additionally, certain MainStay Funds have sales charge and expense structures that may alter your analysis as to which share class is most appropriate for your needs. This analysis can best be made by discussing your situation and the factors mentioned above with your financial adviser. Generally, however, Investor Class shares or Class A shares are more economical if you intend to invest larger amounts and hold your shares long-term (more than six years, for most MainStay Funds). Class C shares may be more economical if you intend to hold your shares for a shorter term (six years or less, for most MainStay Funds). Class I shares are the most economical, regardless of amount invested or intended holding period, but are offered only to certain institutional investors or through certain financial intermediary accounts. Class R1, R2 and R3 shares are available only to certain employer-sponsored retirement plans.

If the share class that is most economical for you, given your individual financial circumstances and goals, is not offered through your financial intermediary and you are otherwise eligible to invest in that share class, you can open an account and invest directly in the MainStay Funds by submitting an application. Please see the section entitled “How to Open Your Account” in this Shareholder Guide and the Statement of Additional Information (“SAI”) for details.

Investor Class Share Considerations

· Your Investor Class shares may convert automatically to Class A shares. Investor Class share balances are examined Fund-by-Fund on a quarterly basis. If, at that time, the value of your Investor Class shares in any one MainStay Fund equals or exceeds $25,000 ($10,000 in the case of IRA or 403(b)(7) accounts that are making required minimum distributions via MainStay’s systematic withdrawal plan or systematic exchange program), whether by shareholder action or change in market value, or if you have otherwise become eligible to invest in Class A shares, your Investor Class shares of that MainStay Fund will be automatically converted into Class A shares. Eligible Investor Class shares may also convert upon request. Please note that, in most cases, you may not aggregate your holdings of Investor Class shares in multiple MainStay Funds/accounts or rely on a Right of Accumulation or Letter of Intent (each discussed below) to qualify for this conversion feature. Certain holders of Investor Class shares are not subject to this automatic conversion feature. For more information, please see the SAI.

Shareholder Guide

· Please also note that if your account balance falls below $25,000 ($15,000 for investors that meet certain asset thresholds), whether by shareholder action or change in market value, after conversion to Class A shares or you otherwise no longer qualify to hold Class A shares, your account may be converted automatically to Investor Class shares. Please see "Class A Share Considerations" for more details.

· Investor Class shares generally have higher expenses than Class A shares. By maintaining your account balance in a MainStay Fund at or above $25,000 ($15,000 for investors that meet certain asset thresholds), you will continue to be eligible to hold Class A shares of the MainStay Fund. If the value of your account is below this amount, you may consider increasing your account balance to meet this minimum to qualify for Class A shares. In addition, if you have accounts with multiple MainStay Funds whose values aggregate to at least $25,000 ($15,000 for investors that meet certain asset thresholds), you may consider consolidating your accounts into a MainStay Asset Allocation Fund account to qualify for Class A shares, if such action is consistent with your investment program.

· Share class conversions are based on the relevant NAVs of the two classes at the time of the conversion and no sales load or other charge is imposed. The MainStay Funds expect all share class conversions to be made on a tax-free basis. The MainStay Funds reserve the right to modify or eliminate the share class conversion feature. When a conversion occurs, reinvested dividends and capital gains convert with the shares that are converting.

· When you invest in Investor Class shares, you pay the public offering price, which is the share price, or NAV, plus the initial sales charge that may apply to your purchase. The amount of the initial sales charge is based on the size of your investment. Please see "Information on Sales Charges" for more information. We also describe below how you may reduce or eliminate the initial sales charge. Please see "Sales Charge Reductions and Waivers on Investor Class Shares and Class A Shares" for more information.

· Since some of your investment goes to pay an up-front sales charge when you purchase Investor Class shares, you will purchase fewer shares than you would with the same investment in certain other share classes. However, the net income attributable to Class B and Class C shares and the dividends payable on Class B and Class C shares will be reduced by the amount of the higher distribution and/or service (12b-1) fee and incremental expenses associated with such class. Likewise, the NAV of the Class B and Class C shares generally will be reduced by such class specific expenses (to the extent a Fund has undistributed net income) and investment performance of Class B and Class C shares will be lower than that of Investor Class shares. You're usually better off purchasing Investor Class shares rather than Class B or Class C shares and paying an up-front sales charge if you:

— plan to own the shares for an extended period of time, since the higher ongoing distribution and/or service (12b-1) fees on Class B and Class C shares may eventually exceed the cost of the up-front sales charge; or

— qualify for a reduced or waived sales charge.

Class A Share Considerations

· Generally, Class A shares have a minimum initial investment amount of $25,000 per MainStay Fund. Class A share balances are examined Fund-by-Fund on a semi-annual basis. If at that time the value of your Class A shares in any one MainStay Fund is less than $25,000 ($10,000 in the case of IRA or 403(b)(7) accounts that are making required minimum distributions via MainStay's systematic withdrawal plan or systematic exchange program, and $15,000 in the case of investors with $100,000 or more invested in the MainStay Funds combined, regardless of share class), whether by shareholder action or change in market value, or if you are otherwise no longer eligible to hold Class A shares, your Class A shares of that MainStay Fund will be converted automatically into Investor Class shares. Please note that you may not aggregate holdings of Class A shares in multiple MainStay Funds/accounts or rely on a Right of Accumulation or Letter of Intent (each discussed below) in order to avoid this conversion feature.

Please note that if you qualify for the $15,000 minimum initial investment, you must maintain aggregate investments of $100,000 or more in the MainStay Funds, regardless of share class, and an account balance at or above $15,000 per MainStay Fund to avoid having your account automatically convert into Investor Class shares. Certain holders of Class A shares are not subject to this automatic conversion feature. For more information, please see the SAI.

· When you invest in Class A shares, you pay the public offering price, which is the share price, or NAV, plus the initial sales charge that may apply to your purchase. The amount of the initial sales charge is based on the size of your investment (see "Information on Sales Charges"). We also describe below how you may reduce or eliminate the initial sales charge (see "Sales Charge Reductions and Waivers on Investor Class Shares and Class A Shares").

· Since some of your investment goes to pay an up-front sales charge when you purchase Class A shares, you will purchase fewer shares than you would with the same investment in other share classes. However, the net income attributable to Class B and Class C shares and the dividends payable on Class B and Class C shares will be reduced by the amount of the higher distribution and/or

Shareholder Guide

service (12b-1) fee and incremental expenses associated with such class. Likewise, the NAV of the Class B and Class C shares generally will be reduced by such class specific expenses (to the extent a Fund has undistributed net income) and investment performance of Class B and Class C shares will be lower than that of Class A shares. You're usually better off purchasing Class A shares rather than Class B or Class C shares and paying an up-front sales charge if you:

— qualify for a reduced or waived sales charge.

Class B Share Considerations

· You pay no initial sales charge on an investment in Class B shares. However, you will pay higher ongoing distribution and/or service (12b-1) fees over the life of your investment. Over time these fees may cost you more than paying an initial sales charge on Investor Class or Class A shares. Consequently, it is important that you consider your investment goals and the length of time you intend to hold your shares when comparing your share class options.

· You should consult with your financial adviser to assess your intended purchase in light of your particular circumstances.

· The MainStay Funds will generally not accept a purchase order for Class B shares if the aggregate dollar amount will cause the client's MainStay investment to exceed $100,000.

· In most circumstances, you will pay a CDSC if you sell Class B shares within six years (four years with respect to MainStay Floating Rate Fund) of buying them (see "Information on Sales Charges"). There are exceptions, which are described in the SAI.

· Selling Class B shares during the period in which the CDSC applies can significantly diminish the overall return on an investment.

· If you intend to hold your shares less than six years (four years with respect to MainStay Floating Rate Fund), Class C shares will generally be more economical than Class B shares of most MainStay Funds.

· When you sell Class B shares, to minimize your sales charges, MainStay Funds first redeems the shares that have no sales charges (shares representing the amount of any appreciation on the original value of your shares, fully aged shares, and any shares received through the reinvestment of dividends and capital gains) and then the shares you have held longest.

· Class B shares convert to Class A shares, or Investor Class shares if you are not eligible to hold Class A shares, at the end of the calendar quarter, eight years (four years with respect to MainStay Floating Rate Fund) after the date they were purchased. This reduces distribution and/or service (12b-1) fees from 1.00% to 0.25% of average daily net assets (or from 0.50% to 0.25% with respect to MainStay California Tax Free Opportunities Fund, MainStay New York Tax Free Opportunities Fund and MainStay Tax Free Bond Fund).

· Share class conversions are based on the NAVs of the two classes, and no sales load or other charge is imposed. The MainStay Funds expect all share class conversions to be made on a tax-free basis. The MainStay Funds reserve the right to modify or eliminate this share class conversion feature. When a conversion occurs, reinvested dividends and capital gains convert proportionately with the shares that are converting.

· As of January 18, 2013, Class B shares of MainStay Cornerstone Growth Fund are closed to new investors. However, then existing shareholders may add to their existing account.

Class C Share Considerations

· You pay no initial sales charge on an investment in Class C shares. However, you will pay higher ongoing distribution and/or service (12b-1) fees over the life of your investment.

· In most circumstances, you will pay a 1.00% CDSC if you redeem shares held for one year or less (18 months with respect to MainStay Short Duration High Yield Fund).

· When you sell Class C shares of a MainStay Fund, to minimize your sales charges, MainStay Funds first redeems the shares that have no sales charges (shares representing the amount of any appreciation on the original value of your shares, fully aged shares, and any shares received through the reinvestment of dividends and capital gains) and then the shares you have held longest.

· Unlike Class B shares, Class C shares do not automatically convert to Investor Class or Class A shares. As a result, long-term Class C shareholders will pay higher ongoing distribution and/or service (12b-1) fees over the life of their investment.

· The MainStay Funds will generally not accept a purchase order for Class C shares in the amount of $1,000,000 or more ($500,000 with respect to MainStay California Tax Free Opportunities Fund, MainStay Floating Rate Fund, MainStay High Yield Municipal Bond Fund, MainStay New York Tax Free Opportunities Fund, MainStay Short Duration High Yield Fund and MainStay Tax Free Bond Fund).

Class I Share Considerations

· You pay no initial sales charge or CDSC on an investment in Class I shares.

· You do not pay any ongoing distribution and/or service (12b-1) fees.

· You may buy Class I shares if you are an:

Shareholder Guide

— Institutional Investor

§ Certain employer-sponsored, association or other group retirement plans or employee benefit trusts with a service arrangement through New York Life Retirement Plan Services or the Distributor or their affiliates;

§ Certain financial institutions, endowments, foundations, government entities or corporations investing on their own behalf;

§ Clients transacting through financial intermediaries that purchase Class I shares through: (i) fee-based accounts that charge such clients an ongoing fee for advisory, investment, consulting or similar services; or (ii) a no-load network or platform that has entered into an agreement with the Distributor or its affiliates to offer Class I shares through a no-load network or platform.

— Individual Investor who is initially investing at least $5 million in any single MainStay Fund: (i) directly with the MainStay Fund; or (ii) through certain private banks and trust companies that have an agreement with the Distributor or its affiliates;

— Existing Class I Shareholder; or

— Existing MainStay Funds Board Member.

Class R1, Class R2 and Class R3 Share Considerations

· You pay no initial sales charge or CDSC on an investment in Class R1, Class R2 or Class R3 shares.

· You pay ongoing shareholder service fees for Class R1, Class R2 and Class R3 shares. You also pay ongoing distribution and/or service (12b-1) fees for Class R2 and Class R3 shares.

· Class R1, Class R2 and Class R3 shares are available in certain individual retirement accounts and in certain retirement plans that have a service arrangement with New York Life Retirement Plan Services or the Distributor, including:

— Section 401(a) and 457 plans;

— Certain Section 403(b)(7) plans;

— 401(k), profit sharing, money purchase pension and defined benefit plans; and

— Non-qualified deferred compensation plans.

INVESTMENT MINIMUMS AND ELIGIBILITY REQUIREMENTS

The following minimums apply if you are investing in a MainStay Fund. A minimum initial investment amount may be waived for purchases by the Board members and directors and employees of New York Life and its affiliates and subsidiaries. The MainStay Funds may also waive investment minimums for certain qualified purchases and accept additional investments of smaller amounts at their discretion. Please see the SAI for additional information.

Investor Class Shares

All MainStay Funds except MainStay California Tax Free Opportunities Fund, MainStay Cornerstone Growth Fund, MainStay Epoch Funds, MainStay High Yield Municipal Bond Fund, MainStay Marketfield Fund, MainStay New York Tax Free Opportunities Fund and MainStay Short Duration High Yield Fund:

· $1,000 minimum for initial and $50 minimum for subsequent purchases of any single MainStay Fund, or

· if through AutoInvest, a monthly systematic investment plan: $500 minimum for initial and $50 minimum for subsequent monthly purchases (except MainStay Money Market Fund, which requires an initial investment amount of $1,000).

MainStay California Tax Free Opportunities Fund, MainStay Cornerstone Growth Fund, MainStay Epoch Funds, MainStay High Yield Municipal Bond Fund, MainStay Marketfield Fund, MainStay New York Tax Free Opportunities Fund and MainStay Short Duration High Yield Fund:

· $2,500 minimum for initial and $50 minimum for subsequent purchases of any of these MainStay Funds, or

· if through AutoInvest, a monthly systematic investment plan: $2,500 minimum for initial and $50 minimum for subsequent monthly purchases.

Class A Shares

· $25,000 minimum initial investment with no minimum subsequent purchase amount requirement for any single MainStay Fund; or

· $15,000 minimum initial investment with no minimum subsequent purchase amount for investors who, in the aggregate, have assets of $100,000 or more invested in any share class of any of the MainStay Funds. To qualify for this investment minimum, all aggregated accounts must be tax reportable under the same tax identification number. You may not aggregate your holdings with the holdings of any other person or entity to qualify for this investment minimum. Please note that accounts held through financial intermediary firms (such as a broker/dealer, financial adviser or other type of institution) may not be aggregated to qualify for this investment minimum. We will only aggregate those accounts held directly with the MainStay Funds.

Shareholder Guide

Please note that if you qualify for this reduced minimum, you must also maintain aggregate assets of $100,000 or more invested in any share classes of any of the MainStay Funds and an account balance at or above $15,000 per MainStay Fund to avoid having your Class A account automatically convert into Investor Class shares.

· There is no minimum initial investment and no minimum subsequent investment for Class A shares of the MainStay Money Market Fund if all of your other accounts contain Class A shares only.

Please note that if at any time you hold any class of shares other than Class A shares, your holdings in the MainStay Money Market Fund will immediately become subject to the applicable investment minimums, subsequent purchase minimums and subsequent conversion features for Class A shares.

Broker/dealers (and their affiliates) or certain service providers with customer accounts that trade primarily on an omnibus level or through the National Securities Clearing Corporation's Fund/SERV network (Levels 1-3 only); certain retirement plan accounts, including investment only plan accounts; directors and employees of New York Life and its affiliates; investors who obtained their Class A shares through certain reorganizations (including holders of Class P shares of any of the predecessor funds to the MainStay Epoch Funds as of November 16, 2009); and subsidiaries and employees of the subadvisors to any of the MainStay Funds are not subject to the minimum investment requirement for Class A shares. See the SAI for additional information.

Class B and/or Class C Shares

· $1,000 minimum for initial and $50 minimum for subsequent purchases of any single MainStay Fund, or

· $2,500 minimum for initial and $50 minimum for subsequent purchases of any of these MainStay Funds, or

· if through AutoInvest, a monthly systematic investment plan: $2,500 minimum for initial and $50 minimum for subsequent monthly purchases.

Class I Shares

· Individual Investors—$5 million minimum for initial purchases of any single MainStay Fund and no minimum subsequent purchase amount in any MainStay Fund; and

· Institutional Investors and the MainStay Funds' Board Members—no minimum initial or subsequent purchase amounts in any MainStay Fund.

Please note that Class I shares may not be available for initial or subsequent purchases through certain financial intermediary firms, investment platforms or in certain types of investment accounts. See the SAI for additional information.

Class R1, Class R2 and Class R3 Shares

If you are eligible to invest in Class R1, Class R2 or Class R3 shares of the MainStay Funds there are no minimum initial or subsequent purchase amounts.

INFORMATION ON SALES CHARGES

Investor Class Shares and Class A Shares

The initial sales charge you pay when you buy Investor Class shares or Class A shares differs depending upon the MainStay Fund you choose and the amount you invest, as indicated in the following tables. The sales charge may be reduced or eliminated for larger purchases, as described below, or as described under "Sales Charge Reductions and Waivers on Investor Class Shares and Class A Shares." Any applicable sales charge will be deducted directly from your investment. All or a portion of the sales charge may be retained by the Distributor or paid to your financial intermediary firm as a concession. Investor Class shares and Class A shares of MainStay Money Market Fund are not subject to a sales charge.

Shareholder Guide

MainStay Balanced Fund, MainStay Common Stock Fund, MainStay Cornerstone Growth Fund, MainStay Conservative Allocation Fund, MainStay Convertible Fund, MainStay Epoch Global Choice Fund, MainStay Epoch Global Equity Yield Fund, MainStay Epoch International Small Cap Fund, MainStay Epoch U.S. All Cap Fund, MainStay Epoch U.S. Equity Yield Fund, MainStay Growth Allocation Fund, MainStay ICAP Equity Fund, MainStay ICAP Global Fund, MainStay ICAP International Fund, MainStay ICAP Select Equity Fund, MainStay Income Builder Fund, MainStay International Equity Fund, MainStay International Opportunities Fund, MainStay Large Cap Growth Fund, MainStay MAP Fund, MainStay Marketfield Fund, MainStay Moderate Allocation Fund, MainStay Moderate Growth Allocation Fund, MainStay Retirement 2010 Fund, MainStay Retirement 2020 Fund, MainStay Retirement 2030 Fund, MainStay Retirement 2040 Fund, MainStay Retirement 2050 Fund, MainStay U.S. Equity Opportunities Fund and MainStay U.S. Small Cap Fund


Purchase amount		Sales charges as a percentage of ¹				Typical dealer concession as a % of offering price
		Offering price		Net investment
Less than $50,000	5.50%		5.82%		4.75%
$50,000 to $99,999	4.50%		4.71%		4.00%
$100,000 to $249,999	3.50%		3.63%		3.00%
$250,000 to $499,999	2.50%		2.56%		2.00%
$500,000 to $999,999	2.00%		2.04%		1.75%
$1,000,000 or more ²	None		None		None

1. The sales charge you pay may differ slightly from the amounts listed here due to rounding calculations.

2. No sales charge applies on investments of $1 million or more but a CDSC of 1.00% may be imposed on certain redemptions of such shares within one year of the date of purchase. The Distributor may pay a commission to financial intermediary firms on these purchases from its own resources. See "Sales Charge Reductions and Waivers on Investor Class Shares and Class A Shares" below.

MainStay Indexed Bond Fund, MainStay S&P 500 Index Fund and MainStay Short Term Bond Fund


Purchase amount		Sales charges as a percentage of ¹					Typical dealer concession as a % of offering price
		Offering price		Net investment
Less than $100,000	3.00%		3.09%			2.75%
$100,000 to $249,999	2.50%		2.56%			2.25%
$250,000 to $499,999	2.00%		2.04%			1.75%
$500,000 to $999,999	1.50%		1.52%			1.25%
$1,000,000 or more ²	None		None		None

1. The sales charge you pay may differ slightly from the amounts listed here due to rounding calculations.

2. No sales charge applies on investments of $1 million or more, but a CDSC of 1.00% may be imposed on certain redemptions of such shares within one year of the date of purchase. The Distributor may pay a commission to financial intermediary firms on these purchases from its own resources. See "Sales Charge Reductions and Waivers on Investor Class Shares and Class A Shares" below.

MainStay Global High Income Fund, MainStay Government Fund, MainStay High Yield Corporate Bond Fund, MainStay High Yield Opportunities Fund, MainStay Intermediate Term Bond Fund and MainStay Unconstrained Bond Fund


Purchase amount		Sales charges as a percentage of ¹				Typical dealer concession as a % of offering price
		Offering price		Net investment
Less than $100,000	4.50%		4.71%		4.00%
$100,000 to $249,999	3.50%		3.63%		3.00%
$250,000 to $499,999	2.50%		2.56%		2.00%
$500,000 to $999,999	2.00%		2.04%		1.75%
$1,000,000 or more ²	None		None		None

1. The sales charge you pay may differ slightly from the amounts listed here due to rounding calculations.

Shareholder Guide

MainStay Floating Rate Fund and MainStay Short Duration High Yield Fund


Purchase amount		Sales charges as a percentage of ¹				Typical dealer concession as a % of offering price
		Offering price		Net investment
Less than $100,000	3.00%		3.09%		2.75%
$100,000 to $249,999	2.00%		2.04%		1.75%
$250,000 to $499,999	1.50%		1.52%		1.25%
$500,000 or more ²	None		None		None

1. The sales charge you pay may differ slightly from the amounts listed here due to rounding calculations.

2. No sales charge applies on investments of $500,000 or more, but a CDSC of 1.00% may be imposed on certain redemptions of such shares within one year (18 months with respect to MainStay Short Duration High Yield Fund) of the date of purchase. The Distributor may pay a commission to financial intermediary firms on these purchases from its own resources. See "Sales Charge Reductions and Waivers on Investor Class and Class A Shares" below.

MainStay California Tax Free Opportunities Fund, MainStay High Yield Municipal Bond Fund, MainStay New York Tax Free Opportunities Fund and MainStay Tax Free Bond Fund


Purchase amount		Sales charges as a percentage of ¹				Typical dealer concession as a % of offering price
		Offering price		Net investment
Less than $100,000	4.50%		4.71%		4.00%
$100,000 to $249,999	3.50%		3.63%		3.00%
$250,000 to $499,999	2.50%		2.56%		2.00%
$500,000 or more ²	None		None		None

1. The sales charge you pay may differ slightly from the amounts listed here due to rounding calculations.

2. No sales charge applies on investments of $500,000 or more, but a CDSC of 1.00% may be imposed on certain redemptions of such shares within one year of the date of purchase. The Distributor may pay a commission to financial intermediary firms on these purchases from its own resources. See "Sales Charge Reductions and Waivers on Investor Class and Class A Shares" below.

Class B Shares

Class B shares are sold without an initial sales charge. However, if Class B shares are redeemed within six years (four years with respect to MainStay Floating Rate Fund) of their purchase, a CDSC will be deducted from the redemption proceeds, except under circumstances described in the SAI. Additionally, Class B shares have higher ongoing distribution and/or service (12b-1) fees and, over time, these fees may cost you more than paying an initial sales charge. The Class B share CDSC and the higher ongoing distribution and/or service (12b-1) fees are paid to compensate the Distributor for its expenses in connection with the sale of Class B shares. The amount of the CDSC will depend on the number of years you have held the shares that you are redeeming, according to the following schedule:

All MainStay Funds which offer Class B Shares (except MainStay Floating Rate Fund)


For shares sold in the:	Contingent deferred sales charge (CDSC) as a % of amount redeemed subject to charge
First year	5.00%
Second year	4.00%
Third year	3.00%
Fourth year	2.00%
Fifth year	2.00%
Sixth year	1.00%
Thereafter	None

MainStay Floating Rate Fund


For shares sold in the:	Contingent deferred sales charge (CDSC) as a % of amount redeemed subject to charge
First year	3.00%
Second year	2.00%
Third year	2.00%
Fourth year	1.00%
Thereafter	None

Shareholder Guide

Class C Shares

Class C shares are sold without an initial sales charge. However, if Class C shares are redeemed within one year of purchase (18 months with respect to MainStay Short Duration High Yield Fund), a CDSC of 1.00% will be deducted from the redemption proceeds, except under circumstances described in the SAI. Additionally, Class C shares have higher ongoing distribution and/or service (12b-1) fees, and, over time these fees may cost you more than paying an initial sales charge. The Class C share CDSC and the higher ongoing distribution and/or service (12b-1) fees are paid to compensate the Distributor for its expenses in connection with the sale of Class C shares.

Computing Contingent Deferred Sales Charge on Class B and Class C Shares

A CDSC may be imposed on redemptions of Class B and Class C shares of a MainStay Fund, at the rates previously described, at the time of any redemption by a shareholder that reduces the current value of the shareholder's Class B or Class C account to an amount that is lower than the amount of all payments by the shareholder for the purchase of Class B shares during the preceding six years (four years with respect to MainStay Floating Rate Fund) or Class C shares during the preceding year (18 months with respect to MainStay Short Duration High Yield Fund).

However, no CDSC will be imposed to the extent that the NAV of the Class B or Class C shares redeemed does not exceed:

· the current aggregate NAV of Class B or Class C shares of the MainStay Fund purchased more than six years (four years with respect to MainStay Floating Rate Fund) prior to the redemption for Class B shares or more than one year (18 months with respect to MainStay Short Duration High Yield Fund) prior to the redemption for Class C shares; plus

· the current aggregate NAV of Class B or Class C shares of the MainStay Fund purchased through reinvestment of dividends or capital gain distributions; plus

· increases in the NAV of the investor's Class B or Class C shares of the MainStay Fund above the total amount of payments for the purchase of Class B or Class C shares of the MainStay Fund made during the preceding six years (four years with respect to MainStay Floating Rate Fund) for Class B shares or one year (18 months with respect to MainStay Short Duration High Yield Fund) for Class C shares.

There are exceptions, which are described in the SAI.

SALES CHARGE REDUCTIONS AND WAIVERS ON INVESTOR CLASS SHARES AND CLASS A SHARES

Reducing the Initial Sales Charge on Investor Class Shares and Class A Shares

You may be eligible to buy Investor Class and Class A shares of the MainStay Funds at one of the reduced sales charge rates shown in the tables above through a Right of Accumulation or a Letter of Intent, as described below. You may also be eligible for a waiver of the initial sales charge as set forth below. Each MainStay Fund reserves the right to modify or eliminate these programs at any time. However, please note the Right of Accumulation or Letter of Intent may only be used to reduce sales charges and may not be used to satisfy investment minimums or to avoid the automatic conversion feature of Investor Class or Class A shares.

· Right of Accumulation

A Right of Accumulation allows you to reduce the initial sales charge as shown in the tables above by combining the amount of your current purchase with the current market value of investments made by you, your spouse, and your children under age 21 in Investor Class, Class A, Class B, or Class C shares of most MainStay Funds. You may not include investments of previously non-commissioned shares in the MainStay Money Market Fund, investments in Class I shares, or your interests in any MainStay Fund held through a 401(k) plan or other employee benefit plan. For example, if you currently own $45,000 worth of Class C shares of a MainStay Fund, your spouse owns $50,000 worth of Class B shares of another MainStay Fund, and you wish to invest $15,000 in a MainStay Fund, using your Right of Accumulation you can invest that $15,000 in Investor Class or Class A shares (if eligible) and pay the reduced sales charge rate normally applicable to a $110,000 investment. For more information please see the SAI.

· Letter of Intent

Where the Right of Accumulation allows you to use prior investments to reach a reduced initial sales charge, a Letter of Intent allows you to qualify for a discount by combining your current purchase amount with purchases you, your spouse or children under age 21 intend to make in the near future. A Letter of Intent is a written statement of your intention to purchase Investor Class, Class A, Class B or Class C shares of one or more MainStay Funds (excluding investments of non-commissioned shares in the MainStay Money Market Fund) over a 24-month period. The total amount of your intended purchases will determine the reduced sales charge rate that will apply to Investor Class or Class A shares (if eligible) of the MainStay Funds purchased during that period. You can also apply a Right of Accumulation to these purchases.

Your Letter of Intent goal must be at least $100,000. Submitting a Letter of Intent does not obligate you to purchase the specified amount of shares. If you do not meet your intended purchase goal, the initial sales charge that you paid on your purchases will be recalculated to reflect the actual value of shares purchased. A certain portion of your shares will be held in escrow by the Transfer Agent for this purpose. For more information please see the SAI.

Shareholder Guide

· Your Responsibility

To receive the reduced sales charge, you must inform the Transfer Agent of your eligibility and holdings at the time of your purchase if you are buying shares directly from the MainStay Funds. If you are buying shares through a financial intermediary firm, you must tell your financial adviser of your eligibility for a Right of Accumulation or a Letter of Intent at the time of your purchase.

To combine shares of eligible MainStay Funds held in accounts at other intermediaries under your Right of Accumulation or a Letter of Intent, you may be required to provide the Transfer Agent or your financial adviser a copy of each account statement showing your current holdings of each eligible MainStay Fund, including statements for accounts held by you, your spouse or your children under age 21, as described above. The Transfer Agent or intermediary through which you are buying shares will combine the value of all your eligible MainStay Fund holdings based on the current NAV per share to determine what Investor Class or Class A sales charge rate you may qualify for on your current purchase. If you do not inform the Transfer Agent or your financial adviser of all of the holdings or planned purchases that make you eligible for a sales charge reduction or do not provide requested documentation, you may not receive the discount to which you are otherwise entitled.

More information on Investor Class and Class A share sales charge discounts is available in the SAI or on the internet at mainstayinvestments.com.

"Spouse," with respect to a Right of Accumulation and Letter of Intent is defined as the person to whom you are legally married. We also consider your spouse to include one of the following: (i) an individual of the same gender with whom you have been joined in a civil union or legal contract similar to marriage; (ii) a domestic partner, who is an individual (including one of the same gender) to whom you are not related by blood and with whom you have shared a primary residence for at least six months in a relationship as a couple where you, your domestic partner or both of you provide for the personal or financial welfare of the other without a fee; or (iii) an individual with whom you have a common law marriage, which is a marriage in a state where such marriages are recognized between a man and a woman arising from the fact that the two live together and hold themselves out as being married.

Group Benefit Plan Purchases

You will not pay an initial sales charge if you purchase Investor Class shares or Class A shares through a group retirement or other benefit plan (other than IRA plans) that meets certain criteria, including:

· 50 or more participants; or

· an aggregate investment in shares of any class of the MainStay Funds of $1,000,000 or more; or

· holds either Investor Class or Class A and Class B shares as a result of the Class B share conversion feature.

However, Investor Class shares or Class A shares purchased through a group retirement or other benefit plan (other than IRA plans) may be subject to a CDSC upon redemption. If your plan currently holds Class B shares, please consult your recordkeeper or other plan administrative service provider concerning their ability to maintain shares in two different classes.

Purchases Through Financial Intermediaries

You may be eligible for elimination of the initial sales charge if you purchase shares through a financial intermediary firm (such as a broker/dealer, financial adviser or financial institution) that has a contractual arrangement with the Distributor or an affiliate. The MainStay Funds have authorized these firms (and other intermediaries that the firms may designate) to accept orders. When an authorized firm or its designee has received your order, together with the purchase price of the shares, it is considered received by the MainStay Funds and will be priced at the next computed NAV. Financial intermediary firms may charge transaction fees or other fees and may modify other features such as minimum investment amounts, share class eligibility and exchange privileges.

Please read their program materials for any special provisions or additional service features that may apply to investing in the MainStay Funds through these firms.

529 Plans

When shares of the MainStay Funds are sold to a qualified tuition program operating under Section 529 of the Internal Revenue Code, such a program may purchase Investor Class shares or Class A shares without an initial sales load.

Other Waivers

There are other categories of purchasers who do not pay initial sales charges on Class A shares, such as personnel of the MainStay Funds and of New York Life and its affiliates. These categories are described in the SAI.

Contingent Deferred Sales Charge on Certain Investor Class and Class A Share Redemptions

If your initial sales charge is waived, we may impose a CDSC of 1.00% if you redeem your shares within one year (18 months with respect to MainStay Short Duration High Yield Fund). The Distributor may pay a commission to financial intermediary firms on such purchases from its own resources.

For more information about these considerations, call your financial adviser or the Transfer Agent toll free at 800-MAINSTAY (624-6782) , and read the information under "Purchase, Redemption, Exchanges and Repurchase—Contingent Deferred Sales Charge, Investor Class and Class A" in the SAI.

Shareholder Guide

INFORMATION ON FEES

Rule 12b-1 Plans

Each MainStay Fund (except the MainStay Money Market Fund) has adopted a distribution plan under Rule 12b-1 of the 1940 Act for certain classes of shares pursuant to which distribution and/or service (12b-1) fees are paid to the Distributor. Rule 12b-1 fees are calculated and accrued daily and paid monthly. The Investor Class, Class A and Class R2 12b-1 plans typically provide for payment for distribution and/or service activities of up to 0.25% of the average daily net assets of Investor Class, Class A or Class R2 shares, respectively. The Class B and Class C 12b-1 plans each provide for payment of 0.75% for distribution and/or 0.25% for service activities for a total 12b-1 fee of up to 1.00% of the average daily net assets of Class B and Class C shares, respectively (0.50% for MainStay California Tax Free Opportunities Fund, MainStay New York Tax Free Opportunities Fund and MainStay Tax Free Bond Fund). The Class R3 12b-1 plan typically provides for payment of 0.25% for distribution and/or 0.25% for service activities for a total 12b-1 fee of up to 0.50% of the average daily net assets of Class R3 shares. The distribution activities portion of the fee is intended to pay the Distributor for distribution services, which include any activity or expense primarily intended to result in the sale of MainStay Fund shares. The service activities portion of the fee is paid to the Distributor for providing shareholders with personal services and maintaining shareholder accounts. The portion of the 12b-1 fee dedicated to service activities is in addition to the 0.10% of annual net assets paid from the Shareholder Services Plan, with regard to certain classes, as discussed in the section entitled "Shareholder Services Plans." The Distributor may pay all or a portion of the 12b-1 fee to your investment professional. Because 12b-1 fees are ongoing, over time they will increase the cost of an investment in the MainStay Fund and may cost more than some types of sales charges.

Shareholder Services Plans

Each MainStay Fund that offers Class R1, Class R2 or Class R3 shares has adopted a Shareholder Services Plan with respect to those classes. Under the terms of the Shareholder Services Plans, each MainStay Fund's Class R1, Class R2 or Class R3 shares are authorized to pay to New York Life Investments, its affiliates, or independent third-party service providers, as compensation for services rendered to the shareholders of the Class R1, Class R2 or Class R3 shares, a shareholder service fee at the rate of 0.10% on an annualized basis of the average daily net assets of Class R1, Class R2 or Class R3 shares of such MainStay Fund.

Pursuant to the Shareholder Services Plans, each MainStay Fund's Class R1, Class R2 or Class R3 shares may pay for shareholder services or account maintenance services, including assistance in establishing and maintaining shareholder accounts, processing purchase and redemption orders, communicating periodically with shareholders and assisting shareholders who have questions or other needs relating to their account. Because service fees are ongoing, over time they will increase the cost of an investment in the MainStay Fund and may cost more than certain types of sales charges. With respect to the Class R2 and R3 shares, these services are in addition to those services that may be provided under the Class R2 or Class R3 12b-1 plan.

Small Account Fee

Several of the MainStay Funds have a relatively large number of shareholders with small account balances. Small accounts adversely impact the cost of providing transfer agency services. In an effort to reduce total transfer agency expenses, the MainStay Funds have implemented a small account fee. Each shareholder with an account balance of less than $1,000 will be charged an annual per account fee of $20 (assessed semi-annually, as discussed below). The fee may be deducted directly from your account balance. This small account fee will not apply to certain types of accounts including:

· Class A share and Class I share accounts, retirement plan services bundled accounts and investment-only retirement accounts;

· accounts with active AutoInvest plans where the MainStay Funds deduct funds directly from the client's checking or savings account;

· New York Life Investments SIMPLE IRA Plan Accounts and SEP IRA Accounts that have been funded/established for less than 1 year;

· certain 403(b)(7) accounts;

· accounts serviced by unaffiliated financial intermediary firms or third-party administrators (other than New York Life Investments SIMPLE IRA Plan Accounts); and

· certain Investor Class accounts where the small account balance is due solely to the conversion from Class B shares.

This small account fee will be deducted in $10 increments on or about March 1st and September 1st of each year. For accounts with balances of less than $10, the remaining balance will be deducted and the account will be closed. The MainStay Funds may, from time to time, consider and implement additional measures to increase the average shareholder account size and/or otherwise reduce the cost of transfer agency services. Please contact the MainStay Funds by calling toll-free 800-MAINSTAY (624-6782) for more information.

Shareholder Guide

Compensation to Financial Intermediary Firms

Financial intermediary firms and their associated financial advisers are paid in different ways for the services they provide to the MainStay Funds and shareholders. Such compensation may vary depending upon the MainStay Fund sold, the amount invested, the share class purchased, the amount of time that shares are held and/or the services provided.

· The Distributor pays, pursuant to a 12b-1 plan, distribution-related and other service fees to qualified financial intermediary firms for providing certain shareholder services.

· The Distributor pays sales concessions to financial intermediary firms, as described in the tables under "Information on Sales Charges" above, on the purchase price of Investor Class or Class A shares sold subject to a sales charge. The Distributor retains the difference between the sales charge that you pay and the portion that is paid to financial intermediary firms as a sales concession.

· The Distributor or an affiliate, from its/their own resources, may pay a finder's fee or other compensation up to 1.00% of the purchase price of Investor Class or Class A shares, sold at NAV, to financial intermediary firms at the time of sale.

· The Distributor pays a sales concession of up to 4.00% on purchases of Class B shares to financial intermediary firms from its own resources at the time of sale.

· The Distributor pays a sales concession of up to 1.00% on purchases of Class C shares to financial intermediary firms from its own resources at the time of sale.

· In addition to the payments described above, the Distributor, from its own resources or from those of an affiliate, may pay other significant amounts to certain financial intermediary firms, including an affiliated broker/dealer, in connection with the sale of any class of MainStay Fund shares and/or shareholder or account servicing arrangements. These sales and/or servicing fee arrangements vary and may amount to payments of up to 0.25% on new sales and/or up to 0.20% annually on assets held.

· The Distributor or an affiliate may sponsor training or informational meetings or provide other non-monetary benefits for financial intermediary firms and their associated financial advisers. The Distributor, from its own resources or from those of an affiliate, also may reimburse financial intermediary firms in connection with their marketing activities supporting the MainStay Funds.

· The Distributor or an affiliate may make payments to financial intermediary firms that provide sub-transfer agency and other administrative services in addition to supporting distribution of the MainStay Funds. A portion of these fees may be paid from the Distributor's or its affiliate's own resources.

· Wholesaler representatives of the Distributor communicate with financial intermediary firms on a regular basis to educate financial advisers about the MainStay Funds and to encourage the sale of MainStay Fund shares to their clients. The Distributor, from its own resources or from those of an affiliate, may absorb the costs and expenses associated with these efforts, which may include travel, lodging, sponsorship at educational seminars and conferences, entertainment and meals to the extent permitted by law. The Distributor, from its own resources or from those of an affiliate, provides compensation to its wholesaler representatives for their sales efforts in promoting sales of the MainStay Funds, which may vary based on the type of MainStay Fund being promoted and/or which financial intermediary firm is listed on the account.

Although the MainStay Funds may use financial firms that sell MainStay Fund shares to execute brokerage transactions for a MainStay Fund's portfolio, the MainStay Funds, New York Life Investments and MainStay Fund subadvisors do not consider the sale of MainStay Fund shares as a factor when choosing financial firms to effect brokerage transactions.

Payments made from the Distributor's or an affiliate's resources do not increase the price or decrease the amount or value of the shares you purchase. However, if investment advisers, distributors or affiliates of mutual funds make such payments in differing amounts, financial intermediary firms and their financial advisers may have financial incentives for recommending a particular mutual fund or a particular share class of that fund over other mutual funds. For example, payments made by the Distributor or an affiliate, as described above, may be used by the financial intermediary firm to reduce or eliminate transaction charges associated with purchases of MainStay Fund shares.

For more information regarding any of the types of compensation described above, see the SAI or consult with your financial intermediary firm or financial adviser. You should also review carefully any disclosure by your financial intermediary firm as to compensation received by that firm and/or your financial adviser.

Shareholder Guide

BUYING, SELLING, CONVERTING AND EXCHANGING FUND SHARES
HOW TO OPEN YOUR ACCOUNT

Investor Class, Class A, B or C Shares

Return your completed MainStay Funds application in good order with a check payable to the MainStay Funds for the amount of your investment to your financial adviser or directly to MainStay Funds, P.O. Box 8401, Boston, Massachusetts 02266-8401. Please note that if you select Class A shares on your application and you are not eligible to invest in Class A shares, we will treat your application as being in good order but will invest you in Investor Class shares of the same MainStay Fund. Similarly, if you select Investor Class shares and you are eligible to invest in Class A shares we will treat your application as being in good order, but will invest you in Class A shares of the same MainStay Fund.

Good order means all the necessary information, signatures and documentation have been fully completed. With respect to a redemption request, good order generally means that for certificated shares, a stock power or certificate must be endorsed, and for uncertificated shares a letter must be signed, by the record owner(s) exactly as the shares are registered, and a Medallion Signature Guarantee may be required. See “Medallion Signature Guarantees” below. In cases where a redemption is requested by a corporation, partnership, trust, fiduciary or any other person other than the record owner, written evidence of authority acceptable to NYLIM Service Company must be submitted before the redemption request will be processed.

Class I, Class R1, Class R2 and Class R3 Shares

If you are participating in a company savings plan, such as a 401(k) plan, profit sharing plan, defined benefit plan or other employee-directed plan, your company will provide you with the information you need to open an account and buy or sell Class I, Class R1, Class R2 or Class R3 shares of the MainStay Funds.

If you are investing through a financial intermediary firm, the firm will assist you with opening an account.

Special Note for MainStay Target Date Funds

The MainStay Target Date Funds are generally sold to retirement plans and individual retirement accounts only through New York Life Retirement Plan Services and certain other financial intermediaries.

If you are investing through a New York Life Retirement Plan Services IRA, you will be provided with account opening and investment materials.

All Classes

You buy shares at NAV (plus, for Investor Class and Class A shares, any applicable front-end sales charge). NAV is generally calculated by each MainStay Fund as of the close of regular trading (usually 4:00 pm Eastern time) on the Exchange every day the Exchange is open. The MainStay Funds do not calculate their NAVs on days when the Exchange is closed. When you buy shares, you must pay the NAV next calculated after we receive your purchase request in good order. Alternatively, the MainStay Funds have arrangements with certain financial intermediary firms whereby purchase requests through these entities are considered received in good order when received by the financial intermediary firm together with the purchase price of the shares ordered. The order will then be priced at a MainStay Fund's NAV next computed after receipt in good order of the purchase request by these entities. Such financial intermediary firms are responsible for timely and accurately transmitting the purchase request to the MainStay Funds.

When you open your account, you may also want to choose certain buying and selling options, including transactions by wire. In most cases, these choices can be made later in writing, but it may be quicker and more convenient to decide on them when you open your account. Please note that your bank may charge a fee for wire transfers.

To help the government fight the funding of terrorism and money laundering activities, federal law requires all financial institutions to obtain, verify and record information that identifies each person who opens a new account and to determine whether such person's name appears on government lists of known or suspected terrorists and terrorist organizations. As a result, the MainStay Funds, or your financial adviser on their behalf, must obtain the following information for each person who opens a new account:

· Name;

· Date of birth (for individuals);

· Residential or business street address (although post office boxes are still permitted for mailing); and

· Social security number or taxpayer identification number.

You may also be asked for a copy of your driver's license, passport or other identifying document in order to verify your identity. In addition, it may be necessary to verify your identity by cross-referencing your identification information with a consumer report or other electronic database. Additional information may be required to open accounts for corporations and other entities.

Shareholder Guide

Federal law prohibits the MainStay Funds and other financial institutions from opening a new account unless they receive the minimum identifying information listed above.

After an account is opened, the MainStay Funds may restrict your ability to purchase additional shares until your identity is verified. The MainStay Funds also may close your account or take other appropriate action if they are unable to verify your identity within a reasonable time. If your account is closed for this reason, your shares will be redeemed at the NAV next calculated after the account is closed.

CONVERSIONS BETWEEN SHARE CLASSES

In addition to any automatic conversion features described above in this Shareholder Guide with respect to Investor Class, Class A and Class B shares, you generally may also elect on a voluntary basis to convert your Investor Class, Class A or Class C shares that are no longer subject to a CDSC into Class A or Class I shares of the same MainStay Fund, subject to satisfying the eligibility requirements of Class A or Class I shares. These limitations do not impact any automatic conversion features described elsewhere in this Shareholder Guide with respect to Investor Class, Class A and Class B shares.

An investor may directly or through his or her financial intermediary contact the MainStay Funds to request a voluntary conversion between share classes of the same MainStay Fund as described above. You may be required to provide sufficient information to establish eligibility to convert to the new share class. Class B, Class R1, Class R2 and Class R3 shares are ineligible for a voluntary conversion. All permissible conversions will be made on the basis of the relevant NAVs of the two classes without the imposition of any sales load, fee or other charge. If you fail to remain eligible for the new share class, you may be converted automatically back to your original share class. Although the MainStay Funds expect that a conversion between share classes of the same MainStay Fund should not result in the recognition of a gain or loss for tax purposes, you should consult with your own tax adviser with respect to the tax treatment of your investment in a MainStay Fund. The MainStay Funds may change, suspend or terminate this conversion feature at any time.

Shareholder Guide

Opening Your Account – Individual Shareholders


	How	Details
By wire:	You or your financial adviser should call us toll-free at 800-MAINSTAY (624-6782) to obtain an account number and wiring instructions. Wire the purchase amount to: State Street Bank and Trust Company · ABA #011-0000-28 · MainStay Funds (DDA #99029415) · Attn: Custody and Shareholder Services	Please take note of the applicable minimum initial investment amounts for your Fund and share class. The wire must include: · name(s) of investor(s); · your account number; and · MainStay Fund name and share class. Your bank may charge a fee for the wire transfer. An application must be received by NYLIM Service Company within three business days.
By mail:	Return your completed MainStay Funds Application with a check for the amount of your investment to: MainStay Funds P.O. Box 8401 Boston, MA 02266-8401 Send overnight orders to: MainStay Funds c/o Boston Financial Data Services 30 Dan Road Canton, MA 02021-2809	Make your check payable to MainStay Funds. Please take note of the applicable minimum initial investment amounts for your Fund and share class. Be sure to write on your check: · name(s) of investor(s); and · MainStay Fund name and share class.

Shareholder Guide

Buying additional shares of the MainStay Funds – Individual Shareholders


	How	Details
By wire:	Wire the purchase amount to: State Street Bank and Trust Company · ABA #011-0000-28 · MainStay Funds (DDA #99029415) · Attn: Custody and Shareholder Services.	Please take note of the applicable minimum investment amounts for your Fund and share class. The wire must include: · name(s) of investor(s); · your account number; and · MainStay Fund name and share class. Your bank may charge a fee for the wire transfer.
By phone:	Call, or have your financial adviser call us toll-free at 800-MAINSTAY (624-6782) between 8:00 am and 6:00 pm Eastern time any day the Exchange is open to make an ACH purchase.	Eligible investors can purchase shares by using electronic debits from a designated bank account on file. Please take note of the applicable minimum investment amounts for your Fund and share class. · The maximum ACH purchase amount is $100,000. · We must have your bank information on file.

By mail:	Address your order to: MainStay Funds P.O. Box 8401 Boston, MA 02266-8401 Send overnight orders to: MainStay Funds c/o Boston Financial Data Services 30 Dan Road Canton, MA 02021-2809	Make your check payable to MainStay Funds. Please take note of the applicable minimum investment amounts for your Fund and share class. Be sure to write on your check: · name(s) of investor(s); · your account number; and · MainStay Fund name and share class.
By internet:	Visit us at mainstayinvestments.com	Eligible investors can purchase shares by using electronic debits from a designated bank account on file. Please take note of the applicable minimum investment amounts for your Fund and share class. · The maximum ACH purchase amount is $100,000. · We must have your bank information on file.

Shareholder Guide

Selling Shares – Individual Shareholders


	How	Details
By contacting your financial adviser:		· You may sell (redeem) your shares through your financial adviser or by any of the methods described below.
By phone:	To receive proceeds by check: Call us toll-free at 800-MAINSTAY (624-6782) between 8:00 am and 6:00 pm Eastern time any day the Exchange is open. You should have your account number and social security or taxpayer I.D. number available.	· Generally, after receiving your sell order by phone, we will send a check to the account owner at the owner's address of record the next business day, although it may take up to seven days to do so. Generally, we will not send checks to addresses on record for 30 days or less. · The maximum order we can process by phone is $100,000.
	To receive proceeds by wire: Call us toll-free at 800-MAINSTAY (624-6782) between 8:00 am and 6:00 pm Eastern time any day the Exchange is open. You should have your account number and social security or taxpayer I.D. number available. Eligible investors may sell shares and have proceeds electronically credited to their designated bank account on file.	· Generally, after receiving your sell order by phone, we will send the proceeds by bank wire to your bank account on file the next business day, although it may take up to seven days to do so. Your bank may charge you a fee to receive the wire transfer. · We must have your bank account information on file. · There is an $11 fee for wire redemptions, except no fee applies to redemptions of Class I shares. · Generally, the minimum wire transfer amount is $1,000.
	To receive proceeds electronically by ACH: Call us toll-free at 800-MAINSTAY (624-6782) between 8:00 am and 6:00 pm Eastern time any day the Exchange is open. You should have your account number and social security or taxpayer I.D. number available. Eligible investors may sell shares and have proceeds electronically credited to their designated bank account on file.	· Generally, after receiving your sell order by phone, we will send the proceeds by ACH transfer to your designated bank account on file the next business day, although it may take up to seven days to do so. · We must have your bank account information on file. · After we initiate the ACH transfer, proceeds may take 2-3 business days to reach your bank account. · The MainStay Funds do not charge fees for ACH transfers. · The maximum ACH transfer amount is $100,000.
By mail:	Address your order to: MainStay Funds P.O. Box 8401 Boston, MA 02266-8401 Send overnight orders to: MainStay Funds c/o Boston Financial Data Services 30 Dan Road Canton, MA 02021-2809	Write a letter of instruction that includes: · your name(s) and signature(s); · your account number; · MainStay Fund name and share class; and · dollar amount or share amount you want to sell. A Medallion Signature Guarantee may be required. There is a $15 fee for Class A shares ($25 fee for Investor Class, Class B and Class C shares) for checks mailed to you via overnight service.
By internet:	Visit us at mainstayinvestments.com

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Shareholder Guide

GENERAL POLICIES

The following are our general policies regarding the purchase and sale of MainStay Fund shares. The MainStay Funds reserve the right to change these policies at any time. Certain retirement plans and/or financial intermediaries may adopt different policies. Consult your plan or account documents for the policies applicable to you.

Buying Shares

· All investments must be in U.S. dollars with funds drawn on a U.S. bank. We generally will not accept payment in the following forms: travelers checks, personal money orders, credit card convenience checks, cash or starter checks.

· Generally, we do not accept third-party checks, and we reserve the right to limit the number of checks processed at one time.

· If your investment check or ACH purchase does not clear, your order will be canceled and your account will be responsible for any losses or fees a MainStay Fund incurs as a result. Your account will also be charged a $20 fee for each returned check or canceled ACH purchase. In addition, a MainStay Fund may also redeem shares to cover any losses it incurs as a result. If an AutoInvest payment is returned unpaid for two consecutive periods, the privilege will be suspended until you notify us to reinstate it.

· A MainStay Fund may, in its discretion, reject, restrict or cancel, in whole or in part, without prior notice, any order for the purchase of shares.

· To limit expenses, the MainStay Funds do not issue share certificates at this time.

· To buy shares by wire the same day, we generally must receive your wired money by 4:00 pm Eastern time. Your bank may charge a fee for the wire transfer.

· To buy shares electronically via ACH, generally call before 4:00 pm Eastern time to buy shares at the current day's NAV.

Selling Shares

· If you have share certificates, you must return them with a written redemption request.

· Your shares will be sold at the next NAV calculated after we receive your request in good order. We will make the payment, less any applicable CDSC, within seven days after receiving your request in good order.

· If you buy shares by check or by ACH purchase and quickly decide to sell them, the MainStay Funds may withhold payment for up to 10 days from the date the check or ACH purchase order is received.

· When you sell Class B or Class C shares, or Investor Class or Class A shares when applicable, the MainStay Funds will recover any applicable sales charges either by selling additional shares, if available, or by reducing your proceeds by the amount of those charges.

· We may suspend the right to redeem shares of any MainStay Fund and may postpone payment for any period:

— during which the Exchange is closed other than customary weekend and holiday closings or during which trading on the Exchange is restricted;

— when the SEC determines that a state of emergency exists that may make payment or transfer not reasonably practicable;

— as the SEC may by order permit for the protection of the security holders of the MainStay Funds; or

— at any other time when the MainStay Funds may, under applicable laws and regulations, suspend payment on the redemption or repurchase of its shares.

· In addition, in the case of the MainStay Money Market Fund, the Board may suspend redemptions and irrevocably approve the liquidation of the MainStay Money Market Fund as permitted by applicable law.

· Unless you decline telephone privileges on your application, you may be responsible for any fraudulent telephone order as long as the MainStay Funds take reasonable measures to verify the order.

· Reinvestment won't relieve you of any tax consequences on gains realized from a sale. The deductions for losses, however, may be denied.

· We require a written order to sell shares if an account has submitted a change of address during the previous 30 days, unless the proceeds of the sell order are directed to your bank account on file with us.

· We require a written order to sell shares and a Medallion Signature Guarantee if:

— the proceeds from the sale are to be wired and we do not have on file required bank information to wire funds;

— the proceeds from the sale will exceed $100,000 to the address of record;

— the proceeds of the sale are to be sent to an address other than the address of record;

— the account was designated as a lost shareholder account within 30 days of the redemption request; or

— the proceeds are to be payable to someone other than the registered account holder(s).

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· In the interests of all shareholders, we reserve the right to:

— change or discontinue exchange privileges upon notice to shareholders, or temporarily suspend this privilege without notice under extraordinary circumstances;

— change or discontinue the systematic withdrawal plan upon notice to shareholders;

— close accounts with balances less than $250 invested in Investor Class shares or $750 invested in all other classes of shares (by redeeming all shares held and sending proceeds to the address of record); and/or

— change the minimum investment amounts.

· There is no fee for wire redemptions of Class I shares.

· Call before 4:00 pm Eastern time to generally sell shares at the current day's NAV.

· Calls received after 4:00 pm Eastern time will receive the following business day’s NAV.

Additional Information

Wiring money to the MainStay Funds reduces the time a shareholder must wait before redeeming or exchanging shares. Wired funds are generally available for redemption on the next business day. A 10-day hold may be placed on purchases made by check or ACH payment from the date the purchase is received, making them unavailable for immediate redemption.

You may receive confirmations that describe your transactions. You should review the information in the confirmation statements carefully. If you notice an error, you should call the MainStay Funds or your financial adviser immediately. If you or your financial adviser fails to notify the MainStay Funds within one year of the transaction, you may be required to bear the costs of correction.

The policies and fees described in this Prospectus govern transactions with the MainStay Funds. If you invest through a third party—bank, broker/dealer, 401(k), financial adviser or financial supermarket—there may be transaction fees for, and you may be subject to, different investment minimums or limitations on buying or selling shares. Accordingly, the net yield to investors who purchase through financial intermediaries may be less than the net yield earned by investors who invest in a MainStay Fund directly. Consult a representative of your plan or financial institution if in doubt.

From time to time any of the MainStay Funds may close and reopen to new investors or new share purchases at their discretion. Due to the nature of their portfolio investments, certain MainStay Funds may be more likely to close and reopen than others. If a MainStay Fund is closed, either to new investors or new share purchases, and you redeem your total investment in the MainStay Fund, your account will be closed and you will not be able to make any additional investments in that MainStay Fund. If a MainStay Fund is closed to new investors, you may not exchange shares of other MainStay Funds for shares of that MainStay Fund unless you are already a shareholder of such MainStay Fund.

Medallion Signature Guarantees

A Medallion Signature Guarantee helps protect against fraud. To protect your account, each MainStay Fund and the Transfer Agent from fraud, Medallion Signature Guarantees are required to enable us to verify the identity or capacity of the person who has authorized redemption proceeds to be sent to a third party or a bank not previously established on the account. Medallion Signature Guarantees are also required for redemptions of $100,000 or more from an account by check to the address of record and for share transfer requests. Medallion Signature Guarantees must be obtained from certain eligible financial institutions that are participants in the Securities Transfer Association Medallion Program, the Stock Exchange Medallion Program, or the New York Stock Exchange Medallion Signature Program. Eligible guarantor institutions provide Medallion Signature Guarantees that are covered by surety bonds in various amounts. It is your responsibility to ensure that the Medallion Signature Guarantee that you acquire is sufficient to cover the total value of your transaction(s). If the surety bond amount is not sufficient to cover the requested transaction(s), the Medallion Signature Guarantee will be rejected.

Signature guarantees that are not a part of these programs will not be accepted. Please note that a notary public stamp or seal is not acceptable.

Investing for Retirement

You can purchase shares of most, but not all, of the MainStay Funds for retirement plans providing tax-deferred investments for individuals and institutions. You can use MainStay Funds in established plans or the Distributor may provide the required plan documents for selected plans. A plan document must be adopted for a plan to be in existence.

Custodial services are available for IRA, Roth IRA and Coverdell Education Savings Accounts ("CESA") (previously named Education IRA) as well as SEP and SIMPLE IRA plans. Plan administration is also available for select qualified retirement plans. An investor should consult with his or her tax adviser before establishing any tax-deferred retirement plan.

Not all MainStay Funds are available for all types of retirement plans or through all distribution channels. Please contact the MainStay Funds at 800-MAINSTAY (624-6782) and see the SAI for further details.

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Purchases-In-Kind

You may purchase shares of a MainStay Fund by transferring securities to a MainStay Fund in exchange for MainStay Fund shares ("in-kind purchase"). In-kind purchases may be made only upon the MainStay Funds' approval and determination that the securities are acceptable investments for the MainStay Fund and are purchased consistent with the MainStay Fund's procedures relating to in-kind purchases. The MainStay Funds reserve the right to amend or terminate this practice at any time. You must call the MainStay Funds at 800-MAINSTAY (624-6782) before sending any securities. Please see the SAI for additional details.

Redemptions-In-Kind

The MainStay Funds reserve the right to pay certain large redemptions, either totally or partially, by a redemption-in-kind of securities (instead of cash) from the applicable MainStay Fund's portfolio, consistent with the MainStay Fund's procedures relating to in-kind redemptions and in accordance with the 1940 Act and rules and interpretations of the SEC thereunder. Please see the SAI for additional details.

The Reinvestment Privilege May Help You Avoid Sales Charges

When you sell shares, you have the right—for 90 days—to reinvest any or all of the money in the same account and class of shares without paying another sales charge (so long as (1) those shares haven't been reinvested once already; (2) your account is not subject to a 30-day block as described in "Excessive Purchases and Redemptions or Exchanges"; and (3) you are not reinvesting your required minimum distribution). If you paid a sales charge when you redeemed, you will receive a pro rata credit for reinvesting in the same account and class of shares.

Reinvestment won't relieve you of any tax consequences on gains realized from a sale. The deductions for losses may, however, be denied and, in some cases, sales charges may not be taken into account in computing gains or losses if the reinvestment privilege is exercised.

Convenient, yes...but not risk-free. Telephone redemption privileges are convenient, but you give up some security. When you sign the application to buy shares, you agree that the MainStay Funds will not be liable for following phone instructions that they reasonably believe are genuine. When using the MainStay Audio Response System or the internet, you bear the risk of any loss from your errors unless we fail to use established safeguards for your protection. The following safeguards are among those currently in place at MainStay Funds:

• all phone calls with service representatives are recorded; and

• written confirmation of every transaction is sent to your address of record.

We reserve the right to suspend the MainStay Audio Response System and internet site at any time or if the systems become inoperable due to technical problems.

MainStay Money Market Fund Check Writing

You can sell shares of the MainStay Money Market Fund by writing checks for an amount that meets or exceeds the pre-set minimum stated on your check. You need to complete special forms to set up check writing privileges. You cannot close your account by writing a check. This option is not available for IRAs, CESAs, 403(b)(7)s or qualified retirement plans.

SHAREHOLDER SERVICES

Automatic Services

Buying or selling shares automatically is easy with the services described below. You select your schedule and amount, subject to certain restrictions. You can set up most of these services on your application, by accessing your shareholder account on the internet at mainstayinvestments.com, by contacting your financial adviser for instructions, or by calling us toll-free at 800-MAINSTAY (624-6782) for a form.

Systematic Investing—Individual Shareholders Only

MainStay offers four automatic investment plans:

1. AutoInvest

If you obtain authorization from your bank, you can automatically debit your designated bank account to:

· make regularly scheduled investments; and/or

· purchase shares whenever you choose.

2. Dividend or Capital Gains Reinvestment

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Automatically reinvest dividends, distributions or capital gains from one MainStay Fund into the same MainStay Fund or the same class of any other MainStay Fund. Accounts established with dividend or capital gains reinvestment must meet the initial minimum investment amounts and any other eligibility requirements of the selected share class.

3. Payroll Deductions

If your employer offers this option, you can make automatic investments through payroll deduction.

4. Systematic Exchange

Exchanges must be at least $100. You must have at least $10,000 in your account for Investor Class, Class B and Class C shares at the time of the initial request and shares must not be in certificate form. Automatically reinvest a share or dollar amount from one MainStay Fund into any other MainStay Fund in the same share class. Accounts established with a systematic exchange must meet the initial minimum investment amounts and any other eligibility requirements of the selected share class. Please see "Exchanging Shares Among MainStay Funds" for more information.

Systematic Withdrawal Plan—Individual Shareholders Only

Withdrawals must be at least $100. You must have at least $10,000 in your account for Investor Class, Class B and Class C shares at the time of the initial request and shares must not be in certificate form. The above minimums are waived for IRA and 403(b)(7) accounts where the systematic withdrawal represents required minimum distributions.

NYLIM Service Company acts as the agent for the shareholder in redeeming sufficient full and fractional shares to provide the amount of the systematic withdrawal payment and any CDSC, if applicable.

The MainStay Funds will not knowingly permit systematic withdrawals if, at the same time, you are making periodic investments.

Exchanging Shares Among MainStay Funds

Exchanges will be based upon each MainStay Fund's NAV next determined following receipt of a properly executed exchange request.

You exchange shares when you sell all or a portion of shares in one MainStay Fund and use the proceeds to purchase shares of the same class of another MainStay Fund at NAV. Investment minimums and eligibility requirements apply to exchanges. Please note that certain MainStay Funds have higher investment minimums. An exchange of shares of one MainStay Fund for shares of another MainStay Fund will be treated as a sale of shares of the first MainStay Fund and as a purchase of shares of the second MainStay Fund. Any gain on the transaction may be subject to taxes. You may make exchanges from one MainStay Fund to another by phone. There is also a systematic exchange program that allows you to make regularly scheduled, systematic exchanges from one MainStay Fund to the same class of another MainStay Fund. When you redeem exchanged shares without a corresponding purchase of another MainStay Fund, you may have to pay any applicable contingent deferred sales charge. If you choose to sell Class B or Class C shares and then separately buy Investor Class or Class A shares, you may have to pay a deferred sales charge on the Class B or Class C shares, as well as pay an initial sales charge on the purchase of Investor Class or Class A shares.

You also may exchange shares of a MainStay Fund for shares of an identical class, if offered, of any series of certain other open-end investment companies sponsored, advised or administered by New York Life Investments or any affiliate thereof (provided such series is registered for sale in your state of residence or an exemption from registration is available) some of which are offered in this Prospectus and some of which are offered in separate prospectuses, including:

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MainStay Balanced Fund	MainStay Indexed Bond Fund
MainStay California Tax Free Opportunities Fund*	MainStay Intermediate Term Bond Fund
MainStay Common Stock Fund	MainStay International Equity Fund
MainStay Conservative Allocation Fund	MainStay International Opportunities Fund
MainStay Convertible Fund	MainStay Large Cap Growth Fund**
MainStay Cornerstone Growth Fund***	MainStay MAP Fund
MainStay Epoch Global Choice Fund	MainStay Marketfield Fund
MainStay Epoch Global Equity Yield Fund	MainStay Moderate Allocation Fund
MainStay Epoch International Small Cap Fund	MainStay Moderate Growth Allocation Fund
MainStay Epoch U.S. All Cap Fund	MainStay Money Market Fund
MainStay Epoch U.S. Equity Yield Fund	MainStay New York Tax Free Opportunities Fund****
MainStay Floating Rate Fund	MainStay Retirement 2010 Fund
MainStay Global High Income Fund	MainStay Retirement 2020 Fund
MainStay Government Fund	MainStay Retirement 2030 Fund
MainStay Growth Allocation Fund	MainStay Retirement 2040 Fund
MainStay High Yield Corporate Bond Fund	MainStay Retirement 2050 Fund
MainStay High Yield Municipal Bond Fund	MainStay S&P 500 Index Fund
MainStay High Yield Opportunities Fund	MainStay Short Duration High Yield Fund
MainStay ICAP Equity Fund	MainStay Short Term Bond Fund
MainStay ICAP Global Fund	MainStay Tax Free Bond Fund
MainStay ICAP International Fund	MainStay Unconstrained Bond Fund
MainStay ICAP Select Equity Fund	MainStay U.S. Equity Opportunities Fund
MainStay Income Builder Fund	MainStay U.S. Small Cap Fund
* The Fund is only registered for sale in AZ, CA, NV, OR, UT and WA. Effective January 13, 2012, the Fund was closed to new investors, with certain exceptions. * Effective January 18, 2013, Class B shares are closed to new investors. **** The Fund is only registered for sale in CT, FL, DE, MA, NJ, NY and VT.

You may not exchange shares of one MainStay Fund for shares of another MainStay Fund that is closed to new investors unless you are already a shareholder of that MainStay Fund or are otherwise eligible for purchase. You may not exchange shares of one MainStay Fund for shares of another MainStay Fund that is closed to new share purchases or not offered for sale in your state.

Selling and exchanging shares may result in a gain or loss and therefore may be subject to taxes. Consult your tax adviser on the consequences.

Before making an exchange request, read the prospectus of the MainStay Fund you wish to purchase by exchange. You can obtain a prospectus for any MainStay Fund by contacting your broker, financial adviser or other financial institution, by visiting mainstayinvestments.com or by calling the MainStay Funds at 800-MAINSTAY (624-6782).

The exchange privilege is not intended as a vehicle for short term trading, nor are the MainStay Funds designed for professional market timing organizations or other entities or individuals that use programmed frequent exchanges in response to market fluctuations. Excessive exchange activity may interfere with portfolio management and have an adverse effect on all shareholders (see "Excessive Purchases and Redemptions or Exchanges").

The MainStay Funds reserve the right to revise or terminate the exchange privilege, limit the amount or number of exchanges or reject any exchange consistent with the requirements of the 1940 Act and rules and interpretations of the SEC thereunder.

In certain circumstances you may have to pay a sales charge.

In addition, if you exchange Class B or Class C shares of a MainStay Fund into Class B or Class C shares of the MainStay Money Market Fund or you exchange Investor Class shares or Class A shares of a MainStay Fund subject to the 1.00% CDSC into Investor Class shares or Class A shares of the MainStay Money Market Fund, the holding period for purposes of determining the CDSC stops until you exchange back into Investor Class, Class A, Class B or Class C shares, as applicable, of another non-money market MainStay Fund. The holding period for purposes of determining conversion of Class B shares into Investor Class or Class A shares also stops until you exchange back into Class B shares of another non-money market MainStay Fund.

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Certain clients of NYLIFE Securities LLC who purchased more than $50,000 of Class B shares of the MainStay Funds between January 1, 2003 and June 27, 2007 have the right to convert their Class B shares for Class A shares of the same MainStay Fund at the NAV next computed and without imposition of a contingent deferred sales charge.

Daily Dividend Fund Exchanges

If you exchange all your shares in the MainStay California Tax Free Opportunities Fund, MainStay Floating Rate Fund, MainStay High Yield Municipal Bond Fund, MainStay Money Market Fund, MainStay New York Tax Free Opportunities Fund or MainStay Tax Free Bond Fund for shares of the same class in another MainStay Fund, any dividends that have been declared but not yet distributed will be credited to the new MainStay Fund account. If you exchange all your shares in the MainStay California Tax Free Opportunities Fund, MainStay Floating Rate Fund, MainStay High Yield Municipal Bond Fund, MainStay Money Market Fund, MainStay New York Tax Free Opportunities Fund or MainStay Tax Free Bond Fund for shares in more than one MainStay Fund, undistributed dividends will be credited to the last MainStay Fund account that you exchange to.

We try to make investing easy by offering a variety of programs to buy, sell and exchange MainStay Fund shares. These programs make it convenient to add to your investment and easy to access your money when you need it.

Excessive Purchases and Redemptions or Exchanges

The MainStay Funds are not intended to be used as a vehicle for frequent, excessive or short-term trading (such as market timing). The interests of a MainStay Fund's shareholders and the MainStay Fund's ability to manage its investments may be adversely affected by excessive purchases and redemptions or exchanges of MainStay Fund shares over the short term. When large dollar amounts are involved, excessive trading may disrupt efficient implementation of a MainStay Fund's investment strategies or negatively impact MainStay Fund performance. For example, the Manager or a MainStay Fund's subadvisor might have to maintain more of a MainStay Fund's assets in cash or sell portfolio securities at inopportune times to meet unanticipated redemptions. By realizing profits through short-term trading, shareholders that engage in excessive purchases and redemptions or exchanges of MainStay Fund shares may dilute the value of shares held by long-term shareholders. MainStay Funds investing in securities that are thinly traded, trade infrequently or are relatively illiquid (such as foreign securities, high-yield securities and small-cap securities) may attract investors seeking to profit from short-term trading strategies that exploit the special valuation issues applicable to these types of holdings to a greater degree than other types of funds, and thus, may be more vulnerable to the risks associated with such activity. For MainStay Funds that invest in foreign investments, securities may be listed on foreign exchanges that trade on days when the MainStay Fund does not calculate NAV, and as a result the market value of the MainStay Fund's investments may change on days when you cannot purchase or redeem MainStay Fund shares. Furthermore, foreign securities traded on foreign exchanges present time zone arbitrage opportunities when events affecting portfolio securities values occur after the close of the foreign exchanges but prior to the close of the Exchange. Accordingly, the Board has adopted and implemented policies and procedures designed to discourage, detect and prevent frequent purchases and redemptions or exchanges of MainStay Fund shares in order to protect long-term MainStay Fund shareholders. These policies are discussed more fully below. There is the risk that the MainStay Funds' policies and procedures will prove ineffective in whole or in part to detect or prevent excessive or short-term trading. A MainStay Fund may change its policies or procedures at any time without prior notice to shareholders.

The MainStay Funds reserve the right to restrict, reject or cancel, without prior notice, any purchase or exchange order for any reason, including any purchase or exchange order accepted by any investor's financial intermediary firm. Any such rejection or cancellation of an order placed through a financial intermediary will occur, under normal circumstances, within one business day of the financial intermediary transmitting the order to the MainStay Funds. In addition, the MainStay Funds reserve the right to reject, limit, or impose other conditions (that are more restrictive than those otherwise stated in the Prospectuses) on purchases or exchanges or to close or otherwise limit accounts based on a history of frequent purchases and redemptions of MainStay Fund shares that could adversely affect a MainStay Fund or its operations, including those from any individual or group who, in the MainStay Funds' judgment, is likely to harm MainStay Fund shareholders. Pursuant to the MainStay Funds' policies and procedures, a MainStay Fund may permit short-term purchases or exchanges that it believes, in the exercise of its judgment, are not disruptive or harmful to the MainStay Fund's long-term shareholders. For example, transactions conducted through systematic investment or withdrawal plans and trades within the MainStay Money Market Fund are not subject to the surveillance procedures. Other exceptions are subject to the advance approval by the MainStay Funds' Chief Compliance Officer and/or New York Life Investments’ Chief Executive Officer, among others, and are subject to Board oversight. Apart from trading permitted or exceptions granted in accordance with the MainStay Funds' policies and procedures, no MainStay Fund accommodates, nor has any arrangement to permit, frequent purchases and redemptions of MainStay Fund shares.

The MainStay Funds, through New York Life Investments, the Transfer Agent and the Distributor, maintain surveillance procedures to detect excessive or short-term trading in MainStay Fund shares. As part of this surveillance process, the MainStay Funds examine transactions in MainStay Fund shares that exceed certain monetary thresholds or numerical limits within a specified period of time. The MainStay Funds also may consider the history of trading activity in all accounts known to be under common ownership, control or influence. To the extent identified under these surveillance procedures, a MainStay Fund may place a 30-day "block" on any account if, during any 30-day period, there is (1) a purchase or exchange into the account following a redemption or exchange from such account or

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(2) a redemption or exchange from the account following a purchase or exchange into such account. An account that is blocked will not be permitted to place future purchase or exchange requests for at least an additional 30-day period in that MainStay Fund. The MainStay Funds may modify their surveillance procedures and criteria from time to time without prior notice, as necessary or appropriate to improve the detection of excessive or short-term trading or to address specific circumstances. In certain instances when deemed appropriate, the MainStay Funds will rely on a financial intermediary to apply the intermediary’s market timing procedures to an omnibus account. In certain cases, these procedures will be less restrictive than the MainStay Funds' procedures. Routine allocation and rebalancing activities made by certain asset allocation programs, funds-of-funds, or other collective investment strategies may not be subject to the surveillance procedures if the manager of such strategies represents to the satisfaction of the MainStay Funds' Chief Compliance Officer that such investment programs and strategies are consistent with the MainStay Funds' objective of avoiding disruption due to market timing.

In addition to these measures, the MainStay Funds may from time to time impose a redemption fee on redemptions or exchanges of MainStay Fund shares made within a certain period of time in order to deter excessive or short-term trading and to offset certain costs associated with such trading.

While the MainStay Funds discourage excessive or short-term trading, there is no assurance that the MainStay Funds or their procedures will be able to effectively detect such activity or participants engaging in such activity, or, if it is detected, to prevent its recurrence. The MainStay Funds' ability to reasonably detect all such trading may be limited, for example, where the MainStay Funds must rely on the cooperation of and/or information provided by financial intermediaries or retirement plans or where the costs of surveillance on certain trading exceeds the anticipated benefit of such surveillance to MainStay Fund shareholders.

FAIR VALUATION AND PORTFOLIO HOLDINGS DISCLOSURE

Determining the MainStay Funds' Share Prices and the Valuation of Securities

Each MainStay Fund generally calculates its NAV at the close of regular trading on the Exchange (usually 4:00 pm Eastern time) every day the Exchange is open. The MainStay Funds do not calculate their NAVs on days on which the Exchange is closed. The NAV per share for a class of shares is determined by dividing the value of the net assets attributable to that class by the number of shares of that class outstanding on that day.

The value of a MainStay Fund's investments is generally based (in whole or in part) on current market prices (amortized cost, in the case of the MainStay Money Market Fund). If current market values of the MainStay Funds' investments are not available or, in the judgment of New York Life Investments, do not accurately reflect the fair value of a security, the security will be valued by another method that the Board believes in good faith accurately reflects its fair value. Changes in the value of a MainStay Fund's portfolio securities after the close of trading on the principal markets in which the portfolio securities trade will not be reflected in the calculation of NAV unless New York Life Investments, in consultation with the subadvisor (if applicable), deems a particular event could materially affect the NAV. In this case, an adjustment in the valuation of the securities may be made in accordance with procedures adopted by the Board. A MainStay Fund may invest in portfolio securities that are primarily listed on foreign exchanges that trade on weekends or other days when the MainStay Fund does not price its shares. Subsequently, the value of portfolio securities of a MainStay Fund may change on days when shareholders will not be able to purchase or redeem shares.

With respect to any portion of a MainStay Fund's assets invested in one or more Underlying Funds, the MainStay Fund's NAV is calculated based upon the NAVs of those Underlying Funds.

The Board has adopted valuation procedures for the MainStay Funds and has delegated day-to-day responsibility for fair value determinations to the MainStay Funds' Valuation Committee and Valuation Subcommittee. Determinations of these Committees are subject to review and ratification by the Board at its next regularly scheduled meeting after the fair valuations are determined. Fair value determinations may be based upon developments related to a specific security or events affecting securities markets. Fair valuation involves subjective judgments, and it is possible that the fair value determined for a security may differ materially from the value that could be realized upon the sale of the security.

The MainStay Funds expect to use fair value pricing for securities actively traded on U.S. exchanges only under very limited circumstances. The MainStay Funds may use fair value pricing more frequently for foreign securities. Where foreign securities markets close earlier than U.S. markets, the value of the securities may be affected by significant events or volatility in the U.S. markets occurring after the close of those foreign securities markets. To account for this, certain MainStay Funds, notably the MainStay International/Global Equity Funds, have fair valuation procedures which include a procedure whereby foreign securities may be valued based on third-party vendor modeling tools to the extent available.

Please see the SAI for additional information on how NAV is calculated.

Portfolio Holdings Information

A description of the MainStay Funds' policies and procedures with respect to the disclosure of each of the MainStay Funds' portfolio securities holdings is available in the SAI. Generally, a complete schedule of each of the MainStay Funds' portfolio holdings will be made

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public on the MainStay Funds' website at mainstayinvestments.com no earlier than 30 days after month-end, except as noted below. You may also obtain this information by calling toll-free 800-MAINSTAY (624-6782).

MainStay Money Market Fund will post on the MainStay Funds' website its complete schedule of portfolio holdings as of the last business day of the prior month, no later than the fifth business day following month-end. MainStay Money Market Fund's postings will remain on the MainStay Funds' website for a period of at least six months after posting. Also, in the case of the MainStay Money Market Fund, certain portfolio information will be provided in monthly holdings reports to the SEC on Form N-MFP. Form N-MFP will be made available to the public by the SEC 60 days after the end of the month to which the information pertains, and a link to each of the most recent 12 months of filings on Form N-MFP will be provided on the MainStay Funds' website.

MainStay High Yield Corporate Bond Fund and MainStay Short Duration High Yield Fund will not post their portfolio holdings monthly, but rather will post their complete schedule of portfolio holdings on the MainStay Funds' website as of the last day of each calendar quarter, no earlier than 60 days after the end of the reported quarter. Such disclosure will remain accessible on the website until the posting of the following quarter-end information.

The portfolio holdings for MainStay Funds subadvised by Institutional Capital LLC will be made available as of the last day of each calendar month no earlier than 15 days after the end of the reported month.

MainStay Marketfield Fund will post its portfolio holdings quarterly, 45 days after quarter-end.

In addition, with the exception of MainStay Marketfield Fund, each MainStay Fund's ten largest holdings, as reported on a quarter-end basis, will be made public no earlier than 15 days after the end of each calendar quarter. MainStay Marketfield Fund's ten largest holdings will be posted monthly, seven days after month-end. The MainStay Funds' quarterly top ten holdings information is also provided in the Annual Reports and Semi-Annual Reports and in the quarterly holdings report to the SEC on Form N-Q.

FUND EARNINGS

Dividends and Interest

Most funds earn either dividends from stocks, interest from bonds and other securities, or both. A mutual fund, however, always pays this income to you as "dividends." The dividends paid by each MainStay Fund will vary based on the income from its investments and the expenses incurred by the MainStay Fund.

We reserve the right to automatically reinvest dividend distributions of less than $10.00.

Dividends and Distributions

Each MainStay Fund intends to distribute substantially all of its net investment income and capital gains to shareholders at least once a year to the extent that dividends and/or capital gains are available for distribution. The MainStay Funds declare and pay dividends as set forth below:

Dividends from the net investment income (if any) of the following MainStay Funds are declared and paid at least annually:

MainStay Common Stock Fund, MainStay Cornerstone Growth Fund, MainStay Epoch Global Choice Fund, MainStay Epoch International Small Cap Fund, MainStay Epoch U.S. All Cap Fund, MainStay Epoch U.S. Equity Yield Fund, MainStay Growth Allocation Fund, MainStay ICAP Global Fund, MainStay ICAP International Fund, MainStay International Equity Fund, MainStay International Opportunities Fund, MainStay Large Cap Growth Fund, MainStay MAP Fund, MainStay Marketfield Fund, MainStay Moderate Allocation Fund, MainStay Moderate Growth Allocation Fund, MainStay Retirement 2010 Fund, MainStay Retirement 2020 Fund, MainStay Retirement 2030 Fund, MainStay Retirement 2040 Fund, MainStay Retirement 2050 Fund, MainStay S&P 500 Index Fund, MainStay U.S. Equity Opportunities Fund and MainStay U.S. Small Cap Fund

Dividends from the net investment income (if any) of the following MainStay Funds are declared and paid at least quarterly:

MainStay Balanced Fund, MainStay Convertible Fund, MainStay Conservative Allocation Fund, MainStay Epoch Global Equity Yield Fund, MainStay ICAP Equity Fund, MainStay ICAP Select Equity Fund and MainStay Income Builder Fund

Dividends from the net investment income (if any) of the following MainStay Funds are declared and paid at least monthly:

MainStay Global High Income Fund, MainStay Government Fund, MainStay High Yield Corporate Bond Fund, MainStay High Yield Opportunities Fund, MainStay Indexed Bond Fund, MainStay Intermediate Term Bond Fund, MainStay Short Duration High Yield Fund, MainStay Short Term Bond Fund and MainStay Unconstrained Bond Fund

Dividends from the net investment income (if any) of the following MainStay Funds are declared daily and paid at least monthly:

MainStay California Tax Free Opportunities Fund, MainStay Floating Rate Fund, MainStay High Yield Municipal Bond Fund, MainStay Money Market Fund, MainStay New York Tax Free Opportunities Fund and MainStay Tax Free Bond Fund

Dividends are generally paid during the last week of the month after a dividend is declared, except in December when they may be paid earlier in the month.

You generally begin earning dividends the next business day after the MainStay Funds receives your purchase request in good order.

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Buy after the dividend payment. Avoid buying shares shortly before a dividend payment. Part of your investment may be returned in the form of a dividend, which may be taxable.

Capital Gains

The MainStay Funds earn capital gains when they sell securities at a profit.

When the Funds Pay Capital Gains

The MainStay Funds will normally declare and distribute any capital gains to shareholders annually, typically in December.

How to Take Your Earnings

You may receive your portion of MainStay Fund earnings in one of seven ways. You can make your choice at the time of application, and change it as often as you like by notifying your financial adviser (if permitted) or the MainStay Funds directly. The seven choices are:

1. Reinvest dividends and capital gains in:

· the same MainStay Fund; or

· another MainStay Fund of your choice (other than a MainStay Fund that is closed, either to new investors or to new share purchases).

2. Take the dividends in cash and reinvest the capital gains in the same MainStay Fund.

3. Take the capital gains in cash and reinvest the dividends in the same MainStay Fund.

4. Take a percentage of dividends or capital gains in cash and reinvest the remainder in the same MainStay Fund.

5. Take dividends and capital gains in cash.

6. Reinvest all or a percentage of the capital gains in another MainStay Fund (other than a MainStay Fund that is closed, either to new investors or to new share purchases) and reinvest the dividends in the original MainStay Fund.

7. Reinvest all or a percentage of the dividends in another MainStay Fund (other than a MainStay Fund that is closed, either to new investors or to new share purchases) and reinvest the capital gains in the original MainStay Fund.

If you do not make one of these choices on your application, your earnings will be automatically reinvested in the same class of shares of the same MainStay Fund.

If you prefer to reinvest dividends and/or capital gains in another MainStay Fund, you must first establish an account in that class of shares of the MainStay Fund. There is no sales charge on shares purchased through the automatic reinvestment of dividends or capital gains.

UNDERSTAND THE TAX CONSEQUENCES

MainStay International/Global Equity Funds, MainStay Mixed Asset Funds, MainStay Money Market Fund, MainStay Taxable Bond Funds and MainStay U.S. Equity Funds

Distributions received by tax-exempt shareholders will not be subject to federal income tax to the extent permitted under applicable law. If you are not a tax-exempt shareholder virtually all of the dividends and capital gains distributions you receive from the MainStay Funds are taxable, whether you take them as cash or automatically reinvest them. A MainStay Fund's realized capital gains are taxed based on the length of time a MainStay Fund holds its investments, regardless of how long you hold MainStay Fund shares. Generally, if a MainStay Fund realizes long-term capital gains, the capital gains distributions are taxed as long-term capital gains; earnings realized from short-term capital gains and income generated on debt investments, dividend income and other sources are generally taxed as ordinary income upon distribution. For taxable years beginning after December 31, 2012, the maximum individual rate applicable to long-term capital gains is either 15% or 20%, depending on whether the individual’s income exceeds certain threshold amounts.

For individual shareholders, a portion of the dividends received from the MainStay Funds may be treated as "qualified dividend income," which is taxable to individuals at preferential rates, to the extent that such MainStay Funds receive qualified dividend income from domestic corporations and certain qualified foreign corporations and that certain holding period and other requirements are met. The shareholder must also generally satisfy a more than 60-day holding period requirement with respect to each distribution of qualified dividends in order to qualify for the preferential rates on such distributions. For certain corporate shareholders, a portion of the dividends received from the MainStay Funds may qualify for the corporate dividends received deductions if certain conditions are met. For taxable years beginning after December 31, 2012, the maximum individual rate applicable to long-term capital gains is either 15% or 20%, depending on whether the individual’s income exceeds certain threshold amounts.

MainStay Municipal Bond Funds

The MainStay Municipal Bond Funds’ distributions to shareholders are generally expected to be exempt from federal income taxes, and in the case of MainStay California Tax Free Opportunities Fund and MainStay New York Tax Free Opportunities Fund, California and New

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York personal income taxes, respectively. A portion of the distributions may be subject to the alternative minimum tax. In addition, these MainStay Funds may also derive taxable income and/or capital gains. Distributions to shareholders of any such taxable income or capital gains would generally be taxable whether you take them as cash or automatically reinvest them. These MainStay Funds' realized earnings, if any, from capital gains are taxed based on the length of time such MainStay Fund holds investments, regardless of how long you hold MainStay Fund shares. If any of the MainStay Municipal Bond Funds realize long-term capital gains, the earnings distributions are taxed as long-term capital gains; earnings from short-term capital gains and taxable income generated on debt investments and other sources are generally taxed as ordinary income upon distribution.

"Tax-Free" Rarely Means "Totally Tax-Free"

· A tax-free fund or municipal bond fund may earn taxable income—in other words, you may have taxable income even from a generally tax-free fund.

· Tax-exempt dividends may still be subject to state and local taxes.

· Any time you sell shares—even shares of a tax-free fund—you will be subject to tax on any gain (the rise in the share price above the price at which you purchased the shares).

· If you sell shares of a tax-free fund at a loss after receiving a tax-exempt dividend, and you have held the shares for six months or less, then you may not be allowed to claim a loss on the sale.

· If you sell shares in a tax-free fund before you become entitled to receive tax-exempt interest as a dividend, the amount that would have been treated as a tax-free dividend will instead be treated as a taxable part of the sales proceeds.

· Some tax-exempt income may be subject to the alternative minimum tax.

· Capital gains declared in a tax-free fund are not tax-free.

· Acquisitions of municipal securities at a market discount may also result in ordinary income.

MainStay California Tax Free Opportunities Fund

So long as, at the close of each quarter of the MainStay California Tax Free Opportunities Fund’s taxable year, at least 50% of the value of the MainStay California Tax Free Opportunities Fund’s assets consists of California municipal bonds, exempt-interest dividends not exceeding the interest received on such California municipal bonds will be treated as interest excludable from the income of California residents for purposes of the California personal income tax. Exempt-interest dividends paid to a shareholder subject to the California corporate franchise tax will be taxable as ordinary income for purposes of such tax. Interest income from other investments may produce taxable dividend distributions. If you are subject to income tax in a state other than California, the dividends derived from interest on California municipal bonds may, depending on the treatment of out-of-state municipal bonds by that state, not be exempt from tax in that state. Distributions of taxable income and capital gain dividends will be taxed at ordinary income tax rates for California state income tax purposes. Interest on indebtedness incurred or continued by a shareholder of the MainStay California Tax Free Opportunities Fund to purchase or carry shares of the MainStay California Tax Free Opportunities Fund generally will not be deductible for California personal income tax purposes.

MainStay New York Tax Free Opportunities Fund

MainStay New York Tax Free Opportunities Fund seeks to comply with certain state tax requirements so that individual shareholders of MainStay New York Tax Free Opportunities Fund that are residents of New York State will not be subject to New York State income tax on distributions that are derived from interest on obligations exempt from taxation by New York State. To meet those requirements, MainStay New York Tax Free Opportunities Fund will invest in New York State or municipal bonds. Individual shareholders of MainStay New York Tax Free Opportunities Fund who are residents of New York City will also be able to exclude such income for New York City personal income tax purposes. Dividends from MainStay New York Tax Free Opportunities Fund may be subject to New York State and New York City taxes imposed on corporations when distributed to shareholders subject to those taxes.

MainStay Asset Allocation Funds and MainStay Target Date Funds

Distributions received by tax-exempt shareholders will not be subject to federal income tax to the extent permitted under applicable tax law. If you are not a tax-exempt shareholder, virtually all of the dividends and capital gains distributions you receive from the MainStay Asset Allocation and MainStay Target Date Funds are taxable, whether you take them as cash or automatically reinvest them. These MainStay Funds can have income, gains or losses from any distributions or redemptions in the Underlying Funds. Distributions of the long-term capital gains of either the MainStay Asset Allocation, MainStay Target Date Funds or Underlying Funds will generally be taxed as long-term capital gains. For taxable years beginning after December 31, 2012, the maximum individual rate applicable to long-term capital gains is either 15% or 20%, depending on whether the individual’s income exceeds certain threshold amounts. Other distributions, including short-term capital gains, will be taxed as ordinary income. The structure of these MainStay Funds and the reallocation of investments among Underlying Funds could affect the amount, timing and character of distributions.

For individual shareholders, a portion of the dividends received from the MainStay Asset Allocation Funds and MainStay Target Date Funds may be treated as "qualified dividend income," which is currently taxable to individuals at preferential rates, to the extent that the Underlying Funds receive qualified dividend income from domestic corporations and certified foreign corporations and that certain holding

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periods and other requirements are met. The shareholder must also satisfy a more than 60-day holding period requirement with respect to each distribution of qualified dividends in order to qualify for the preferential rates on such distributions. For corporate shareholders, a portion of the dividends received from these MainStay Funds may qualify for the corporate dividends received deduction. For taxable years beginning after December 31, 2012, the maximum individual rate applicable to “qualified dividend income” is either 15% or 20%, depending on whether the individual’s income exceeds certain threshold amounts.

Tax Reporting and Withholding (All MainStay Funds)

We will mail your tax report each year by February 15. This report will tell you which dividends and redemption proceeds should be treated as taxable ordinary income, which, if any, as qualified dividends, and which, if any, as long-term capital gains.

For shares acquired January 1, 2012 or later, cost basis will be reported to you and the IRS for any IRS Form 1099-B reportable transactions ( e.g. , redemptions and exchanges). The cost basis accounting method you select will be used to report transactions. If you do not select a cost basis accounting method, the MainStay Funds’ default method (average cost), will be used.

The MainStay Funds may be required to withhold U.S. federal income tax, currently at the rate of 28%, of all taxable distributions payable to you if you fail to provide the MainStay Funds with your correct taxpayer identification number or to make required certifications, or if you have been notified by the IRS that you are subject to backup withholding. Such withholding is not an additional tax and any amounts withheld may be credited against your U.S. federal income tax liability.

Non-U.S. shareholders will generally be subject to U.S. tax withholding at the rate of 30% (or a lower rate under a tax treaty if applicable) on distributions by the MainStay Funds.

Return of Capital (All MainStay Funds)

If a MainStay Fund's distributions exceed its taxable income and capital gains realized in any year, such excess distributions will constitute a return of capital for federal income tax purposes. A return of capital generally will not be taxable to you at the time of the distribution, but will reduce the cost basis of your shares and result in a higher reported capital gain or a lower reported capital loss when you sell shares.

However, if a MainStay Fund has available capital loss carryforwards to offset its capital gains realized in any year, and its distributions exceed its income alone, all or a portion of the excess distributions may not be treated, for tax purposes, as a return of capital, and would be taxable to shareholders as ordinary income.

Tax Treatment of Exchanges (All MainStay Funds)

An exchange of shares of one MainStay Fund for shares of another will be treated as a sale of shares of the first MainStay Fund and a purchase of shares of the second MainStay Fund. Any gain or loss on the transaction will be tax reportable if you are not a tax-exempt shareholder.

Seek professional assistance. Your financial adviser can help you keep your investment goals coordinated with your tax considerations. However, regarding tax advice, always rely on your tax adviser. For additional information on federal, state and local taxation, see the SAI.

Do not overlook sales charges. The amount you pay in sales charges reduces gains and increases losses for tax purposes.

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WHO RUNS THE FUNDS' DAY-TO-DAY BUSINESS?

The Board of the Funds oversees the actions of the Manager, the Subadvisors and the Distributor and decides on general policies governing the operations of the Funds. The Board also oversees the Funds' officers, who conduct and supervise the daily business of the Funds.

New York Life Investments is located at 51 Madison Avenue, New York, New York 10010. In conformity with the stated policies of the Funds, New York Life Investments administers each Fund's business affairs and manages the investment operations of each Fund and the composition of the portfolio of each Fund, subject to the supervision of the Board. New York Life Investments, a Delaware limited liability company, commenced operations in April 2000 and is an indirect, wholly-owned subsidiary of New York Life. As of December 31, 2012, New York Life Investments and its affiliates managed approximately $364.5 billion in assets.

The Manager provides office space, conducts clerical, recordkeeping and bookkeeping services, and keeps most of the financial and accounting records required for the Funds. The Manager has delegated its portfolio management responsibilities for certain of the Funds to the Subadvisors and is responsible for supervising the Subadvisors in the execution of their responsibilities.

The Manager also pays the Funds’ Chief Compliance Officer’s compensation (a portion of which is reimbursed by the Funds), the salaries and expenses of all personnel affiliated with the Funds, except for the independent members of the Board, and all operational expenses that are not the responsibility of the Funds, including the fees paid to the Subadvisors. Pursuant to a management agreement with each Fund, the Manager is entitled to receive fees from each Fund, accrued daily and payable monthly.

For the fiscal year ended October 31, 2012, the Funds paid the Manager an effective management fee for services performed as a percentage of the average daily net assets of each Fund as follows:


	Effective Rate Paid for the Year Ended October 31, 2012
MainStay Common Stock Fund	0.58%
MainStay Epoch Global Choice Fund	1.00%
MainStay Epoch Global Equity Yield Fund	0.70%
MainStay Epoch International Small Cap Fund	1.10%
MainStay Epoch U.S. All Cap Fund	0.85%
MainStay Epoch U.S. Equity Yield Fund	0.80%
MainStay ICAP Equity Fund	0.80%
MainStay ICAP Global Fund	0.80%
MainStay ICAP International Fund	0.80%
MainStay ICAP Select Equity Fund	0.80%
MainStay International Equity Fund	0.92%
MainStay International Opportunities Fund	1.10%
MainStay Large Cap Growth Fund	0.61%
MainStay MAP Fund	0.74%
MainStay S&P 500 Index Fund	0.24%
MainStay U.S. Equity Opportunities Fund	1.00%
MainStay U.S. Small Cap Fund	0.85%

For information regarding the basis of the Board's approval of the management agreement and subadvisory agreement for each Fund, please refer to each Fund's Semi-Annual Report to shareholders for the fiscal period ended April 30, 2012.

The Manager is not responsible for records maintained by the Funds' Subadvisors, custodian, transfer agent or dividend disbursing agent except to the extent expressly provided in the management agreement between the Manager and the Funds.

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of the Funds' respective NAVs, and assisting New York Life Investments in conducting various aspects of the Funds' administrative operations. For providing these services to the Funds, State Street is compensated by New York Life Investments.

ADDITIONAL INFORMATION REGARDING FEE WAIVERS

Voluntary

Except as otherwise stated, each voluntary waiver or reimbursement discussed below may be discontinued at any time.

New York Life Investments has agreed to voluntarily waive fees and/or reimburse expenses of the appropriate class of certain MainStay Funds so that the Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase and sale of portfolio investments, and acquired (underlying) fund fees and expenses) of a class do not exceed the percentages of average daily net assets set forth below.

MainStay Common Stock Fund: Investor Class, 1.85%; Class B, 2.60%; and Class C, 2.60%

MainStay ICAP Equity Fund: Investor Class, 1.85%; Class C, 2.60%; and Class R1, 0.99%

MainStay ICAP International Fund: Class R1, 1.05%

MainStay ICAP Select Equity Fund: Class R1, 1.00%; and Class R2, 1.25%

MainStay International Equity Fund: Investor Class, 1.85%; Class B, 2.60%; and Class C, 2.60%

MainStay International Opportunities Fund: Investor Class, 1.70%; and Class C, 2.45%

MainStay Large Cap Growth Fund: Class R1, 0.95%

MainStay S&P 500 Index Fund: Investor Class, 0.70%

MainStay U.S. Equity Opportunities Fund: Investor Class, 1.60%; and Class C, 2.35%

Prior to the effective date of their current voluntary expense waiver/reimbursement arrangements, certain MainStay Funds had different arrangements in place.

ADDITIONAL INFORMATION REGARDING MAINSTAY LARGE CAP GROWTH FUND

As a result of a significant increase in the net assets of the MainStay Large Cap Growth Fund and to moderate cash flows, the MainStay Large Cap Growth Fund is closed to new investors. The closure does not affect the rights of existing shareholders. The MainStay Large Cap Growth Fund will continue to permit purchases by:

· Existing shareholders who may add to their existing accounts through the purchase of additional shares or the reinvestment of dividends or capital gain distributions;

· Existing shareholders who invested in the MainStay Large Cap Growth Fund through registered investment advisers;

· Certain employee benefit and retirement plans (including 401(k) and other types of defined contribution plans) with existing accounts or accounts established for new plan participants or new accounts for additional defined contribution plans for the same plan sponsors or their affiliates;

· Investors who invest through existing discretionary fee-based or wrap programs (through a broker/dealer, bank or registered investment adviser) that currently utilize the MainStay Large Cap Growth Fund as an investment option in firm research-driven model portfolios; or

· Existing 529 college savings plans or accounts established for new plan participants.

Financial intermediaries may not allow new investors in the MainStay Large Cap Growth Fund or add new investors to existing omnibus accounts, other than as specifically provided herein.

An investor may open a new account in the MainStay Large Cap Growth Fund if the account meets the MainStay Large Cap Growth Fund’s other criteria and the investor is transferring or “rolling over” into a MainStay Large Cap Growth Fund IRA account from an employee benefit or retirement plan through which the investor held share of the MainStay Large Cap Growth Fund (if the investor’s plan doesn’t qualify for rollovers, the investor may still open a new MainStay Large Cap Growth Fund IRA account with all or part of the proceeds of a distribution from the plan).

Additionally, the MainStay Large Cap Growth Fund may from time to time, in its sole discretion based on the Fund’s net asset levels and other factors, allow certain defined contribution investment only retirement plans to open new accounts.

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The MainStay Large Cap Growth Fund may ask an investor to verify that the investor meets one of the eligibility guidelines described above prior to permitting the investor to open a new account subsequent to the MainStay Large Cap Growth Fund’s closure. The MainStay Large Cap Growth Fund may permit an investor to open a new account if the MainStay Large Cap Growth Fund reasonably believes that the investor is eligible. The MainStay Large Cap Growth Fund may also permit an investor to open a new account if the Manager, in consultation with the MainStay Large Cap Growth Fund’s Subadvisor, reasonably believes that the opening of the new account would not adversely affect the Subadvisor’s ability to manage the MainStay Large Cap Growth Fund. The MainStay Large Cap Growth Fund may also decline to permit an investor to open a new account if the MainStay Large Cap Growth Fund believes that doing so would be in the best interests of the MainStay Large Cap Growth Fund and its shareholders, even if the investor would otherwise be eligible to open a new account under these guidelines.

The MainStay Large Cap Growth Fund continues to reserve the right to restrict, reject or cancel, without prior notice, any purchase or exchange order. The MainStay Large Cap Growth Fund may reject a purchase order (including any exchange order) if the MainStay Large Cap Growth Fund deems the purchase order to be too large or otherwise not in the best interests of the MainStay Large Cap Growth Fund and its shareholders.

WHO MANAGES YOUR MONEY?

New York Life Investments serves as Manager of the Funds.

Section 15(a) of the 1940 Act requires that all contracts pursuant to which persons serve as investment advisers to investment companies be approved by shareholders. As interpreted, this requirement also applies to the appointment of subadvisors to the Funds. The Manager and the Funds have obtained an exemptive order (the "Order") from the SEC permitting the Manager, on behalf of a Fund and subject to the approval of the Board, including a majority of the Independent Trustees, to hire or terminate unaffiliated subadvisors and to modify any existing or future subadvisory agreement with unaffiliated subadvisors without shareholder approval. This authority is subject to certain conditions. Each Fund will notify shareholders and provide them with certain information required by the Order within 90 days of hiring a new subadvisor. Please see the SAI for more information on the Order.

Except for MainStay Epoch U.S. All Cap Fund and MainStay S&P 500 Index Fund, the shareholders of the Funds that are covered by this Prospectus have approved the use of this Order.

Under the supervision of the Manager, the Subadvisors listed below are responsible for making the specific decisions about buying, selling and holding securities; selecting brokers and brokerage firms to trade for them; maintaining accurate records; and, if possible, negotiating favorable commissions and fees with the brokers and brokerage firms for all the Funds they oversee. For these services, each Subadvisor is paid a monthly fee by the Manager out of its management fee, not the Funds. (See the SAI for a breakdown of fees.)

Epoch Investment Partners, Inc. ("Epoch") is located at 399 Park Avenue, New York, New York 10022. Epoch, a wholly-owned subsidiary of Epoch Holding Corporation, a public company, was incorporated in April 2004 as a Delaware corporation and is an independent investment advisory firm. As of December 31, 2012, Epoch managed approximately $24.5 billion in assets.

Institutional Capital LLC ("ICAP") is located at 225 West Wacker Drive, Suite 2400, Chicago, Illinois 60606. ICAP has been an investment adviser since 1970. As of December 31, 2012, ICAP managed approximately $24.3 billion in assets for institutional and retail clients with a focus on domestic and foreign large cap value equity investments. ICAP is an indirect, wholly-owned subsidiary of New York Life.

MacKay Shields LLC ("MacKay Shields") is located at 1345 Avenue of the Americas, New York, New York 10105. MacKay Shields was incorporated in 1969 as an independent investment advisory firm and was privately held until 1984 when it became a wholly-owned, fully autonomous subsidiary of New York Life. As of December 31, 2012, MacKay Shields managed approximately $78.4 billion in assets.

Cornerstone Capital Management Holdings LLC ("Cornerstone Holdings") is located at 1180 Avenue of the Americas, New York, New York 10036. Cornerstone Holdings was established in 2009 as an independent investment adviser and previously operated as an investment division of New York Life Investments. Cornerstone Holdings is an indirect, wholly-owned subsidiary of New York Life. As of December 31, 2012, Cornerstone Holdings managed approximately $10.6 billion in assets.

Markston International LLC ("Markston") is located at 50 Main Street, White Plains, New York 10606. Markston was established in 1981 as Markston Investment Management, and was reorganized in 1999. As of December 31, 2012, Markston managed approximately $1.437 billion in assets.

Winslow Capital Management LLC ("Winslow Capital") is located at 4720 IDS Tower, 80 South Eighth Street, Minneapolis, Minnesota 55402. Winslow Capital has been an investment adviser since 1992, and is a wholly-owned subsidiary of Nuveen Investments, Inc. As of December 31, 2012, Winslow Capital managed approximately $34.7 billion in assets.

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PORTFOLIO MANAGER BIOGRAPHIES

The following section provides biographical information about the Funds’ portfolio managers. Additional information regarding the portfolio managers' compensation, other accounts they manage and their ownership of shares of the Funds is available in the SAI.


Lee Baker	Mr. Baker has managed the MainStay S&P 500 Index Fund since 2008. He is a Vice President at Cornerstone Holdings and has been with the firm or its predecessors since 2005. Mr. Baker is responsible for enhancing the algorithmic trading process for the portfolio management teams. He has over 11 years of experience in the industry. Mr. Baker received his BA in Economics from Occidental College.
Eric Citerne, CFA	Mr. Citerne has been a portfolio manager of the MainStay Epoch International Small Cap Fund since 2011. Mr. Citerne joined Epoch in 2008, where he is a Managing Director, Portfolio Manager and Senior Analyst. Mr. Citerne holds a BBA from University of Texas at Austin as well as an MBA from Southern Methodist University in Dallas. He is a Certified Public Accountant ("CPA") and is a Chartered Financial Analyst (“CFA”).
Thomas M. Cole, CFA	Mr. Cole joined ICAP in April of 2012 and has been a portfolio manager for MainStay ICAP Equity Fund, MainStay ICAP Select Equity Fund, MainStay ICAP Global Fund, MainStay ICAP International Fund and MainStay MAP Fund since September 2012. He is Senior Executive Vice President and Co-Director of Research and is a senior member of ICAP’s investment team. As Co-Director of Research, Mr. Cole assists with the firm’s investment research effort and assists the CIO with various responsibilities related to ICAP’s investment team and strategies. At the University of Wisconsin-Madison, he participated in the applied security analysis and investment management program and earned a BA and an MBA. Mr. Cole was with UBS Global Assets Management for 11 years and most recently he held the position of Head of U.S. Equities where he had portfolio management responsibility for all U.S. value portfolios. He is a CFA charterholder.
Carlos Garcia-Tunon, CFA	Mr. Garcia-Tunon is a Vice President for the Fundamental International Equity team at Cornerstone Holdings and has been a portfolio manager for MainStay International Equity Fund since February 2013. Prior to joining the firm in July 2011, Mr. Garcia-Tunon was a Vice President and Portfolio Manager at Morgan Stanley Investment Management, focusing on international and global equities. He received his MBA from the Wharton School of the University of Pennsylvania, where he was a Robert Toigo Foundation fellow, and obtained his BS in finance from Georgetown University. He has 13 years of investment experience. He is a CFA charterholder.
Eve Glatt	Ms. Glatt is a Vice President for the Fundamental International Equity team at Cornerstone Holdings and has been a portfolio manager for MainStay International Equity Fund since February 2013. Prior to joining the firm in July 2011, Ms. Glatt was a Vice President and Portfolio Manager at Morgan Stanley Investment Management, focusing on international and global equities. Prior to that, Ms. Glatt was an assistant portfolio manager and research analyst in the U.S. mid-cap group at GE Asset Management. Ms. Glatt began her investment career working in equity research at Merrill Lynch and Goldman Sachs. Ms. Glatt received her MBA from the University of Chicago Booth School of Business and obtained her BA in History from UCLA. Ms. Glatt has 15 years of investment experience.
Justin H. Kelly, CFA	Mr. Kelly is a Senior Managing Director and portfolio manager/analyst of Winslow Capital and has been with the firm since 1999. Mr. Kelly has been part of the investment management team for the MainStay Large Cap Growth Fund since 2005. Mr. Kelly graduated Summa Cum Laude from Babson College in 1993 with a BS in Finance/Investments. He is also a CFA charterholder.

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Migene Kim, CFA	Ms. Kim is a Vice President for Cornerstone Holdings and has been with the firm or its predecessors since 2005. Ms. Kim has been a part of the portfolio management team for the MainStay Common Stock Fund since 2007. Ms. Kim earned her MBA in Financial Engineering from the MIT Sloan School of Management and is a summa cum laude graduate in Mathematics from the University of Pennsylvania where she was elected to Phi Beta Kappa. Ms. Kim is also a CFA charterholder.
Roger Lob	Mr. Lob is a Member of Markston International and has been a portfolio manager for the MainStay MAP Fund, and its predecessors, since 1987. He received an MBA from Columbia Business School.
Christopher Mullarkey	Mr. Mullarkey is a Managing Member of Markston International, has 20 years of experience in the investment business and has been a portfolio manager for the MainStay MAP Fund since 2002. He received an MBA from Stern School of Business at New York University.
James Mulvey	Mr. Mulvey is a portfolio manager at Markston International and has managed the MainStay MAP Fund since February 2013. Prior to joining Markston in 2012, Mr. Mulvey managed over $2 billion in large cap and all cap strategies for Endurance Capital from 1996 to 2011. Mr. Mulvey received his BS from New York University.
Janet K. Navon	Ms. Navon has been a portfolio manager of the MainStay U.S. Small Cap Fund since 2011. Ms. Navon joined Epoch in 2007 where she is the Director of Research and is a Co-Portfolio Manager for Epoch's Global Small Cap strategy. Ms. Navon holds a BS from Georgetown University School of Foreign Service and an MBA from Columbia University, Graduate School of Business.
Francis J. Ok	Mr. Ok has managed the MainStay S&P 500 Index Fund since 1996. Mr. Ok is a Senior Vice President for Cornerstone Holdings and has been with the firm or its predecessors since 1996. Mr. Ok is also responsible for managing and running the trading desk. Mr. Ok holds a BS in Economics from Northeastern University.
Mona Patni	Ms. Patni has been the portfolio manager of the MainStay U.S. Equity Opportunities Fund since 2007. She is a Vice President and Portfolio Manager for the Core Equity team of Cornerstone Holdings and has been with the firm or its predecessors since 2001. Ms. Patni earned her MBA from NYU Stern School of Business. She also earned her undergraduate degree in Computer Science Engineering from the University of Bombay.
David Pearl	Mr. Pearl has been a portfolio manager of the MainStay Epoch U.S. All Cap Fund and MainStay U.S. Small Cap Fund since 2009 and MainStay Epoch Global Choice Fund since 2011. Mr. Pearl co-founded Epoch in 2004, where he is Executive Vice President and Co-Chief Investment Officer. Mr. Pearl received a BS in Mechanical Engineering from the University of Pennsylvania and an MBA from Stanford University Graduate School of Business.
William Priest, CFA	Mr. Priest has been a portfolio manager of the MainStay Epoch U.S. All Cap Fund, MainStay Epoch Global Choice Fund, MainStay Epoch Global Equity Yield Fund and MainStay Epoch International Small Cap Fund since 2009. Mr. Priest founded Epoch Investment Partners in 2004, where he is Chief Executive Officer and Co-Chief Investment Officer. He is a CFA charterholder and a graduate of Duke University and the University of Pennsylvania's Wharton Graduate School of Business.

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Edward Ramos, CFA	Mr. Ramos is a Senior Vice President for Cornerstone Holdings. Mr. Ramos has served as portfolio manager for MainStay International Equity Fund since 2011. Mr. Ramos joined New York Life Investments and MacKay Shields in May 2011 and the firm’s predecessor in July 2011. Prior to joining New York Life Investments and its affiliates, Mr. Ramos was with Morgan Stanley Investment Management from 2005 to 2010 where he was an Executive Director, Lead Portfolio Manager and Head of the Global Growth Team, focusing on international and global equities. Mr. Ramos graduated from Lehigh University with a BS in Finance in 1989 and received his MBA from Columbia University Graduate School of Business in 1993. He is a CFA charterholder.
Eric Sappenfield	Mr. Sappenfield has been a portfolio manager of the MainStay Epoch Global Equity Yield Fund since 2009 and of the MainStay Epoch U.S. Equity Yield Fund since September 2012. Mr. Sappenfield joined Epoch in 2006 and is a Managing Director. Mr. Sappenfield holds a BA degree from Stanford University and an MBA from the University of California, Los Angeles.
Jerrold K. Senser, CFA	Mr. Senser serves as Chief Executive Officer and Chief Investment Officer of ICAP. As CEO and CIO, Mr. Senser heads the investment team and is the lead portfolio manager for all of ICAP's investment strategies. Mr. Senser has been with the firm since 1986 and has been a portfolio manager for the MainStay ICAP Equity Fund since 1994, MainStay ICAP Select Equity Fund and MainStay ICAP International Fund since 1997, MainStay MAP Fund since 2006, and MainStay ICAP Global Fund since 2008. Mr. Senser graduated with a BA in economics from the University of Michigan, and an MBA from the University of Chicago. He is a CFA charterholder.
John Tobin, PhD, CFA	Mr. Tobin has been a portfolio manager of the MainStay Epoch U.S. Equity Yield Fund since February 2013. Mr. Tobin joined Epoch in 2012 and is a Director and Senior Research Analyst. His primary focus is on Epoch’s U.S. and Global Equity Shareholder Yield strategies. Prior to joining Epoch in 2012, Mr. Tobin taught undergraduate economics as a lecturer at Fordham University from 2009 to 2012 and as an adjunct professor from 2002 to 2009. Mr. Tobin was with HSBC Global Asset management as a senior research analyst from 2005 to 2009 and with Credit Suisse Asset Management in a similar capacity from 1990 to 2005. Mr. Tobin has over 32 years of experience. Mr. Tobin received AB, AM and PhD degrees in Economics from Fordham University and is a CFA charterholder.
Kera Van Valen, CFA	Ms. Van Valen has been a portfolio manager of the MainStay U.S. Equity Yield Fund since February 2013. Ms. Van Valen joined Epoch in 2005 and is a Director and Research Analyst. Her primary focus is on Epoch’s U.S. and Global Equity Shareholder Yield strategies. Prior to joining the Global Equity team, Ms. Van Valen was an analyst within Epoch’s Quantitative Research & Risk Management team. Ms. Van Valen received her BA in Mathematics from Colgate University and her MBA from Columbia University, Graduate School of Business and is a CFA charterholder.
Andrew Ver Planck, CFA	Mr. Ver Planck has managed the MainStay International Opportunities Fund since 2007, and the MainStay Common Stock Fund and MainStay U.S. Equity Opportunities Fund since February 2013. He is a Senior Vice President for Cornerstone Holdings and has been with the firm or its predecessors since 2005. He is responsible for the development and implementation of international quantitative equity strategies. Mr. Ver Planck received a BS in Operations Research and Industrial Engineering from Cornell University. He is a CFA charterholder.

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R. Bart Wear, CFA	Mr. Wear is a Senior Managing Director and portfolio manager/analyst of Winslow Capital and has been with the firm since 1997. Mr. Wear has been part of the investment management team for the MainStay Large Cap Growth Fund since 2005. Mr. Wear graduated with honors from Arizona State University in 1982 with a BS in Finance. He is also a CFA charterholder.
Michael Welhoelter, CFA	Mr. Welhoelter has been a portfolio manager of the MainStay Epoch Global Choice Fund, MainStay Epoch Global Equity Yield Fund, MainStay Epoch International Small Cap Fund, MainStay Epoch U.S. All Cap Fund, MainStay Epoch U.S. Equity Yield Fund and the MainStay U.S. Small Cap Fund since 2009. Mr. Welhoelter joined Epoch in 2005 and is a Managing Director and Chief Risk Officer. Mr. Welhoelter holds a BA degree in Computer and Information Science from Colgate University. He is a member of the New York Society of Security Analysts and the Society of Quantitative Analysts, and is a CFA charterholder.
Thomas R. Wenzel, CFA	Mr. Wenzel joined ICAP in 1992 and has managed the MainStay ICAP Equity Fund since 1994, MainStay ICAP Select Equity Fund and MainStay ICAP International Fund since 1997, MainStay MAP Fund since 2006, and MainStay ICAP Global Fund since 2008. He is Senior Executive Vice President and Co-Director of Research for ICAP and is a senior member of ICAP's investment team. As the Co-Director of Research, Mr. Wenzel assists with the firm’s investment research effort and assists the CIO with various responsibilities related to ICAP’s investment team and strategies. At the University of Wisconsin-Madison, he participated in the applied security analysis and investment management program and earned a BA in economics and an MBA. He is a CFA charterholder.
Clark J. Winslow	Mr. Winslow has served as the Chief Executive Officer, Chief Investment Officer and a portfolio manager of Winslow Capital since 1992. Mr. Winslow has been part of the investment management team for the MainStay Large Cap Growth Fund since 2005. Mr. Winslow has 46 years of investment experience and has managed portfolios since 1975. Mr. Winslow has a BA from Yale University and an MBA from the Harvard Business School.

118

Financial Highlights

The financial highlights tables are intended to help you understand the Funds' financial performance for the past five fiscal years or, if shorter, the period of the Funds' operations. Certain information reflects financial results for a single Fund share. The total returns in the tables represent the rate that an investor would have earned or lost on an investment in the Funds (assuming reinvestment of all dividends and capital gain distributions and excluding all sales charges).

Effective May 25, 2012, MainStay U.S. Small Cap Fund, formerly a series of Eclipse Funds, merged into a corresponding "shell" series of MainStay Funds Trust, a newly organized Delaware statutory trust. Upon completion of this reorganization, the respective share classes of MainStay U.S. Small Cap Fund assumed the performance, financial and other historical information of the predecessor fund.

Effective February 26, 2010, each Fund that was a series of Eclipse Funds Inc. and ICAP Funds, Inc., merged into a corresponding "shell" series of MainStay Funds Trust, a newly organized Delaware statutory trust (each a "Reorganization"). Upon completion of each Reorganization, the respective share classes of each Fund assumed the performance, financial and other historical information of those of the corresponding predecessor fund.

The financial highlights for MainStay Epoch U.S. Equity Yield Fund, MainStay Epoch Global Choice Fund, MainStay Epoch Global Equity Yield Fund and MainStay Epoch International Small Cap Fund (collectively referred to as the "MainStay Epoch Funds") reflect the historical financial highlights of the Epoch U.S. Large Cap Equity Fund, Epoch U.S. All Cap Equity Fund, Epoch Global Equity Shareholder Yield Fund and Epoch International Small Cap Fund, respectively, each a separate series of The World Funds, Inc. (the "Epoch Funds"). Upon the completion of the reorganizations of the Epoch Funds with and into MainStay Funds Trust, which occurred on November 13, 2009, the Class A and Class I shares of the MainStay Epoch Funds assumed the performance, financial and other historical information of the Class P shares and Institutional Class shares of the Epoch Funds, respectively. Please note that as of January 4, 2010, the fiscal year end for the MainStay Epoch Funds changed from December 31 to October 31.

Please note that as of July 1, 2008, the fiscal year end for the MainStay ICAP Equity Fund, MainStay ICAP International Fund and MainStay ICAP Select Equity Fund was changed from December 31 to October 31. The fiscal year end for MainStay ICAP Global Fund has been October 31 since its inception.

The information for all Funds has been audited by KPMG LLP, whose report, along with the Funds' financial statements, is included in the annual reports, which are available upon request. For the MainStay Epoch Funds, the information for the fiscal years ended on or before December 31, 2008 was audited by those Funds' previous independent registered public accounting firm (when the Funds were the Epoch Funds).

119

Financial Highlights

MainStay U.S. Equity Opportunities Fund (formerly known as MainStay 130/30 Core Fund)

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,															February 28, 2008* through October 31,
Investor Class				2012				2011				2010				2009		2008
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	7.85		$$$	$	7.28		$$$	$	6.40		$$$	$	6.00		$	8.68
Net investment income (loss) (a)				0.02				0.01				(0.01	)			0.02			(0.02	)
Net realized and unrealized gain (loss) on investments				1.01				0.56				0.90				0.38			(2.66	)
Total from investment operations				1.03				0.57				0.89				0.40			(2.68	)
Less dividends and distributions:
From net investment income				(0.00	)‡			(0.00	)‡			(0.01	)			—			—
From net realized gain on investments				(0.63	)			—				—				—			—
Total dividends and distributions				(0.63	)			(0.00	)‡			(0.01	)			—			—
Net asset value at end of period			$	8.25			$	7.85			$	7.28			$	6.40		$	6.00
Total investment return (b)				14.31	%			7.86	%			13.88	%			6.67	%(c)		(30.76	)%(d)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.19	%			0.10	%			(0.16	)%			0.38	%		(0.37	)%†
Net expenses (excluding short sale expenses)				1.54	%			1.58	%			1.58	%			1.60	%		1.59	%†
Expenses (including short sale expenses, before waiver / reimbursement)				2.61	%			2.27	%			2.50	%			2.57	%		2.59	%†
Short sale expenses				1.07	%			0.69	%			0.92	%			0.87	%		0.82	%†
Portfolio turnover rate				140	%			145	%			117	%			163	%		244	%
Net assets at end of period (in 000's)			$	151			$	121			$	81			$	53		$	41
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment returns may reflect adjustments to conform to generally accepted accounting principles.
(d)	Total investment return is not annualized.


			Year ended October 31,
Class A				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	7.89		$$$	$	7.31		$$$	$	6.41		$$$	$	6.00		$$$	$	9.64
Net investment income (loss) (a)				0.02				0.03				0.00	‡			0.05				(0.02	)
Net realized and unrealized gain (loss) on investments				1.03				0.56				0.92				0.37				(3.61	)
Total from investment operations				1.05				0.59				0.92				0.42				(3.63	)
Less dividends and distributions:
From net investment income				(0.02	)			(0.01	)			(0.02	)			(0.01	)			(0.01	)
From net realized gain on investments				(0.63	)			—				—				—				—
Total dividends and distributions				(0.65	)			(0.01	)			(0.02	)			(0.01	)			(0.01	)
Net asset value at end of year			$	8.29			$	7.89			$	7.31			$	6.41			$	6.00
Total investment return (b)				14.54	%			8.05	%			14.31	%			6.77	%			(37.57	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.31	%			0.33	%			0.07	%			0.83	%			(0.20	)%
Net expenses (excluding short sale expenses)				1.30	%			1.34	%			1.34	%			1.46	%			1.50	%
Expenses (including short sale expenses, before waiver / reimbursement)				2.35	%			2.03	%			2.29	%			2.40	%			2.60	%
Short sale expenses				1.05	%			0.69	%			0.95	%			0.94	%			0.85	%
Portfolio turnover rate				140	%			145	%			117	%			163	%			244	%
Net assets at end of year (in 000's)			$	500			$	417			$	229			$	138			$	390
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.

120

Financial Highlights

MainStay U.S. Equity Opportunities Fund (formerly known as MainStay 130/30 Core Fund)

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,
Class C				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	7.62		$$$	$	7.12		$$$	$	6.30		$$$	$	5.95		$$$	$	9.61
Net investment income (loss) (a)				(0.04	)			(0.05	)			(0.06	)			(0.02	)			(0.09	)
Net realized and unrealized gain (loss) on investments				0.98				0.55				0.88				0.37				(3.57	)
Total from investment operations				0.94				0.50				0.82				0.35				(3.66	)
Less dividends and distributions:
From net investment income				—				(0.00	)‡			—				—				—
From net realized gain on investments				(0.63	)			—				—				—				—
Total dividends and distributions				(0.63	)			(0.00	)‡			—				—				—
Net asset value at end of year			$	7.93			$	7.62			$	7.12			$	6.30			$	5.95
Total investment return (b)				13.42	%			7.05	%			13.02	%			5.88	%			(38.15	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.56	)%			(0.63	)%			(0.87	)%			(0.41	)%			(1.12	)%
Net expenses (excluding short sale expenses)				2.30	%			2.32	%			2.34	%			2.35	%			2.33	%
Expenses (including short sale expenses, before waiver / reimbursement)				3.36	%			3.02	%			3.23	%			3.31	%			3.41	%
Short sale expenses				1.06	%			0.70	%			0.89	%			0.86	%			0.81	%
Portfolio turnover rate				140	%			145	%			117	%			163	%			244	%
Net assets at end of year (in 000's)			$	451			$	379			$	289			$	370			$	228
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.


			Year ended October 31,
Class I				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	7.92		$$$	$	7.33		$$$	$	6.43		$$$	$	6.02		$$$	$	9.65
Net investment income (loss) (a)				0.05				0.05				0.02				0.04				0.01
Net realized and unrealized gain (loss) on investments				1.02				0.57				0.91				0.38				(3.62	)
Total from investment operations				1.07				0.62				0.93				0.42				(3.61	)
Less dividends and distributions:
From net investment income				(0.04	)			(0.03	)			(0.03	)			(0.01	)			(0.02	)
From net realized gain on investments				(0.63	)			—				—				—				—
Total dividends and distributions				(0.67	)			(0.03	)			(0.03	)			(0.01	)			(0.02	)
Net asset value at end of year			$	8.32			$	7.92			$	7.33			$	6.43			$	6.02
Total investment return (b)(c)				14.76	%			8.42	%			14.53	%			7.05	%			(37.48	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.69	%			0.61	%			0.33	%			0.69	%			0.07	%
Net expenses (excluding short sale expenses)				1.06	%			1.09	%			1.09	%			1.22	%			1.25	%
Expenses (including short sale expenses, before waiver / reimbursement)				2.12	%			1.79	%			2.01	%			2.08	%			2.16	%
Short sale expenses				1.06	%			0.70	%			0.92	%			0.86	%			0.81	%
Portfolio turnover rate				140	%			145	%			117	%			163	%			244	%
Net assets at end of year (in 000's)			$	461,366			$	380,953			$	334,987			$	189,845			$	84,861
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Class I shares are not subject to sales charges.

121

Financial Highlights

MainStay Common Stock Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,															February 28, 2008* through October 31,
Investor Class				2012				2011				2010				2009		2008
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	11.32		$$$	$	10.77		$$$	$	9.69		$$$	$	9.27		$	13.17
Net investment income (loss) (a)				0.09				0.06				0.03				0.07			0.03
Net realized and unrealized gain (loss) on investments				1.61				0.53				1.13				0.40			(3.93	)
Total from investment operations				1.70				0.59				1.16				0.47			(3.90	)
Less dividends:
From net investment income				(0.13	)			(0.04	)			(0.08	)			(0.05	)		—
Net asset value at end of period			$	12.89			$	11.32			$	10.77			$	9.69		$	9.27
Total investment return (b)				15.15	%			5.47	%			11.99	%			5.12	%		(29.61	)%(c)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.72	%			0.56	%			0.25	%			0.81	%		0.41	%†
Net expenses				1.56	%			1.52	%			1.61	%			1.46	%		1.40	%†
Expenses (before waiver / reimbursement)				1.56	%			1.52	%			1.61	%			1.73	%		1.58	%†
Portfolio turnover rate				182	%			139	%			152	%			138	%		158	%
Net assets at end of period (in 000's)			$	15,093			$	13,917			$	13,661			$	12,752		$	11,811
*	Commencement of operations.
†	Annualized.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment return is not annualized.


			Year ended October 31,
Class A				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	11.34		$$$	$	10.79		$$$	$	9.70		$$$	$	9.28		$$$	$	16.10
Net investment income (loss) (a)				0.15				0.13				0.09				0.12				0.08
Net realized and unrealized gain (loss) on investments				1.60				0.53				1.13				0.40				(5.70	)
Total from investment operations				1.75				0.66				1.22				0.52				(5.62	)
Less dividends and distributions:
From net investment income				(0.19	)			(0.11	)			(0.13	)			(0.10	)			(0.06	)
From net realized gain on investments				—				—				—				—				(1.14	)
Total dividends and distributions				(0.19	)			(0.11	)			(0.13	)			(0.10	)			(1.20	)
Net asset value at end of year			$	12.90			$	11.34			$	10.79			$	9.70			$	9.28
Total investment return (b)				15.64	%			6.10	%			12.64	%			5.80	%			(37.22	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.22	%			1.12	%			0.90	%			1.38	%			0.65	%
Net expenses				1.06	%			0.97	%			0.96	%			0.94	%			1.15	%
Expenses (before waiver / reimbursement)				1.06	%			0.97	%			0.96	%			0.98	%			1.30	%
Portfolio turnover rate				182	%			139	%			152	%			138	%			158	%
Net assets at end of year (in 000's)			$	12,402			$	10,662			$	12,140			$	11,579			$	12,530
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.

122

Financial Highlights

MainStay Common Stock Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,
Class B				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEF	$	10.43		$$$	$	9.96		$$$	$	8.97		$$$	$	8.60		$$$	$	15.07
Net investment income (loss) (a)				(0.00	)‡			(0.02	)			(0.05	)			0.01				(0.04	)
Net realized and unrealized gain (loss) on investments				1.48				0.49				1.05				0.36				(5.29	)
Total from investment operations				1.48				0.47				1.00				0.37				(5.33	)
Less dividends and distributions:
From net investment income				(0.04	)			(0.00	)‡			(0.01	)			—				—
From net realized gain on investments				—				—				—				—				(1.14	)
Total dividends and distributions				(0.04	)			(0.00	)‡			(0.01	)			—				(1.14	)
Net asset value at end of year			$	11.87			$	10.43			$	9.96			$	8.97			$	8.60
Total investment return (b)				14.23	%			4.75	%			11.14	%			4.30	%			(37.77	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.02	)%			(0.17	)%			(0.49	)%			0.14	%			(0.30	)%
Net expenses				2.31	%			2.27	%			2.36	%			2.20	%			2.10	%
Expenses (before waiver / reimbursement)				2.31	%			2.27	%			2.36	%			2.49	%			2.27	%
Portfolio turnover rate				182	%			139	%			152	%			138	%			158	%
Net assets at end of year (in 000's)			$	5,836			$	6,762			$	8,466			$	10,371			$	13,212
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.


			Year ended October 31,
Class C				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	10.43		$$$	$	9.96		$$$	$	8.97		$$$	$	8.59		$$$	$	15.07
Net investment income (loss) (a)				(0.00	)‡			(0.02	)			(0.05	)			0.01				(0.04	)
Net realized and unrealized gain (loss) on investments				1.48				0.49				1.05				0.37				(5.30	)
Total from investment operations				1.48				0.47				1.00				0.38				(5.34	)
Less dividends and distributions:
From net investment income				(0.04	)			(0.00	)‡			(0.01	)			—				—
From net realized gain on investments				—				—				—				—				(1.14	)
Total dividends and distributions				(0.04	)			(0.00	)‡			(0.01	)			—				(1.14	)
Net asset value at end of year			$	11.87			$	10.43			$	9.96			$	8.97			$	8.59
Total investment return (b)				14.23	%			4.75	%			11.12	%			4.42	%			(37.84	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.02	)%			(0.18	)%			(0.49	)%			0.12	%			(0.30	)%
Net expenses				2.31	%			2.27	%			2.36	%			2.21	%			2.10	%
Expenses (before waiver / reimbursement)				2.31	%			2.27	%			2.36	%			2.49	%			2.27	%
Portfolio turnover rate				182	%			139	%			152	%			138	%			158	%
Net assets at end of year (in 000's)			$	1,575			$	1,221			$	1,352			$	1,357			$	1,611
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.

123

Financial Highlights

MainStay Common Stock Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,
Class I				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	11.38		$$$	$	10.82		$$$	$	9.72		$$$	$	9.32		$$$	$	16.19
Net investment income (loss) (a)				0.18				0.16				0.12				0.15				0.15
Net realized and unrealized gain (loss) on investments				1.60				0.53				1.14				0.39				(5.73	)
Total from investment operations				1.78				0.69				1.26				0.54				(5.58	)
Less dividends and distributions:
From net investment income				(0.22	)			(0.13	)			(0.16	)			(0.14	)			(0.15	)
From net realized gain on investments				—				—				—				—				(1.14	)
Total dividends and distributions				(0.22	)			(0.13	)			(0.16	)			(0.14	)			(1.29	)
Net asset value at end of year			$	12.94			$	11.38			$	10.82			$	9.72			$	9.32
Total investment return (b)(c)				15.89	%			6.43	%			13.00	%			5.99	%			(36.92	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.48	%			1.39	%			1.16	%			1.69	%			1.16	%
Net expenses				0.81	%			0.72	%			0.71	%			0.65	%			0.62	%
Expenses (before waiver / reimbursement)				0.81	%			0.72	%			0.71	%			0.73	%			0.80	%
Portfolio turnover rate				182	%			139	%			152	%			138	%			158	%
Net assets at end of year (in 000's)			$	75,985			$	112,148			$	230,246			$	260,081			$	336,529
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Class I shares are not subject to sales charges.

124

Financial Highlights

MainStay Epoch U.S. All Cap Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,															February 28, 2008* through October 31,
Investor Class				2012				2011				2010				2009		2008
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	21.68		$$$	$	20.74		$$$	$	17.66		$$$	$	15.40		$	23.34
Net investment income (loss) (a)				0.06				(0.03	)			(0.01	)			(0.05	)		(0.13	)
Net realized and unrealized gain (loss) on investments				2.07				0.97				3.11				2.31			(7.81	)
Total from investment operations				2.13				0.94				3.10				2.26			(7.94	)
Less dividends and distributions:
From net investment income				—				—				(0.02	)			—			—
From net realized gain on investments				(0.89	)			—				—				—			—
Total dividends and distributions				(0.89	)			—				(0.02	)			—			—
Net asset value at end of period			$	22.92			$	21.68			$	20.74			$	17.66		$	15.40
Total investment return (b)				10.14	%			4.53	%			17.56	%			14.68	%(c)		(34.02	)%(d)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.27	%			(0.12	)%			(0.04	)%			(0.29	)%		(0.88	)%†
Net expenses				1.58	%(e)			1.58	%			1.69	%			1.67	%		1.64	%†
Expenses (before waiver / reimbursement)				1.58	%(e)			1.58	%			1.69	%			1.96	%		1.66	%†
Portfolio turnover rate				31	%			42	%			41	%			135	%		56	%
Net assets at end of period (in 000's)			$	8,064			$	7,659			$	7,238			$	6,384		$	5,460
*	Commencement of operations.
†	Annualized.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment returns may reflect adjustments to conform to generally accepted accounting principles.
(d)	Total investment return is not annualized.
(e)	Net of interest expense which is less than one-tenth of a percent.


			Year ended October 31,
Class A				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	21.92		$$$	$	20.93		$$$	$	17.76		$$$	$	15.42		$$$	$	28.85
Net investment income (loss) (a)				0.16				0.07				0.09				0.02				(0.14	)
Net realized and unrealized gain (loss) on investments				2.10				0.97				3.13				2.32				(11.05	)
Total from investment operations				2.26				1.04				3.22				2.34				(11.19	)
Less dividends and distributions:
From net investment income				(0.09	)			(0.05	)			(0.05	)			—				—
From net realized gain on investments				(0.89	)			—				—				—				(2.24	)
Total dividends and distributions				(0.98	)			(0.05	)			(0.05	)			—				(2.24	)
Net asset value at end of year			$	23.20			$	21.92			$	20.93			$	17.76			$	15.42
Total investment return (b)				10.71	%			4.96	%			18.15	%			15.18	%(c)			(41.88	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.70	%			0.30	%			0.48	%			0.13	%			(0.59	)%
Net expenses				1.14	%(d)			1.15	%			1.19	%			1.26	%			1.39	%
Expenses (before waiver / reimbursement)				1.14	%(d)			1.15	%			1.19	%			1.34	%			1.40	%
Portfolio turnover rate				31	%			42	%			41	%			135	%			56	%
Net assets at end of year (in 000's)			$	12,451			$	10,466			$	9,749			$	14,006			$	12,771
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment returns may reflect adjustments to conform to generally accepted accounting principles.
(d)	Net of interest expense which is less than one-tenth of a percent.

125

Financial Highlights

MainStay Epoch U.S. All Cap Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,
Class B				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEF	$	20.37		$$$	$	19.63		$$$	$	16.84		$$$	$	14.80		$$$	$	28.03
Net investment income (loss) (a)				(0.10	)			(0.18	)			(0.14	)			(0.15	)			(0.34	)
Net realized and unrealized gain (loss) on investments				1.93				0.92				2.95				2.19				(10.65	)
Total from investment operations				1.83				0.74				2.81				2.04				(10.99	)
Less dividends and distributions:
From net investment income				—				—				(0.02	)			—				—
From net realized gain on investments				(0.89	)			—				—				—				(2.24	)
Total dividends and distributions				(0.89	)			—				(0.02	)			—				(2.24	)
Net asset value at end of year			$	21.31			$	20.37			$	19.63			$	16.84			$	14.80
Total investment return (b)				9.34	%			3.77	%			16.69	%			13.78	%(c)			(42.43	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.46	)%			(0.86	)%			(0.77	)%			(1.04	)%			(1.55	)%
Net expenses				2.33	%(d)			2.33	%			2.44	%			2.42	%			2.34	%
Expenses (before waiver / reimbursement)				2.33	%(d)			2.33	%			2.44	%			2.71	%			2.35	%
Portfolio turnover rate				31	%			42	%			41	%			135	%			56	%
Net assets at end of year (in 000's)			$	5,137			$	5,978			$	6,362			$	6,383			$	6,191
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment returns may reflect adjustments to conform to generally accepted accounting principles.
(d)	Net of interest expense which is less than one-tenth of a percent.


			Year ended October 31,
Class C				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	20.39		$$$	$	19.65		$$$	$	16.86		$$$	$	14.82		$$$	$	28.06
Net investment income (loss) (a)				(0.09	)			(0.18	)			(0.14	)			(0.15	)			(0.34	)
Net realized and unrealized gain (loss) on investments				1.92				0.92				2.95				2.19				(10.66	)
Total from investment operations				1.83				0.74				2.81				2.04				(11.00	)
Less dividends and distributions:
From net investment income				—				—				(0.02	)			—				—
From net realized gain on investments				(0.89	)			—				—				—				(2.24	)
Total dividends and distributions				(0.89	)			—				(0.02	)			—				(2.24	)
Net asset value at end of year			$	21.33			$	20.39			$	19.65			$	16.86			$	14.82
Total investment return (b)				9.33	%			3.77	%			16.67	%			13.77	%(c)			(42.42	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.45	)%			(0.86	)%			(0.79	)%			(1.03	)%			(1.55	)%
Net expenses				2.33	%(d)			2.33	%			2.44	%			2.42	%			2.34	%
Expenses (before waiver / reimbursement)				2.33	%(d)			2.33	%			2.44	%			2.71	%			2.35	%
Portfolio turnover rate				31	%			42	%			41	%			135	%			56	%
Net assets at end of year (in 000's)			$	2,409			$	3,498			$	3,959			$	3,514			$	4,004
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment returns may reflect adjustments to conform to generally accepted accounting principles.
(d)	Net of interest expense which is less than one-tenth of a percent.

126

Financial Highlights

MainStay Epoch U.S. All Cap Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,
Class I				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	23.29		$$$	$	22.24		$$$	$	18.87		$$$	$	16.33		$$$	$	30.28
Net investment income (loss) (a)				0.23				0.13				0.13				0.07				(0.03	)
Net realized and unrealized gain (loss) on investments				2.22				1.03				3.34				2.47				(11.68	)
Total from investment operations				2.45				1.16				3.47				2.54				(11.71	)
Less dividends and distributions:
From net investment income				(0.14	)			(0.11	)			(0.10	)			—				—
From net realized gain on investments				(0.89	)			—				—				—				(2.24	)
Total dividends and distributions				(1.03	)			(0.11	)			(0.10	)			—				(2.24	)
Net asset value at end of year			$	24.71			$	23.29			$	22.24			$	18.87			$	16.33
Total investment return (b)(c)				10.96	%			5.20	%			18.42	%			15.55	%(d)			(41.60	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.98	%			0.55	%			0.62	%			0.42	%			(0.14	)%
Net expenses				0.89	%(e)			0.90	%			0.94	%			0.95	%			0.93	%
Expenses (before waiver / reimbursement)				0.89	%(e)			0.90	%			0.94	%			1.09	%			0.97	%
Portfolio turnover rate				31	%			42	%			41	%			135	%			56	%
Net assets at end of year (in 000's)			$	424,714			$	584,686			$	510,263			$	195,303			$	157,222
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Class I shares are not subject to sales charges.
(d)	Total investment returns may reflect adjustments to conform to generally accepted accounting principles.
(e)	Net of interest expense which is less than one-tenth of a percent.

127

Financial Highlights

MainStay Epoch U.S. Equity Yield Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,								January 1, 2010 through October 31,			November 16, 2009* through December 31,
Investor Class				2012				2011		2010 (a)			2009
Net asset value at beginning of period		$$$	$	12.66		$$$	$	13.51		$	12.67			$	12.38
Net investment income (loss) (b)				0.13				0.04			0.03				0.02
Net realized and unrealized gain (loss) on investments				1.46				0.51			0.81				0.30
Total from investment operations				1.59				0.55			0.84				0.32
Less dividends:
From net investment income				(0.04	)			(0.05	)		—				(0.03	)
From net realized gain on investments				(0.67	)			(1.35	)		—				—
Total dividends				(0.71	)			(1.40	)		—				(0.03	)
Net asset value at end of period			$	13.54			$	12.66		$	13.51			$	12.67
Total investment return (c)				13.22	%			4.06	%		6.63	%(d)			2.60	%(d)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.02	%			0.27	%		0.25	%†			1.11	%†
Net expenses				1.21	%(e)			1.36	%		1.40	%†			1.19	%†
Expenses (before waiver / reimbursement)				1.50	%(e)			1.36	%		1.43	%†			1.19	%†
Portfolio turnover rate				50	%			54	%		54	%			54	%
Net assets at end of period (in 000's)			$	444			$	273		$	74			$	28
*	Commencement of operations.
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Total investment return is not annualized.
(e)	Net of interest expense which is less than one-tenth of a percent.


		Year ended October 31,							January 1, 2010 through October 31,			February 3, 2009* through December 31,
Class A			2012				2011		2010 (a)			2009
Net asset value at beginning of period		$	12.68		$$$	$	13.52		$	12.67			$	10.24
Net investment income (loss) (b)			0.12				0.05			0.02				0.08
Net realized and unrealized gain (loss) on investments			1.47				0.51			0.83				3.33
Total from investment operations			1.59				0.56			0.85				3.41
Less dividends and distributions:
From net investment income			(0.04	)			(0.05	)		—				(0.10	)
From net realized gain on investments			(0.67	)			(1.35	)		—				(0.88	)
Total dividends and distributions			(0.71	)			(1.40	)		—				(0.98	)
Net asset value at end of period		$	13.56			$	12.68		$	13.52			$	12.67
Total investment return (c)			13.24	%			4.18	%		6.71	%(d)			33.59	%(d)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			0.89	%			0.41	%		0.19	%†			0.76	%†
Net expenses			1.31	%(e)			1.25	%		1.34	%†			1.35	%†
Expenses (before waiver / reimbursement)			1.62	%(e)			1.25	%		1.37	%†			1.44	%†
Portfolio turnover rate			50	%			54	%		54	%			54	%
Net assets at end of period (in 000's)		$	1,090			$	534		$	850			$	127
*	Commencement of operations.
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Total investment return is not annualized.
(e)	Net of interest expense which is less than one-tenth of a percent.

128

Financial Highlights

MainStay Epoch U.S. Equity Yield Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,							January 1, 2010 through October 31,			November 16, 2009* through December 31,
Class C			2012				2011		2010 (a)			2009
Net asset value at beginning of period		$	12.53		$$$	$	13.42		$	12.67			$	12.38
Net investment income (loss) (b)			0.03				(0.05	)		(0.07	)			0.01
Net realized and unrealized gain (loss) on investments			1.45				0.51			0.82				0.30
Total from investment operations			1.48				0.46			0.75				0.31
Less dividends:
From net investment income			—				—			—				(0.02	)
From net realized gain on investments			(0.67	)			(1.35	)		—				—
Total dividends			(0.67	)			(1.35	)		—				(0.02	)
Net asset value at end of period		$	13.34			$	12.53		$	13.42			$	12.67
Total investment return (c)			12.49	%			3.30	%		5.92	%(d)(e)			2.51	%(d)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			0.23	%			(0.42	)%		(0.63	)%†			0.37	%†
Net expenses			1.98	%(f)			2.10	%		2.15	%†			1.94	%†
Expenses (before waiver / reimbursement)			2.23	%(f)			2.10	%		2.18	%†			1.94	%†
Portfolio turnover rate			50	%			54	%		54	%			54	%
Net assets at end of period (in 000's)		$	393			$	208		$	33			$	26
*	Commencement of operations.
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Total investment return is not annualized.
(e)	Total investment returns may reflect adjustments to conform to generally accepted accounting principles.
(f)	Net of interest expense which is less than one-tenth of a percent.


		Year ended October 31,							January 1, 2010 through October 31,			Year ended December 31,			December 3, 2008* through December 31,
Class I			2012				2011		2010 (a)				2009		2008
Net asset value at beginning of period		$	12.75		$$$	$	13.58		$	12.70		$	10.85			$	10.00
Net investment income (loss)			0.14	(b)			0.09	(b)		0.04	(b)		0.11	(b)			0.01
Net realized and unrealized gain (loss) on investments			1.48				0.51			0.84			2.74				0.85
Total from investment operations			1.62				0.60			0.88			2.85				0.86
Less dividends and distributions:
From net investment income			(0.08	)			(0.08	)		—			(0.12	)			(0.01	)
From net realized gain on investments			(0.67	)			(1.35	)		—			(0.88	)			—
Total dividends and distributions			(0.75	)			(1.43	)		—			(1.00	)			(0.01	)
Net asset value at end of period		$	13.62			$	12.75		$	13.58		$	12.70			$	10.85
Total investment return (c)(d)			13.43	%			4.43	%		6.93	%(e)		26.53	%			8.59	%(e)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.06	%			0.67	%		0.40	%†		0.98	%			1.28	%†
Net expenses			1.05	%(f)			1.00	%		1.09	%†		1.09	%			1.09	%†
Expenses (before waiver/reimbursement)			1.10	%(f)			1.00	%		1.12	%†		1.19	%			1.16	%†
Portfolio turnover rate			50	%			54	%		54	%		54	%			1	%
Net assets at end of period (in 000's)		$	37,430			$	268,622		$	229,830		$	155,231			$	98,778
*	Commencement of operations.
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Class I shares are not subject to sales charges.
(e)	Total investment return is not annualized.
(f)	Net of interest expense which is less than one-tenth of a percent.

129

Financial Highlights

MainStay ICAP Equity Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,															April 29, 2008* through October 31,
Investor Class			2012				2011				2010				2009		2008
Net asset value at beginning of period		$	35.05		$$$	$	33.81		$$$	$	29.89		$$$	$	26.95		$	39.51
Net investment income (loss)			0.46	(a)			0.37	(a)			0.22	(a)			0.32	(a)		0.27
Net realized and unrealized gain (loss) on investments			4.30				1.22				3.95				3.15			(12.55	)
Total from investment operations			4.76				1.59				4.17				3.47			(12.28	)
Less dividends:
From net investment income			(0.47	)			(0.35	)			(0.25	)			(0.53	)		(0.28	)
Net asset value at end of period		$	39.34			$	35.05			$	33.81			$	29.89		$	26.95
Total investment return (b)			13.61	%			4.67	%			14.02	%			13.32	%		(31.24	)%(c)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.22	%			1.01	%			0.69	%			1.24	%		1.54	%†
Net expenses			1.43	%			1.46	%			1.56	%			1.29	%		1.19	%†
Expenses (before waiver / reimbursement)			1.43	%			1.46	%			1.56	%			1.69	%		1.61	%†
Portfolio turnover rate			75	%			74	%			64	%			93	%		106	%
Net assets at end of period (in 000's)		$	11,979			$	11,633			$	12,036			$	11,465		$	10,798
*	Commencement of operations.
†	Annualized.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment return is not annualized.


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class A			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	35.07		$$$	$	33.84		$$$	$	29.89		$$$	$	26.93		$	41.53		$	45.01
Net investment income (loss)			0.55	(b)			0.49	(b)			0.34	(b)			0.35	(b)		0.42			0.66
Net realized and unrealized gain (loss) on investments			4.34				1.19				3.96				3.15			(14.59	)		1.88
Total from investment operations			4.89				1.68				4.30				3.50			(14.17	)		2.54
Less dividends and distributions:
From net investment income			(0.55	)			(0.45	)			(0.35	)			(0.54	)		(0.43	)		(0.61	)
From net realized gain on investments			—				—				—				—			—			(5.41	)
Total dividends and distributions			(0.55	)			(0.45	)			(0.35	)			(0.54	)		(0.43	)		(6.02	)
Net asset value at end of period		$	39.41			$	35.07			$	33.84			$	29.89		$	26.93		$	41.53
Total investment return (c)			13.93	%			4.94	%			14.44	%			13.46	%		(34.38	)%(d)		5.78	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.46	%			1.34	%			1.08	%			1.35	%		1.38	%†		1.22	%
Net expenses			1.17	%			1.18	%			1.18	%			1.18	%		1.18	%†		1.18	%
Expenses (before waiver / reimbursement)			1.17	%			1.18	%			1.18	%			1.26	%		1.35	%†		1.36	%
Portfolio turnover rate			75	%			74	%			64	%			93	%		106	%		71	%
Net assets at end of period (in 000's)		$	29,809			$	28,388			$	24,138			$	25,257		$	21,826		$	51,349
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Total investment return is not annualized.

130

Financial Highlights

MainStay ICAP Equity Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class C			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	34.78		$$$	$	33.59		$$$	$	29.78		$$$	$	26.86		$	41.43		$	44.96
Net investment income (loss)			0.17	(b)			0.09	(b)			(0.02	)(b)			0.13	(b)		0.19			0.34
Net realized and unrealized gain (loss) on investments			4.28				1.21				3.93				3.13			(14.55	)		1.85
Total from investment operations			4.45				1.30				3.91				3.26			(14.36	)		2.19
Less dividends and distributions:
From net investment income			(0.26	)			(0.11	)			(0.10	)			(0.34	)		(0.21	)		(0.31	)
From net realized gain on investments			—				—				—				—			—			(5.41	)
Total dividends and distributions			(0.26	)			(0.11	)			(0.10	)			(0.34	)		(0.21	)		(5.72	)
Net asset value at end of period		$	38.97			$	34.78			$	33.59			$	29.78		$	26.86		$	41.43
Total investment return (c)			12.77	%			3.86	%			13.15	%			12.51	%		(34.82	)%(d)		4.99	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			0.44	%			0.26	%			(0.07	)%			0.52	%		0.65	%†		0.49	%
Net expenses			2.18	%			2.21	%			2.31	%			2.04	%		1.94	%†		1.93	%
Expenses (before waiver / reimbursement)			2.18	%			2.21	%			2.31	%			2.44	%		2.30	%†		2.11	%
Portfolio turnover rate			75	%			74	%			64	%			93	%		106	%		71	%
Net assets at end of period (in 000's)		$	8,620			$	7,872			$	6,825			$	5,206		$	4,996		$	8,606
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Total investment return is not annualized.


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class I			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	35.12		$$$	$	33.89		$$$	$	29.93		$$$	$	26.97		$	41.57		$	45.03
Net investment income (loss)			0.65	(b)			0.57	(b)			0.43	(b)			0.45	(b)		0.54			0.77
Net realized and unrealized gain (loss) on investments			4.34				1.22				3.96				3.14			(14.62	)		1.94
Total from investment operations			4.99				1.79				4.39				3.59			(14.08	)		2.71
Less dividends and distributions:
From net investment income			(0.64	)			(0.56	)			(0.43	)			(0.63	)		(0.52	)		(0.76	)
From net realized gain on investments			—				—				—				—			—			(5.41	)
Total dividends and distributions			(0.64	)			(0.56	)			(0.43	)			(0.63	)		(0.52	)		(6.17	)
Net asset value at end of period		$	39.47			$	35.12			$	33.89			$	29.93		$	26.97		$	41.57
Total investment return (c)(d)			14.23	%			5.23	%			14.76	%			13.86	%		(34.18	)%(e)		6.20	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.72	%			1.57	%			1.35	%			1.76	%		1.79	%†		1.63	%
Net expenses			0.90	%			0.90	%			0.90	%			0.83	%		0.80	%†		0.80	%
Expenses (before waiver / reimbursement)			0.92	%			0.93	%			0.93	%			1.02	%		0.96	%†		0.92	%
Portfolio turnover rate			75	%			74	%			64	%			93	%		106	%		71	%
Net assets at end of period (in 000's)		$	809,605			$	725,422			$	801,517			$	705,425		$	732,479		$	1,041,210
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Class I shares are not subject to sales charges.
(e)	Total investment return is not annualized.

131

Financial Highlights

MainStay ICAP Equity Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class R1			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	35.14		$$$	$	33.91		$$$	$	29.94		$$$	$	26.98		$	41.59		$	45.00
Net investment income (loss)			0.63	(b)			0.53	(b)			0.40	(b)			0.39	(b)		0.52			0.77
Net realized and unrealized gain (loss) on investments			4.33				1.22				3.97				3.18			(14.64	)		1.94
Total from investment operations			4.96				1.75				4.37				3.57			(14.12	)		2.71
Less dividends and distributions:
From net investment income			(0.61	)			(0.52	)			(0.40	)			(0.61	)		(0.49	)		(0.71	)
From net realized gain on investments			—				—				—				—			—			(5.41	)
Total dividends and distributions			(0.61	)			(0.52	)			(0.40	)			(0.61	)		(0.49	)		(6.12	)
Net asset value at end of period		$	39.49			$	35.14			$	33.91			$	29.94		$	26.98		$	41.59
Total investment return (c)(d)			14.13	%			5.14	%			14.67	%			13.73	%		(34.24	)%(e)		6.10	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.65	%			1.47	%			1.24	%			1.49	%		1.66	%†		1.72	%
Net expenses			0.99	%			0.99	%			1.01	%			0.94	%		0.90	%†		0.90	%
Expenses (before waiver / reimbursement)			1.02	%			1.03	%			1.03	%			1.11	%		1.06	%†		1.02	%
Portfolio turnover rate			75	%			74	%			64	%			93	%		106	%		71	%
Net assets at end of period (in 000's)		$	4,658			$	3,869			$	3,351			$	2,268		$	1,370		$	1,097
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Class R1 shares are not subject to sales charges.
(e)	Total investment return is not annualized.


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class R2			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	35.08		$$$	$	33.85		$$$	$	29.90		$$$	$	26.94		$	41.54		$	45.02
Net investment income (loss)			0.47	(b)			0.44	(b)			0.30	(b)			0.33	(b)		0.44			0.63
Net realized and unrealized gain (loss) on investments			4.37				1.21				3.97				3.17			(14.62	)		1.92
Total from investment operations			4.84				1.65				4.27				3.50			(14.18	)		2.55
Less dividends and distributions:
From net investment income			(0.52	)			(0.42	)			(0.32	)			(0.54	)		(0.42	)		(0.62	)
From net realized gain on investments			—				—				—				—			—			(5.41	)
Total dividends and distributions			(0.52	)			(0.42	)			(0.32	)			(0.54	)		(0.42	)		(6.03	)
Net asset value at end of period		$	39.40			$	35.08			$	33.85			$	29.90		$	26.94		$	41.54
Total investment return (c)(d)			13.82	%			4.84	%			14.36	%			13.47	%		(34.38	)%(e)		5.82	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.24	%			1.22	%			0.93	%			1.27	%		1.43	%†		1.29	%
Net expenses			1.27	%			1.28	%			1.28	%			1.19	%		1.15	%†		1.15	%
Expenses (before waiver / reimbursement)			1.27	%			1.28	%			1.28	%			1.36	%		1.31	%†		1.27	%
Portfolio turnover rate			75	%			74	%			64	%			93	%		106	%		71	%
Net assets at end of period (in 000's)		$	12,618			$	6,096			$	4,313			$	2,050		$	781		$	1,156
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Class R2 shares are not subject to sales charges.
(e)	Total investment return is not annualized.

132

Financial Highlights

MainStay ICAP Equity Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class R3			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	35.04		$$$	$	33.81		$$$	$	29.89		$$$	$	26.93		$	41.52		$	45.00
Net investment income (loss)			0.43	(b)			0.33	(b)			0.22	(b)			0.23	(b)		0.38			0.57
Net realized and unrealized gain (loss) on investments			4.30				1.23				3.97				3.21			(14.61	)		1.86
Total from investment operations			4.73				1.56				4.19				3.44			(14.23	)		2.43
Less dividends and distributions:
From net investment income			(0.45	)			(0.33	)			(0.27	)			(0.48	)		(0.36	)		(0.50	)
From net realized gain on investments			—				—				—				—			—			(5.41	)
Total dividends and distributions			(0.45	)			(0.33	)			(0.27	)			(0.48	)		(0.36	)		(5.91	)
Net asset value at end of period		$	39.32			$	35.04			$	33.81			$	29.89		$	26.93		$	41.52
Total investment return (c)(d)			13.52	%			4.59	%			14.07	%			13.22	%		(34.51	)%(e)		5.55	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.15	%			0.92	%			0.70	%			0.88	%		1.16	%†		0.98	%
Net expenses			1.52	%			1.53	%			1.53	%			1.45	%		1.40	%†		1.40	%
Expenses (before waiver / reimbursement)			1.52	%			1.53	%			1.53	%			1.60	%		1.57	%†		1.52	%
Portfolio turnover rate			75	%			74	%			64	%			93	%		106	%		71	%
Net assets at end of period (in 000's)		$	2,972			$	2,864			$	2,257			$	365		$	72		$	67
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Class R3 shares are not subject to sales charges.
(e)	Total investment return is not annualized.

133

Financial Highlights

MainStay ICAP Select Equity Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,															April 29, 2008* through October 31,
Investor Class			2012				2011				2010				2009		2008
Net asset value at beginning of period		$	33.41		$$$	$	33.06		$$$	$	28.68		$$$	$	25.62		$	36.87
Net investment income (loss)			0.46	(a)			0.38				0.22	(a)			0.25			0.25	(a)
Net realized and unrealized gain (loss) on investments			4.01				0.32				4.38				3.10			(11.25	)
Total from investment operations			4.47				0.70				4.60				3.35			(11.00	)
Less dividends:
From net investment income			(0.47	)			(0.35	)			(0.22	)			(0.29	)		(0.25	)
Net asset value at end of period		$	37.41			$	33.41			$	33.06			$	28.68		$	25.62
Total investment return (b)			13.46	%			2.08	%			16.12	%			13.33	%		(29.97	)%(c)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.28	%			1.08	%			0.71	%			0.99	%		1.49	%†
Net expenses			1.43	%			1.43	%			1.47	%			1.30	%		1.15	%†
Expenses (before waiver / reimbursement)			1.43	%			1.43	%			1.51	%			1.45	%		1.31	%†
Portfolio turnover rate			64	%			71	%			55	%			101	%		117	%
Net assets at end of period (in 000's)		$	177,880			$	181,060			$	185,828			$	9,808		$	7,601
*	Commencement of operations.
†	Annualized.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment return is not annualized.


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class A			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	33.42		$$$	$	33.07		$$$	$	28.69		$$$	$	25.62		$	38.79		$	41.60
Net investment income (loss)			0.54	(b)			0.46				0.31	(b)			0.32			0.42	(b)		0.48	(b)
Net realized and unrealized gain (loss) on investments			4.01				0.33				4.38				3.09			(13.18	)		2.23
Total from investment operations			4.55				0.79				4.69				3.41			(12.76	)		2.71
Less dividends and distributions:
From net investment income			(0.56	)			(0.44	)			(0.31	)			(0.34	)		(0.41	)		(0.51	)
From net realized gain on investments			—				—				—				—			—			(5.01	)
Total dividends and distributions			(0.56	)			(0.44	)			(0.31	)			(0.34	)		(0.41	)		(5.52	)
Net asset value at end of period		$	37.41			$	33.42			$	33.07			$	28.69		$	25.62		$	38.79
Total investment return (c)			13.71	%			2.35	%			16.46	%			13.58	%		(33.14	)%(d)		6.62	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.50	%			1.33	%			1.01	%			1.21	%		1.47	%†		1.09	%
Net expenses			1.18	%			1.18	%			1.18	%			1.09	%		1.10	%†		1.15	%
Expenses (before waiver / reimbursement)			1.25	%			1.21	%			1.23	%			1.28	%		1.24	%†		1.26	%
Portfolio turnover rate			64	%			71	%			55	%			101	%		117	%		123	%
Net assets at end of period (in 000's)		$	606,575			$	542,404			$	478,386			$	190,956		$	142,130		$	161,070
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Total investment return is not annualized.

134

Financial Highlights

MainStay ICAP Select Equity Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,							November 13, 2009* through October 31,
Class B				2012				2011		2010
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	33.15		$$$	$	32.84		$	29.93
Net investment income (loss)				0.21	(a)			0.10			(0.01	)(a)
Net realized and unrealized gain (loss) on investments				3.95				0.34			2.99
Total from investment operations				4.16				0.44			2.98
Less dividends:
From net investment income				(0.21	)			(0.13	)		(0.07	)
Net asset value at end of period			$	37.10			$	33.15		$	32.84
Total investment return (b)				12.60	%			1.32	%		9.98	%(c)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.59	%			0.35	%		(0.04	)%†
Net expenses				2.18	%			2.18	%		2.22	%†
Expenses (before waiver / reimbursement)				2.18	%			2.18	%		2.26	%†
Portfolio turnover rate				64	%			71	%		55	%
Net assets at end of period (in 000's)			$	52,558			$	64,649		$	85,952
*	Commencement of operations.
†	Annualized.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment return is not annualized.


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class C			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	33.15		$$$	$	32.84		$$$	$	28.56		$$$	$	25.53		$	38.68		$	41.56
Net investment income (loss)			0.19	(b)			0.12				(0.01	)(b)			0.07			0.18	(b)		0.14	(b)
Net realized and unrealized gain (loss) on investments			3.97				0.33				4.36				3.09			(13.12	)		2.24
Total from investment operations			4.16				0.45				4.35				3.16			(12.94	)		2.38
Less dividends and distributions:
From net investment income			(0.21	)			(0.14	)			(0.07	)			(0.13	)		(0.21	)		(0.25	)
From net realized gain on investments			—				—				—				—			—			(5.01	)
Total dividends and distributions			(0.21	)			(0.14	)			(0.07	)			(0.13	)		(0.21	)		(5.26	)
Net asset value at end of period		$	37.10			$	33.15			$	32.84			$	28.56		$	25.53		$	38.68
Total investment return (c)			12.60	%			1.32	%			15.25	%			12.50	%		(33.59	)%(d)		5.83	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			0.53	%			0.34	%			(0.02	)%			0.28	%		0.65	%†		0.33	%
Net expenses			2.18	%			2.18	%			2.22	%			2.05	%		1.91	%†		1.90	%
Expenses (before waiver / reimbursement)			2.18	%			2.18	%			2.26	%			2.21	%		2.05	%†		2.01	%
Portfolio turnover rate			64	%			71	%			55	%			101	%		117	%		123	%
Net assets at end of period (in 000's)		$	95,321			$	95,887			$	95,241			$	55,841		$	47,831		$	45,789
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Total investment return is not annualized.

135

Financial Highlights

MainStay ICAP Select Equity Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class I			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	33.47		$$$	$	33.12		$$$	$	28.74		$$$	$	25.67		$	38.84		$	41.62
Net investment income (loss)			0.65	(b)			0.55				0.41	(b)			0.37			0.51	(b)		0.64	(b)
Net realized and unrealized gain (loss) on investments			4.02				0.34				4.37				3.10			(13.20	)		2.21
Total from investment operations			4.67				0.89				4.78				3.47			(12.69	)		2.85
Less dividends and distributions:
From net investment income			(0.66	)			(0.54	)			(0.40	)			(0.40	)		(0.48	)		(0.62	)
From net realized gain on investments			—				—				—				—			—			(5.01	)
Total dividends and distributions			(0.66	)			(0.54	)			(0.40	)			(0.40	)		(0.48	)		(5.63	)
Net asset value at end of period		$	37.48			$	33.47			$	33.12			$	28.74		$	25.67		$	38.84
Total investment return (c)(d)			14.07	%			2.63	%			16.77	%			13.89	%		(32.99	)%(e)		6.95	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.81	%			1.61	%			1.32	%			1.50	%		1.78	%†		1.44	%
Net expenses			0.90	%			0.90	%			0.90	%			0.83	%		0.80	%†		0.80	%
Expenses (before waiver / reimbursement)			1.00	%			0.96	%			0.98	%			1.03	%		0.94	%†		0.91	%
Portfolio turnover rate			64	%			71	%			55	%			101	%		117	%		123	%
Net assets at end of period (in 000's)		$	2,892,113			$	2,702,189			$	2,041,651			$	1,454,261		$	1,296,268		$	1,863,460
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Class I shares are not subject to sales charges.
(e)	Total investment return is not annualized.


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class R1			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	33.48		$$$	$	33.13		$$$	$	28.74		$$$	$	25.68		$	38.85		$	41.62
Net investment income (loss)			0.59	(b)			0.51				0.35	(b)			0.35			0.42	(b)		0.59	(b)
Net realized and unrealized gain (loss) on investments			4.03				0.33				4.39				3.08			(13.13	)		2.24
Total from investment operations			4.62				0.84				4.74				3.43			(12.71	)		2.83
Less dividends and distributions:
From net investment income			(0.61	)			(0.49	)			(0.35	)			(0.37	)		(0.46	)		(0.59	)
From net realized gain on investments			—				—				—				—			—			(5.01	)
Total dividends and distributions			(0.61	)			(0.49	)			(0.35	)			(0.37	)		(0.46	)		(5.60	)
Net asset value at end of period		$	37.49			$	33.48			$	33.13			$	28.74		$	25.68		$	38.85
Total investment return (c)(d)			13.91	%			2.47	%			16.60	%			13.69	%		(33.03	)%(e)		6.87	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.64	%			1.45	%			1.12	%			1.23	%		1.55	%†		1.33	%
Net expenses			1.03	%			1.06	%			1.08	%			0.98	%		0.91	%†		0.90	%
Expenses (before waiver / reimbursement)			1.10	%			1.06	%			1.08	%			1.13	%		1.06	%†		1.01	%
Portfolio turnover rate			64	%			71	%			55	%			101	%		117	%		123	%
Net assets at end of period (in 000's)		$	26,903			$	20,156			$	15,583			$	13,628		$	5,286		$	1,440
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Class R1 shares are not subject to sales charges.
(e)	Total investment return is not annualized.

136

Financial Highlights

MainStay ICAP Select Equity Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class R2			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	33.42		$$$	$	33.07		$$$	$	28.69		$$$	$	25.63		$	38.80		$	41.60
Net investment income (loss)			0.52	(b)			0.40				0.27	(b)			0.26			0.40	(b)		0.53	(b)
Net realized and unrealized gain (loss) on investments			3.99				0.35				4.38				3.11			(13.18	)		2.18
Total from investment operations			4.51				0.75				4.65				3.37			(12.78	)		2.71
Less dividends and distributions:
From net investment income			(0.52	)			(0.40	)			(0.27	)			(0.31	)		(0.39	)		(0.50	)
From net realized gain on investments			—				—				—				—			—			(5.01	)
Total dividends and distributions			(0.52	)			(0.40	)			(0.27	)			(0.31	)		(0.39	)		(5.51	)
Net asset value at end of period		$	37.41			$	33.42			$	33.07			$	28.69		$	25.63		$	38.80
Total investment return (c)(d)			13.59	%			2.21	%			16.29	%			13.46	%		(33.18	)%(e)		6.56	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.44	%			1.21	%			0.88	%			1.07	%		1.42	%†		1.18	%
Net expenses			1.28	%			1.31	%			1.33	%			1.22	%		1.15	%†		1.15	%
Expenses (before waiver / reimbursement)			1.35	%			1.31	%			1.33	%			1.38	%		1.29	%†		1.26	%
Portfolio turnover rate			64	%			71	%			55	%			101	%		117	%		123	%
Net assets at end of period (in 000's)		$	22,433			$	21,933			$	24,776			$	11,099		$	10,796		$	12,712
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Class R2 shares are not subject to sales charges.
(e)	Total investment return is not annualized.


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class R3			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	33.38		$$$	$	33.02		$$$	$	28.66		$$$	$	25.60		$	38.76		$	41.58
Net investment income (loss)			0.40	(b)			0.34				0.18	(b)			0.21			0.28	(b)		0.31	(b)
Net realized and unrealized gain (loss) on investments			3.99				0.33				4.38				3.10			(13.10	)		2.29
Total from investment operations			4.39				0.67				4.56				3.31			(12.82	)		2.60
Less dividends and distributions:
From net investment income			(0.41	)			(0.31	)			(0.20	)			(0.25	)		(0.34	)		(0.41	)
From net realized gain on investments			—				—				—				—			—			(5.01	)
Total dividends and distributions			(0.41	)			(0.31	)			(0.20	)			(0.25	)		(0.34	)		(5.42	)
Net asset value at end of period		$	37.36			$	33.38			$	33.02			$	28.66		$	25.60		$	38.76
Total investment return (c)(d)			13.24	%			1.99	%			15.97	%			13.16	%		(33.29	)%(e)		6.30	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.10	%			0.98	%			0.58	%			0.78	%		1.02	%†		0.70	%
Net expenses			1.60	%			1.56	%			1.58	%			1.47	%		1.40	%†		1.40	%
Expenses (before waiver / reimbursement)			1.60	%			1.56	%			1.58	%			1.63	%		1.55	%†		1.51	%
Portfolio turnover rate			64	%			71	%			55	%			101	%		117	%		123	%
Net assets at end of period (in 000's)		$	14,578			$	13,291			$	11,994			$	4,558		$	2,963		$	185
†	Annualized.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Class R3 shares are not subject to sales charges.
(e)	Total investment return is not annualized.

137

Financial Highlights

MainStay Large Cap Growth Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,															February 28, 2008* through October 31,
Investor Class				2012				2011				2010				2009		2008
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	7.21		$$$	$	6.55		$$$	$	5.53		$$$	$	4.70		$	6.63
Net investment income (loss) (a)				(0.02	)			(0.03	)			(0.04	)			(0.03	)		(0.03	)
Net realized and unrealized gain (loss) on investments				0.49				0.69				1.06				0.86			(1.90	)
Total from investment operations				0.47				0.66				1.02				0.83			(1.93	)
Less distributions:
From net realized gain on investments				(0.16	)			—				—				—			—
Net asset value at end of period			$	7.52			$	7.21			$	6.55			$	5.53		$	4.70
Total investment return (b)				6.68	%			10.08	%			18.44	%			17.66	%		(29.11	)%(c)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.28	)%			(0.43	)%			(0.64	)%			(0.62	)%		(0.73	)%†
Net expenses				1.10	%			1.15	%			1.27	%			1.45	%		1.38	%†
Expenses (before waiver / reimbursement)				1.10	%			1.15	%			1.28	%			1.45	%		1.39	%†
Portfolio turnover rate				60	%			52	%			91	%			62	%		115	%
Net assets at end of period (in 000's)			$	199,156			$	130,140			$	93,733			$	59,499		$	46,762
*	Commencement of operations.
†	Annualized.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment return is not annualized.


			Year ended October 31,
Class A				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	7.24		$$$	$	6.58		$$$	$	5.54		$$$	$	4.70		$$$	$	7.37
Net investment income (loss) (a)				(0.02	)			(0.02	)			(0.03	)			(0.02	)			(0.03	)
Net realized and unrealized gain (loss) on investments				0.49				0.68				1.07				0.86				(2.64	)
Total from investment operations				0.47				0.66				1.04				0.84				(2.67	)
Less distributions:
From net realized gain on investments				(0.16	)			—				—				—				—
Net asset value at end of year			$	7.55			$	7.24			$	6.58			$	5.54			$	4.70
Total investment return (b)				6.79	%			10.03	%			18.77	%			17.87	%(c)			(36.36	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.20	)%			(0.35	)%			(0.52	)%			(0.43	)%			(0.52	)%
Net expenses				1.04	%			1.06	%			1.17	%			1.21	%			1.23	%
Expenses (before waiver / reimbursement)				1.04	%			1.07	%			1.18	%			1.24	%			1.26	%
Portfolio turnover rate				60	%			52	%			91	%			62	%			115	%
Net assets at end of year (in 000's)			$	1,611,374			$	1,887,326			$	1,131,968			$	1,662,622			$	495,184
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment returns may reflect adjustments to conform to generally accepted accounting principles.

138

Financial Highlights

MainStay Large Cap Growth Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,
Class B				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEF	$	6.86		$$$	$	6.28		$$$	$	5.34		$$$	$	4.57		$$$	$	7.24
Net investment income (loss) (a)				(0.07	)			(0.08	)			(0.08	)			(0.06	)			(0.09	)
Net realized and unrealized gain (loss) on investments				0.46				0.66				1.02				0.83				(2.58	)
Total from investment operations				0.39				0.58				0.94				0.77				(2.67	)
Less distributions:
From net realized gain on investments				(0.16	)			—				—				—				—
Net asset value at end of year			$	7.09			$	6.86			$	6.28			$	5.34			$	4.57
Total investment return (b)				5.98	%			9.24	%(c)			17.60	%(c)			16.85	%			(36.88	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(1.01	)%			(1.18	)%			(1.38	)%			(1.35	)%			(1.34	)%
Net expenses				1.84	%			1.90	%			2.02	%			2.20	%			2.10	%
Expenses (before waiver / reimbursement)				1.85	%			1.90	%			2.03	%			2.21	%			2.12	%
Portfolio turnover rate				60	%			52	%			91	%			62	%			115	%
Net assets at end of year (in 000's)			$	58,392			$	72,591			$	82,590			$	63,327			$	65,996
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment returns may reflect adjustments to conform to generally accepted accounting principles.


			Year ended October 31,
Class C				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	6.85		$$$	$	6.28		$$$	$	5.33		$$$	$	4.57		$$$	$	7.23
Net investment income (loss) (a)				(0.07	)			(0.08	)			(0.08	)			(0.07	)			(0.09	)
Net realized and unrealized gain (loss) on investments				0.47				0.65				1.03				0.83				(2.57	)
Total from investment operations				0.40				0.57				0.95				0.76				(2.66	)
Less distributions:
From net realized gain on investments				(0.16	)			—				—				—				—
Net asset value at end of year			$	7.09			$	6.85			$	6.28			$	5.33			$	4.57
Total investment return (b)				5.99	%			9.08	%			17.82	%(c)			16.63	%(c)			(36.79	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(1.02	)%			(1.18	)%			(1.39	)%			(1.38	)%			(1.41	)%
Net expenses				1.85	%			1.89	%			2.02	%			2.19	%			2.11	%
Expenses (before waiver / reimbursement)				1.85	%			1.90	%			2.03	%			2.20	%			2.12	%
Portfolio turnover rate				60	%			52	%			91	%			62	%			115	%
Net assets at end of year (in 000's)			$	375,521			$	380,186			$	262,799			$	174,955			$	93,249
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment returns may reflect adjustments to conform to generally accepted accounting principles.

139

Financial Highlights

MainStay Large Cap Growth Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,
Class I				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	7.45		$$$	$	6.75		$$$	$	5.67		$$$	$	4.79		$$$	$	7.49
Net investment income (loss) (a)				0.00	‡			(0.01	)			(0.01	)			0.00	‡			(0.01	)
Net realized and unrealized gain (loss) on investments				0.51				0.71				1.09				0.88				(2.69	)
Total from investment operations				0.51				0.70				1.08				0.88				(2.70	)
Less distributions:
From net realized gain on investments				(0.16	)			—				—				—				—
Net asset value at end of year			$	7.80			$	7.45			$	6.75			$	5.67			$	4.79
Total investment return (b)(c)				7.15	%			10.37	%(d)			19.05	%(d)			18.37	%			(36.05	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.03	%			(0.09	)%			(0.23	)%			0.00	%	(e)		(0.08	)%
Net expenses				0.79	%			0.81	%			0.85	%			0.82	%			0.79	%
Expenses (before waiver / reimbursement)				0.79	%			0.82	%			0.94	%			0.99	%			0.94	%
Portfolio turnover rate				60	%			52	%			91	%			62	%			115	%
Net assets at end of year (in 000's)			$	11,215,464			$	8,465,658			$	3,497,859			$	1,341,715			$	761,458
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Class I shares are not subject to sales charges.
(d)	Total investment returns may reflect adjustments to conform to generally accepted accounting principles.
(e)	Less than one-hundredth of a percent.


			Year ended October 31,
Class R1				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	7.38		$$$	$	6.70		$$$	$	5.63		$$$	$	4.76		$$$	$	7.45
Net investment income (loss) (a)				(0.01	)			(0.02	)			(0.02	)			(0.01	)			(0.01	)
Net realized and unrealized gain (loss) on investments				0.51				0.70				1.09				0.88				(2.68	)
Total from investment operations				0.50				0.68				1.07				0.87				(2.69	)
Less distributions:
From net realized gain on investments				(0.16	)			—				—				—				—
Net asset value at end of year			$	7.72			$	7.38			$	6.70			$	5.63			$	4.76
Total investment return (b)(c)				6.94	%			10.15	%			19.01	%			18.28	%			(36.11	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.08	)%			(0.21	)%			(0.35	)%			(0.19	)%			(0.16	)%
Net expenses				0.89	%			0.91	%			0.97	%			0.98	%			0.88	%
Expenses (before waiver / reimbursement)				0.89	%			0.92	%			1.04	%			1.09	%			1.03	%
Portfolio turnover rate				60	%			52	%			91	%			62	%			115	%
Net assets at end of year (in 000's)			$	1,950,015			$	1,140,164			$	418,253			$	161,642			$	62,344
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Class R1 shares are not subject to sales charges.

140

Financial Highlights

MainStay Large Cap Growth Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,
Class R2				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	7.26		$$$	$	6.61		$$$	$	5.57		$$$	$	4.72		$$$	$	7.40
Net investment income (loss) (a)				(0.02	)			(0.03	)			(0.04	)			(0.02	)			(0.03	)
Net realized and unrealized gain (loss) on investments				0.49				0.68				1.08				0.87				(2.65	)
Total from investment operations				0.47				0.65				1.04				0.85				(2.68	)
Less distributions:
From net realized gain on investments				(0.16	)			—				—				—				—
Net asset value at end of year			$	7.57			$	7.26			$	6.61			$	5.57			$	4.72
Total investment return (b)(c)				6.77	%			9.83	%			18.67	%			18.01	%			(36.22	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.32	)%			(0.46	)%			(0.66	)%			(0.45	)%			(0.46	)%
Net expenses				1.14	%			1.16	%			1.28	%			1.24	%			1.14	%
Expenses (before waiver / reimbursement)				1.14	%			1.17	%			1.29	%			1.35	%			1.29	%
Portfolio turnover rate				60	%			52	%			91	%			62	%			115	%
Net assets at end of year (in 000's)			$	854,119			$	701,183			$	217,002			$	113,942			$	35,410
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Class R2 shares are not subject to sales charges.


			Year ended October 31,
Class R3				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	7.16		$$$	$	6.53		$$$	$	5.52		$$$	$	4.69		$$$	$	7.37
Net investment income (loss) (a)				(0.04	)			(0.05	)			(0.06	)			(0.03	)			(0.05	)
Net realized and unrealized gain (loss) on investments				0.49				0.68				1.07				0.86				(2.63	)
Total from investment operations				0.45				0.63				1.01				0.83				(2.68	)
Less distributions:
From net realized gain on investments				(0.16	)			—				—				—				—
Net asset value at end of year			$	7.45			$	7.16			$	6.53			$	5.52			$	4.69
Total investment return (b)(c)				6.44	%			9.65	%			18.30	%			17.70	%			(36.36	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.57	)%			(0.70	)%			(0.92	)%			(0.70	)%			(0.77	)%
Net expenses				1.39	%			1.41	%			1.53	%			1.49	%			1.40	%
Expenses (before waiver / reimbursement)				1.39	%			1.42	%			1.54	%			1.59	%			1.56	%
Portfolio turnover rate				60	%			52	%			91	%			62	%			115	%
Net assets at end of year (in 000's)			$	205,329			$	138,883			$	49,395			$	13,436			$	4,689
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Class R3 shares are not subject to sales charges.

141

Financial Highlights

MainStay MAP Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,															February 28, 2008* through October 31,
Investor Class				2012				2011				2010				2009		2008
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	30.44		$$$	$	29.76		$$$	$	25.71		$$$	$	23.04		$	32.90
Net investment income (loss) (a)				0.34				0.31				0.19				0.22			0.17
Net realized and unrealized gain (loss) on investments				3.55				0.63				3.86				2.90			(10.02	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.06	)			(0.00	)‡			0.00	‡		(0.01	)
Total from investment operations				3.89				0.88				4.05				3.12			(9.86	)
Less dividends:
From net investment income				(0.29	)			(0.20	)			—				(0.45	)		—
Net asset value at end of period			$	34.04			$	30.44			$	29.76			$	25.71		$	23.04
Total investment return (b)				12.88	%			2.96	%			15.75	%			13.83	%		(29.97	)%(c)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.04	%			0.98	%			0.69	%			0.98	%		0.81	%†
Net expenses				1.34	%			1.34	%			1.41	%			1.44	%		1.35	%†
Expenses (before waiver / reimbursement)				1.34	%			1.34	%			1.41	%			1.50	%		1.35	%†
Portfolio turnover rate				40	%			44	%			49	%			60	%		96	%
Net assets at end of period (in 000's)			$	120,771			$	114,786			$	113,557			$	99,663		$	72,709
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment return is not annualized.


			Year ended October 31,
Class A				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	30.47		$$$	$	29.79		$$$	$	25.68		$$$	$	23.04		$$$	$	41.39
Net investment income (loss) (a)				0.40				0.37				0.25				0.28				0.31
Net realized and unrealized gain (loss) on investments				3.56				0.63				3.86				2.90				(13.88	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.06	)			(0.00	)‡			0.00	‡			(0.01	)
Total from investment operations				3.96				0.94				4.11				3.18				(13.58	)
Less dividends and distributions:
From net investment income				(0.36	)			(0.26	)			—				(0.54	)			(0.22	)
From net realized gain on investments				—				—				—				—				(4.55	)
Total dividends and distributions				(0.36	)			(0.26	)			—				(0.54	)			(4.77	)
Net asset value at end of year			$	34.07			$	30.47			$	29.79			$	25.68			$	23.04
Total investment return (b)				13.14	%			3.16	%			16.00	%			14.12	%			(36.80	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.24	%			1.18	%			0.90	%			1.25	%			0.96	%
Net expenses				1.14	%			1.14	%			1.21	%			1.20	%			1.23	%
Expenses (before waiver / reimbursement)				1.14	%			1.14	%			1.21	%			1.29	%			1.25	%
Portfolio turnover rate				40	%			44	%			49	%			60	%			96	%
Net assets at end of year (in 000's)			$	292,247			$	296,453			$	345,067			$	324,421			$	291,812
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.

142

Financial Highlights

MainStay MAP Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,
Class B				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEF	$	28.21		$$$	$	27.63		$$$	$	24.04		$$$	$	21.36		$$$	$	38.79
Net investment income (loss) (a)				0.10				0.07				(0.01	)			0.06				0.04
Net realized and unrealized gain (loss) on investments				3.29				0.58				3.60				2.70				(12.91	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.05	)			(0.00	)‡			0.00	‡			(0.01	)
Total from investment operations				3.39				0.60				3.59				2.76				(12.88	)
Less dividends and distributions:
From net investment income				(0.05	)			(0.02	)			—				(0.08	)			—
From net realized gain on investments				—				—				—				—				(4.55	)
Total dividends and distributions				(0.05	)			(0.02	)			—				(0.08	)			(4.55	)
Net asset value at end of year			$	31.55			$	28.21			$	27.63			$	24.04			$	21.36
Total investment return (b)				12.04	%			2.18	%			14.93	%			12.97	%			(37.33	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.33	%			0.24	%			(0.04	)%			0.31	%			0.13	%
Net expenses				2.09	%			2.09	%			2.16	%			2.19	%			2.07	%
Expenses (before waiver / reimbursement)				2.09	%			2.09	%			2.16	%			2.26	%			2.07	%
Portfolio turnover rate				40	%			44	%			49	%			60	%			96	%
Net assets at end of year (in 000's)			$	86,613			$	110,794			$	140,674			$	169,606			$	189,015
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.


			Year ended October 31,
Class C				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	28.21		$$$	$	27.63		$$$	$	24.05		$$$	$	21.37		$$$	$	38.79
Net investment income (loss) (a)				0.09				0.07				(0.01	)			0.06				0.04
Net realized and unrealized gain (loss) on investments				3.31				0.58				3.59				2.70				(12.90	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.05	)			(0.00	)‡			0.00	‡			(0.01	)
Total from investment operations				3.40				0.60				3.58				2.76				(12.87	)
Less dividends and distributions:
From net investment income				(0.05	)			(0.02	)			—				(0.08	)			—
From net realized gain on investments				—				—				—				—				(4.55	)
Total dividends and distributions				(0.05	)			(0.02	)			—				(0.08	)			(4.55	)
Net asset value at end of year			$	31.56			$	28.21			$	27.63			$	24.05			$	21.37
Total investment return (b)				12.07	%			2.18	%			14.89	%			12.96	%			(37.30	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.31	%			0.23	%			(0.05	)%			0.29	%			0.13	%
Net expenses				2.09	%			2.09	%			2.16	%			2.19	%			2.07	%
Expenses (before waiver / reimbursement)				2.09	%			2.09	%			2.16	%			2.25	%			2.07	%
Portfolio turnover rate				40	%			44	%			49	%			60	%			96	%
Net assets at end of year (in 000's)			$	125,700			$	136,274			$	160,098			$	167,652			$	178,672
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.

143

Financial Highlights

MainStay MAP Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,
Class I				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	31.10		$$$	$	30.39		$$$	$	26.15		$$$	$	23.51		$$$	$	42.13
Net investment income (loss) (a)				0.49				0.45				0.32				0.33				0.39
Net realized and unrealized gain (loss) on investments				3.62				0.66				3.93				2.95				(14.12	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.06	)			(0.00	)‡			0.00	‡			(0.00	)‡
Total from investment operations				4.11				1.05				4.25				3.28				(13.73	)
Less dividends and distributions:
From net investment income				(0.44	)			(0.34	)			(0.01	)			(0.64	)			(0.34	)
From net realized gain on investments				—				—				—				—				(4.55	)
Total dividends and distributions				(0.44	)			(0.34	)			(0.01	)			(0.64	)			(4.89	)
Net asset value at end of year			$	34.77			$	31.10			$	30.39			$	26.15			$	23.51
Total investment return (b)(c)				13.40	%			3.43	%			16.26	%			14.38	%			(36.59	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.48	%			1.42	%			1.12	%			1.45	%			1.22	%
Net expenses				0.89	%			0.89	%			0.95	%			0.98	%			0.96	%
Expenses (before waiver / reimbursement)				0.89	%			0.89	%			0.95	%			1.04	%			0.96	%
Portfolio turnover rate				40	%			44	%			49	%			60	%			96	%
Net assets at end of year (in 000's)			$	1,358,999			$	1,188,911			$	759,317			$	567,720			$	425,266
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Class I shares are not subject to sales charges.


			Year ended October 31,
Class R1				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	30.63		$$$	$	29.93		$$$	$	25.84		$$$	$	23.23		$$$	$	41.69
Net investment income (loss) (a)				0.44				0.31				0.30				0.27				0.42
Net realized and unrealized gain (loss) on investments				3.58				0.77				3.87				2.94				(14.03	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.07	)			(0.00	)‡			0.00	‡			(0.00	)‡
Total from investment operations				4.02				1.01				4.17				3.21				(13.61	)
Less dividends and distributions:
From net investment income				(0.42	)			(0.31	)			(0.08	)			(0.60	)			(0.30	)
From net realized gain on investments				—				—				—				—				(4.55	)
Total dividends and distributions				(0.42	)			(0.31	)			(0.08	)			(0.60	)			(4.85	)
Net asset value at end of year			$	34.23			$	30.63			$	29.93			$	25.84			$	23.23
Total investment return (b)(c)				13.26	%			3.35	%			16.12	%			14.20	%			(36.67	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.37	%			1.02	%			1.07	%			1.21	%			1.24	%
Net expenses				0.99	%			0.99	%			1.06	%			1.08	%			1.01	%
Expenses (before waiver / reimbursement)				0.99	%			0.99	%			1.06	%			1.14	%			1.01	%
Portfolio turnover rate				40	%			44	%			49	%			60	%			96	%
Net assets at end of year (in 000's)			$	21,761			$	17,611			$	325			$	626			$	232
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Class R1 shares are not subject to sales charges.

144

Financial Highlights

MainStay MAP Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,
Class R2				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	30.53		$$$	$	29.85		$$$	$	25.76		$$$	$	23.06		$$$	$	41.40
Net investment income (loss) (a)				0.38				0.34				0.22				0.23				0.28
Net realized and unrealized gain (loss) on investments				3.54				0.63				3.87				2.93				(13.86	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.06	)			(0.00	)‡			0.00	‡			(0.00	)‡
Total from investment operations				3.92				0.91				4.09				3.16				(13.58	)
Less dividends and distributions:
From net investment income				(0.33	)			(0.23	)			—				(0.46	)			(0.21	)
From net realized gain on investments				—				—				—				—				(4.55	)
Total dividends and distributions				(0.33	)			(0.23	)			—				(0.46	)			(4.76	)
Net asset value at end of year			$	34.12			$	30.53			$	29.85			$	25.76			$	23.06
Total investment return (b)(c)				12.99	%			3.05	%			15.88	%			13.96	%			(36.78	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.16	%			1.08	%			0.80	%			1.01	%			0.89	%
Net expenses				1.24	%			1.24	%			1.31	%			1.33	%			1.30	%
Expenses (before waiver / reimbursement)				1.24	%			1.24	%			1.31	%			1.38	%			1.30	%
Portfolio turnover rate				40	%			44	%			49	%			60	%			96	%
Net assets at end of year (in 000's)			$	19,072			$	22,733			$	26,735			$	14,006			$	6,427
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Class R2 shares are not subject to sales charges.


			Year ended October 31,
Class R3				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	30.38		$$$	$	29.71		$$$	$	25.70		$$$	$	22.97		$$$	$	41.31
Net investment income (loss) (a)				0.30				0.25				0.15				0.16				0.19
Net realized and unrealized gain (loss) on investments				3.53				0.64				3.86				2.93				(13.82	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.06	)			(0.00	)‡			0.00	‡			(0.00	)‡
Total from investment operations				3.83				0.83				4.01				3.09				(13.63	)
Less dividends and distributions:
From net investment income				(0.27	)			(0.16	)			—				(0.36	)			(0.16	)
From net realized gain on investments				—				—				—				—				(4.55	)
Total dividends and distributions				(0.27	)			(0.16	)			—				(0.36	)			(4.71	)
Net asset value at end of year			$	33.94			$	30.38			$	29.71			$	25.70			$	22.97
Total investment return (b)(c)				12.72	%			2.79	%			15.60	%			13.65	%			(36.96	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.94	%			0.80	%			0.54	%			0.72	%			0.61	%
Net expenses				1.49	%			1.49	%			1.56	%			1.58	%			1.56	%
Expenses (before waiver / reimbursement)				1.49	%			1.49	%			1.56	%			1.63	%			1.56	%
Portfolio turnover rate				40	%			44	%			49	%			60	%			96	%
Net assets at end of year (in 000's)			$	1,809			$	2,380			$	1,850			$	1,484			$	310
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Class R3 shares are not subject to sales charges.

145

Financial Highlights

MainStay S&P 500 Index Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,															February 28, 2008* through October 31,
Investor Class				2012				2011				2010				2009		2008
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	28.98		$$$	$	27.33		$$$	$	23.93		$$$	$	22.47		$	31.35
Net investment income (loss)				0.44	(a)			0.38				0.33				0.38			0.26
Net realized and unrealized gain (loss) on investments				3.70				1.62				3.41				1.59			(9.14	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			—				—				—			—
Total from investment operations				4.14				2.00				3.74				1.97			(8.88	)
Less dividends:
From net investment income				(0.39	)			(0.35	)			(0.34	)			(0.51	)		—
Net asset value at end of period			$	32.73			$	28.98			$	27.33			$	23.93		$	22.47
Total investment return (b)				14.48	%			7.35	%			15.75	%			9.21	%		(28.33	)%(c)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.42	%			1.29	%			1.30	%			1.75	%		1.63	%†
Net expenses				0.70	%			0.70	%			0.70	%			0.63	%		0.60	%†
Expenses (before waiver / reimbursement)				0.87	%			0.91	%			1.01	%			1.15	%		1.06	%†
Portfolio turnover rate				9	%			4	%			11	%			8	%		5	%
Net assets at end of period (in 000's)			$	21,475			$	20,134			$	19,295			$	17,822		$	15,372
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment return is not annualized.


			Year ended October 31,
Class A				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	28.99		$$$	$	27.34		$$$	$	23.92		$$$	$	22.47		$$$	$	35.79
Net investment income (loss)				0.47	(a)			0.42				0.37				0.38				0.51
Net realized and unrealized gain (loss) on investments				3.70				1.61				3.40				1.58				(13.35	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			—				—				—				—
Total from investment operations				4.17				2.03				3.77				1.96				(12.84	)
Less dividends:
From net investment income				(0.42	)			(0.38	)			(0.35	)			(0.51	)			(0.48	)
Net asset value at end of year			$	32.74			$	28.99			$	27.34			$	23.92			$	22.47
Total investment return (b)				14.59	%			7.46	%			15.88	%			9.18	%			(36.32	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.47	%			1.39	%			1.40	%			1.79	%			1.65	%
Net expenses				0.60	%			0.60	%			0.60	%			0.60	%			0.60	%
Expenses (before waiver / reimbursement)				0.68	%			0.69	%			0.74	%			0.86	%			0.79	%
Portfolio turnover rate				9	%			4	%			11	%			8	%			5	%
Net assets at end of year (in 000's)			$	408,258			$	195,006			$	193,335			$	196,774			$	182,351
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.

146

Financial Highlights

MainStay S&P 500 Index Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,
Class I				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	29.28		$$$	$	27.60		$$$	$	24.15		$$$	$	22.69		$$$	$	36.14
Net investment income (loss)				0.55	(a)			0.50				0.44				0.44				0.60
Net realized and unrealized gain (loss) on investments				3.73				1.63				3.42				1.60				(13.46	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			—				—				—				—
Total from investment operations				4.28				2.13				3.86				2.04				(12.86	)
Less dividends:
From net investment income				(0.50	)			(0.45	)			(0.41	)			(0.58	)			(0.59	)
Net asset value at end of year			$	33.06			$	29.28			$	27.60			$	24.15			$	22.69
Total investment return (b)(c)				14.84	%			7.75	%			16.13	%			9.55	%			(36.13	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.77	%			1.64	%			1.65	%			2.07	%			1.95	%
Net expenses				0.35	%			0.35	%			0.35	%			0.32	%			0.30	%
Expenses (before waiver / reimbursement)				0.43	%			0.44	%			0.49	%			0.61	%			0.49	%
Portfolio turnover rate				9	%			4	%			11	%			8	%			5	%
Net assets at end of year (in 000's)			$	1,206,641			$	1,109,073			$	1,120,188			$	1,044,598			$	919,826
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Classes I shares are not subject to sales charges.

147

Financial Highlights

MainStay U.S. Small Cap Fund

(a series of MainStay Funds Trust, formerly a series of Eclipse Funds)

(Selected per share data and ratios)


			Year ended October 31,															February 28, 2008* through October 31,
Investor Class				2012				2011				2010				2009		2008
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	16.17		$$$	$	15.35		$$$	$	12.52		$$$	$	10.14		$	13.86
Net investment income (loss) (a)				(0.00	)‡			0.03				(0.03	)			(0.03	)		0.10
Net realized and unrealized gain (loss) on investments				1.12				0.82				2.86				2.63			(3.82	)
Total from investment operations				1.12				0.85				2.83				2.60			(3.72	)
Less dividends:
From net investment income				—				(0.03	)			—				(0.22	)		—
Net asset value at end of period			$	17.29			$	16.17			$	15.35			$	12.52		$	10.14
Total investment return (b)				6.93	%			5.55	%			22.60	%			26.91	%		(26.91	)%(c)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.00)	%	(d)		0.17	%			(0.20	)%			(0.28	)%		1.10	%†
Net expenses				1.68	%			1.63	%			1.63	%			1.66	%		1.80	%†
Expenses (before waiver / reimbursement)				1.68	%			1.66	%			1.81	%			2.02	%		1.83	%†
Portfolio turnover rate				32	%			45	%			49	%			218	%		158	%
Net assets at end of period (in 000's)			$	67,818			$	68,152			$	67,217			$	25,832		$	11,480
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment return is not annualized.
(d)	Less than one-hundredth of a percent.


			Year ended October 31,
Class A				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	16.21		$$$	$	15.36		$$$	$	12.51		$$$	$	10.14		$$$	$	18.65
Net investment income (loss) (a)				0.06				0.07				(0.00	)‡			0.00	‡			0.17
Net realized and unrealized gain (loss) on investments				1.11				0.83				2.85				2.61				(6.55	)
Total from investment operations				1.17				0.90				2.85				2.61				(6.38	)
Less dividends and distributions:
From net investment income				—				(0.05	)			—				(0.24	)			(0.12	)
From net realized gain on investments				—				—				—				—				(2.01	)
Total dividends and distributions				—				(0.05	)			—				(0.24	)			(2.13	)
Net asset value at end of year			$	17.38			$	16.21			$	15.36			$	12.51			$	10.14
Total investment return (b)				7.22	%			5.86	%			22.78	%			27.05	%			(38.10	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.32	%			0.43	%			(0.02	)%			0.01	%			1.24	%
Net expenses				1.38	%			1.36	%			1.48	%			1.54	%			1.65	%
Expenses (before waiver / reimbursement)				1.38	%			1.36	%			1.48	%			1.92	%			1.84	%
Portfolio turnover rate				32	%			45	%			49	%			218	%			158	%
Net assets at end of year (in 000's)			$	83,047			$	89,115			$	97,707			$	66,905			$	64,527
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.

148

Financial Highlights

MainStay U.S. Small Cap Fund

(a series of MainStay Funds Trust, formerly a series of Eclipse Funds)

(Selected per share data and ratios)


			Year ended October 31,
Class B				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEF	$	15.32		$$$	$	14.62		$$$	$	12.02		$$$	$	9.70		$$$	$	17.94
Net investment income (loss) (a)				(0.12	)			(0.09	)			(0.12	)			(0.09	)			0.06
Net realized and unrealized gain (loss) on investments				1.05				0.79				2.72				2.54				(6.29	)
Total from investment operations				0.93				0.70				2.60				2.45				(6.23	)
Less dividends and distributions:
From net investment income				—				(0.00	)‡			—				(0.13	)			—
From net realized gain on investments				—				—				—				—				(2.01	)
Total dividends and distributions				—				(0.00	)‡			—				(0.13	)			(2.01	)
Net asset value at end of year			$	16.25			$	15.32			$	14.62			$	12.02			$	9.70
Total investment return (b)				6.07	%			4.81	%			21.63	%			25.99	%			(38.56	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.73	)%			(0.57	)%			(0.93	)%			(0.95	)%			0.47	%
Net expenses				2.43	%			2.38	%			2.38	%			2.38	%			2.44	%
Expenses (before waiver / reimbursement)				2.43	%			2.41	%			2.56	%			2.78	%			2.66	%
Portfolio turnover rate				32	%			45	%			49	%			218	%			158	%
Net assets at end of year (in 000's)			$	29,832			$	37,309			$	43,744			$	23,354			$	13,305
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.


			Year ended October 31,
Class C				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	15.31		$$$	$	14.62		$$$	$	12.01		$$$	$	9.70		$$$	$	17.94
Net investment income (loss) (a)				(0.12	)			(0.09	)			(0.12	)			(0.08	)			0.06
Net realized and unrealized gain (loss) on investments				1.05				0.78				2.73				2.53				(6.29	)
Total from investment operations				0.93				0.69				2.61				2.45				(6.23	)
Less dividends and distributions:
From net investment income				—				(0.00	)‡			—				(0.14	)			—
From net realized gain on investments				—				—				—				—				(2.01	)
Total dividends and distributions				—				(0.00	)‡			—				(0.14	)			(2.01	)
Net asset value at end of year			$	16.24			$	15.31			$	14.62			$	12.01			$	9.70
Total investment return (b)				6.07	%			4.74	%			21.73	%			26.00	%			(38.60	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.74	)%			(0.57	)%			(0.91	)%			(0.83	)%			0.45	%
Net expenses				2.43	%			2.38	%			2.38	%			2.39	%			2.45	%
Expenses (before waiver / reimbursement)				2.43	%			2.41	%			2.56	%			2.81	%			2.67	%
Portfolio turnover rate				32	%			45	%			49	%			218	%			158	%
Net assets at end of year (in 000's)			$	16,036			$	17,589			$	19,944			$	17,048			$	15,123
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.

149

Financial Highlights

MainStay U.S. Small Cap Fund

(a series of MainStay Funds Trust, formerly a series of Eclipse Funds)

(Selected per share data and ratios)


			Year ended October 31,
Class I				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	16.53		$$$	$	15.67		$$$	$	12.72		$$$	$	10.34		$$$	$	19.03
Net investment income (loss) (a)				0.10				0.10				0.04				0.04				0.24
Net realized and unrealized gain (loss) on investments				1.13				0.86				2.91				2.65				(6.69	)
Total from investment operations				1.23				0.96				2.95				2.69				(6.45	)
Less dividends and distributions:
From net investment income				—				(0.10	)			—				(0.31	)			(0.23	)
From net realized gain on investments				—				—				—				—				(2.01	)
Total dividends and distributions				—				(0.10	)			—				(0.31	)			(2.24	)
Net asset value at end of year			$	17.76			$	16.53			$	15.67			$	12.72			$	10.34
Total investment return (b)(c)				7.44	%			6.11	%			23.19	%			27.57	%			(37.81	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.57	%			0.60	%			0.30	%			0.39	%			1.69	%
Net expenses				1.13	%			1.10	%			1.17	%			1.18	%			1.20	%
Expenses (before waiver / reimbursement)				1.13	%			1.10	%			1.23	%			1.68	%			1.48	%
Portfolio turnover rate				32	%			45	%			49	%			218	%			158	%
Net assets at end of year (in 000's)			$	167,135			$	173,456			$	152,227			$	155,425			$	116,390
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Class I shares are not subject to sales charges.

150

Financial Highlights

MainStay U.S. Small Cap Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			July 31, 2012* through October
Class R1			31, 2012
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	17.05
Net investment income (loss) (a)				(0.00	)‡
Net realized and unrealized gain (loss) on investments				0.71
Total from investment operations				0.71
Net asset value at end of period			$	17.76
Total investment return (b)(c)				4.16	%(d)(e)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.03	)%†
Net expenses				1.26	%†
Portfolio turnover rate				32	%
Net assets at end of period (in 000's)			$	26
*	Commencement of operations.
‡	Less than one cent per share.
†	Annualized.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Class R1 shares are not subject to sales charges.
(d)	Total investment return is not annualized.
(e)	Total investment return may reflect adjustments to conform to generally accepted accounting principles.


			July 31, 2012* through October
Class R2			31, 2012
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	16.69
Net investment income (loss) (a)				(0.01	)
Net realized and unrealized gain (loss) on investments				0.69
Total from investment operations				0.68
Net asset value at end of period			$	17.37
Total investment return (b)(c)				4.07	%(d)(e)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.27	)%†
Net expenses				1.51	%†
Portfolio turnover rate				32	%
Net assets at end of period (in 000's)			$	26
*	Commencement of operations.
†	Annualized.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Class R2 shares are not subject to sales charges.
(d)	Total investment return is not annualized.
(e)	Total investment return may reflect adjustments to conform to generally accepted accounting principles.

151

Financial Highlights

MainStay International Opportunities Fund (formerly known as MainStay 130/30 International Fund)

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,															February 28, 2008* through October 31,
Investor Class				2012				2011				2010				2009		2008
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	6.35		$$$	$	6.77		$$$	$	6.31		$$$	$	5.20		$	8.74
Net investment income (loss) (a)				0.09				0.10				0.07				0.07			0.04
Net realized and unrealized gain (loss) on investments				0.48				(0.37	)			0.52				1.04			(3.58	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.01	)			—				—			—
Total from investment operations				0.57				(0.28	)			0.59				1.11			(3.54	)
Less dividends:
From net investment income				(0.14	)			(0.14	)			(0.13	)			—			—
Net asset value at end of period			$	6.78			$	6.35			$	6.77			$	6.31		$	5.20
Total investment return (b)				9.26	%			(4.32	)%			9.57	%			21.35	%		(40.50	)%(c)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.43	%			1.52	%			1.06	%			1.37	%		0.82	%†
Net expenses (excluding short sale expenses)				1.70	%			1.70	%			1.70	%			1.70	%		1.70	%†
Expenses (including short sale expenses, before waiver / reimbursement)				3.37	%			3.09	%			3.06	%			3.28	%		3.40	%†
Short sale expenses				1.59	%			1.27	%			1.18	%			1.37	%		1.19	%†
Portfolio turnover rate				162	%			157	%			160	%			143	%		204	%
Net assets at end of period (in 000's)			$	238			$	226			$	186			$	111		$	90
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment return is not annualized.

152

Financial Highlights

MainStay International Opportunities Fund (formerly known as MainStay 130/30 International Fund)

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,
Class A				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	6.36		$$$	$	6.77		$$$	$	6.31		$$$	$	5.19		$$$	$	10.32
Net investment income (loss) (a)				0.10				0.12				0.05				0.07				0.08
Net realized and unrealized gain (loss) on investments				0.48				(0.38	)			0.55				1.05				(5.17	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.01	)			—				—				—
Total from investment operations				0.58				(0.27	)			0.60				1.12				(5.09	)
Less dividends and distributions:
From net investment income				(0.15	)			(0.14	)			(0.14	)			—				(0.02	)
From net realized gain on investments				—				—				—				—				(0.02	)
Total dividends and distributions				(0.15	)			(0.14	)			(0.14	)			—				(0.04	)
Net asset value at end of year			$	6.79			$	6.36			$	6.77			$	6.31			$	5.19
Total investment return (b)				9.37	%			(4.08	)%			9.49	%			21.58	%(c)			(49.50	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.64	%			1.77	%			0.88	%			1.27	%			0.96	%
Net expenses (excluding short sale expenses)				1.58	%			1.60	%			1.60	%			1.60	%			1.60	%
Expenses (including short sale expenses, before waiver / reimbursement)				3.19	%			2.91	%			2.87	%			3.13	%			3.11	%
Short sale expenses				1.61	%			1.28	%			1.15	%			1.32	%			1.05	%
Portfolio turnover rate				162	%			157	%			160	%			143	%			204	%
Net assets at end of year (in 000's)			$	394			$	110			$	75			$	97			$	61
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the year.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Total investment returns may reflect adjustments to conform to generally accepted accounting principles.

153

Financial Highlights

MainStay International Opportunities Fund (formerly known as MainStay 130/30 International Fund)

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,
Class C				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	6.22		$$$	$	6.64		$$$	$	6.20		$$$	$	5.15		$$$	$	10.32
Net investment income (loss) (a)				0.04				0.06				0.02				0.02				(0.01	)
Net realized and unrealized gain (loss) on investments				0.47				(0.38	)			0.52				1.03				(5.13	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.01	)			—				—				—
Total from investment operations				0.51				(0.33	)			0.54				1.05				(5.14	)
Less dividends and distributions:
From net investment income				(0.09	)			(0.09	)			(0.10	)			—				(0.01	)
From net realized gain on investments				—				—				—				—				(0.02	)
Total dividends and distributions				(0.09	)			(0.09	)			(0.10	)			—				(0.03	)
Net asset value at end of year			$	6.64			$	6.22			$	6.64			$	6.20			$	5.15
Total investment return (b)				8.41	%			(5.06	)%			8.84	%			20.39	%			(49.90	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.71	%			0.88	%			0.33	%			0.36	%			(0.08	)%
Net expenses (excluding short sale expenses)				2.45	%			2.45	%			2.45	%			2.45	%			2.41	%
Expenses (including short sale expenses, before waiver / reimbursement)				4.14	%			3.85	%			3.81	%			3.98	%			3.94	%
Short sale expenses				1.60	%			1.28	%			1.19	%			1.32	%			1.01	%
Portfolio turnover rate				162	%			157	%			160	%			143	%			204	%
Net assets at end of year (in 000's)			$	159			$	121			$	100			$	69			$	44
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.

154

Financial Highlights

MainStay International Opportunities Fund (formerly known as MainStay 130/30 International Fund)

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,
Class I				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	6.38		$$$	$	6.80		$$$	$	6.34		$$$	$	5.21		$$$	$	10.32
Net investment income (loss) (a)				0.11				0.13				0.09				0.09				0.22
Net realized and unrealized gain (loss) on investments				0.50				(0.38	)			0.52				1.04				(5.29	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.01	)			—				—				—
Total from investment operations				0.61				(0.26	)			0.61				1.13				(5.07	)
Less dividends and distributions:
From net investment income				(0.17	)			(0.16	)			(0.15	)			—				(0.02	)
From net realized gain on investments				—				—				—				—				(0.02	)
Total dividends and distributions				(0.17	)			(0.16	)			(0.15	)			—				(0.04	)
Net asset value at end of year			$	6.82			$	6.38			$	6.80			$	6.34			$	5.21
Total investment return (b)(c)				9.46	%			(3.87	)%			9.83	%			21.69	%			(49.29	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.70	%			1.92	%			1.37	%			1.74	%			2.80	%
Net expenses (excluding short sale expenses)				1.34	%			1.35	%			1.35	%			1.35	%			1.35	%
Expenses (including short sale expenses, before waiver / reimbursement)				2.93	%			2.65	%			2.65	%			2.92	%			2.73	%
Short sale expenses				1.59	%			1.27	%			1.18	%			1.36	%			0.98	%
Portfolio turnover rate				162	%			157	%			160	%			143	%			204	%
Net assets at end of year (in 000's)			$	171,404			$	142,717			$	126,402			$	111,823			$	75,912
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(c)	Class I shares are not subject to sales charges.

155

Financial Highlights

MainStay Epoch Global Choice Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,								January 1, 2010 through October 31,			November 16, 2009* through December 31,
Investor Class				2012				2011		2010 (a)			2009
Net asset value at beginning of period		$$$	$	14.21		$$$	$	14.22		$	13.49			$	13.36
Net investment income (loss) (b)				0.06				(0.02	)		(0.02	)			0.00	‡
Net realized and unrealized gain (loss) on investments				1.77				0.01			0.80				0.18
Net realized and unrealized gain (loss) on foreign currency transactions				(0.01	)			(0.00	)‡		(0.05	)			(0.00	)‡
Total from investment operations				1.82				(0.01	)		0.73				0.18
Less dividends:
From net investment income				—				—			—				(0.05	)
Net asset value at end of period			$	16.03			$	14.21		$	14.22			$	13.49
Total investment return (c)				12.81	%			(0.07	)%		5.41	%(d)			1.33	%(d)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.39	%			(0.11	)%		(0.17	)%†			0.03	%†
Net expenses				1.71	%			1.76	%		1.76	%†			1.52	%†
Expenses (before waiver / reimbursement)				1.71	%			1.90	%		2.10	%†			1.72	%†
Portfolio turnover rate				91	%			162	%		151	%			74	%
Net assets at end of period (in 000's)			$	303			$	247		$	119			$	28
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Total investment return is not annualized.


		Year ended October 31,							January 1, 2010 through October 31,			Year ended December 31,
Class A			2012				2011		2010 (a)				2009				2008				2007
Net asset value at beginning of period		$	14.25		$$$	$	14.24		$	13.49		$	10.84		$$$	$	17.43		$$$	$	16.97
Net investment income (loss)			0.09	(b)			0.02	(b)		0.01	(b)		0.04	(b)			0.02	(b)			0.01
Net realized and unrealized gain (loss) on investments			1.78				(0.00	) ‡		0.79			2.70				(6.58	)			1.45
Net realized and unrealized gain (loss) on foreign currency transactions			(0.01	)			(0.00	)‡		(0.05	)		(0.01	)			—				—
Total from investment operations			1.86				0.02			0.75			2.73				(6.56	)			1.46
Less dividends and distributions:
From net investment income			(0.02	)			(0.01	)		—			(0.08	)			(0.03	)			(0.01	)
From net realized gain on investments			—				—			—			—				(0.00	)‡			(1.05	)
Total dividends and distributions			(0.02	)			(0.01	)		—			(0.08	)			(0.03	)			(1.06	)
Redemption fee (c)			—				—			—			—				—				0.06
Net asset value at end of period		$	16.09			$	14.25		$	14.24		$	13.49			$	10.84			$	17.43
Total investment return (d)			13.07	%			0.15	%		5.56	%(e)		25.17	%			(37.63	)%			8.90	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			0.63	%			0.13	%		0.11	%†		0.30	%			0.21	%			0.01	%
Net expenses			1.48	%			1.54	%		1.54	%†		1.55	%			1.54	%			1.54	%
Expenses (before waiver / reimbursement)			1.48	%			1.68	%		1.88	%†		1.78	%			1.75	%			1.95	%
Portfolio turnover rate			91	%			162	%		151	%		74	%			47	%			43	%
Net assets at end of period (in 000's)		$	3,921			$	3,432		$	1,855		$	2,973			$	339			$	120
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Total investment return is not annualized.

156

Financial Highlights

MainStay Epoch Global Choice Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,							January 1, 2010 through October 31,			November 16, 2009* through December 31,
Class C			2012				2011		2010 (a)			2009
Net asset value at beginning of period		$	14.01		$$$	$	14.12		$	13.49			$	13.36
Net investment income (loss) (b)			(0.05	)			(0.12	)		(0.10	)			(0.01	)
Net realized and unrealized gain (loss) on investments			1.73				0.01			0.78				0.17
Net realized and unrealized gain (loss) on foreign currency transactions			(0.01	)			(0.00	)‡		(0.05	)			(0.00	)‡
Total from investment operations			1.67				(0.11	)		0.63				0.16
Less dividends:
From net investment income			—				—			—				(0.03	)
Net asset value at end of period		$	15.68			$	14.01		$	14.12			$	13.49
Total investment return (c)			11.92	%			(0.78	)%		4.67	%(d)			1.23	%(d)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			(0.36	)%			(0.86	)%		(0.92	)%†			(0.78	)%†
Net expenses			2.46	%			2.51	%		2.51	%†			2.28	%†
Expenses (before waiver / reimbursement)			2.46	%			2.65	%		2.85	%†			2.47	%†
Portfolio turnover rate			91	%			162	%		151	%			74	%
Net assets at end of period (in 000's)		$	342			$	59		$	38			$	28
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Total investment return is not annualized.

157

Financial Highlights

MainStay Epoch Global Choice Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,							January 1, 2010 through October 31,			Year ended December 31,
Class I			2012				2011		2010 (a)				2009				2008				2007
Net asset value at beginning of period		$	14.60		$$$	$	14.59		$	13.79		$	11.06		$$$	$	17.47		$$$	$	16.99
Net investment income (loss)			0.12	(b)			0.05	(b)		0.04	(b)		0.07	(b)			0.05	(b)			0.04
Net realized and unrealized gain (loss) on investments			1.83				0.01			0.81			2.76				(6.41	)			1.54
Net realized and unrealized gain (loss) on foreign currency transactions			(0.01	)			(0.00	)‡		(0.05	)		(0.01	)			—				—
Total from investment operations			1.94				0.06			0.80			2.82				(6.36	)			1.58
Less dividends and distributions:
From net investment income			(0.04	)			(0.05	)		—			(0.09	)			(0.05	)			(0.05	)
From net realized gain on investments			—				—			—			—				(0.00	)‡			(1.05	)
Total dividends and distributions			(0.04	)			(0.05	)		—			(0.09	)			(0.05	)			(1.10	)
Redemption fee (c)			—				—			0.00	‡		—				0.00	‡			—
Net asset value at end of period		$	16.50			$	14.60		$	14.59		$	13.79			$	11.06			$	17.47
Total investment return (d)(e)			13.33	%			0.42	%		5.80	%(f)		25.53	%			(36.37	)%			9.27	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			0.80	%			0.33	%		0.35	%†		0.62	%			0.42	%			0.26	%
Net expenses			1.23	%			1.29	%		1.29	%†		1.29	%			1.29	%			1.29	%
Expenses (before waiver/reimbursement)			1.23	%			1.43	%		1.63	%†		1.54	%			1.50	%			1.70	%
Portfolio turnover rate			91	%			162	%		151	%		74	%			47	%			43	%
Net assets at end of period (in 000's)		$	84,193			$	73,723		$	54,695		$	38,976			$	56,715			$	34,911
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Class I shares are not subject to sales charges.
(f)	Total investment return is not annualized.

158

Financial Highlights

MainStay Epoch Global Equity Yield Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,								January 1, 2010 through October 31,			November 16, 2009* through December 31,
Investor Class				2012				2011		2010 (a)			2009
Net asset value at beginning of period		$$$	$	15.19		$$$	$	14.72		$	13.72			$	13.46
Net investment income (loss)				0.51	(b)			0.51	(b)		0.38	(b)			0.05
Net realized and unrealized gain (loss) on investments				0.91				0.44			1.02				0.29
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.01	)		(0.01	)			—
Total from investment operations				1.42				0.94			1.39				0.34
Less dividends:
From net investment income				(0.47	)			(0.47	)		(0.39	)			(0.08	)
Total dividends				(0.47	)			(0.47	)		(0.39	)			(0.08	)
Net asset value at end of period			$	16.14			$	15.19		$	14.72			$	13.72
Total investment return (c)				9.43	%			6.41	%		10.44	%(d)			2.54	%(d)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				3.22	%			3.32	%		3.36	%†			2.67	%†
Net expenses				1.13	%			1.15	%		1.16	%†			1.09	%†
Expenses (before waiver / reimbursement)				1.13	%			1.15	%		1.31	%†			1.09	%†
Portfolio turnover rate				23	%			28	%		41	%			59	%
Net assets at end of period (in 000's)			$	3,402			$	1,406		$	230			$	26
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Total investment return is not annualized.


		Year ended October 31,							January 1, 2010 through October 31,			Year ended December 31,
Class A			2012				2011		2010 (a)				2009				2008				2007
Net asset value at beginning of period		$	15.21		$$$	$	14.73		$	13.72		$	11.52		$$$	$	17.72		$$$	$	17.94
Net investment income (loss)			0.50	(b)			0.50	(b)		0.36	(b)		0.44				0.59	(b)			0.69
Net realized and unrealized gain (loss) on investments			0.92				0.45			1.03			2.14				(6.18	)			0.79
Net realized and unrealized gain (loss) on foreign currency transactions			(0.00	)‡			(0.01	)		(0.01	)		(0.03	)			—				—
Total from investment operations			1.42				0.94			1.38			2.55				(5.59	)			1.48
Less dividends and distributions:
From net investment income			(0.47	)			(0.46	)		(0.37	)		(0.35	)			(0.48	)			(0.72	)
From net realized gain on investments			—				—			—			—				(0.08	)			(0.99	)
Return of capital			—				—			—			—				(0.05	)			—
Total dividends and distributions			(0.47	)			(0.46	)		(0.37	)		(0.35	)			(0.61	)			(1.71	)
Redemption fee (c)			—				—			—			0.00	‡			0.00	‡			0.01
Net asset value at end of period		$	16.16			$	15.21		$	14.73		$	13.72			$	11.52			$	17.72
Total investment return (d)			9.40	%			6.45	%		10.40	%(e)		22.47	%			(32.19	)%			8.34	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			3.17	%			3.27	%		3.22	%†		3.66	%			4.01	%			3.97	%
Net expenses			1.13	%			1.19	%		1.24	%†		1.21	%			1.18	%			1.16	%
Expenses (before waiver / reimbursement)			1.13	%			1.19	%		1.39	%†		1.21	%			1.18	%			1.16	%
Portfolio turnover rate			23	%			28	%		41	%		59	%			72	%			47	%
Net assets at end of period (in 000's)		$	404,497			$	204,366		$	33,559		$	23,336			$	16,480			$	19,390
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Total investment return is not annualized.

159

Financial Highlights

MainStay Epoch Global Equity Yield Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,							January 1, 2010 through October 31,			November 16, 2009* through December 31,
Class C			2012				2011		2010 (a)			2009
Net asset value at beginning of period		$	15.15		$$$	$	14.68		$	13.72			$	13.46
Net investment income (loss)			0.38	(b)			0.38	(b)		0.27	(b)			0.03
Net realized and unrealized gain (loss) on investments			0.91				0.47			1.04				0.30
Net realized and unrealized gain (loss) on foreign currency transactions			(0.00	)‡			(0.01	)		(0.01	)			—
Total from investment operations			1.29				0.84			1.30				0.33
Less dividends:
From net investment income			(0.36	)			(0.37	)		(0.34	)			(0.07	)
Net asset value at end of period		$	16.08			$	15.15		$	14.68			$	13.72
Total investment return (c)			8.65	%			5.67	%		9.83	%(d)			2.45	%(d)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			2.43	%			2.52	%		2.33	%†			1.80	%†
Net expenses			1.88	%			1.90	%		1.91	%†			1.84	%†
Expenses (before waiver / reimbursement)			1.88	%			1.90	%		2.06	%†			1.84	%†
Portfolio turnover rate			23	%			28	%		41	%			59	%
Net assets at end of period (in 000's)		$	95,301			$	35,975		$	6,547			$	36
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Total investment return is not annualized.


		Year ended October 31,							January 1, 2010 through October 31,			Year ended December 31,
Class I			2012				2011		2010 (a)				2009				2008				2007
Net asset value at beginning of period		$	15.19		$$$	$	14.70		$	13.70		$	11.53		$$$	$	17.75		$$$	$	18.02
Net investment income (loss)			0.54	(b)			0.52	(b)		0.41	(b)		0.44				0.66	(b)			0.77
Net realized and unrealized gain (loss) on investments			0.92				0.47			1.00			2.13				(6.24	)			0.72
Net realized and unrealized gain (loss) on foreign currency transactions			(0.00	)‡			(0.01	)		(0.01	)		(0.03	)			—				—
Total from investment operations			1.46				0.98			1.40			2.54				(5.58	)			1.49
Less dividends and distributions:
From net investment income			(0.51	)			(0.49	)		(0.40	)		(0.37	)			(0.51	)			(0.77	)
From net realized gain on investments			—				—			—			—				(0.08	)			(0.99	)
Return of capital			—				—			—			—				(0.05	)			—
Total dividends and distributions			(0.51	)			(0.49	)		(0.40	)		(0.37	)			(0.64	)			(1.76	)
Redemption fee (c)			—				—			—			0.00	‡			0.00	‡			0.00	‡
Net asset value at end of period		$	16.14			$	15.19		$	14.70		$	13.70			$	11.53			$	17.75
Total investment return (d)(e)			9.66	%			6.76	%		10.54	%(f)		22.49	%			(32.10	)%			8.28	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			3.46	%			3.44	%		3.61	%†		3.85	%			4.40	%			4.21	%
Net expenses			0.88	%			0.94	%		0.99	%†		0.96	%			0.93	%			0.91	%
Expenses (before waiver/reimbursement)			0.88	%			0.94	%		1.13	%†		0.96	%			0.93	%			0.91	%
Portfolio turnover rate			23	%			28	%		41	%		59	%			72	%			47	%
Net assets at end of period (in 000's)		$	1,140,677			$	790,679		$	398,750		$	383,228			$	297,513			$	535,229
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Class I shares are not subject to sales charges.
(f)	Total investment return is not annualized.

160

Financial Highlights

MainStay Epoch International Small Cap Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,								January 1, 2010 through October 31,			November 16, 2009* through December 31,
Investor Class				2012				2011		2010 (a)			2009
Net asset value at beginning of period		$$$	$	16.30		$$$	$	18.97		$	15.81			$	16.11
Net investment income (loss) (b)				0.16				0.10			0.04				0.00	‡
Net realized and unrealized gain (loss) on investments				1.30				(2.25	)		3.13				(0.30	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.01	)			(0.03	)		(0.01	)			—
Total from investment operations				1.45				(2.18	)		3.16				(0.30	)
Less dividends:
From net investment income				—				(0.49	)		—				—
Redemption fee (c)				—				—			—				0.00	‡
Net asset value at end of period			$	17.75			$	16.30		$	18.97			$	15.81
Total investment return (d)				8.90	%			(11.89	)%		19.99	%(e)			(1.86	)%(e)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.99	%			0.51	%		0.30	%†			0.15	%†
Net expenses				1.73	%(f)			1.76	%		1.85	%†			1.59	%†
Expenses (before waiver / reimbursement)				1.76	%(f)			1.76	%		1.88	%†			1.59	%†
Portfolio turnover rate				44	%			69	%		41	%			105	%
Net assets at end of period (in 000's)			$	780			$	807		$	303			$	31
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Total investment return is not annualized.
(f)	Net of interest expense which is less than one-tenth of a percent.


		Year ended October 31,							January 1, 2010 through October 31,			Year ended December 31,
Class A			2012				2011		2010 (a)				2009				2008				2007
Net asset value at beginning of period		$	16.33		$$$	$	18.95		$	15.80		$	10.98		$$$	$	23.39		$$$	$	23.49
Net investment income (loss)			0.19	(b)			0.10	(b)		0.02	(b)		0.06	(b)			0.03	(b)			(0.04	)
Net realized and unrealized gain (loss) on investments			1.29				(2.24	)		3.14			4.76				(11.51	)			3.39
Net realized and unrealized gain (loss) on foreign currency transactions			(0.01	)			(0.03	)		(0.01	)		—				—				—
Total from investment operations			1.47				(2.17	)		3.15			4.82				(11.48	)			3.35
Less dividends and distributions:
From net investment income			—				(0.45	)		—			—				—				(0.01	)
From net realized gain on investments			—				—			—			—				(0.94	)			(3.48	)
Total dividends and distributions			—				(0.45	)		—			—				(0.94	)			(3.49	)
Redemption fee (c)			—				—			—			0.00	‡			0.01				0.04
Net asset value at end of period		$	17.80			$	16.33		$	18.95		$	15.80			$	10.98			$	23.39
Total investment return (d)			9.00	%			(11.82	)%		19.94	%(e)		43.90	%			(49.01	)%			14.54	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.15	%			0.53	%		0.12	%†		0.42	%			0.17	%			(0.10	)%
Net expenses			1.61	%(f)			1.69	%		1.89	%†		1.83	%			1.74	%			1.70	%
Expenses (before waiver / reimbursement)			1.64	%(f)			1.69	%		1.92	%†		1.83	%			1.74	%			1.70	%
Portfolio turnover rate			44	%			69	%		41	%		105	%			107	%			140	%
Net assets at end of period (in 000's)		$	5,536			$	5,261		$	5,175		$	2,749			$	1,098			$	2,858
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Total investment return is not annualized.
(f)	Net of interest expense which is less than one-tenth of a percent.

161

Financial Highlights

MainStay Epoch International Small Cap Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,							January 1, 2010 through October 31,			November 16, 2009* through December 31,
Class C			2012				2011		2010 (a)			2009
Net asset value at beginning of period		$	16.13		$$$	$	18.84		$	15.79			$	16.11
Net investment income (loss) (b)			0.05				(0.05	)		(0.04	)			(0.01	)
Net realized and unrealized gain (loss) on investments			1.27				(2.22	)		3.10				(0.31	)
Net realized and unrealized gain (loss) on foreign currency transactions			(0.01	)			(0.03	)		(0.01	)			—
Total from investment operations			1.31				(2.30	)		3.05				(0.32	)
Less dividends:
From net investment income			—				(0.41	)		—				—
Redemption fee (c)			—				—			—				0.00	‡
Net asset value at end of period		$	17.44			$	16.13		$	18.84			$	15.79
Total investment return (d)			8.12	%			(12.57	)%		19.32	%(e)			(1.99	)%(e)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			0.30	%			(0.29	)%		(0.28	)%†			(0.65	)%†
Net expenses			2.48	%(f)			2.51	%		2.60	%†			2.34	%†
Expenses (before waiver / reimbursement)			2.51	%(f)			2.51	%		2.63	%†			2.34	%†
Portfolio turnover rate			44	%			69	%		41	%			105	%
Net assets at end of period (in 000's)		$	2,334			$	2,064		$	1,476			$	25
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Total investment return is not annualized.
(f)	Net of interest expense which is less than one-tenth of a percent.

162

Financial Highlights

MainStay Epoch International Small Cap Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,							January 1, 2010 through October 31,			Year ended December 31,
Class I			2012				2011		2010 (a)				2009				2008				2007
Net asset value at beginning of period		$	16.83		$$$	$	19.51		$	16.24		$	11.16		$$$	$	23.77		$$$	$	23.91
Net investment income (loss)			0.21	(b)			0.13	(b)		0.04	(b)		0.09	(b)			0.06	(b)			0.04
Net realized and unrealized gain (loss) on investments			1.35				(2.29	)		3.24			4.99				(11.69	)			3.31
Net realized and unrealized gain (loss) on foreign currency transactions			(0.01	)			(0.03	)		(0.01	)		—				—				—
Total from investment operations			1.55				(2.19	)		3.27			5.08				(11.63	)			3.35
Less dividends and distributions:
From net investment income			(0.03	)			(0.49	)		—			—				(0.04	)			(0.01	)
From net realized gain on investments			—				—			—			—				(0.94	)			(3.48	)
Total dividends and distributions			(0.03	)			(0.49	)		—			—				(0.98	)			(3.49	)
Redemption fee (c)			—				—			—			—				0.00	‡			—
Net asset value at end of period		$	18.35			$	16.83		$	19.51		$	16.24			$	11.16			$	23.77
Total investment return (d)(e)			9.26	%			(11.59	)%		20.14	%(f)		45.52	%			(48.89	)%			14.12	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.27	%			0.69	%		0.31	%†		0.67	%			0.30	%			0.15	%
Net expenses			1.36	%(g)			1.44	%		1.65	%†		1.60	%			1.49	%			1.45	%
Expenses (before waiver/reimbursement)			1.39	%(g)			1.44	%		1.67	%†		1.60	%			1.49	%			1.45	%
Portfolio turnover rate			44	%			69	%		41	%		105	%			107	%			140	%
Net assets at end of period (in 000's)		$	154,291			$	257,740		$	178,909		$	167,568			$	149,505			$	451,242
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Class I shares are not subject to sales charges.
(f)	Total investment return is not annualized.
(g)	Net of interest expense which is less than one-tenth of a percent.

163

Financial Highlights

MainStay ICAP Global Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,															April 30, 2008* through October 31,
Investor Class				2012				2011				2010				2009		2008
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	8.26		$$$	$	8.51		$$$	$	7.67		$$$	$	6.46		$	10.00
Net investment income (loss)				0.14	(a)			0.13	(a)			0.10				0.11			0.08	(a)
Net realized and unrealized gain (loss) on investments				0.59				(0.25	)			0.83				1.24			(3.57	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.00	)‡			0.00	‡			(0.00	)‡		(0.00	)‡
Total from investment operations				0.73				(0.12	)			0.93				1.35			(3.49	)
Less dividends:
From net investment income				(0.04	)			(0.13	)			(0.09	)			(0.14	)		(0.05	)
Redemption fee (b)				—				—				—				—			0.00	‡(a)
Net asset value at end of period			$	8.95			$	8.26			$	8.51			$	7.67		$	6.46
Total investment return (c)				8.90	%			(1.56	)%			12.32	%			21.46	%		(35.07	)%(d)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.68	%			1.50	%			1.26	%			1.57	%		1.84	%†
Net expenses				1.20	%			1.20	%			1.20	%			1.20	%		1.20	%†
Expenses (before waiver / reimbursement)				1.59	%			1.62	%			1.72	%			1.68	%		2.18	%†
Portfolio turnover rate				89	%			71	%			79	%			106	%		75	%
Net assets at end of period (in 000's)			$	635			$	558			$	368			$	209		$	56
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	The redemption fee was discontinued as of April 1, 2010.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Total investment return is not annualized.


			Year ended October 31,															April 30, 2008* through October 31,
Class A				2012				2011				2010				2009		2008
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	8.28		$$$	$	8.52		$$$	$	7.68		$$$	$	6.47		$	10.00
Net investment income (loss)				0.15	(a)			0.13	(a)			0.12				0.10			0.09	(a)
Net realized and unrealized gain (loss) on investments				0.58				(0.24	)			0.81				1.26			(3.57	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.00	)‡			0.00	‡			(0.00	)‡		(0.00	)‡
Total from investment operations				0.73				(0.11	)			0.93				1.36			(3.48	)
Less dividends:
From net investment income				(0.04	)			(0.13	)			(0.09	)			(0.15	)		(0.05	)
Redemption fee (b)				—				—				0.00	‡(a)			0.00	‡(a)		0.00	‡(a)
Net asset value at end of period			$	8.97			$	8.28			$	8.52			$	7.68		$	6.47
Total investment return (c)				8.91	%			(1.40	)%			12.36	%			21.49	%		(34.97	)%(d)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.71	%			1.46	%			1.30	%			1.63	%		2.02	%†
Net expenses				1.15	%			1.15	%			1.15	%			1.15	%		1.15	%†
Expenses (before waiver / reimbursement)				1.38	%			1.42	%			1.53	%			1.46	%		1.99	%†
Portfolio turnover rate				89	%			71	%			79	%			106	%		75	%
Net assets at end of period (in 000's)			$	3,503			$	4,584			$	2,398			$	801		$	374
*	Commencement of operations.
‡	Less than one cent per share.
†	Annualized.
(a)	Per share data based on average shares outstanding during the period.
(b)	The redemption fee was discontinued as of April 1, 2010.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Total investment return is not annualized.

164

Financial Highlights

MainStay ICAP Global Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,															April 30, 2008* through October 31,
Class C				2012				2011				2010				2009		2008
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	8.23		$$$	$	8.48		$$$	$	7.65		$$$	$	6.45		$	10.00
Net investment income (loss)				0.08	(a)			0.06	(a)			0.04				0.06			0.05	(a)
Net realized and unrealized gain (loss) on investments				0.58				(0.24	)			0.83				1.24			(3.57	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.00	)‡			0.00	‡			(0.00	)‡		(0.00	)‡
Total from investment operations				0.66				(0.18	)			0.87				1.30			(3.52	)
Less dividends:
From net investment income				(0.01	)			(0.07	)			(0.04	)			(0.10	)		(0.03	)
Redemption fee (b)				—				—				—				—			0.00	‡(a)
Net asset value at end of period			$	8.88			$	8.23			$	8.48			$	7.65		$	6.45
Total investment return (c)				8.06	%			(2.19	)%			11.45	%			20.56	%		(35.26	)%(d)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.88	%			0.74	%			0.49	%			0.71	%		1.15	%†
Net expenses				1.95	%			1.95	%			1.95	%			1.95	%		1.95	%†
Expenses (before waiver / reimbursement)				2.34	%			2.37	%			2.47	%			2.42	%		2.93	%†
Portfolio turnover rate				89	%			71	%			79	%			106	%		75	%
Net assets at end of period (in 000's)			$	287			$	357			$	172			$	142		$	20
*	Commencement of operations.
‡	Less than one cent per share.
†	Annualized.
(a)	Per share data based on average shares outstanding during the period.
(b)	The redemption fee was discontinued as of April 1, 2010.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Total investment return is not annualized.


			Year ended October 31,															April 30, 2008* through October 31,
Class I				2012				2011				2010				2009		2008
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	8.30		$$$	$	8.53		$$$	$	7.69		$$$	$	6.47		$	10.00
Net investment income (loss)				0.17	(a)			0.16	(a)			0.12				0.13			0.10	(a)
Net realized and unrealized gain (loss) on investments				0.58				(0.24	)			0.83				1.25			(3.58	)
Net realized and unrealized gain (loss) on foreign currency transactions				(0.00	)‡			(0.00	)‡			0.00	‡			(0.00	)‡		(0.00	)‡
Total from investment operations				0.75				(0.08	)			0.95				1.38			(3.48	)
Less dividends:
From net investment income				(0.05	)			(0.15	)			(0.11	)			(0.16	)		(0.05	)
Redemption fee (b)				—				—				0.00	‡(a)			—			0.00	‡(a)
Net asset value at end of period			$	9.00			$	8.30			$	8.53			$	7.69		$	6.47
Total investment return (c)(d)				9.27	%			(1.23	)%			12.56	%			21.74	%		(34.86	)%(e)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.94	%			1.78	%			1.50	%			2.02	%		2.25	%†
Net expenses				0.90	%			0.90	%			0.90	%			0.90	%		0.90	%†
Expenses (before waiver / reimbursement)				1.13	%			1.17	%			1.27	%			1.20	%		1.74	%†
Portfolio turnover rate				89	%			71	%			79	%			106	%		75	%
Net assets at end of period (in 000's)			$	45,273			$	44,873			$	42,867			$	37,680		$	31,662
*	Commencement of operations.
‡	Less than one cent per share.
†	Annualized.
(a)	Per share data based on average shares outstanding during the period.
(b)	The redemption fee was discontinued as of April 1, 2010.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Class I shares are not subject to sales charges.
(e)	Total investment return is not annualized.

165

Financial Highlights

MainStay ICAP International Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,															April 29, 2008* through October 31,
Investor Class			2012				2011				2010				2009		2008
Net asset value at beginning of period		$	27.46		$$$	$	29.15		$$$	$	27.05		$$$	$	22.19		$	36.83
Net investment income (loss)			0.49	(a)			0.47				0.29	(a)			0.49	(a)		0.47	(a)
Net realized and unrealized gain (loss) on investments			0.52				(1.69	)			2.09				5.13			(14.56	)
Net realized and unrealized gain (loss) on foreign currency transactions			(0.02	)			(0.03	)			0.00	‡			(0.01	)		(0.01	)
Total from investment operations			0.99				(1.25	)			2.38				5.61			(14.10	)
Less dividends:
From net investment income			—				(0.44	)			(0.28	)			(0.75	)		(0.54	)
Redemption fee (b)			—				—				0.00	‡(a)			0.00	‡(a)		0.00	‡(a)
Net asset value at end of period		$	28.45			$	27.46			$	29.15			$	27.05		$	22.19
Total investment return (c)			3.61	%			(4.44	)%			9.02	%			25.99	%		(38.80	)%(d)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.78	%			1.58	%			1.07	%			2.14	%		2.96	%†
Net expenses			1.45	%			1.44	%			1.55	%			1.38	%		1.24	%†
Expenses (before waiver / reimbursement)			1.45	%			1.44	%			1.55	%			1.62	%		1.49	%†
Portfolio turnover rate			74	%			62	%			80	%			96	%		79	%
Net assets at end of period (in 000's)		$	8,849			$	9,864			$	10,343			$	10,373		$	8,674
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	The redemption fee was discontinued as of April 1, 2010.
(c)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(d)	Total investment return is not annualized.

166

Financial Highlights

MainStay ICAP International Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class A			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	27.48		$$$	$	29.18		$$$	$	27.05		$$$	$	22.19		$	38.22		$	39.09
Net investment income (loss)			0.55	(b)			0.50				0.37	(b)			0.50	(b)		0.77	(b)		0.57	(b)
Net realized and unrealized gain (loss) on investments			0.49				(1.67	)			2.07				5.19			(16.22	)		3.67
Net realized and unrealized gain (loss) on foreign currency transactions			(0.02	)			(0.03	)			0.00	‡			(0.01	)		(0.01	)		—
Total from investment operations			1.02				(1.20	)			2.44				5.68			(15.46	)		4.24
Less dividends and distributions:
From net investment income			(0.01	)			(0.50	)			(0.31	)			(0.82	)		(0.57	)		(0.69	)
From net realized gain on investments			—				—				—				—			—			(4.42	)
Total dividends and distributions			(0.01	)			(0.50	)			(0.31	)			(0.82	)		(0.57	)		(5.11	)
Redemption fee (c)			—				—				0.00	‡(b)			0.00	‡(b)		0.00	‡(b)		0.00	‡(b)
Net asset value at end of period		$	28.49			$	27.48			$	29.18			$	27.05		$	22.19		$	38.22
Total investment return (d)			3.76	%			(4.31	)%			9.30	%			26.36	%		(40.97	)%(e)		11.20	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			2.00	%			1.77	%			1.36	%			2.13	%		2.78	%†		1.36	%
Net expenses			1.31	%			1.29	%			1.30	%			1.14	%		1.10	%†		1.15	%
Expenses (before waiver / reimbursement)			1.31	%			1.29	%			1.36	%			1.37	%		1.31	%†		1.33	%
Portfolio turnover rate			74	%			62	%			80	%			96	%		79	%		109	%
Net assets at end of period (in 000's)		$	240,403			$	159,275			$	193,508			$	138,355		$	73,122		$	121,098
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Total investment return is not annualized.

167

Financial Highlights

MainStay ICAP International Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class C			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	27.11		$$$	$	28.87		$$$	$	26.87		$$$	$	22.02		$	38.04		$	39.03
Net investment income (loss)			0.28	(b)			0.27				0.08	(b)			0.29	(b)		0.54	(b)		0.25	(b)
Net realized and unrealized gain (loss) on investments			0.50				(1.69	)			2.09				5.13			(16.12	)		3.66
Net realized and unrealized gain (loss) on foreign currency transactions			(0.02	)			(0.03	)			0.00	‡			(0.01	)		(0.01	)		—
Total from investment operations			0.76				(1.45	)			2.17				5.41			(15.59	)		3.91
Less dividends and distributions:
From net investment income			—				(0.31	)			(0.17	)			(0.56	)		(0.43	)		(0.48	)
From net realized gain on investments			—				—				—				—			—			(4.42	)
Total dividends and distributions			—				(0.31	)			(0.17	)			(0.56	)		(0.43	)		(4.90	)
Redemption fee (c)			—	(b)			—				0.00	‡(b)			0.00	‡(b)		0.00	‡(b)		0.00	‡(b)
Net asset value at end of period		$	27.87			$	27.11			$	28.87			$	26.87		$	22.02		$	38.04
Total investment return (d)			2.80	%(f)			(5.16	)%			8.20	%			25.06	%		(41.39	)%(e)		10.35	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.05	%			0.89	%			0.31	%			1.30	%		1.98	%†		0.60	%
Net expenses			2.20	%			2.19	%			2.29	%			2.13	%		1.96	%†		1.90	%
Expenses (before waiver / reimbursement)			2.20	%			2.19	%			2.29	%			2.37	%		2.17	%†		2.08	%
Portfolio turnover rate			74	%			62	%			80	%			96	%		79	%		109	%
Net assets at end of period (in 000's)		$	13,832			$	15,931			$	15,538			$	19,244		$	19,586		$	32,652
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Total investment return is not annualized.
(f)	Total investment returns may reflect adjustments to conform to generally accepted accounting principals.

168

Financial Highlights

MainStay ICAP International Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class I			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	27.56		$$$	$	29.26		$$$	$	27.12		$$$	$	22.25		$	38.26		$	39.10
Net investment income (loss)			0.64	(b)			0.60				0.46	(b)			0.60	(b)		0.87	(b)		0.78	(b)
Net realized and unrealized gain (loss) on investments			0.51				(1.67	)			2.08				5.15			(16.26	)		3.59
Net realized and unrealized gain (loss) on foreign currency transactions			(0.02	)			(0.03	)			0.00	‡			(0.01	)		(0.01	)		—
Total from investment operations			1.13				(1.10	)			2.54				5.74			(15.40	)		4.37
Less dividends and distributions:
From net investment income			(0.06	)			(0.60	)			(0.40	)			(0.87	)		(0.61	)		(0.79	)
From net realized gain on investments			—				—				—				—			—			(4.42	)
Total dividends and distributions			(0.06	)			(0.60	)			(0.40	)			(0.87	)		(0.61	)		(5.21	)
Redemption fee (c)			—				—				0.00	‡(b)			0.00	‡(b)		0.00	‡(b)		0.00	‡(b)
Net asset value at end of period		$	28.63			$	27.56			$	29.26			$	27.12		$	22.25		$	38.26
Total investment return (d)(e)			4.12	%			(3.95	)%			9.62	%			26.71	%		(40.81	)%(f)		11.52	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			2.30	%			2.10	%			1.70	%			2.59	%		3.12	%†		1.86	%
Net expenses			0.95	%			0.95	%			0.95	%			0.85	%		0.80	%†		0.80	%
Expenses (before waiver / reimbursement)			1.06	%			1.04	%			1.11	%			1.13	%		1.01	%†		0.98	%
Portfolio turnover rate			74	%			62	%			80	%			96	%		79	%		109	%
Net assets at end of period (in 000's)		$	704,106			$	685,355			$	587,673			$	487,411		$	389,517		$	753,984
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Class I shares are not subject to sales charges.
(f)	Total investment return is not annualized.

169

Financial Highlights

MainStay ICAP International Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class R1			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	27.52		$$$	$	29.22		$$$	$	27.07		$$$	$	22.22		$	38.23		$	39.08
Net investment income (loss)			0.64	(b)			0.54				0.40	(b)			0.59	(b)		0.82	(b)		0.47	(b)
Net realized and unrealized gain (loss) on investments			0.48				(1.64	)			2.10				5.12			(16.22	)		3.86
Net realized and unrealized gain (loss) on foreign currency transactions			(0.02	)			(0.03	)			0.00	‡			(0.01	)		(0.01	)		—
Total from investment operations			1.10				(1.13	)			2.50				5.70			(15.41	)		4.33
Less dividends and distributions:
From net investment income			(0.05	)			(0.57	)			(0.35	)			(0.85	)		(0.60	)		(0.76	)
From net realized gain on investments			—				—				—				—			—			(4.42	)
Total dividends and distributions			(0.05	)			(0.57	)			(0.35	)			(0.85	)		(0.60	)		(5.18	)
Redemption fee (c)			—				—				0.00	‡(b)			0.00	‡(b)		0.00	‡(b)		0.00	‡(b)
Net asset value at end of period		$	28.57			$	27.52			$	29.22			$	27.07		$	22.22		$	38.23
Total investment return (d)(e)			4.05	%			(4.09	)%			9.48	%			26.56	%		(40.89	)%(f)		11.41	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			2.30	%			1.61	%			1.47	%			2.54	%		2.95	%†		1.12	%
Net expenses			1.05	%			1.05	%			1.10	%			0.99	%		0.90	%†		0.90	%
Expenses (before waiver / reimbursement)			1.16	%			1.14	%			1.21	%			1.22	%		1.11	%†		1.08	%
Portfolio turnover rate			74	%			62	%			80	%			96	%		79	%		109	%
Net assets at end of period (in 000's)		$	590			$	480			$	949			$	675		$	170		$	418
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Class R1 shares are not subject to sales charges.
(f)	Total investment return is not annualized.

170

Financial Highlights

MainStay ICAP International Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class R2			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	27.45		$$$	$	29.14		$$$	$	27.05		$$$	$	22.18		$	38.20		$	39.08
Net investment income (loss)			0.51	(b)			0.47				0.32	(b)			0.44	(b)		0.74	(b)		0.35	(b)
Net realized and unrealized gain (loss) on investments			0.51				(1.67	)			2.07				5.23			(16.20	)		3.88
Net realized and unrealized gain (loss) on foreign currency transactions			(0.02	)			(0.03	)			0.00	‡			(0.01	)		(0.01	)		—
Total from investment operations			1.00				(1.23	)			2.39				5.66			(15.47	)		4.23
Less dividends and distributions:
From net investment income			—				(0.46	)			(0.30	)			(0.79	)		(0.55	)		(0.69	)
From net realized gain on investments			—				—				—				—			—			(4.42	)
Total dividends and distributions			—				(0.46	)			(0.30	)			(0.79	)		(0.55	)		(5.11	)
Redemption fee (c)			—				—				0.00	‡(b)			0.00	‡(b)		0.00	‡(b)		0.00	‡(b)
Net asset value at end of period		$	28.45			$	27.45			$	29.14			$	27.05		$	22.18		$	38.20
Total investment return (d)(e)			3.64	%			(4.37	)%			9.06	%			26.27	%		(41.00	)%(f)		11.16	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.85	%			1.63	%			1.17	%			1.84	%		2.72	%†		0.83	%
Net expenses			1.41	%			1.40	%			1.46	%			1.27	%		1.15	%†		1.15	%
Expenses (before waiver / reimbursement)			1.41	%			1.40	%			1.46	%			1.47	%		1.36	%†		1.33	%
Portfolio turnover rate			74	%			62	%			80	%			96	%		79	%		109	%
Net assets at end of period (in 000's)		$	42,435			$	37,081			$	39,156			$	27,480		$	9,445		$	12,816
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Class R2 shares are not subject to sales charges.
(f)	Total investment return is not annualized.

171

Financial Highlights

MainStay ICAP International Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


		Year ended October 31,															January 1, 2008 through October 31,			Year ended December 31,
Class R3			2012				2011				2010				2009		2008 (a)			2007
Net asset value at beginning of period		$	27.31		$$$	$	29.01		$$$	$	26.95		$$$	$	22.13		$	38.13		$	39.06
Net investment income (loss)			0.44	(b)			0.40				0.25	(b)			0.39	(b)		0.75	(b)		0.21	(b)
Net realized and unrealized gain (loss) on investments			0.51				(1.68	)			2.08				5.19			(16.24	)		3.89
Net realized and unrealized gain (loss) on foreign currency transactions			(0.02	)			(0.03	)			0.00	‡			(0.01	)		(0.01	)		—
Total from investment operations			0.93				(1.31	)			2.33				5.57			(15.50	)		4.10
Less dividends and distributions:
From net investment income			—				(0.39	)			(0.27	)			(0.75	)		(0.50	)		(0.61	)
From net realized gain on investments			—				—				—				—			—			(4.42	)
Total dividends and distributions			—				(0.39	)			(0.27	)			(0.75	)		(0.50	)		(5.03	)
Redemption fee (c)			—				—				0.00	‡(b)			0.00	‡(b)		0.00	‡(b)		0.00	‡(b)
Net asset value at end of period		$	28.24			$	27.31			$	29.01			$	26.95		$	22.13		$	38.13
Total investment return (d)(e)			3.41	%			(4.65	)%			8.85	%			25.87	%		(41.11	)%(f)		10.82	%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)			1.60	%			1.37	%			0.91	%			1.60	%		2.77	%†		0.49	%
Net expenses			1.66	%			1.65	%			1.71	%			1.54	%		1.40	%†		1.40	%
Expenses (before waiver / reimbursement)			1.66	%			1.65	%			1.71	%			1.72	%		1.62	%†		1.58	%
Portfolio turnover rate			74	%			62	%			80	%			96	%		79	%		109	%
Net assets at end of period (in 000's)		$	11,023			$	10,577			$	10,208			$	6,536		$	1,112		$	289
†	Annualized.
‡	Less than one cent per share.
(a)	The Fund changed its fiscal year end from December 31 to October 31.
(b)	Per share data based on average shares outstanding during the period.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Class R3 shares are not subject to sales charges.
(f)	Total investment return is not annualized.

172

Financial Highlights

MainStay International Equity Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,															February 28, 2008* through October 31,
Investor Class				2012				2011				2010				2009		2008
Net asset value at beginning of period		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	10.81		$$$	$	12.66		$$$	$	12.24		$$$	$	10.96		$	14.70
Net investment income (loss) (a)				0.06				0.21				0.22	(b)			0.23			0.36
Net realized and unrealized gain (loss) on investments				1.07				(1.62	)			0.44				1.73			(4.31	)
Net realized and unrealized gain (loss) on foreign currency transactions				0.00	‡			(0.09	)			0.08				0.18			0.21
Total from investment operations				1.13				(1.50	)			0.74				2.14			(3.74	)
Less dividends:
From net investment income				(0.28	)			(0.35	)			(0.32	)			(0.86	)		—
Redemption fee (a)(c)				—				—				0.00	‡			0.00	‡		0.00	‡
Net asset value at end of period			$	11.66			$	10.81			$	12.66			$	12.24		$	10.96
Total investment return (d)				10.81	%			(12.19	)%			6.11	%			21.20	%		(25.44	)%(e)
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.54	%			1.77	%			1.82	%(b)			2.19	%		3.91	%†
Net expenses				1.77	%			1.71	%			1.75	%			1.71	%		1.70	%†
Expenses (before waiver / reimbursement)				1.77	%			1.71	%			1.75	%			1.86	%		1.73	%†
Portfolio turnover rate				43	%			80	%			54	%			88	%		82	%
Net assets at end of period (in 000's)			$	34,822			$	34,895			$	39,843			$	39,969		$	35,429
*	Commencement of operations.
†	Annualized.
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Included in net investment income per share and the ratio of net investment income to average net assets are $0.03 per share and 0.29%, respectively, resulting from a special one-time dividend from Ryanair Holdings PLC that paid $0.30 per share.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Total investment return is not annualized.

173

Financial Highlights

MainStay International Equity Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,
Class A				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	10.82		$$$	$	12.66		$$$	$	12.24		$$$	$	10.97		$$$	$	18.09
Net investment income (loss) (a)				0.10				0.26				0.25	(b)			0.26				0.41
Net realized and unrealized gain (loss) on investments				1.07				(1.63	)			0.44				1.73				(6.10	)
Net realized and unrealized gain (loss) on foreign currency transactions				0.00	‡			(0.09	)			0.08				0.18				0.30
Total from investment operations				1.17				(1.46	)			0.77				2.17				(5.39	)
Less dividends and distributions:
From net investment income				(0.31	)			(0.38	)			(0.35	)			(0.90	)			(0.05	)
From net realized gain on investments				—				—				—				—				(1.68	)
Total dividends and distributions				(0.31	)			(0.38	)			(0.35	)			(0.90	)			(1.73	)
Redemption fee (a)(c)				—				—				0.00	‡			0.00	‡			0.00	‡
Net asset value at end of year			$	11.68			$	10.82			$	12.66			$	12.24			$	10.97
Total investment return (d)				11.27	%			(11.96	)%			6.31	%			21.57	%			(32.67	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.87	%			2.11	%			2.11	%(b)			2.40	%			2.79	%
Net expenses				1.43	%			1.46	%			1.44	%			1.39	%			1.47	%
Expenses (before waiver / reimbursement)				1.43	%			1.46	%			1.44	%			1.42	%			1.47	%
Portfolio turnover rate				43	%			80	%			54	%			88	%			82	%
Net assets at end of year (in 000's)			$	60,303			$	72,699			$	104,169			$	117,023			$	63,470
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the year.
(b)	Included in net investment income per share and the ratio of net investment income to average net assets are $0.03 per share and 0.29%, respectively, resulting from a special one-time dividend from Ryanair Holdings PLC that paid $0.30 per share.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.

174

Financial Highlights

MainStay International Equity Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,
Class B				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEF	$	9.95		$$$	$	11.67		$$$	$	11.33		$$$	$	10.17		$$$	$	16.99
Net investment income (loss) (a)				(0.02	)			0.11				0.12	(b)			0.14				0.28
Net realized and unrealized gain (loss) on investments				0.99				(1.49	)			0.39				1.61				(5.70	)
Net realized and unrealized gain (loss) on foreign currency transactions				0.00	‡			(0.08	)			0.07				0.16				0.28
Total from investment operations				0.97				(1.46	)			0.58				1.91				(5.14	)
Less dividends and distributions:
From net investment income				(0.19	)			(0.26	)			(0.24	)			(0.75	)			—
From net realized gain on investments				—				—				—				—				(1.68	)
Total dividends and distributions				(0.19	)			(0.26	)			(0.24	)			(0.75	)			(1.68	)
Redemption fee (a)(c)				—				—				0.00	‡			0.00	‡			0.00	‡
Net asset value at end of year			$	10.73			$	9.95			$	11.67			$	11.33			$	10.17
Total investment return (d)				10.05	%			(12.81	)%			5.17	%			20.31	%			(33.36	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.22	)%			1.02	%			1.04	%(b)			1.41	%			2.10	%
Net expenses				2.52	%			2.46	%			2.50	%			2.46	%			2.40	%
Expenses (before waiver / reimbursement)				2.52	%			2.46	%			2.50	%			2.62	%			2.42	%
Portfolio turnover rate				43	%			80	%			54	%			88	%			82	%
Net assets at end of year (in 000's)			$	16,186			$	20,509			$	31,314			$	36,397			$	37,098
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the year.
(b)	Included in net investment income per share and the ratio of net investment income to average net assets are $0.03 per share and 0.29%, respectively, resulting from a special one-time dividend from Ryanair Holdings PLC that paid $0.30 per share.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.

175

Financial Highlights

MainStay International Equity Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,
Class C				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	9.96		$$$	$	11.68		$$$	$	11.32		$$$	$	10.17		$$$	$	16.98
Net investment income (loss) (a)				(0.02	)			0.12				0.12	(b)			0.13				0.29
Net realized and unrealized gain (loss) on investments				0.99				(1.50	)			0.41				1.61				(5.69	)
Net realized and unrealized gain (loss) on foreign currency transactions				0.00	‡			(0.08	)			0.07				0.16				0.27
Total from investment operations				0.97				(1.46	)			0.60				1.90				(5.13	)
Less dividends and distributions:
From net investment income				(0.19	)			(0.26	)			(0.24	)			(0.75	)			—
From net realized gain on investments				—				—				—				—				(1.68	)
Total dividends and distributions				(0.19	)			(0.26	)			(0.24	)			(0.75	)			(1.68	)
Redemption fee (a)(c)				—				—				0.00	‡			0.00	‡			0.00	‡
Net asset value at end of year			$	10.74			$	9.96			$	11.68			$	11.32			$	10.17
Total investment return (d)				10.05	%			(12.88	)%			5.23	%			20.32	%			(33.32	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				(0.21	)%			1.07	%			1.09	%(b)			1.34	%			2.12	%
Net expenses				2.52	%			2.46	%			2.50	%			2.46	%			2.39	%
Expenses (before waiver / reimbursement)				2.52	%			2.46	%			2.50	%			2.60	%			2.41	%
Portfolio turnover rate				43	%			80	%			54	%			88	%			82	%
Net assets at end of year (in 000's)			$	11,111			$	12,960			$	19,242			$	19,079			$	10,976
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Included in net investment income per share and the ratio of net investment income to average net assets are $0.03 per share and 0.29%, respectively, resulting from a special one-time dividend from Ryanair Holdings PLC that paid $0.30 per share.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.

176

Financial Highlights

MainStay International Equity Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,
Class I				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	10.89		$$$	$	12.75		$$$	$	12.33		$$$	$	11.05		$$$	$	18.23
Net investment income (loss) (a)				0.13				0.26				0.29	(b)			0.29				0.50
Net realized and unrealized gain (loss) on investments				1.07				(1.62	)			0.43				1.75				(6.16	)
Net realized and unrealized gain (loss) on foreign currency transactions				0.00	‡			(0.09	)			0.08				0.18				0.30
Total from investment operations				1.20				(1.45	)			0.80				2.22				(5.36	)
Less dividends and distributions:
From net investment income				(0.34	)			(0.41	)			(0.38	)			(0.94	)			(0.14	)
From net realized gain on investments				—				—				—				—				(1.68	)
Total dividends and distributions				(0.34	)			(0.41	)			(0.38	)			(0.94	)			(1.82	)
Redemption fee (a)(c)				—				—				0.00	‡			0.00	‡			0.00	‡
Net asset value at end of year			$	11.75			$	10.89			$	12.75			$	12.33			$	11.05
Total investment return (d)(e)				11.45	%			(11.73	)%			6.61	%			22.01	%			(32.44	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.15	%			2.16	%			2.40	%(b)			2.70	%			3.48	%
Net expenses				1.18	%			1.21	%			1.18	%			1.08	%			1.03	%
Expenses (before waiver / reimbursement)				1.18	%			1.21	%			1.18	%			1.17	%			1.05	%
Portfolio turnover rate				43	%			80	%			54	%			88	%			82	%
Net assets at end of year (in 000's)			$	177,726			$	184,373			$	373,332			$	387,245			$	371,975
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Included in net investment income per share and the ratio of net investment income to average net assets are $0.03 per share and 0.29%, respectively, resulting from a special one-time dividend from Ryanair Holdings PLC that paid $0.30 per share.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Class I shares are not subject to sales charges.

177

Financial Highlights

MainStay International Equity Fund

(a series of The MainStay Funds)

(Selected per share data and ratios)


			Year ended October 31,
Class R1				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	10.82		$$$	$	12.67		$$$	$	12.25		$$$	$	10.98		$$$	$	18.13
Net investment income (loss) (a)				0.11				0.26				0.27	(b)			0.28				0.49
Net realized and unrealized gain (loss) on investments				1.07				(1.62	)			0.44				1.74				(6.13	)
Net realized and unrealized gain (loss) on foreign currency transactions				0.00	‡			(0.09	)			0.08				0.18				0.30
Total from investment operations				1.18				(1.45	)			0.79				2.20				(5.34	)
Less dividends and distributions:
From net investment income				(0.33	)			(0.40	)			(0.37	)			(0.93	)			(0.13	)
From net realized gain on investments				—				—				—				—				(1.68	)
Total dividends and distributions				(0.33	)			(0.40	)			(0.37	)			(0.93	)			(1.81	)
Redemption fee (a)(c)				—				—				0.00	‡			0.00	‡			0.00	‡
Net asset value at end of year			$	11.67			$	10.82			$	12.67			$	12.25			$	10.98
Total investment return (d)(e)				11.41	%			(11.89	)%			6.58	%			21.89	%			(32.53	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				1.04	%			2.12	%			2.30	%(b)			2.58	%			3.40	%
Net expenses				1.28	%			1.31	%			1.29	%			1.19	%			1.13	%
Expenses (before waiver / reimbursement)				1.28	%			1.31	%			1.29	%			1.27	%			1.15	%
Portfolio turnover rate				43	%			80	%			54	%			88	%			82	%
Net assets at end of year (in 000's)			$	4,677			$	4,760			$	6,225			$	5,348			$	2,755
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Included in net investment income per share and the ratio of net investment income to average net assets are $0.03 per share and 0.29%, respectively, resulting from a special one-time dividend from Ryanair Holdings PLC that paid $0.30 per share.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Class R1 shares are not subject to sales charges.

178

Financial Highlights

MainStay International Equity Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,
Class R2				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	10.84		$$$	$	12.69		$$$	$	12.27		$$$	$	10.99		$$$	$	18.14
Net investment income (loss) (a)				0.09				0.24				0.25	(b)			0.16				0.46
Net realized and unrealized gain (loss) on investments				1.06				(1.63	)			0.43				1.82				(6.14	)
Net realized and unrealized gain (loss) on foreign currency transactions				0.00	‡			(0.09	)			0.08				0.19				0.30
Total from investment operations				1.15				(1.48	)			0.76				2.17				(5.38	)
Less dividends and distributions:
From net investment income				(0.29	)			(0.37	)			(0.34	)			(0.89	)			(0.09	)
From net realized gain on investments				—				—				—				—				(1.68	)
Total dividends and distributions				(0.29	)			(0.37	)			(0.34	)			(0.89	)			(1.77	)
Redemption fee (a)(c)				—				—				0.00	‡			0.00	‡			0.00	‡
Net asset value at end of year			$	11.70			$	10.84			$	12.69			$	12.27			$	10.99
Total investment return (d)(e)				11.12	%			(12.09	)%			6.32	%			21.53	%			(32.63	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.82	%			2.02	%			2.09	%(b)			1.39	%			3.24	%
Net expenses				1.53	%			1.55	%			1.54	%			1.50	%			1.38	%
Expenses (before waiver / reimbursement)				1.53	%			1.55	%			1.54	%			1.54	%			1.40	%
Portfolio turnover rate				43	%			80	%			54	%			88	%			82	%
Net assets at end of year (in 000's)			$	10,545			$	12,176			$	10,942			$	7,826			$	274
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Included in net investment income per share and the ratio of net investment income to average net assets are $0.03 per share and 0.29%, respectively, resulting from a special one-time dividend from Ryanair Holdings PLC that paid $0.30 per share.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Class R2 shares are not subject to sales charges.

179

Financial Highlights

MainStay International Equity Fund

(a series of MainStay Funds Trust)

(Selected per share data and ratios)


			Year ended October 31,
Class R3				2012				2011				2010				2009				2008
Net asset value at beginning of year		ABCDEFGHIJKLMOPQRSTUVWYZABCDEFGHIJ	$	10.79		$$$	$	12.64		$$$	$	12.24		$$$	$	10.95		$$$	$	18.10
Net investment income (loss) (a)				0.06				0.24				0.24	(b)			0.26				0.42
Net realized and unrealized gain (loss) on investments				1.06				(1.65	)			0.41				1.72				(6.13	)
Net realized and unrealized gain (loss) on foreign currency transactions				0.00	‡			(0.09	)			0.07				0.17				0.30
Total from investment operations				1.12				(1.50	)			0.72				2.15				(5.41	)
Less dividends and distributions:
From net investment income				(0.27	)			(0.35	)			(0.32	)			(0.86	)			(0.06	)
From net realized gain on investments				—				—				—				—				(1.68	)
Total dividends and distributions				(0.27	)			(0.35	)			(0.32	)			(0.86	)			(1.74	)
Redemption fee (a)(c)				—				—				0.00	‡			0.00	‡			0.00	‡
Net asset value at end of year			$	11.64			$	10.79			$	12.64			$	12.24			$	10.95
Total investment return (d)(e)				10.82	%			(12.28	)%			5.99	%			21.31	%			(32.86	)%
Ratios (to average net assets)/Supplemental Data:
Net investment income (loss)				0.56	%			1.98	%			2.00	%(b)			2.45	%			2.93	%
Net expenses				1.78	%			1.80	%			1.79	%			1.69	%			1.63	%
Expenses (before waiver / reimbursement)				1.78	%			1.80	%			1.79	%			1.77	%			1.65	%
Portfolio turnover rate				43	%			80	%			54	%			88	%			82	%
Net assets at end of year (in 000's)			$	2,218			$	1,592			$	737			$	322			$	37
‡	Less than one cent per share.
(a)	Per share data based on average shares outstanding during the period.
(b)	Included in net investment income per share and the ratio of net investment income to average net assets are $0.03 per share and 0.29%, respectively, resulting from a special one-time dividend from Ryanair Holdings PLC that paid $0.30 per share.
(c)	The redemption fee was discontinued as of April 1, 2010.
(d)	Total investment return is calculated exclusive of sales charges and assumes the reinvestment of dividends and distributions.
(e)	Class R3 shares are not subject to sales charges.

180

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No dealer, sales representative or any other person is authorized to give any information or to make any representations other than those contained in this Prospectus and in the Statement of Additional Information ("SAI"), in connection with the offer contained in this Prospectus, and, if given or made, such other information or representations must not be relied upon as having been authorized by the Funds or the Distributor. This Prospectus and the SAI do not constitute an offer by the Funds or by the Distributor to sell or a solicitation of any offer to buy any of the securities offered hereby in any jurisdiction or to any person to whom it is unlawful to make such offer in such jurisdiction.

HOUSEHOLD MAILINGS AND E-DELIVERY

Each year you are automatically sent an updated Summary Prospectus and Annual and Semi-Annual Reports for the Funds. You may also occasionally receive proxy statements for the Funds. In order to reduce the volume of mail you receive, when possible, only one copy of these documents may be sent to shareholders who are part of the same family and share the same household address. You may elect to receive these documents electronically in lieu of paper form by enrolling in e-delivery on our website, mainstayinvestments.com/edelivery. If you would like to opt out of household-based mailings, please call toll free 800-MAINSTAY (624-6782) .

STATEMENT OF ADDITIONAL INFORMATION ("SAI")

Provides more details about the Funds. The current SAI is incorporated by reference into the Prospectus and has been filed with the Securities and Exchange Comission (“SEC”).

ANNUAL/SEMI-ANNUAL REPORTS

Provide additional information about the Funds' investments and include discussions of market conditions and investment strategies that significantly affected the Funds' performance during the last fiscal year or semi-annual period.

TO OBTAIN INFORMATION

More information about the Funds, including the SAI and the Annual/Semi-Annual Reports, is available, without charge, upon request. To obtain information, or for shareholder inquiries, call toll-free 800-MAINSTAY (624-6782) , visit our website at mainstayinvestments.com, or write to NYLIFE Distributors LLC, Attn: MainStay Marketing Dept., 169 Lackawanna Avenue, Parsippany, New Jersey 07054.

You can also review and copy information about the Funds (including the SAI) by visiting the SEC's Public Reference Room in Washington, DC (phone 1-202-551-8090). This information is also available on the EDGAR database on the SEC's Internet site at http://www.sec.gov. Copies of this information may be obtained by paying a duplicating fee and sending an e-mail to publicinfo@sec.gov or writing the SEC's Public Reference Section, Washington, DC 20549-0102.

NYLIFE Distributors LLC
169 Lackawanna Avenue
Parsippany, New Jersey 07054
NYLIFE Distributors LLC is the principal underwriter and distributor of the MainStay Funds

MainStay Investments ^{^®} is a registered service mark and name under which New York Life Investment Management LLC does business. MainStay Investments, an indirect subsidiary of New York Life Insurance Company, New York, New York 10010, provides investment advisory products and services.

SEC File Number: 811-22321 (MainStay Funds Trust)
SEC File Number: 811-04550 (The MainStay Funds)

For more information call 800-MAINSTAY (624-6782) or visit our website at mainstayinvestments.com.

(NYLIM) NL EQ MS01e-02/13


Prospectus for MainStay ^{^®} Income and Mixed Asset Funds
MainStay Funds ^{^®}	February 28, 2013


	Class A	Investor Class	Class B	Class C	Class I	Class R1	Class R2	Class R3
Taxable Bond
MainStay Floating Rate Fund	MXFAX	MXFNX	MXFBX	MXFCX	MXFIX	-	-	-
MainStay Global High Income Fund	MGHAX	MGHHX	MGHBX	MHYCX	MGHIX	-	-	-
MainStay Government Fund	MGVAX	MGVNX	MCSGX	MGVCX	MGOIX	-	-	-
MainStay High Yield Corporate Bond Fund	MHCAX	MHHIX	MKHCX	MYHCX	MHYIX	MHHRX	MHYRX	-
MainStay High Yield Opportunities Fund	MYHAX	MYHNX	-	MYHYX	MYHIX	-	-	-
MainStay Indexed Bond Fund	MIXAX	MIXNX	-	-	MIXIX	-	-	-
MainStay Intermediate Term Bond Fund	MTMAX	MTMNX	MTMBX	MTMCX	MTMIX	MTMRX	MTRTX	-
MainStay Short Duration High Yield Fund	MDHAX	MDHVX	-	MDHCX	MDHIX	-	MDHRX	-
MainStay Short Term Bond Fund	MSTAX	MYTBX	-	-	MSTIX	-	-
MainStay Unconstrained Bond Fund	MASAX	MSYDX	MASBX	MSICX	MSDIX	-	-	-

Municipal Bond
MainStay California Tax Free Opportunities Fund	MSCAX	MSCVX	-	MSCCX	MCOIX	-	-	-
MainStay High Yield Municipal Bond Fund	MMHAX	MMHVX	-	MMHDX	MMHIX	-	-	-
MainStay New York Tax Free Opportunities Fund	MNOAX	MNOVX	-	MNOCX	MNOIX	-	-	-
MainStay Tax Free Bond Fund	MTBAX	MKINX	MKTBX	MTFCX	MTBIX	-	-	-

Money Market
MainStay Money Market Fund	MMAXX	MKTXX	MKMXX	MSCXX	-	-	-	-

Mixed Asset
MainStay Balanced Fund	MBNAX	MBINX	MBNBX	MBACX	MBAIX	MBNRX	MBCRX	MBDRX
MainStay Convertible Fund	MCOAX	MCINX	MCSVX	MCCVX	MCNVX	-	-	-
MainStay Income Builder Fund	MTRAX	MTINX	MKTRX	MCTRX	MTOIX	-	-	-

Neither the Securities and Exchange Commission nor any state securities commission has approved or disapproved of these securities or passed upon the accuracy or adequacy of this Prospectus. Any representation to the contrary is a criminal offense.

Table of Contents

Taxable Bond Funds


MainStay Floating Rate Fund	4
MainStay Global High Income Fund	8
MainStay Government Fund	13
MainStay High Yield Corporate Bond Fund	17
MainStay High Yield Opportunities Fund	22
MainStay Indexed Bond Fund	28
MainStay Intermediate Term Bond Fund	32
MainStay Short Duration High Yield Fund	37
MainStay Short Term Bond Fund	41
MainStay Unconstrained Bond Fund	45

Municipal Bond Funds


MainStay California Tax Free Opportunities Fund	51
MainStay High Yield Municipal Bond Fund	55
MainStay New York Tax Free Opportunities Fund	60
MainStay Tax Free Bond Fund	64

Money Market Fund


MainStay Money Market Fund	69

Mixed Asset Funds


MainStay Balanced Fund	73
MainStay Convertible Fund	78
MainStay Income Builder Fund	82
More About Investment Strategies and Risks	88
Shareholder Guide	98
Know With Whom You Are Investing	127
Financial Highlights	133
Appendix A – Taxable Equivalent Yield Table	181

MainStay Floating Rate Fund

Investment Objective

The Fund seeks high current income.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class B		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	3.00	%	3.00	%	None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	3.00	%	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.60	%	0.60	%	0.60	%	0.60	%	0.60	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None
	Other Expenses	0.21	%	0.14	%	0.21	%	0.21	%	0.14	%
	Total Annual Fund Operating Expenses	1.06	%	0.99	%	1.81	%	1.81	%	0.74	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.60% on assets up to $1 billion; 0.575% on assets from $1 billion to $3 billion; and 0.565% on assets in excess of $3 billion.

Example

The 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 (except as indicated with respect to Class B and Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. The Example also reflects Class B shares converting into Investor Class shares in year 4; fees could be lower if you are eligible to convert to Class A shares instead. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class B		Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 405	$ 398	$ 184	$ 484	$ 184	$ 284	$ 76
3 Years	$ 627	$ 606	$ 569	$ 769	$ 569	$ 569	$ 237
5 Years	$ 867	$ 831	$ 894	$ 894	$ 980	$ 980	$ 411
10 Years	$ 1,555	$ 1,477	$ 1,583	$ 1,583	$ 2,127	$ 2,127	$ 918

Portfolio Turnover

Principal Investment Strategies

The Fund, under normal circumstances, invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in a portfolio of floating rate loans and other floating rate debt securities. The Fund may also purchase fixed-income debt securities and money market securities or instruments. When New York Life Investment Management LLC, the Fund's Manager, believes that market or economic conditions are unfavorable to investors, up to 100% of the Fund's assets may be invested in money market or short-term debt securities. The Manager may also invest in these types of securities or hold cash, while looking for suitable investment opportunities or to maintain liquidity.

MainStay Floating Rate Fund

The Fund may invest up to 25% of its total assets in foreign securities which are generally U.S. dollar-denominated loans and other debt securities issued by one or more non-U.S. borrower(s) without a U.S. domiciled co-borrower.

Investment Process: The Manager seeks to identify investment opportunities based on the financial condition and competitiveness of individual companies. The Manager seeks to invest in companies with a high margin of safety that are leaders in industries with high barriers to entry. The Manager prefers companies with positive free cash flow, solid asset coverage and management teams with strong track records. In virtually every phase of the investment process, the Manager attempts to control risk and limit defaults.

Floating rate loans may offer a favorable yield spread over other short-term fixed-income alternatives. Historically, floating rate loans have displayed little correlation to the movements of U.S. common stocks, high-grade bonds and U.S. government securities. Some securities that are rated below investment grade by an independent rating agency, such as Standard & Poor's or Moody's Investor Service Inc., are commonly referred to as “junk bonds.” Floating rate loans are speculative investments and are usually rated below investment grade. They typically have less credit risk and historically have had lower default rates than junk bonds. These loans are typically the most senior source of capital in a borrower's capital structure and usually have certain of the borrower's assets pledged as collateral. Floating rate loans feature rates that reset regularly, maintaining a fixed spread over the London InterBank Offered Rate or the prime rates of large money-center banks. The interest rates for floating rate loans typically reset quarterly, although rates on some loans may adjust at other intervals. Floating rate loans mature, on average, in five to seven years, but loan maturity can be as long as nine years.

The Manager may reduce or eliminate the Fund's position in a security if it no longer believes the security will contribute to meeting the investment objectives of the Fund. In considering whether to sell a security, the Manager may evaluate, among other things, meaningful changes in the issuer's financial condition and competitiveness. The Manager continually evaluates market factors and comparative metrics to determine relative value.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Manager may not produce the desired results.

Debt Securities Risk: The risks of investing in debt securities include (without limitation): (i) credit risk, i.e., the issuer may not repay the loan created by the issuance of that debt security; (ii) maturity risk, i.e., a debt security with a longer maturity may fluctuate in value more than one with a shorter maturity; (iii) market risk, i.e., low demand for debt securities may negatively impact their price; (iv) interest rate risk, i.e., when interest rates go up, the value of a debt security goes down, and when interest rates go down, the value of a debt security goes up; (v) selection risk, i.e., the securities selected by the Manager may underperform the market or other securities selected by other funds; and (vi) call risk, i.e., during a period of falling interest rates, the issuer may redeem a security by repaying it early, which may reduce the Fund's income if the proceeds are reinvested at lower interest rates.

Floating Rate Loans Risk: The floating rate loans in which the Fund invests are usually rated below investment grade (commonly referred to as "junk bonds") and are generally considered speculative because they present a greater risk of loss, including default, than higher quality debt securities. Moreover, such securities may, under certain circumstances, be less liquid than higher quality debt securities. Although certain floating rate loans are collateralized, there is no guarantee that the value of the collateral will be sufficient to repay the loan. In times of unusual or adverse market, economic or political conditions, floating rate loans may experience higher than normal default rates. In the event of a recession or serious credit event, among other eventualities, the Fund's investments in floating rate loans are more likely to decline.

Liquidity and Valuation Risk: Securities purchased by the Fund that are liquid at the time of purchase may subsequently become illiquid due to events relating to the issuer of the securities, market events, economic conditions or investor perceptions. The lack of an active trading market may make it difficult to obtain an accurate price for a security. If market conditions make it difficult to value securities, the Fund may value these securities using more subjective methods, such as fair value pricing. In such cases, the value determined for a security could be different than the value realized upon such security's sale. As a result, an investor could pay more than the market value when buying Fund shares or receive less than the market value when selling Fund shares. Liquidity risk may also refer to the risk that the Fund may not be able to pay redemption proceeds within the allowable time period because of unusual market conditions, unusually high volume of redemptions, or other reasons. To meet redemption requests, the Fund may be forced to sell securities at an unfavorable time and/or under unfavorable conditions.

Trading Market Risk: An active trading market may not exist for many of the Fund's loans. In addition, some loans may be subject to restrictions on their resale, which may prevent the Fund from obtaining the full value of the loan when it is sold. If this occurs, the Fund may experience a decline in its net asset value. Some of the Fund's investments may be considered to be illiquid.

MainStay Floating Rate Fund

liquid trading markets and political and economic developments in foreign countries may affect the value of the Fund's investments in foreign securities. Foreign securities may also subject the Fund's investments to changes in currency rates. These risks may be greater with respect to securities of companies that conduct their business activities in emerging markets or whose securities are traded principally in emerging markets.

Money Market/Short-Term Securities Risk: To the extent the Fund holds cash or invests in money market or short-term securities, the Fund may be less likely to achieve its investment objective. In addition, it is possible that the Fund's investments in these instruments could lose money.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. The Fund commenced operations on May 3, 2004. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008. Unadjusted, the performance shown for the newer class would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class I Shares

(by calendar year 2005-2012)


Best Quarter
2Q/09	13.81	%
Worst Quarter
4Q/08	-18.29	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		Life of Fund
Return Before Taxes
Investor Class	3.97	%	3.50	%	3.60	%
Class A	4.04	%	3.60	%	3.66	%
Class B	3.39	%	3.36	%	3.21	%
Class C	5.50	%	3.36	%	3.20	%
Class I	7.63	%	4.50	%	4.31	%
Return After Taxes on Distributions
Class I	6.07	%	2.96	%	2.60	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	4.93	%	2.91	%	2.65	%
Credit Suisse Leveraged Loan Index (reflects no deductions for fees, expenses, or taxes)	9.43	%	4.81	%	4.86	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

MainStay Floating Rate Fund

Management

New York Life Investment Management LLC serves as the Fund’s Manager and is responsible for the day-to-day portfolio management of the Fund.


Manager	Portfolio Manager	Service Date
New York Life Investment Management LLC	Robert H. Dial, Managing Director	Since 2004
	Mark A. Campellone, Managing Director	Since 2012
	Arthur S. Torrey, Managing Director	Since 2012

How to Purchase and Sell Shares

Tax Information

Compensation to Financial Intermediary Firms

MainStay Global High Income Fund

Investment Objective

The Fund seeks maximum current income by investing in high-yield debt securities of non-U.S. issuers. Capital appreciation is a secondary objective.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class B		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	4.50	%	4.50	%	None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.72	%	0.72	%	0.72	%	0.72	%	0.72	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None
	Other Expenses	0.32	%	0.20	%	0.32	%	0.32	%	0.20	%
	Total Annual Fund Operating Expenses	1.29	%	1.17	%	2.04	%	2.04	%	0.92	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.70% on assets up to $500 million and 0.65% on assets in excess of $500 million, plus a fee for fund accounting services previously provided by New York Life Investment Management under a separate fund accounting agreement. This addition to the management fee amounted to 0.02% of the Fund's average daily net assets, but did not result in a net increase in Total Annual Fund Operating Expenses.

Example


Expenses After	Investor	Class A	Class B		Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 575	$ 564	$ 207	$ 707	$ 207	$ 307	$ 94
3 Years	$ 841	$ 805	$ 640	$ 940	$ 640	$ 640	$ 293
5 Years	$ 1,126	$ 1,065	$ 1,098	$ 1,298	$ 1,098	$ 1,098	$ 509
10 Years	$ 1,936	$ 1,806	$ 2,176	$ 2,176	$ 2,369	$ 2,369	$ 1,131

Portfolio Turnover

Principal Investment Strategies

The Fund, under normal circumstances, invests in securities rated below investment grade at levels at least equal to the percentage of below investment grade debt found in the Fund's primary benchmark. Below investment grade securities are generally securities that receive low ratings from an independent rating agency, such as rated lower than BBB by Standard & Poor's and Baa3 by Moody's Investor Service, Inc., or if unrated,

MainStay Global High Income Fund

are deemed to be of comparable quality by the Fund's Subadvisor, MacKay Shields LLC. Some securities rated below investment grade by independent rating agencies are commonly referred to as "junk bonds." If independent rating agencies assign different ratings to the same security, the Fund will use the lower rating for purposes of determining the security's credit quality.

Normally, the Fund will invest a significant amount of its assets (at least 40%, unless the Subadvisor deems market conditions to be unfavorable, in which case the Fund will invest at least 30%) in securities issued by governments, their agencies and authorities, and corporations that are located in at least three different foreign countries. The Fund principally invests in countries that are considered emerging markets, but may invest in countries with established economies that the Subadvisor believes present favorable conditions. Some of the foreign securities in which the Fund invests may be denominated in foreign currency.

The Fund's principal investments include Yankee (dollar-denominated) debt securities, Brady Bonds, variable rate notes, mortgage-related and asset-backed securities and mortgage dollar rolls. The Fund may also invest in derivative instruments, such as floaters, including inverse floaters, forward commitments, futures, options and swaps agreements to try to enhance returns or reduce the risk of loss by hedging certain of its holdings. The Fund may invest up to 15% of its total assets in swaps, including credit default swaps. The Fund is "non-diversified," which means that it may invest a greater percentage of its assets than other funds in a particular issuer.

The Fund may buy and sell currency on a spot basis, buy foreign currency options, and enter into foreign currency forward contracts. These techniques may be used for any legally permissible purpose, including to increase the Fund's return.

Investment Process: The Subadvisor identifies investment opportunities by beginning with country selection, then assessing local currencies for upside potential and downside risk and, finally, evaluating specific securities based on the financial condition and competitiveness of the issuer. The Subadvisor considers factors such as prospects for a country's political stability, currency exchange rates, interest rates, inflation, relative economic growth and governmental policies.

The Subadvisor may sell a security if it no longer believes the security will contribute to meeting the investment objective of the Fund. In considering whether to sell a security, the Subadvisor may evaluate, among other things, the condition of foreign economies and meaningful changes in the issuer's financial condition and competitiveness.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Debt Securities Risk: The risks of investing in debt securities include (without limitation): (i) credit risk, i.e., the issuer may not repay the loan created by the issuance of that debt security; (ii) maturity risk, i.e., a debt security with a longer maturity may fluctuate in value more than one with a shorter maturity; (iii) market risk, i.e., low demand for debt securities may negatively impact their price; (iv) interest rate risk, i.e., when interest rates go up, the value of a debt security goes down, and when interest rates go down, the value of a debt security goes up; (v) selection risk, i.e., the securities selected by the Subadvisor may underperform the market or other securities selected by other funds; and (vi) call risk, i.e., during a period of falling interest rates, the issuer may redeem a security by repaying it early, which may reduce the Fund's income if the proceeds are reinvested at lower interest rates.

High-Yield Securities Risk: Investments in high-yield securities or non-investment grade securities (commonly referred to as "junk bonds") are sometimes considered speculative because they present a greater risk of loss than higher quality securities. Such securities may, under certain circumstances, be less liquid than higher rated securities. These securities pay investors a premium (a high interest rate or yield) because of the increased risk of loss. These securities can also be subject to greater price volatility. In times of unusual or adverse market, economic or political conditions, these securities may experience higher than normal default rates.

MainStay Global High Income Fund

Mortgage-Backed/Asset-Backed Securities Risk: Prepayment risk is associated with mortgage-backed and asset-backed securities. If interest rates fall, the underlying debt may be repaid ahead of schedule, reducing the value of the Fund's investments. If interest rates rise, there may be fewer prepayments, which would cause the average bond maturity to rise, increasing the potential for the Fund to lose money. The value of these securities may be significantly affected by changes in interest rates, the market's perception of issuers, and the creditworthiness of the parties involved. The ability of the Fund to successfully utilize these instruments may depend on the ability of the Subadvisor to forecast interest rates and other economic factors correctly. These securities may have a structure that makes their reaction to interest rate changes and other factors difficult to predict, making their value highly volatile.

Mortgage Dollar Roll Transaction Risk: A mortgage dollar roll is a transaction in which the Fund sells mortgage-related securities from its portfolio to a counterparty from whom it simultaneously agrees to buy a similar security on a delayed delivery basis. Mortgage dollar roll transactions are subject to certain risks, including the risk that securities returned to the Fund at the end of the roll, while substantially similar, may be inferior to what was initially sold to the counterparty.

Floaters and Variable Rate Notes Risk: Floaters and variable rate notes provide for a periodic adjustment in the interest rate paid on the securities. The rate adjustment intervals may be regular and range from daily up to annually, or may be based on an event, such as a change in the prime rate. Floating and variable rate notes may be subject to greater liquidity risk than other debt securities, meaning that there may be limitations on the Fund's ability to sell the securities at any given time. Securities with floating interest rates generally are less sensitive to interest rate changes, but may decline in value if their interest rates do not rise as much or as fast as interest rates in general. Such securities also may lose value.

Non-Diversification Risk: Because the Fund is "non-diversified," it may be more susceptible than diversified funds to risks associated with an individual issuer, and to single economic, political or regulatory occurrences.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. Class I shares were first offered to the public on August 31, 2007. Performance figures for Class I shares include the historical performance of Class A shares through August 30, 2007. Performance figures for Investor Class shares, which were first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008. Performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

MainStay Global High Income Fund

Annual Returns, Class B Shares

(by calendar year 2003-2012)


Best Quarter
3Q/09	13.07	%
Worst Quarter
4Q/08	-8.94	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	13.66	%	8.70	%	11.21	%
Class A	13.85	%	8.85	%	11.28	%
Class B	13.16	%	8.60	%	10.88	%
Class C	17.14	%	8.90	%	10.89	%
Class I	19.49	%	10.10	%	12.08	%
Return After Taxes on Distributions
Class B	10.69	%	6.30	%	8.43	%
Return After Taxes on Distributions and Sale of Fund Shares
Class B	8.45	%	6.00	%	8.06	%
JPMorgan EMBI Global Diversified Index (reflects no deductions for fees, expenses, or taxes)	17.44	%	10.07	%	10.98	%

Management

New York Life Investment Management LLC serves as the Fund's Manager. MacKay Shields LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
MacKay Shields LLC	Dan Roberts, Senior Managing Director	Since 2011
	Michael Kimble, Managing Director	Since 2011
	Jakob Bak, Director	Since 2011

How to Purchase and Sell Shares

MainStay Global High Income Fund

Tax Information

Compensation to Financial Intermediary Firms

MainStay Government Fund

Investment Objective

The Fund seeks current income.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class B		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	4.50	%	4.50	%	None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.50	%	0.50	%	0.50	%	0.50	%	0.50	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None
	Other Expenses	0.41	%	0.27	%	0.41	%	0.41	%	0.27	%
	Total Annual Fund Operating Expenses ³	1.16	%	1.02	%	1.91	%	1.91	%	0.77	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.50% on assets up to $500 million; 0.475% on assets from $500 million to $1 billion; and 0.45% on assets in excess of $1 billion.

3. New York Life Investment Management LLC ("New York Life Investments") has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for Class A shares do not exceed 1.03% of its average daily net assets. New York Life Investments will apply an equivalent waiver or reimbursement, in an equal number of basis points, to the other share classes. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example


Expenses After	Investor	Class A	Class B		Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 563	$ 549	$ 194	$ 694	$ 194	$ 294	$ 79
3 Years	$ 802	$ 760	$ 600	$ 900	$ 600	$ 600	$ 246
5 Years	$ 1,060	$ 988	$ 1,032	$ 1,232	$ 1,032	$ 1,032	$ 428
10 Years	$ 1,796	$ 1,642	$ 2,038	$ 2,038	$ 2,233	$ 2,233	$ 954

Portfolio Turnover

MainStay Government Fund

Principal Investment Strategies

The Fund, under normal circumstances, invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in U.S. government securities. It may invest up to 20% of its net assets in mortgage-related and asset-backed securities or other investment grade securities that are not U.S. government securities.

The Fund's principal investments are debt securities issued or guaranteed by the U.S. government, its agencies and instrumentalities. These securities include U.S. Treasury bills (maturing in one year or less), notes (maturing in 1 to 10 years), bonds (generally maturing in more than 10 years), Government National Mortgage Association mortgage-backed certificates and other U.S. government securities representing ownership interests in mortgage pools such as securities issued by the Federal National Mortgage Association and by the Federal Home Loan Mortgage Corporation, and certain corporate fixed-income securities that are guaranteed by the Federal Deposit Insurance Corporation. The Fund also invests in variable rate notes and floaters, which are debt securities with a variable interest rate tied to another interest rate such as a money market index or Treasury bill rate, as well as money market instruments and cash equivalents.

Investment Process: In pursuing the Fund's investment strategies, MacKay Shields LLC, the Fund's Subadvisor, uses a combined approach to investing, analyzing economic trends as well as factors pertinent to particular issuers and securities. As part of the Fund's principal strategies, the Subadvisor may use a variety of investment practices such as mortgage dollar roll transactions, to-be-announced ("TBA") securities transactions, and transactions on a when-issued basis.

The Fund may also invest in derivatives such as futures and options to try to enhance returns or reduce the risk of loss by hedging certain of its holdings. The Subadvisor may sell a security prior to maturity if it no longer believes that the security will contribute to meeting the investment objective of the Fund.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money. Investments in the Fund are not guaranteed. While some of the Fund's investments, such as U.S. Treasury obligations, are backed by the "full faith and credit" of the U.S. government, some securities issued or guaranteed by federal agencies and U.S. government sponsored instrumentalities may not be guaranteed by the U.S. Treasury or supported by the full faith and credit of the U.S. government.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Debt Securities Risk: The risks of investing in debt securities include (without limitation): (i) credit risk, i.e., the issuer may not repay the loan created by the issuance of that debt security; (ii) maturity risk, i.e., a debt security with a longer maturity may fluctuate in value more than one with a shorter maturity; (iii) market risk, i.e., low demand for debt securities may negatively impact their price; (iv) interest rate risk, i.e., when interest rates go up, the value of a debt security goes down, and when interest rates go down, the value of a debt security goes up; (v) selection risk, i.e., the securities selected by the Subadvisor may underperform the market or other securities selected by other funds; and (vi) call risk, i.e., during a period of falling interest rates, the issuer may redeem a security by repaying it early, which may reduce the Fund's income if the proceeds are reinvested at lower interest rates.

Additional risks associated with an investment in the Fund include the following: (i) not all U.S. government securities are insured or guaranteed by the U.S. government—some are backed only by the issuing agency, which must rely on its own resources to repay the debt; and (ii) the Fund's yield will fluctuate with changes in short-term interest rates.

TBA Securities Risk: In a TBA securities transaction, the Fund commits to purchase certain securities for a fixed price at a future date. The principal risks are that the counterparty may not deliver the security as promised and/or that the value of the TBA security may decline prior to when the Fund receives the security.

When-Issued Securities Risk: The Fund may agree to purchase a security on a when-issued basis, making a commitment to pay a fixed price for a security when it is issued in the future. The principal risk of transactions involving when-issued securities is that the security will be worth less when it is issued or received than the price the Fund agreed to pay when it made the commitment.

MainStay Government Fund

on the Fund's ability to sell the securities at any given time. Securities with floating interest rates generally are less sensitive to interest rate changes, but may decline in value if their interest rates do not rise as much or as fast as interest rates in general. Such securities also may lose value.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class I shares, first offered on January 2, 2004, include the historical performance of Class B shares through January 1, 2004. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008. The performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class B Shares

(by calendar year 2003-2012)


Best Quarter
4Q/08	6.08	%
Worst Quarter
2Q/04	-2.95	%

MainStay Government Fund

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	-1.30	%	3.83	%	3.48	%
Class A	-1.14	%	3.97	%	3.55	%
Class B	-2.51	%	3.65	%	3.18	%
Class C	1.60	%	4.00	%	3.18	%
Class I	3.74	%	5.28	%	4.42	%
Return After Taxes on Distributions
Class B	-3.12	%	2.78	%	2.20	%
Return After Taxes on Distributions and Sale of Fund Shares
Class B	-1.57	%	2.63	%	2.15	%
Barclays U.S. Government Bond Index (reflects no deductions for fees, expenses, or taxes)	2.02	%	5.23	%	4.66	%

Management

New York Life Investment Management LLC serves as the Fund's Manager. MacKay Shields LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
MacKay Shields LLC	Dan Roberts, Senior Managing Director	Since 2011
	Louis N. Cohen, Managing Director	Since 2011
	Steven H. Rich, Managing Director	Since 2012

How to Purchase and Sell Shares

Tax Information

Compensation to Financial Intermediary Firms

MainStay High Yield Corporate Bond Fund

Investment Objective

The Fund seeks maximum current income through investment in a diversified portfolio of high-yield debt securities. Capital appreciation is a secondary objective.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class B		Class C		Class I		Class R1		Class R2
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	4.50	%	4.50	%	None		None		None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None		None		None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.55	%	0.55	%	0.55	%	0.55	%	0.55	%	0.55	%	0.55	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None		None		0.25	%
	Other Expenses	0.23	%	0.20	%	0.23	%	0.23	%	0.20	%	0.32	%	0.30	%
	Total Annual Fund Operating Expenses	1.03	%	1.00	%	1.78	%	1.78	%	0.75	%	0.87	%	1.10	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.60% on assets up to $500 million; 0.55% on assets from $500 million to $5 billion; 0.525% on assets from $5 billion to $7 billion; and 0.50% on assets in excess of $7 billion, plus a fee for fund accounting services previously provided by New York Life Investment Management LLC under a separate fund accounting agreement. This addition to the management fee amounted to 0.01% of the Fund's average daily net assets, but did not result in a net increase in Total Annual Fund Operating Expenses.

Example


Expenses After	Investor	Class A	Class B		Class C		Class I	Class R1	Class R2
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 550	$ 547	$ 181	$ 681	$ 181	$ 281	$ 77	$ 89	$ 112
3 Years	$ 763	$ 754	$ 560	$ 860	$ 560	$ 560	$ 240	$ 278	$ 350
5 Years	$ 993	$ 978	$ 964	$ 1,164	$ 964	$ 964	$ 417	$ 482	$ 606
10 Years	$ 1,653	$ 1,620	$ 1,897	$ 1,897	$ 2,095	$ 2,095	$ 930	$ 1,073	$ 1,340

Portfolio Turnover

MainStay High Yield Corporate Bond Fund

Principal Investment Strategies

Some securities that are rated below investment grade by independent rating agencies are commonly referred to as "junk bonds." These securities are sometimes considered speculative. If independent rating agencies assign different ratings to the same security, the Fund will use the lower rating for purposes of determining the security's credit quality.

The Fund's high-yield investments may also include convertible corporate securities and loan participation interests (e.g., bank debt). The Fund may invest up to 20% of its net assets in common stocks and other equity-related securities.

The Fund may hold cash or invest in short-term instruments during times when the Subadvisor is unable to identify attractive high-yield securities.

In times of unusual or adverse market, economic or political conditions, the Fund may invest without limit in investment grade securities and may invest in U.S. government securities or other high quality money market instruments. Periods of unusual or adverse market, economic or political conditions may exist in some cases, for up to a year. To the extent the Fund is invested in cash, investment grade debt or other high quality instruments, the yield on these investments tends to be lower than the yield on other investments normally purchased by the Fund. Although investing heavily in these investments may help to preserve the Fund's assets, it may not be consistent with the Fund's primary investment objective and may limit the Fund's ability to achieve a high level of income.

Investment Process: The Subadvisor seeks to identify investment opportunities through analyzing individual companies and evaluates each company's competitive position, financial condition, and business prospects. The Fund only invests in companies in which the Subadvisor has judged that there is sufficient asset coverage—that is, the Subadvisor's subjective appraisal of a company's value divided by the value of its debt, with the intent of maximizing default-adjusted income and returns.

The Subadvisor may sell a security if it no longer believes the security will contribute to meeting the investment objectives of the Fund. In considering whether to sell a security, the Subadvisor may evaluate, among other things, meaningful changes in the issuer's financial condition and competitiveness.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Debt Securities Risk: The risks of investing in debt securities include (without limitation): (i) credit risk, i.e., the issuer may not repay the loan created by the issuance of that debt security; (ii) maturity risk, i.e., a debt security with a longer maturity may fluctuate in value more than one with a shorter maturity; (iii) market risk, i.e., low demand for debt securities may negatively impact their price; (iv) interest rate risk, i.e., when interest rates go up, the value of a debt security goes down, and when interest rates go down, the value of a debt security goes up; (v) selection risk, i.e., the securities selected by the Subadvisor may underperform the market or other securities selected by other funds; and (vi) call risk, i.e., during a period of falling interest rates, the issuer may redeem a security by repaying it early, which may reduce the Fund's income if the proceeds are reinvested at lower interest rates.

MainStay High Yield Corporate Bond Fund

Loan Participation Interest Risk: There may not be a readily available market for loan participation interests, which in some cases could result in the Fund disposing of such a security at a substantial discount from face value or holding such a security until maturity. In addition, there is also the credit risk of the underlying corporate borrower as well as the lending institution or other participant from whom the Fund purchased the loan participation interests.

Equity Securities Risk: Investments in common stocks and other equity securities are particularly subject to the risk of changing economic, stock market, industry and company conditions and the risks inherent in the portfolio manager's ability to anticipate such changes that can adversely affect the value of the Fund's holdings. Opportunity for greater gain often comes with greater risk of loss.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class I shares, first offered on January 2, 2004, include the historical performance of Class B shares through January 1, 2004. Class R2 shares were first offered to the public on December 14, 2007, although this class of shares did not commence operations until May 1, 2008. Therefore, performance figures for Class R2 shares include the historical performance of Class B shares through April 30, 2008. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008. Performance figures for Class R1 shares, first offered on June 29, 2012, include the historical performance of Class B shares through June 28, 2012.The performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

MainStay High Yield Corporate Bond Fund

Annual Returns, Class B Shares

(by calendar year 2003-2012)


Best Quarter
2Q/09	16.82	%
Worst Quarter
4Q/08	-17.62	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	7.79	%	6.68	%	9.64	%
Class A	7.92	%	6.75	%	9.68	%
Class B	7.19	%	6.55	%	9.34	%
Class C	11.19	%	6.86	%	9.33	%
Class I	13.27	%	7.97	%	10.47	%
Class R1	13.18	%	7.82	%	10.32	%
Class R2	12.91	%	7.63	%	10.09	%
Return After Taxes on Distributions
Class B	4.77	%	4.03	%	6.79	%
Return After Taxes on Distributions and Sale of Fund Shares
Class B	4.61	%	4.05	%	6.57	%
Credit Suisse High Yield Index (reflects no deductions for fees, expenses, or taxes)	14.71	%	9.53	%	10.25	%

Management

New York Life Investment Management LLC serves as the Fund's Manager. MacKay Shields LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
MacKay Shields LLC	J. Matthew Philo, Senior Managing Director	Since 2000
	Andrew Susser, Managing Director	Since February 2013

How to Purchase and Sell Shares

MainStay High Yield Corporate Bond Fund

investment minimum ($50 for subsequent purchases) applies. Class R1 shares, Class R2 shares and institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

Compensation to Financial Intermediary Firms

MainStay High Yield Opportunities Fund

Investment Objective

The Fund seeks maximum current income through investment in a diversified portfolio of high-yield debt securities. Capital appreciation is a secondary objective.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	4.50	%	4.50	%	None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets)	0.80	%	0.80	%	0.80	%	0.80	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	None
	Other Expenses
	Interest Expense on Securities Sold Short	0.26	%	0.26	%	0.26	%	0.26	%
	Broker Fees and Charges on Short Sales	0.10	%	0.10	%	0.10	%	0.10	%
	Remainder of Other Expenses	0.20	%	0.23	%	0.20	%	0.23	%
	Total Other Expenses	0.56	%	0.59	%	0.56	%	0.59	%
	Total Annual Fund Operating Expenses ²	1.61	%	1.64	%	2.36	%	1.39	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. New York Life Investment Management LLC ("New York Life Investments") has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for Class A shares do not exceed 1.30% of its average daily net assets. New York Life Investments will apply an equivalent waiver or reimbursement, in an equal number of basis points, to the other share classes. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board.

Example

The 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 (except as indicated with respect to Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period
1 Year	$ 606	$ 609	$ 239	$ 339	$ 142
3 Years	$ 935	$ 944	$ 736	$ 736	$ 440
5 Years	$ 1,287	$ 1,302	$ 1,260	$ 1,260	$ 761
10 Years	$ 2,275	$ 2,306	$ 2,696	$ 2,696	$ 1,669

Portfolio Turnover

MainStay High Yield Opportunities Fund

Principal Investment Strategies

The Fund, under normal circumstances, invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in high-yield corporate debt securities, including all types of high-yield domestic and foreign corporate debt securities that are rated below investment grade by an independent rating agency, such as Standard & Poor's ("S&P") or Moody's Investor Service Inc. ("Moody's"), or that are unrated but that are considered by MacKay Shields LLC, the Fund's Subadvisor, to be of comparable quality. Some securities that are rated below investment grade by independent rating agencies are commonly referred to as "junk bonds." If independent rating agencies assign different ratings to the same security, the Fund will use the lower rating to determine the security's credit quality. The Fund will take long positions that the Subadvisor believes offer the potential for attractive returns. For long positions, the Subadvisor seeks to identify issuers that are considered to have a high probability of outperforming the Bank of America Merrill Lynch U.S. High Yield Master II Constrained Index (“Index”).

The Fund may take long and short positions. The Fund's long positions, either direct long positions or through credit default swaps or total return swaps, may total up to 140% of the Fund's net assets. The Fund's short positions, either direct short positions or through credit default swaps or total return swaps, may total up to 40% of the Fund's net assets. The proceeds from the Fund's short positions may be used to purchase all or a portion of the additional long positions. The long and short positions held by the Fund may vary over time as market opportunities develop. The Fund may use credit default swaps or total return swaps to establish long and short bond positions without owning or taking physical custody of securities. The Fund may invest up to 15% of its total assets in swaps.

The Fund may use derivatives such as futures, options, forward currency exchange contracts and swaps arrangements to try to enhance returns or reduce risk of loss by hedging certain of its holdings or manage duration.

Investment Process: In pursuing the Fund's investment strategy, the Subadvisor seeks to identify investment opportunities based on the financial condition and competitiveness of individual companies and bond structure. The Fund's principal investments include, but are not limited to, domestic corporate debt securities; Yankee debt securities, which are dollar-denominated securities of foreign issuers that are traded in the United States; non-dollar corporate debt securities; derivatives (including credit default swaps); and sovereign debt.

The Fund's underlying process for selecting securities is based on a quantitative and qualitative process that first screens securities for what the Subadvisor deems to be indicators of inappropriate risk (such as financial and liquidity risk, political risk and other risks) and discards or "shorts" those securities that the Subadvisor feels are not suitable for long investment. The Subadvisor then seeks to identify issuers with qualities such as: high creditworthiness, improving fundamentals, a positive outlook and good liquidity for the Fund's long positions. In examining these issuers for potential investment, the Subadvisor focuses on quality of management and business plan, industry environment, competitive dynamics, cash flow and liquidity.

The Fund's high-yield investments may also include convertible corporate bonds and loan participation interests (e.g., bank debt).

The Fund may invest up to 20% of its net assets in equity securities, including those of foreign issuers, and may invest up to 25% of its total assets in securities with lower ratings from the independent rating agencies, (i.e., rated lower than B– by S&P and B3 by Moody's, including securities with the lowest rating from these agencies), or if unrated, determined by the Subadvisor to be of comparable quality. If independent rating agencies assign different ratings to the same security, the Fund will use the higher rating to determine the security's credit quality.

In general, the Subadvisor overweights the Fund relative to the Index with securities that it believes are underpriced and will outperform the Index, and underweights or sells securities "short" that it believes are overpriced and will underperform the Index in an attempt to produce returns that exceed those of the Index. The Subadvisor maintains internal restrictions on selling short securities that are held long by other funds or accounts that it manages. Therefore, the Fund's ability to sell short certain securities may be restricted.

Short sales are intended to allow the Fund to earn returns on securities that the Subadvisor believes will underperform the benchmark and also are intended to allow the Fund to maintain additional long positions while keeping the Fund's net exposure to the market at a level similar to a "long only" strategy.

The Fund invests in, among other things, companies with market capitalizations that, at the time of investment, are similar to companies in the Index. The Subadvisor seeks to control the Fund's exposure to risk through, among other things, sector and industry constraints. These constraints may limit the Fund's ability to overweight or underweight particular sectors or industries relative to the Index. The Subadvisor further seeks to reduce risk by diversifying the Fund's portfolio over a large number of securities. The Subadvisor may sell or sell short a security for one or more of the following reasons (among others): credit deterioration; repositioning caused by a change in its "top down" outlook; excessive downward price volatility; or recognition of an alternative investment with relatively better value.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

MainStay High Yield Opportunities Fund

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Debt Securities Risk: The risks of investing in debt securities include (without limitation): (i) credit risk, i.e., the issuer may not repay the loan created by the issuance of that debt security; (ii) maturity risk, i.e., a debt security with a longer maturity may fluctuate in value more than one with a shorter maturity; (iii) market risk, i.e., low demand for debt securities may negatively impact their price; (iv) interest rate risk, i.e., when interest rates go up, the value of a debt security goes down, and when interest rates go down, the value of a debt security goes up; (v) selection risk, i.e., the securities selected by the Subadvisor may underperform the market or other securities selected by other funds; and (vi) call risk, i.e., during a period of falling interest rates, the issuer may redeem a security by repaying it early, which may reduce the Fund's income if the proceeds are reinvested at lower interest rates.

Regulatory authorities in the U.S. or other countries may prohibit or restrict the ability of the Fund to fully implement its short-selling strategy, either generally or with respect to certain industries or countries, which may impact the Fund's ability to fully implement its investment strategies.

Derivatives Risk: Derivatives are investments whose value depends on (or is derived from) the value of an underlying instrument, such as a security, asset, reference rate or index. Derivative strategies often involve leverage, which may exaggerate a loss, potentially causing the Fund to lose more money than it would have lost had it invested in the underlying instrument. Derivatives may be difficult to sell, unwind or value. Derivatives may also be subject to counterparty risk, which is the risk that the counterparty (the party on the other side of the transaction) on a derivative transaction will be unable to honor its contractual obligations to the Fund. Swap transactions tend to shift the Fund's investment exposure from one type of investment to another, and therefore entail the risk that a party will default on its payment obligations to the Fund. Forward commitments entail the risk that the instrument may be worth less when it is issued or received than the price the Fund agreed to pay when it made the commitment. The use of foreign currency forwards may result in currency exchange losses due to fluctuations in currency exchange rates or an imperfect correlation between portfolio holdings denominated in a particular currency and the forward contracts entered into by the Fund. Due to fluctuations in the price of the underlying security, the Fund may not be able to profitably exercise an option and may lose its entire investment in an option. Futures may be more volatile than direct investments in the instrument underlying the futures, and may not correlate perfectly to the underlying instrument. Futures also may involve a small initial investment relative to the risk assumed, which could result in losses greater than if they had not been used.

MainStay High Yield Opportunities Fund

Fund Counterparty Risk: On September 15, 2008, one of the Fund's trading counterparties, Lehman Brothers International (Europe) ("LBIE"), was placed in insolvency administration under the U.K. Insolvency Act. As a result, the Fund has been unable to close out open short positions with LBIE and has been unable to sell or substitute out the securities that were pledged as collateral for these open short positions. While this has not impacted the Fund's ability to implement its investment strategy to date, until these securities are made available, there may be an impact on the Fund's ability to fully implement its investment strategy. The Fund has pursued and will continue to pursue efforts to return the borrowed securities and secure the release of collateral. To date, these efforts have not been successful and the Fund cannot assure that these efforts will be successful in the future.

In order to mitigate any potential negative impact on the Fund and its shareholders which may result from a final judicial determination that the Fund is not entitled to the unfettered use and ownership of the collateral, the Fund and New York Life Insurance Company ("New York Life"), an affiliate of the Fund's Manager, have entered into an agreement with respect to the collateral. Pursuant to that agreement, at the conclusion of the bankruptcy process, should the Fund be entitled to obtain less than 100 percent of the then current market value of the collateral, New York Life will contribute to the Fund the difference between the value of the assets ultimately returned to the Fund and the then current market value of the collateral.

As of December 31, 2012, the Fund had pledged approximately 4.27% of its net assets as collateral for short sale transactions executed with LBIE. These assets are held in an account with the Fund's custodian, State Street Bank and Trust Company, for the benefit of LBIE. To the extent that the Fund determines that these assets are illiquid, either due to the operational restraints discussed above or for any other reason, the Fund will not purchase additional illiquid securities if at the time of purchase the value of all portfolio assets deemed illiquid represents more than 15% of the Fund's net assets. However, the Fund may obtain illiquid securities as a result of a corporate action on an existing security held by the Fund, if the Fund's portfolio managers believe that holding such illiquid security is in the best interest of the Fund and its shareholders. The Fund may change any such determination at any time without notice to shareholders.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. The Fund commenced operations on December 14, 2007. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008, adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer class would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

MainStay High Yield Opportunities Fund

Annual Returns, Class I Shares

(by calendar year 2008-2012)


Best Quarter
2Q/09	20.52	%
Worst Quarter
4Q/08	-10.81	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		Life of Fund
Return Before Taxes
Investor Class	13.71	%	10.97	%	10.73	%
Class A	13.70	%	11.04	%	10.79	%
Class C	17.29	%	11.17	%	10.92	%
Class I	19.31	%	12.33	%	12.07	%
Return After Taxes on Distributions
Class I	16.69	%	9.52	%	9.28	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	12.56	%	8.96	%	8.75	%
Bank of America Merrill Lynch U.S. High Yield Master II Constrained Index (reflects no deductions for fees, expenses, or taxes)	15.55	%	10.14	%	10.07	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. MacKay Shields LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
MacKay Shields LLC	Dan Roberts, Senior Managing Director	Since 2007
	Louis N. Cohen, Managing Director	Since 2007
	Michael Kimble, Managing Director	Since 2007
	Taylor Wagenseil, Managing Director	Since 2007

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $1,000 applies if you invest in Investor Class and Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class and Class C shares. However, for Investor Class and Class C shares purchased through AutoInvest, a monthly systematic investment plan, a $500 initial investment minimum ($50 for subsequent purchases) applies. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

MainStay High Yield Opportunities Fund

Tax Information

Compensation to Financial Intermediary Firms

MainStay Indexed Bond Fund

Investment Objective

The Fund seeks investment results that correspond to the total return performance of fixed-income securities in the aggregate, as represented by the Fund's primary benchmark index.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	3.00	%	3.00	%	None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.25	%	0.25	%	0.25	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	None
	Other Expenses	0.44	%	0.22	%	0.22	%
	Total Annual Fund Operating Expenses ³	0.94	%	0.72	%	0.47	%
	Waivers / Reimbursements ³	(0.02	)%	0.00	%	(0.04	)%
	Total Annual Fund Operating Expenses After Waivers / Reimbursements ³	0.92	%	0.72	%	0.43	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.25% on assets up to $1 billion; and 0.20% on assets in excess of $1 billion.

3. New York Life Investment Management LLC ("New York Life Investments") has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) do not exceed the following percentages of average daily net assets: Investor Class, 0.92%; Class A, 0.82%; and Class I, 0.43%. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example


Expenses After	Investor	Class A	Class I
	Class
1 Year	$ 391	$ 371	$ 44
3 Years	$ 589	$ 523	$ 147
5 Years	$ 803	$ 689	$ 259
10 Years	$ 1,418	$ 1,168	$ 588

Portfolio Turnover

Principal Investment Strategies

The Fund, under normal circumstances, invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in fixed-income securities that New York Life Investments, the Fund's Manager, believes will replicate the performance of the Barclays U.S. Aggregate Bond Index. The Barclays U.S. Aggregate Bond Index covers the U.S. investment grade fixed rate bond market, with components for government and corporate

MainStay Indexed Bond Fund

securities, mortgage pass-through securities, asset-backed securities and commercial mortgage-backed securities. Index funds, such as the Fund, seek to match the return on their respective indices gross of fees, unlike other actively managed funds which generally seek to beat an index or indices. No attempt is made to manage the Fund in an active manner by using economic, financial or market analysis.

The Fund may invest in U.S. dollar-denominated foreign securities that are issued by companies organized outside the U.S. The Fund may also invest in variable rate notes, floaters and mortgage-related and asset-backed securities.

The Fund may invest in mortgage dollar rolls, which are transactions in which the Fund sells securities from its portfolio to a counterparty from whom it simultaneously agrees to buy a similar security on a delayed delivery basis.

The Fund may invest up to 20% of its total assets in options and futures contracts to maintain cash reserves while being fully invested, to facilitate trading or to reduce transaction costs. The Fund may invest in such derivatives to try to enhance returns or reduce the risk of loss by hedging certain of its holdings.

Investment Process: The Manager employs an analytical approach to tracking the securities that comprise the Barclays U.S. Aggregate Bond Index. Using this method, the Fund invests in fixed-income securities which, in the aggregate, are expected to approximate the performance of the Barclays U.S. Aggregate Bond Index. Changes in the characteristics or the composition of the Barclays U.S. Aggregate Bond Index may, from time to time, warrant adjustments to the Fund's portfolio. The correlation between the investment performance of the Fund and the Barclays U.S. Aggregate Bond Index is expected to be at least 0.95, on an annual basis, before fees and expenses. A correlation of 1.00 would indicate perfect correlation, which would be achieved when the net asset value of the Fund, including the value of its dividend and capital gains distributions, increases or decreases in exact proportion to changes in the Barclays U.S. Aggregate Bond Index.

The average life of the securities in the Fund's portfolio will approximate that of securities in the Barclays U.S. Aggregate Bond Index, which will vary from time to time.

The Manager may sell a security if it no longer believes the security will contribute to meeting the investment objective of the Fund.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Manager may not produce the desired results.

Index Strategy Risk: The Fund employs an index strategy that invests in fixed-income securities which, in the aggregate, are expected to approximate the performance of the Barclays U.S. Aggregate Bond Index regardless of market trends. Therefore, the adverse performance of a particular security ordinarily will not result in the elimination of the security from the Fund's portfolio. Also, the Fund's fees and expenses will reduce the Fund's returns, unlike those of the index.

There is no assurance that the investment performance of the Fund will equal or exceed that of the Barclays U.S. Aggregate Bond Index. If the value of the Barclays U.S. Aggregate Bond Index declines, the net asset value of shares of the Fund are also likely to decline. The Fund's ability to track the Barclays U.S. Aggregate Bond Index may be affected by, among other things, transaction costs; changes in either the composition of the Barclays U.S. Aggregate Bond Index or the number of bonds outstanding for the components of the Barclays U.S. Aggregate Bond Index; and timing and amount of purchases and redemptions of the Fund's shares.

MainStay Indexed Bond Fund

Mortgage-Backed/Asset-Backed Securities Risk: Prepayment risk is associated with mortgage-backed and asset-backed securities. If interest rates fall, the underlying debt may be repaid ahead of schedule, reducing the value of the Fund's investments. If interest rates rise, there may be fewer prepayments, which would cause the average bond maturity to rise, increasing the potential for the Fund to lose money. The value of these securities may be significantly affected by changes in interest rates, the market's perception of issuers, and the creditworthiness of the parties involved. These securities may have a structure that makes their reaction to interest rate changes and other factors difficult to predict, making their value highly volatile.

Past Performance

Annual Returns, Class I Shares

(by calendar year 2003-2012)


Best Quarter
4Q/08	5.94	%
Worst Quarter
2Q/04	-2.54	%

MainStay Indexed Bond Fund

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	0.22	%	4.75	%	4.20	%
Class A	0.25	%	4.85	%	4.25	%
Class I	3.84	%	5.91	%	4.94	%
Return After Taxes on Distributions
Class I	2.60	%	4.32	%	3.40	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	2.76	%	4.20	%	3.35	%
Barclays U.S. Aggregate Bond Index (reflects no deductions for fees, expenses, or taxes)	4.22	%	5.95	%	5.18	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund’s Manager and is responsible for the day-to-day portfolio management of the Fund.


Manager	Portfolio Managers	Service Date
New York Life Investment Management LLC	Donald F. Serek, Managing Director	Since 2004
	Thomas J. Girard, Senior Managing Director	Since 2007
	George S. Cherpelis, Senior Director	Since 2012

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $1,000 applies if you invest in Investor Class shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class shares. However, for Investor Class shares purchased through AutoInvest, a monthly systematic investment plan, a $500 initial investment minimum ($50 for subsequent purchases) applies. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

Compensation to Financial Intermediary Firms

MainStay Intermediate Term Bond Fund

Investment Objective

The Fund seeks total return.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class B		Class C		Class I		Class R1		Class R2
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	4.50	%	4.50	%	None		None		None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None		None		None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.59	%	0.59	%	0.59	%	0.59	%	0.59	%	0.59	%	0.59	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None		None		0.25	%
	Other Expenses	0.25	%	0.14	%	0.25	%	0.25	%	0.14	%	0.23	%	0.23	%
	Total Annual Fund Operating Expenses ^2,3	1.09	%	0.98	%	1.84	%	1.84	%	0.73	%	0.82	%	1.07	%
	Waivers / Reimbursements ^2,3	(0.09	)%	(0.09	)%	(0.09	)%	(0.09	)%	(0.13	)%	(0.09	)%	(0.09	)%
	Total Annual Fund Operating Expenses After Waivers / Reimbursements ^2,3	1.00	%	0.89	%	1.75	%	1.75	%	0.60	%	0.73	%	0.98	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. New York Life Investment Management LLC ("New York Life Investments") has contractually agreed to waive a portion of its management fee so that the management fee does not exceed 0.50% on assets up to $1 billion; and 0.475% on assets in excess of $1 billion. This agreement may only be amended or terminated prior to that date by action of the Board of Trustees of the Fund. Without this waiver, the management fee would be 0.60% on assets up to $500 million; 0.575% on assets from $500 million up to $1 billion; and 0.55% on assets in excess of $1 billion.

3. New York Life Investments has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for the Fund’s Class I shares do not exceed 0.60% of its average daily net assets. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example


Expenses After	Investor	Class A	Class B		Class C		Class I	Class R1	Class R2
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 547	$ 537	$ 178	$ 678	$ 178	$ 278	$ 61	$ 75	$ 100
3 Years	$ 772	$ 740	$ 570	$ 870	$ 570	$ 570	$ 220	$ 253	$ 331
5 Years	$ 1,015	$ 959	$ 987	$ 1,187	$ 987	$ 987	$ 393	$ 446	$ 581
10 Years	$ 1,711	$ 1,589	$ 1,955	$ 1,955	$ 2,151	$ 2,151	$ 894	$ 1,005	$ 1,298

Portfolio Turnover

MainStay Intermediate Term Bond Fund

reflected in 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 65% of the average value of its portfolio.

Principal Investment Strategies

The Fund, under normal circumstances, invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in bonds, which include all types of debt securities, such as: debt or debt-related securities issued or guaranteed by the U.S. or foreign governments, their agencies or instrumentalities; obligations of international or supranational entities; debt securities issued by U.S. or foreign corporate entities; zero coupon bonds; municipal bonds; mortgage-related and other asset-backed securities; and loan participation interests. The effective maturity of this portion of the Fund's portfolio will usually be in the intermediate range (three to ten years), although it may vary depending on market conditions, as determined by MacKay Shields LLC, the Fund's Subadvisor. Effective maturity is a measure of a debt security's maturity which takes into consideration the possibility that the issuer may call the debt security before its maturity date.

At least 65% percent of the Fund's total assets will be invested in investment grade debt securities, as rated by an independent rating agency, such as rated BBB- or better by Standard & Poor's ("S&P") or Baa3 or better by Moody's Investor Service, Inc. ("Moody's") when purchased, or if unrated, determined by the Subadvisor to be of comparable quality. The Fund may also invest up to 20% of its total assets in securities rated below investment grade by an independent rating agency or, if not rated, determined to be of equivalent quality by the Subadvisor. Some securities that are rated below investment grade by independent rating agencies are commonly referred to as "junk bonds." If independent rating agencies assign different ratings for the same security, the Fund will use the higher rating for purposes of determining the credit quality. The Fund may invest in mortgage dollar rolls, to-be-announced ("TBA") securities transactions, variable rate notes and floaters.

The Fund may invest up to 20% of its total assets in securities denominated in foreign currencies. To the extent possible, the Fund will attempt to protect these investments against risks stemming from differences in foreign exchange rates.

The Fund may also invest in derivatives such as futures, options and swap agreements to try to enhance returns or reduce the risk of loss by hedging certain of its holdings. Commercial paper must be, when purchased, rated in the highest rating category by an independent rating agency, such as A-1 by S&P or Prime-1 by Moody's, or if unrated, determined by the Subadvisor to be of comparable quality. The Fund's principal investments may have fixed or floating rates of interest.

Investment Process: In pursuing the Fund's investment strategy, the Subadvisor conducts a continuing review of yields and other information derived from a database which it maintains in managing fixed-income portfolios.

Fundamental economic cycle analysis, credit quality and interest rate trends are the principal factors considered by the Subadvisor in determining whether to increase or decrease the emphasis placed upon a particular type of security or industry sector within the Fund's investment portfolio. Maturity shifts are based on a set of investment decisions that take into account a broad range of fundamental and technical indicators.

The Subadvisor may sell a security if it no longer believes that the security will contribute to meeting the investment objective of the Fund. In considering whether to sell a security, the Subadvisor may evaluate, among other things, the condition of the economy, meaningful changes in the issuer's financial condition, and changes in the condition and outlook in the issuer's industry.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Debt Securities Risk: The risks of investing in debt securities include (without limitation): (i) credit risk, i.e., the issuer may not repay the loan created by the issuance of that debt security; (ii) maturity risk, i.e., a debt security with a longer maturity may fluctuate in value more than one with a shorter maturity; (iii) market risk, i.e., low demand for debt securities may negatively impact their price; (iv) interest rate risk, i.e., when interest rates go up, the value of a debt security goes down, and when interest rates go down, the value of a debt security goes up; (v) selection risk, i.e., the securities selected by the Subadvisor may underperform the market or other securities selected by other funds; and (vi) call risk, i.e., during a period of falling interest rates, the issuer may redeem a security by repaying it early, which may reduce the Fund's income if the proceeds are reinvested at lower interest rates.

MainStay Intermediate Term Bond Fund

circumstances, be less liquid than higher rated securities. These securities pay investors a premium (a high interest rate or yield) because of the increased risk of loss. These securities can also be subject to greater price volatility. In times of unusual or adverse market, economic or political conditions, these securities may experience higher than normal default rates.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class A, B and C shares, first offered on January 2, 2004, include the historical performance of Class I shares through January 1, 2004. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008. Performance figures for Class R1 and Class R2 shares, first offered on June 29, 2012, include the historical performance of Class I shares through June 28, 2012. The performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

MainStay Intermediate Term Bond Fund

Annual Returns, Class I Shares

(by calendar year 2003-2012)


Best Quarter
3Q/09	4.40	%
Worst Quarter
2Q/04	-2.57	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	2.88	%	5.75	%	4.74	%
Class A	2.94	%	5.87	%	4.80	%
Class B	1.87	%	5.60	%	4.45	%
Class C	5.86	%	5.91	%	4.46	%
Class I	8.08	%	7.20	%	5.65	%
Class R1	7.96	%	7.09	%	5.54	%
Class R2	7.70	%	6.83	%	5.28	%
Return After Taxes on Distributions
Class I	6.65	%	5.56	%	4.09	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	5.23	%	5.23	%	3.93	%
Barclays U.S. Aggregate Bond Index (reflects no deductions for fees, expenses, or taxes)	4.22	%	5.95	%	5.18	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. MacKay Shields LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
MacKay Shields LLC	Dan Roberts, Senior Managing Director	Since 2011
	Louis N. Cohen, Managing Director	Since 2011

How to Purchase and Sell Shares

MainStay Intermediate Term Bond Fund

investment minimum ($50 for subsequent purchases) applies. Class R1 shares, Class R2 shares and institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

Compensation to Financial Intermediary Firms

MainStay Short Duration High Yield Fund

Investment Objective

The Fund seeks high current income. Capital appreciation is a secondary objective.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


	Investor Class		Class A		Class C		Class I		Class R2
Shareholder Fees (fees paid directly from your investment)
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	3.00	%	3.00	%	None		None		None
Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	1.00	%	None		None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
Management Fees (as an annual percentage of the Fund's average daily net assets)	0.65	%	0.65	%	0.65	%	0.65	%	0.65	%
Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	None		0.25	%
Other Expenses ²	0.53	%	0.48	%	0.53	%	0.48	%	0.58	%
Total Annual Fund Operating Expenses ³	1.43	%	1.38	%	2.18	%	1.13	%	1.48	%
Waivers / Reimbursements ³	(0.33)	%	(0.33)	%	(0.33)	%	(0.33)	%	(0.33)	%
Total Annual Fund Operating Expenses After Waivers / Reimbursements ³	1.10	%	1.05	%	1.85	%	0.80	%	1.15	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within 18 months of the date of purchase on shares that were purchased without an initial sales charge.

2. "Other Expenses" are based on estimated amounts for the current fiscal year.

3. New York Life Investment Management LLC ("New York Life Investments") has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for Class A shares do not exceed 1.05% of its average daily net assets. New York Life Investments will apply an equivalent waiver or reimbursement, in an equal number of basis points, to the other share classes. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example

The 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 (except as indicated with respect to Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor			Class A			Class C						Class I			Class R2
	Class						Assuming no redemption			Assuming redemption at end of period
1 Year	$	409	$		404	$		188	$		288	$		82	$		117
3 Years	$	707	$		692	$		650	$		650	$		326	$		436
5 Years	$	1,028	$		1,002	$		1,139	$		1,139	$		590	$		777
10 Years	$	1,934	$		1,880	$		2,488	$		2,488	$		1,345	$		1,740

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 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 annual fund operating expenses or in the Example, affect the Fund's performance. Because the Fund has been in operation for less than one full calendar year, the Fund’s portfolio turnover rate for the most recent fiscal year is not available.

Principal Investment Strategies

The Fund, under normal circumstances, invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in high-yield debt securities that are rated below investment grade by an independent rating agency, such as Standard & Poor's or Moody's Investors Service,

MainStay Short Duration High Yield Fund

Inc., or that are unrated but are considered to be of comparable quality by MacKay Shields LLC, the Fund's Subadvisor. Debt securities in which the Fund may invest include all types of debt obligations such as bonds, debentures, notes, bank debt, bank loan participations, commercial paper, floating rate loans, U.S. Government securities (including obligations, such as repurchase agreements, secured by such instruments), and convertible corporate bonds. The Fund will generally seek to maintain a weighted average duration of three years or less, although the Fund may invest in instruments of any duration or maturity. Duration is a measure used to determine the sensitivity of a security’s price to changes in interest rates. The longer a security’s duration, the more sensitive it will be to changes in interest rates.

Securities that are rated below investment grade by independent rating agencies are commonly referred to as "junk bonds." These securities are sometimes considered speculative. If independent rating agencies assign different ratings to the same security, the Fund will use the lower rating for purposes of determining the security's credit quality.

The Fund may invest up to 20% of its net assets in equity securities, including preferred shares. The Fund also may invest in securities of non-U.S. issuers. The Fund may hold cash or invest in investment grade short-term instruments during times when the Subadvisor is unable to identify attractive high-yield securities.

Investment Process: The Subadvisor seeks to identify investment opportunities through analyzing individual companies and evaluates each company's competitive position, financial condition, and business prospects. The Fund seeks to minimize interest rate risk through its emphasis on duration management and investments in securities with short and intermediate maturities. The Fund only invests in companies in which the Subadvisor has judged that there is sufficient asset coverage—that is, the Subadvisor's subjective appraisal of a company's value divided by the value of its debt, with the intent of maximizing default-adjusted income and returns.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Net Asset Value Risk: The Fund is not a money market fund, does not attempt to maintain a stable net asset value, and is not subject to the rules that govern the quality, maturity, liquidity and other features of securities that money market funds may purchase. Under normal conditions, the Fund’s investment may be more susceptible than a money market fund to interest rate risk, valuation risk, credit risk and other risks relevant to the Fund’s investments. The Fund’s net asset value per share will fluctuate.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Yield Risk: There can be no guarantee that the Fund will achieve or maintain any particular level of yield.

Debt Securities Risk: The risks of investing in debt securities include (without limitation): (i) credit risk, i.e., the issuer may not repay the loan created by the issuance of that debt security; (ii) maturity risk, i.e., a debt security with a longer maturity may fluctuate in value more than one with a shorter maturity; (iii) market risk, i.e., low demand for debt securities may negatively impact their price; (iv) interest rate risk, i.e., when interest rates go up, the value of a debt security goes down, and when interest rates go down, the value of a debt security goes up; (v) selection risk, i.e., the securities selected by the Subadvisor may underperform the market or other securities selected by other funds; and (vi) call risk, i.e., during a

MainStay Short Duration High Yield Fund

period of falling interest rates, the issuer may redeem a security by repaying it early, which may reduce the Fund's income if the proceeds are reinvested at lower interest rates.

Distressed Securities Risk: Investments in distressed securities are subject to substantial risks in addition to the risks of investing in other types of high-yield securities. Distressed securities are speculative and involve substantial risk that principal will not be repaid. Generally, the Fund will not receive interest payments on such securities and may incur costs to protect its investment. In addition, the Fund's ability to sell distressed securities and any securities received in exchange for such securities may be restricted.

Equity Securities Risk: Investments in common stocks and other equity securities are particularly subject to the risk of changing economic, stock market, industry and company conditions and the risks inherent in the portfolio manager's ability to anticipate such changes that can adversely affect the value of the Fund's holdings. Opportunity for greater gain often comes with greater risk of loss.

Past Performance

Since the Fund does not have a full calendar year of performance as of the date of this Prospectus, no calendar year performance information is available.

Management

New York Life Investment Management LLC serves as the Fund's Manager. MacKay Shields LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
MacKay Shields LLC	J. Matthew Philo, Senior Managing Director	Since 2012
	Andrew Susser, Managing Director	Since 2012

How to Purchase and Sell Shares

MainStay Short Duration High Yield Fund

through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class and Class C shares. Class R2 shares and institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

Compensation to Financial Intermediary Firms

MainStay Short Term Bond Fund

Investment Objective

The Fund seeks total return.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	3.00	%	3.00	%	None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.60	%	0.60	%	0.60	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	None
	Other Expenses	0.59	%	0.25	%	0.25	%
	Total Annual Fund Operating Expenses ^2,3	1.44	%	1.10	%	0.85	%
	Waivers / Reimbursements ^2,3	(0.24	)%	(0.24	)%	(0.24	)%
	Total Annual Fund Operating Expenses After Waivers / Reimbursements ^2,3	1.20	%	0.86	%	0.61	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is an annual percentage of the Fund’s average daily net assets. New York Life Investment Management LLC (“New York Life Investments”) has contractually agreed to waive a portion of its management fee so that the management fee does not exceed 0.50% on assets up to $500 million; and 0.475% on assets in excess of $500 million. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund. Without this waiver, the management fee would be 0.60% on assets up to $500 million; and 0.575% on assets in excess of $500 million.

3. New York Life Investments has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for Class A shares do not exceed 0.86% of its average daily net assets. New York Life Investments will apply an equivalent waiver or reimbursement, in an equal number of basis points, to the other share classes. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example


Expenses After	Investor	Class A	Class I
	Class
1 Year	$ 419	$ 385	$ 62
3 Years	$ 719	$ 616	$ 247
5 Years	$ 1,041	$ 865	$ 448
10 Years	$ 1,952	$ 1,579	$ 1,027

Portfolio Turnover

MainStay Short Term Bond Fund

Principal Investment Strategies

The Fund, under normal circumstances, invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in an actively managed, diversified portfolio of debt securities, including securities with special features (e.g., puts and variable or floating rates) which have price volatility characteristics similar to debt securities. The Fund invests in investment grade securities as rated by an independent rating agency, such as rated BBB- or better by Standard & Poor's ("S&P") or Baa3 or better by Moody's Investor Service, Inc. ("Moody's") at the time of purchase, or if unrated, determined to be of comparable quality by MacKay Shields LLC, the Fund's Subadvisor; and invests in corporate commercial paper only if rated in the highest rating category by an independent rating agency, such as A-1 by S&P or Prime-1 by Moody's at the time of purchase, or if unrated, determined by the Subadvisor to be of comparable quality. If independent rating agencies assign different ratings for the same security, the Fund will use the higher rating for purposes of determining the credit quality.

The Fund's principal investments may have fixed, variable or floating interest rates and include: obligations issued or guaranteed by the U.S. government, its agencies or instrumentalities; mortgage-related and asset-backed securities; certificates of deposit, time deposits and bankers' acceptances issued by U.S. banks or savings and loan associations; and debt securities issued by U.S. and foreign corporate entities, foreign governments and agencies, and supranational organizations. Normally, the Fund will have a dollar-weighted average maturity of three years or less.

The Subadvisor may invest in mortgage dollar rolls and to-be-announced ("TBA") securities transactions. The Fund may also invest in derivatives such as futures and options to try to enhance returns or reduce the risk of loss by hedging certain of its holdings.

Investment Process: The Subadvisor conducts a continuing review of yields and other information derived from databases which it maintains in managing fixed-income portfolios and in doing so utilizes fundamental economic cycle analysis and considers credit quality and interest rate trends.

The Subadvisor may sell a security if it no longer believes that the security will contribute to meeting the investment objective of the Fund, which may be determined by an evaluation of economic conditions, the issuer's financial condition, and industry conditions and outlooks.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Debt Securities Risk: The risks of investing in debt securities include (without limitation): (i) credit risk, i.e., the issuer may not repay the loan created by the issuance of that debt security; (ii) maturity risk, i.e., a debt security with a longer maturity may fluctuate in value more than one with a shorter maturity; (iii) market risk, i.e., low demand for debt securities may negatively impact their price; (iv) interest rate risk, i.e., when interest rates go up, the value of a debt security goes down, and when interest rates go down, the value of a debt security goes up; (v) selection risk, i.e., the securities selected by the Subadvisor may underperform the market or other securities selected by other funds; and (vi) call risk, i.e., during a period of falling interest rates, the issuer may redeem a security by repaying it early, which may reduce the Fund's income if the proceeds are reinvested at lower interest rates.

MainStay Short Term Bond Fund

involved. The ability of the Fund to successfully utilize these instruments may depend on the ability of the Subadvisor to forecast interest rates and other economic factors correctly. These securities may have a structure that makes their reaction to interest rate changes and other factors difficult to predict, making their value highly volatile.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class A shares, first offered on January 2, 2004, include the historical performance of Class I shares through January 1, 2004. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008. Unadjusted, the performance shown for the newer classes would likely have been different. Performance for newer share classes is adjusted for differences in fees and expenses. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class I Shares

(by calendar year 2003-2012)


Best Quarter
4Q/08	4.04	%
Worst Quarter
2Q/04	-1.32	%

MainStay Short Term Bond Fund

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	-2.00	%	1.60	%	2.06	%
Class A	-1.78	%	1.90	%	2.21	%
Class I	1.51	%	2.79	%	2.83	%
Return After Taxes on Distributions
Class I	1.10	%	2.10	%	1.95	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	1.06	%	2.00	%	1.91	%
Barclays U.S. 1-3 Year Government/Credit Index (reflects no deductions for fees, expenses, or taxes)	1.26	%	2.88	%	3.13	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. MacKay Shields LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
MacKay Shields LLC	Dan Roberts, Senior Managing Director	Since 2011
	Louis N. Cohen, Managing Director	Since 2011
	Claude Athaide, Director	Since 2000

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $1,000 applies if you invest in Investor Class shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class shares. However, for Investor Class shares purchased through AutoInvest, a monthly systematic investment plan, a $500 initial investment minimum ($50 for subsequent purchases) applies. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

Compensation to Financial Intermediary Firms

MainStay Unconstrained Bond Fund

(formerly known as MainStay Flexible Bond Opportunities Fund)

Investment Objective

The Fund seeks total return by investing primarily in domestic and foreign debt securities.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class B		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	4.50	%	4.50	%	None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.62	%	0.62	%	0.62	%	0.62	%	0.62	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None
	Other Expenses
	Interest Expense on Securities Sold Short	0.18	%	0.18	%	0.18	%	0.18	%	0.18	%
	Broker Fees and Charges on Short Sales	0.15	%	0.15	%	0.15	%	0.15	%	0.14	%
	Remainder of Other Expenses	0.32	%	0.13	%	0.32	%	0.32	%	0.14	%
	Total Other Expenses	0.65	%	0.46	%	0.65	%	0.65	%	0.46	%
	Total Annual Fund Operating Expense	1.52	%	1.33	%	2.27	%	2.27	%	1.08	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.60% on assets up to $500 million; 0.55% on assets from $500 million up to $1 billion; and 0.50% on assets in excess of $1 billion, plus a fee for fund accounting services previously provided by New York Life Investment Management LLC under a separate fund accounting agreement. This addition to the management fee amounted to 0.02% of the Fund's average daily net assets, but did not result in a net increase in Total Annual Fund Operating Expenses.

Example


Expenses After	Investor	Class A	Class B		Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 598	$ 579	$ 230	$ 730	$ 230	$ 330	$ 110
3 Years	$ 909	$ 852	$ 709	$ 1,009	$ 709	$ 709	$ 343
5 Years	$ 1,242	$ 1,146	$ 1,215	$ 1,415	$ 1,215	$ 1,215	$ 595
10 Years	$ 2,181	$ 1,979	$ 2,417	$ 2,417	$ 2,605	$ 2,605	$ 1,317

Portfolio Turnover

MainStay Unconstrained Bond Fund

Principal Investment Strategies

The Fund seeks to achieve its investment objective through a flexible investment process that allocates investments across the global fixed-income markets. The Fund, under normal circumstances, invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in a diversified portfolio of debt or debt-related securities such as: debt or debt-related securities issued or guaranteed by the U.S. or foreign governments, their agencies or instrumentalities; obligations of international or supranational entities; debt or debt-related securities issued by U.S. or foreign corporate entities; zero coupon bonds; municipal bonds; mortgage-related and other asset-backed securities; loan participation interests; convertible bonds; and variable or floating rate debt securities. The Fund may invest in both investment grade and non-investment grade fixed-income securities. The securities may be denominated in U.S. or foreign currencies, and may have fixed, variable, floating or inverse floating rates of interest. The Fund may invest without limitation in securities of foreign issuers, including emerging markets. The currency exposure of non-U.S. investments may or may not be hedged. The Fund may invest up to 15% of its net assets in equity securities.

The Fund intends to utilize various investment strategies in a broad array of fixed-income sectors to achieve its investment objective. The Fund will not be constrained by portfolio management relative to an index. Because an unconstrained bond portfolio does not track a fixed-income index, its performance may vary at times and demonstrate low correlation to traditional fixed-income indices. In pursuing its investment objective, the Fund’s investment strategy is subject to market risk and shares may gain or lose value.

The average portfolio duration of the Fund will normally vary from 0 to 7 years. Duration is a measure used to determine the sensitivity of a security’s price to changes in interest rates. The longer a security’s duration, the more sensitive it will be to changes in interest rates.

The Fund may invest in derivatives, such as futures, options, forward commitments and swap agreements to try to enhance returns or reduce the risk of loss by hedging certain of its holdings or manage duration. The Fund may invest up to 15% of its total assets in swaps.

The Fund may purchase or sell securities on a when-issued, delayed delivery or forward commitment basis and may engage in short sales. The Fund's short positions, either direct short positions or through derivative transactions, such as credit default swaps or total return swaps, may aggregate up to 20% of the Fund’s net assets. The Fund may, without limitation, seek to obtain market exposure to the securities in which it primarily invests by entering into a series of purchase and sale contracts or by using other investment techniques (such as buy backs or dollar rolls).

Investment Process: MacKay Shields LLC, the Fund’s Subadvisor, seeks to identify investment opportunities through an investment process focused on macroeconomic analysis and bottom-up security selection. The Subadvisor allocates the Fund's investments among the various bond market sectors based on current and projected economic and market conditions. The Fund may invest across bond market sectors, geographies and credit qualities.

The Subadvisor may sell a security if it no longer believes the security will contribute to meeting the investment objective of the Fund. In considering whether to sell a security, the Subadvisor may evaluate, among other things, the condition of the domestic and foreign economies, and meaningful changes in the issuer's financial condition, including changes in the issuer's credit risk and competitiveness.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Debt Securities Risk: The risks of investing in debt securities include (without limitation): (i) credit risk, i.e., the issuer may not repay the loan created by the issuance of that debt security; (ii) maturity risk, i.e., a debt security with a longer maturity may fluctuate in value more than one with a shorter maturity; (iii) market risk, i.e., low demand for debt securities may negatively impact their price; (iv) interest rate risk, i.e., when interest rates go up, the value of a debt security goes down, and when interest rates go down, the value of a debt security goes up; (v) selection risk, i.e., the securities selected by the Subadvisor may underperform the market or other securities selected by other funds; and (vi) call risk, i.e., during a period of falling interest rates, the issuer may redeem a security by repaying it early, which may reduce the Fund's income if the proceeds are reinvested at lower interest rates.

MainStay Unconstrained Bond Fund

to limited availability of desired securities or for other reasons. The Fund also may be required to pay a premium and other transaction costs, which would increase the cost of the security sold short. The amount of any gain will be decreased, and the amount of any loss increased, by the amount of the premium, dividends, interest or expenses the Fund may be required to pay in connection with the short sale.

MainStay Unconstrained Bond Fund

Past Performance

The following bar chart and tables indicate some of the risks of investing in the Fund. The bar chart shows you how the Fund's calendar year performance has varied over the last ten years. Sales loads are not reflected in the bar chart. If they were, returns would be less than those shown. The average annual total returns table shows how the Fund's average annual total returns (before and after taxes) for the one-, five- and ten-year periods compare to those of a broad-based securities market index as well as two additional benchmarks. The Fund has selected the Barclays U.S. Aggregate Bond Index as its primary benchmark. The Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities. The Fund has selected the Bank of America Merrill Lynch U.S. Dollar 3-Month LIBOR Constant Maturity Index as a secondary benchmark. The Bank of America Merrill Lynch U.S. Dollar 3-Month LIBOR Constant Maturity Index represents the London InterBank Offered Rate ("LIBOR") with a constant 3-month average maturity. LIBOR is a composite of interest rates at which banks borrow from one another in the London market, and it is a widely used benchmark for short-term interest rates. The Fund has selected the Morningstar Nontraditional Bond Category Average as an additional benchmark. The Morningstar Nontraditional Bond Category Average contains funds that pursue strategies divergent in one or more ways from conventional practice in the broader bond-fund universe. Morningstar category averages are equal-weighted returns based on constituents of the category at the end of the period.

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class I shares, first offered on January 2, 2004, include the historical performance of Class A shares through January 1, 2004. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008. The performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Effective February 28, 2013, the Fund changed its investment strategies. The past performance in the bar chart and table reflect the Fund's prior investment objective and principal investment strategies.

MainStay Unconstrained Bond Fund

Annual Returns, Class B Shares

(by calendar year 2003-2012)


Best Quarter
3Q/09	9.93	%
Worst Quarter
4Q/08	-7.60	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	8.52	%	6.10	%	7.03	%
Class A	8.69	%	6.26	%	7.11	%
Class B	7.83	%	5.98	%	6.72	%
Class C	11.84	%	6.27	%	6.71	%
Class I	14.08	%	7.56	%	7.93	%
Return After Taxes on Distributions
Class B	6.23	%	4.08	%	4.94	%
Return After Taxes on Distributions and Sale of Fund Shares
Class B	5.05	%	3.96	%	4.74	%
Barclays U.S. Aggregate Bond Index (reflects no deductions for fees, expenses, or taxes)	4.22	%	5.95	%	5.18	%
Bank of America Merrill Lynch U.S. Dollar 3-Month LIBOR Constant Maturity Index (reflects no deductions for fees, expenses, or taxes)	0.51	%	1.18	%	2.22	%
Morningstar Nontraditional Bond Category Average (reflects no deductions for fees and taxes)	7.76	%	4.46	%	5.25	%

Management

New York Life Investment Management LLC serves as the Fund's Manager. MacKay Shields LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
MacKay Shields LLC	Dan Roberts, Senior Managing Director	Since 2009
	Michael Kimble, Managing Director	Since 2009
	Louis N. Cohen, Managing Director	Since 2009
	Taylor Wagenseil, Managing Director	Since 2009

How to Purchase and Sell Shares

MainStay Unconstrained Bond Fund

investment minimum ($50 for subsequent purchases) applies. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

Compensation to Financial Intermediary Firms

MainStay California Tax Free Opportunities Fund

Investment Objective

The Fund seeks current income exempt from federal and California income taxes.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	4.50	%	4.50	%	None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ³	0.50	%	0.50	%	0.50	%	0.50	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	0.50	%	None
	Other Expenses ²	0.47	%	0.35	%	0.47	%	0.35	%
	Total Annual Fund Operating Expenses ^3,4	1.22	%	1.10	%	1.47	%	0.85	%
	Waivers / Reimbursements ^3,4	(0.35	)%	(0.35	)%	(0.35	)%	(0.35	)%
	Total Annual Fund Operating Expenses After Waivers / Reimbursements ^3,4	0.87	%	0.75	%	1.12	%	0.50	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. "Other Expenses" are based on estimated amounts for the current fiscal year.

3. New York Life Investment Management LLC (“New York Life Investments”) has contractually agreed to waive a portion of its management fee so that the management fee does not exceed 0.45% of the Fund’s average daily net assets. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund (“Board”). Without this waiver, the management fee would be 0.50% of the Fund’s average daily net assets.

4. New York Life Investments has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for Class A shares do not exceed 0.75% of its average daily net assets. New York Life Investments will apply an equivalent waiver or reimbursement, in an equal number of basis points, to the other share classes. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board.

Example

The 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 (except as indicated with respect to Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period
1 Year	$ 535	$ 523	$ 114	$ 214	$ 51
3 Years	$ 787	$ 751	$ 430	$ 430	$ 236
5 Years	$ 1,058	$ 997	$ 769	$ 769	$ 437
10 Years	$ 1,831	$ 1,700	$ 1,727	$ 1,727	$ 1,017

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 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 annual fund operating expenses or in the Example, affect the Fund's performance. Because the Fund has been in operation for less than one full calendar year, the Fund’s portfolio turnover rate for the most recent fiscal year is not available.

MainStay California Tax Free Opportunities Fund

Principal Investment Strategies

The Fund, under normal circumstances, invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in municipal bonds, whose interest is, in the opinion of bond counsel for the issuers at the time of issuance, exempt from federal and California income taxes.

Municipal bonds are generally debt obligations issued by or on behalf of states, territories and possessions of the U.S., and their political subdivisions, agencies and instrumentalities that provide income free from federal, state and potentially local income taxes. If the interest on a particular municipal bond is exempt from federal and California income taxes, the Fund will treat the bond as qualifying for purposes of the 80% requirement even though the issuer of the bond may be located outside of California. Municipal bonds include, among other instruments, general obligation bonds, revenue bonds, industrial revenue bonds, industrial development bonds, private activity bonds, as well as short-term, tax-exempt obligations such as municipal notes and variable rate demand obligations. The Fund may invest up to 20% of its net assets in municipal bonds subject to the federal alternative minimum tax ("AMT"), and municipal bonds that pay interest that is subject to federal and California income taxes.

Although the Fund may invest in municipal bonds rated in any rating category or in unrated municipal bonds, MacKay Shields LLC, the Fund's Subadvisor, currently intends to invest primarily in investment grade quality bonds as rated by at least one independent rating agency (such as bonds rated BBB- or higher by Standard & Poor's ("S&P") or Fitch Ratings ("Fitch"), or Baa3 or higher by Moody's Investor Service Inc. ("Moody's")), or if unrated, judged to be of comparable quality by the Subadvisor. The Fund may invest up to 20% of its net assets in non-investment grade municipal bonds (commonly referred to as “junk bonds”) as rated by at least one independent rating agency (such as bonds rated BB+ or lower by S&P or Fitch, or Ba1 or lower by Moody’s), including up to 10% of its net assets in municipal bonds that are the subject of bankruptcy proceedings, that are in default as to the payment of principal or interest, or that are rated in the lowest rating category by an independent rating agency (such as bonds rated D by S&P or Moody’s), or if unrated, judged to be of comparable quality by the Subadvisor (“distressed securities”). If independent rating agencies assign different ratings to the same security, the Fund will use the higher rating for purposes of determining the security's credit quality.

The Fund may invest more than 25% of its total assets in municipal bonds that are related in such a way that an economic, business or political development or change affecting one such security could also affect the other securities. The Fund generally invests in municipal bonds that have a maturity of five years or longer at the time of purchase. The Fund may invest in derivatives, such as futures and options, to seek enhanced returns or to reduce the risk of loss by hedging certain of its holdings.

If the supply of state tax exempt municipal bonds is insufficient to meet the Fund’s investment needs, the Fund may invest in municipal bonds issued by other states. Municipal bonds issued by other states purchased by the Fund will generally be exempt from federal income taxes, but may not be exempt from California income taxes.

Investment Process: In choosing investments, the Subadvisor analyzes the credit quality of issuers and considers the yields available on municipal bonds with different maturities.

The Subadvisor uses active management in an effort to identify municipal bonds it believes to be mispriced and to build a consistent yield advantage. The Subadvisor focuses on reducing volatility through a disciplined investment process, which includes fundamental, “bottom-up” credit research and risk management. In addition, the Subadvisor reviews macroeconomic events, technicals in the municipal bond market, and tax policies, as well as analyzing individual municipal securities and sectors.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Municipal Bond Risk: Municipal bond risks include the ability of the issuer to repay the obligation, the relative lack of information about certain issuers, and the possibility of future tax and legislative changes, which could affect the market for and value of municipal securities. These risks include:

· General Obligation Bonds Risk —timely payments depend on the issuer's credit quality, ability to raise tax revenues and ability to maintain an adequate tax base;

· Revenue Bonds (including Industrial Development Bonds) Risk —depend on the money earned by the particular facility or class of facilities, or the amount of revenues derived from another source, and may be negatively impacted by the general credit of the user of the facility;

MainStay California Tax Free Opportunities Fund

· Private Activity Bonds Risk —municipalities and other public authorities issue private activity bonds to finance development of industrial facilities for use by a private enterprise, which is solely responsible for paying the principal and interest on the bond, and payment under these bonds depends on the private enterprise’s ability to do so;

· Moral Obligation Bonds Risk —moral obligation bonds are generally issued by special purpose public authorities of a state or municipality. If the issuer is unable to meet its obligations, repayment of these bonds becomes a moral commitment, but not a legal obligation, of the state or municipality;

· Municipal Notes Risk —municipal notes are shorter-term municipal debt obligations that pay interest that is, in the opinion of bond counsel, generally excludable from gross income for federal income tax purposes (except that the interest may be includable in taxable income for purposes of the federal alternative minimum tax) and that have a maturity that is generally one year or less. If there is a shortfall in the anticipated proceeds, the notes may not be fully repaid and the Fund may lose money; and

· Municipal Lease Obligations Risk —in a municipal lease obligation, the issuer agrees to make payments when due on the lease obligation. Although the issuer does not pledge its unlimited taxing power for payment of the lease obligation, the lease obligation is secured by the leased property.

Municipalities continue to experience economic and financial difficulties in the current economic environment. The ability of a municipal issuer to make payments and the value of municipal bonds can be affected by uncertainties in the municipal securities market. Such uncertainties could cause increased volatility in the municipal securities market and could negatively impact the Fund's net asset value and/or the distributions paid by the Fund.

Municipal Bond Concentration Risk: From time to time the Fund may invest a substantial amount of its assets in municipal bonds whose interest is paid solely from revenues of similar projects. If the Fund concentrates its investments in this manner, it assumes the legal and economic risks relating to such projects and this may have a significant impact on the Fund’s investment performance. In addition, the Fund may invest more heavily in bonds from certain cities or regions than others, which may increase the Fund’s exposure to losses resulting from economic, political, or regulatory occurrences impacting these particular cities or regions.

Debt Securities Risk: The risks of investing in debt securities include (without limitation): (i) credit risk, i.e., the issuer may not repay the loan created by the issuance of that debt security; (ii) maturity risk, i.e., a debt security with a longer maturity may fluctuate in value more than one with a shorter maturity; (iii) market risk, i.e., low demand for debt securities may negatively impact their price; (iv) interest rate risk, i.e., when interest rates go up, the value of a debt security goes down, and when interest rates go down, the value of a debt security goes up; (v) selection risk, i.e., the securities selected by the Subadvisor may underperform the market or other securities selected by other funds; and (vi) call risk, i.e., during a period of falling interest rates, the issuer may redeem a security by repaying it early, which may reduce the Fund's income if the proceeds are reinvested at lower interest rates.

High-Yield Municipal Bond Risk: High-yield or non-investment grade municipal bonds (commonly referred to as "junk bonds") may be subject to increased liquidity risk as compared to other high-yield debt securities. There may be little or no active trading market for certain high-yield municipal bonds, which may make it difficult for the Fund to sell such bonds at or near their perceived value. In such cases, the value of a high-yield municipal bond may decline dramatically, even during periods of declining interest rates. The high-yield municipal bonds in which the Fund intends to invest may be more likely to pay interest that is includable in taxable income for purposes of the federal alternative minimum tax than other municipal bonds.

MainStay California Tax Free Opportunities Fund

than the market value when selling Fund shares. Liquidity risk may also refer to the risk that the Fund may not be able to pay redemption proceeds within the allowable time period because of unusual market conditions, unusually high volume of redemptions, or other reasons. To meet redemption requests, the Fund may be forced to sell securities at an unfavorable time and/or under unfavorable conditions.

California State Specific Risk: Because the Fund invests in municipal bonds issued by or on behalf of the State of California, and its political subdivisions, agencies and instrumentalities, events in California may affect the Fund’s investments and performance. These events may include fiscal or political policy changes, tax base erosion, budget deficits and other financial difficulties. California continues to experience financial difficulties due to the economic environment. The further deterioration of California’s fiscal situation and economic situation of its municipalities could cause greater volatility and increase the risk of investing in California.

Tax Risk: Income from municipal bonds held by the Fund could be declared taxable because of unfavorable changes in tax law, adverse interpretations by the Internal Revenue Service or state tax authorities, or noncompliant conduct of a bond issuer.

Past Performance

Since the Fund does not have a full calendar year of performance as of the date of this Prospectus, no calendar year performance information is available.

Management

New York Life Investment Management LLC serves as the Fund's Manager. MacKay Shields LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
MacKay Shields LLC	John Loffredo, Senior Managing Director	Since February 2013
	Robert DiMella, Senior Managing Director	Since February 2013
	Michael Petty, Managing Director	Since February 2013
	David Dowden, Managing Director	Since February 2013
	Scott Sprauer, Director	Since February 2013

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $2,500 applies if you invest in Investor Class or Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class and Class C shares. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

The Fund's distributions are generally expected to be exempt from federal and California state income tax. However, the Fund may also derive taxable income and/or capital gains. Distributions to shareholders of any such taxable income or capital gains, unless you are investing through a tax-deferred arrangement, such as a 401(k) plan or an individual retirement account, will be taxable.

Compensation to Financial Intermediary Firms

MainStay High Yield Municipal Bond Fund

Investment Objective

The Fund seeks a high level of current income exempt from federal income taxes. The Fund's secondary investment objective is total return.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	4.50	%	4.50	%	None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.55	%	0.55	%	0.55	%	0.55	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	None
	Other Expenses	0.13	%	0.11	%	0.12	%	0.11	%
	Acquired (Underlying) Fund Fees and Expenses	0.02	%	0.02	%	0.02	%	0.02	%
	Total Annual Fund Operating Expenses ³	0.95	%	0.93	%	1.69	%	0.68	%
	Waivers / Reimbursements ³	(0.03	)%	(0.03	)%	(0.03	)%	(0.03	)%
	Total Annual Fund Operating Expenses After Waivers / Reimbursements ³	0.92	%	0.90	%	1.66	%	0.65	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.55% on assets up to $1 billion; and 0.54% on assets in excess of $1 billion.

3. New York Life Investment Management LLC ("New York Life Investments") has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for Class A shares do not exceed 0.875% of its average daily net assets. New York Life Investments will apply an equivalent waiver or reimbursement, in an equal number of basis points, to the other share classes. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example

The 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 (except as indicated with respect to Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period
1 Year	$ 540	$ 538	$ 169	$ 269	$ 66
3 Years	$ 736	$ 730	$ 530	$ 530	$ 215
5 Years	$ 949	$ 939	$ 915	$ 915	$ 376
10 Years	$ 1,561	$ 1,539	$ 1,995	$ 1,995	$ 844

Portfolio Turnover

MainStay High Yield Municipal Bond Fund

Principal Investment Strategies

The Fund seeks to achieve its investment objective by investing at least 80% of its assets (net assets plus any borrowings for investment purposes) in municipal bonds. The Fund may invest in municipal bonds rated in any rating category or in unrated municipal bonds.

Municipal bonds include debt obligations issued by or on behalf of a governmental entity or other qualifying entity/issuer that pays interest that is, in the opinion of bond counsel to the issuers, generally excludable from gross income for federal income tax purposes (except that the interest may be includable in taxable income for purposes of the federal alternative minimum tax). Municipal bonds may be obligations of a variety of issuers, including governmental entities or other qualifying issuers. Issuers may be states, territories and possessions of the U.S. and the District of Columbia and their political subdivisions, agencies and instrumentalities. Municipal bonds also include short-term, tax-exempt obligations such as municipal notes and variable rate demand obligations.

Although the Fund may invest in municipal bonds in any rating category, MacKay Shields LLC, the Fund's Subadvisor, intends to invest at least 65% of the Fund's net assets in medium- to low-quality bonds as rated by at least one independent rating agency (such as bonds rated BBB+ or lower by Standard & Poor's ("S&P") or Fitch Ratings ("Fitch"), or Baa1 or lower by Moody's Investor Service, Inc. ("Moody's")), including up to 10% of its net assets in municipal bonds that are the subject of bankruptcy proceedings, that are in default as to the payment of principal or interest, or that are rated in the lowest rating category by an independent rating agency (such as bonds rated D by S&P, Fitch or Moody's), or if unrated, judged to be of comparable quality by the Subadvisor ("distressed securities"). Some obligations rated below investment grade are commonly referred to as "junk bonds." It is possible that the Fund could invest up to 100% of its net assets in these securities. However, the Fund reserves the right to invest less than 65% of its net assets in medium- to low-quality bonds if the Subadvisor determines that there is insufficient supply of such obligations available for investment. The Fund will generally invest in municipal bonds that have a maturity of five years or longer at the time of purchase. If independent rating agencies assign different ratings to the same security, the Fund will use the lower rating for purposes of determining the security's credit quality.

The Fund may also invest more than 25% of its total assets in municipal bonds that are related in such a way that an economic, business or political development or change affecting one such security could also affect the other securities. Some of the Fund's earnings may be subject to federal income tax and most may be subject to state and local taxes.

The Fund may also invest in industrial development bonds. Such bonds are usually revenue bonds issued to pay for facilities with a public purpose operated by private corporations. The credit quality of industrial development bonds is usually directly related to the credit standing of the owner or user of the facilities. Industrial development bonds issued after the effective date of the Tax Reform Act of 1986, as well as certain other bonds, are now classified as "private activity bonds." Some, but not all, private activity bonds issued after that date qualify to pay tax-exempt interest.

The Fund may invest in derivatives, such as futures, options and swap agreements to seek enhanced returns or to reduce the risk of loss by hedging certain of its holdings.

Investment Process: In choosing investments, the Subadvisor analyzes the credit quality of issuers and considers the yields available on municipal bonds with different maturities.

The Subadvisor uses active management in an effort to identify tax-exempt securities it believes to be mispriced and to build a consistent yield advantage. The Subadvisor focuses on reducing volatility through a disciplined investment process which includes fundamental, "bottom-up" credit research and risk management. In addition, the Subadvisor reviews macroeconomic events, technical characteristics in the municipal bond market, tax policies, as well as analyzes individual municipal securities and sectors.

Generally, the Fund will invest in distressed securities when the Subadvisor believes that such an investment offers significant potential for higher returns or can be exchanged for other securities that offer this potential. However, the Fund cannot guarantee that it will achieve these returns or that an issuer will make an exchange offer or emerge from bankruptcy.

The Subadvisor may sell a security if it no longer believes the security will contribute to meeting the investment objectives of the Fund. In considering whether to sell a security, the Subadvisor may evaluate, among other things, the condition of the economy and meaningful changes in the issuer's financial condition.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

MainStay High Yield Municipal Bond Fund

rates go up, the value of a debt security goes down, and when interest rates go down, the value of a debt security goes up; (v) selection risk, i.e., the securities selected by the Subadvisor may underperform the market or other securities selected by other funds; and (vi) call risk, i.e., during a period of falling interest rates, the issuer may redeem a security by repaying it early, which may reduce the Fund's income if the proceeds are reinvested at lower interest rates.

· General Obligation Bonds Risk —timely payments depend on the issuer's credit quality, ability to raise tax revenues and ability to maintain an adequate tax base;

High-Yield Municipal Bond Risk: High-yield or non-investment grade municipal bonds may be subject to increased liquidity risk as compared to other high-yield debt securities. There may be little or no active trading market for certain high-yield municipal bonds, which may make it difficult for the Fund to sell such securities at or near their perceived value. In such cases, the value of a high-yield municipal bond may decline dramatically, even during periods of declining interest rates. The high-yield municipal bonds in which the Fund intends to invest may be more likely to pay interest that is includable in taxable income for purposes of the federal alternative minimum tax than other municipal bonds.

To be tax exempt, municipal bonds must meet certain regulatory requirements. If a municipal bond fails to meet such requirements, the interest received by the Fund from its investment in such bonds and distributed to shareholders may be taxable. It is possible that interest on a municipal bond may be declared taxable after the issuance of the bond, and this determination may apply retroactively to the date of the issuance of the bond, which could cause a portion of prior distributions made by the Fund to be taxable to shareholders in the year of receipt.

Municipal Bond Concentration Risk: From time to time the Fund may invest a substantial amount of its assets in municipal bonds whose interest is paid solely from revenues of similar projects. If the Fund concentrates its investments in this manner, it assumes the legal and economic risks relating to such projects and this may have a significant impact on the Fund’s investment performance. In addition, the Fund may invest more heavily in bonds from certain cities, states or regions than others, which may increase the Fund’s exposure to losses resulting from economic, political, or regulatory occurrences impacting these particular cities, states or regions.

MainStay High Yield Municipal Bond Fund

derivative transaction will be unable to honor its contractual obligations to the Fund. Swap transactions tend to shift the Fund's investment exposure from one type of investment to another, and therefore entail the risk that a party will default on its payment obligations to the Fund. Futures may be more volatile than direct investments in the instrument underlying the futures, and may not correlate perfectly to the underlying instrument. Futures also may involve a small initial investment relative to the risk assumed, which could result in losses greater than if they had not been used. Due to fluctuations in the price of the underlying security, the Fund may not be able to profitably exercise an option and may lose its entire investment in an option.

Past Performance

The following bar chart and tables indicate some of the risks of investing in the Fund. The bar chart shows you how the Fund's calendar year performance has varied over the life of the Fund. Sales loads are not reflected in the bar chart. If they were, returns would be less than those shown. The average annual total returns table shows how the Fund's average annual total returns (before and after taxes) for the one-year period and for the life of the Fund compare to those of a broad-based securities market index, as well as a composite index. The Fund has selected the Barclays Municipal Bond Index as its primary benchmark. The Barclays Municipal Bond Index includes approximately 46,000 municipal bonds, rated Baa or better by Moody's, with a maturity of at least one year. Bonds subject to the alternative minimum tax or with floating or zero coupons are excluded. The Fund has selected the High Yield Municipal Bond Composite Index as a secondary benchmark. The High Yield Municipal Bond Composite Index consists of the Barclays High Yield Municipal Bond Index and the Barclays Municipal Bond Index weighted 60%/40% respectively.

Performance data for the classes varies based on differences in their fee and expense structures. The Fund commenced operations on March 31, 2010. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class I Shares

(by calendar year 2011-2012)


Best Quarter
1Q/12	6.10	%
Worst Quarter
1Q/11	-0.31	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		Life of Fund
Return Before Taxes
Investor Class	11.70	%	10.22	%
Class A	11.59	%	10.30	%
Class C	14.96	%	11.23	%
Class I	17.14	%	12.38	%
Return After Taxes on Distributions
Class I	17.00	%	12.25	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	12.93	%	11.29	%
Barclays Municipal Bond Index (reflects no deductions for fees, expenses, or taxes)	6.78	%	6.70	%
High Yield Municipal Bond Composite Index (reflects no deductions for fees, expenses, or taxes)	13.47	%	9.33	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager. MacKay Shields LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
MacKay Shields LLC	John Loffredo, Senior Managing Director	Since 2010
	Robert DiMella, Senior Managing Director	Since 2010
	Michael Petty, Managing Director	Since 2010

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $2,500 applies if you invest in Investor Class or Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class and Class C shares. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

The Fund's distributions are generally expected to be exempt from federal income tax. However, the Fund may also derive taxable income and/or capital gains. Distributions to shareholders of any such taxable income or capital gains, unless you are investing through a tax-deferred arrangement, such as a 401(k) plan or an individual retirement account, will be taxable.

Compensation to Financial Intermediary Firms

MainStay New York Tax Free Opportunities Fund

Investment Objective

The Fund seeks current income exempt from federal and New York state and, in some cases, New York local income taxes.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	4.50	%	4.50	%	None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ³	0.50	%	0.50	%	0.50	%	0.50	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	0.50	%	None
	Other Expenses ²	0.55	%	0.38	%	0.55	%	0.38	%
	Acquired (Underlying) Fund Fees and Expenses	0.02	%	0.02	%	0.02	%	0.02	%
	Total Annual Fund Operating Expenses ^3,4	1.32	%	1.15	%	1.57	%	0.90	%
	Waivers / Reimbursements ^3,4	(0.38	)%	(0.38	)%	(0.38	)%	(0.38	)%
	Total Annual Fund Operating Expenses After Waivers / Reimbursements ^3,4	0.94	%	0.77	%	1.19	%	0.52	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. "Other Expenses" are based on estimated amounts for the current fiscal year.

Example

The 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 (except as indicated with respect to Class C shares). The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period
1 Year	$ 542	$ 525	$ 121	$ 221	$ 53
3 Years	$ 814	$ 763	$ 459	$ 459	$ 249
5 Years	$ 1,106	$ 1,019	$ 819	$ 819	$ 461
10 Years	$ 1,937	$ 1,752	$ 1,835	$ 1,835	$ 1,073

Portfolio Turnover

MainStay New York Tax Free Opportunities Fund

reflected in annual fund operating expenses or in the Example, affect the Fund's performance. For the period May 14, 2012 (commencement of operations), through the end of the Fund’s fiscal year, the Fund's portfolio turnover rate was 67% of the average value of its portfolio.

Principal Investment Strategies

Municipal bonds are generally debt obligations issued by or on behalf of states, territories and possessions of the U.S., and their political subdivisions, agencies and instrumentalities that provide income free from federal, state and potentially local income taxes. If the interest on a particular municipal bond is exempt from federal and New York income taxes, the Fund will treat the bond as qualifying for purposes of the 80% requirement even though the issuer of the bond may be located outside of New York. Municipal bonds include, among other instruments, general obligation bonds, revenue bonds, industrial revenue bonds, industrial development bonds, private activity bonds, as well as short-term, tax-exempt obligations such as municipal notes and variable rate demand obligations. The Fund may invest up to 20% of its net assets in municipal bonds subject to the federal alternative minimum tax ("AMT"), and municipal bonds that pay interest that is subject to federal and New York income taxes.

Investment Process: In choosing investments, the Subadvisor analyzes the credit quality of issuers and considers the yields available on municipal bonds with different maturities.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

· General Obligation Bonds Risk —timely payments depend on the issuer's credit quality, ability to raise tax revenues and ability to maintain an adequate tax base;

MainStay New York Tax Free Opportunities Fund

Debt Securities Risk: The risks of investing in debt securities include (without limitation): (i) credit risk, i.e., the issuer may not repay the loan created by the issuance of that debt security; (ii) maturity risk, i.e., a debt security with a longer maturity may fluctuate in value more than one with a shorter maturity; (iii) market risk, i.e., low demand for debt securities may negatively impact their price; (iv) interest rate risk, i.e., when interest rates go up, the value of a debt security goes down, and when interest rates go down, the value of a debt security goes up; (v) selection risk, i.e., the securities selected by the Subadvisor may underperform the market or other securities selected by other funds; and (vi) call risk, i.e., during a period of falling interest rates, the issuer may redeem a security by repaying it early, which may reduce the Fund's income if the proceeds are reinvested at lower interest rates.

MainStay New York Tax Free Opportunities Fund

securities using more subjective methods, such as fair value pricing. In such cases, the value determined for a security could be different than the value realized upon such security's sale. As a result, an investor could pay more than the market value when buying Fund shares or receive less than the market value when selling Fund shares. Liquidity risk may also refer to the risk that the Fund may not be able to pay redemption proceeds within the allowable time period because of unusual market conditions, unusually high volume of redemptions, or other reasons. To meet redemption requests, the Fund may be forced to sell securities at an unfavorable time and/or under unfavorable conditions.

New York State Specific Risk: Because the Fund invests in municipal bonds issued by or on behalf of the State of New York, and its political subdivisions, agencies and instrumentalities, events in New York may affect the Fund’s investments and performance. These events may include fiscal or political policy changes, tax base erosion, budget deficits and other financial difficulties. New York continues to experience financial difficulties due to the economic environment. The further deterioration of New York’s fiscal situation and economic situation of its municipalities could cause greater volatility and increase the risk of investing in New York.

Past Performance

Since the Fund does not have a full calendar year of performance as of the date of this Prospectus, no calendar year performance information is available.

Management

New York Life Investment Management LLC serves as the Fund's Manager. MacKay Shields LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
MacKay Shields LLC	John Loffredo, Senior Managing Director	Since 2012
	Robert DiMella, Senior Managing Director	Since 2012
	Michael Petty, Managing Director	Since 2012
	David Dowden, Managing Director	Since 2012
	Scott Sprauer, Director	Since 2012

How to Purchase and Sell Shares

You may purchase or sell shares of the Fund on any day the Fund is open for business by contacting your financial adviser or financial intermediary firm, or by contacting the Fund by telephone at 800-MAINSTAY (624-6782) , by mail at MainStay Funds, P.O. Box 8401, Boston, MA 02266-8401 or by accessing our website at mainstayinvestments.com. Generally, an initial investment minimum of $2,500 applies if you invest in Investor Class or Class C shares, $25,000 for Class A shares and $5,000,000 for individual investors in Class I shares investing directly (i) with the Fund; or (ii) through certain private banks and trust companies that have an agreement with NYLIFE Distributors LLC, the Fund’s principal underwriter and distributor, or its affiliates. A subsequent investment minimum of $50 applies to investments in Investor Class and Class C shares. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

The Fund's distributions are generally expected to be exempt from federal and New York state and, in some cases, New York local income tax. However, the Fund may also derive taxable income and/or capital gains. Distributions to shareholders of any such taxable income or capital gains, unless you are investing through a tax-deferred arrangement, such as a 401(k) plan or an individual retirement account, will be taxable.

Compensation to Financial Intermediary Firms

MainStay Tax Free Bond Fund

Investment Objective

The Fund seeks current income exempt from regular federal income tax.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class B		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	4.50	%	4.50	%	None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.52	%	0.52	%	0.52	%	0.52	%	0.52	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	0.50	%	0.50	%	None
	Other Expenses	0.14	%	0.07	%	0.14	%	0.14	%	0.07	%
	Total Annual Fund Operating Expenses ^2,3	0.91	%	0.84	%	1.16	%	1.16	%	0.59	%
	Waivers / Reimbursements ^2,3	(0.05	)%	(0.05	)%	(0.05	)%	(0.05	)%	(0.05	)%
	Total Annual Fund Operating Expenses After Waivers / Reimbursements ^2,3	0.86	%	0.79	%	1.11	%	1.11	%	0.54	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is an annual percentage of the Fund's average daily net assets, plus a fee for fund accounting services previously provided by New York Life Investment Management LLC ("New York Life Investments") under a separate fund accounting agreement. This addition to the management fee amounted to 0.02% of the Fund's average daily net assets, but did not result in a net increase in Total Annual Fund Operating Expenses. New York Life Investments has contractually agreed to waive a portion of its management fee so that the management fee does not exceed the following percentages: 0.45% on assets up to $500 million; 0.425% on assets from $500 million to $1 billion; and 0.40% on assets in excess of $1 billion. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund. Without this waiver the management fee would be: 0.50% on assets up to $500 million; 0.475% on assets from $500 million up to $1 billion; and 0.45% on assets in excess of $1 billion.

3. New York Life Investments has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) for Class A shares do not exceed 0.82% of its average daily net assets. New York Life Investments will apply an equivalent waiver or reimbursement, in an equal number of basis points, to the other share classes. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example


Expenses After	Investor	Class A	Class B		Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 534	$ 527	$ 113	$ 613	$ 113	$ 213	$ 55
3 Years	$ 722	$ 701	$ 364	$ 664	$ 364	$ 364	$ 184
5 Years	$ 927	$ 890	$ 633	$ 833	$ 633	$ 633	$ 324
10 Years	$ 1,515	$ 1,436	$ 1,335	$ 1,335	$ 1,405	$ 1,405	$ 733

MainStay Tax Free Bond Fund

Portfolio Turnover

Principal Investment Strategies

The Fund, under normal circumstances, invests at least 80% of its assets (net assets plus borrowings for investment purposes) in municipal bonds that are rated investment grade by at least one independent rating agency (i.e., within the highest four quality ratings by Moody's Investor Service, Inc., Standard & Poor's or Fitch Ratings). On average, the Fund will invest in municipal bonds that have a maturity range of 10 to 30 years. Municipal bonds are issued by or on behalf of the District of Columbia, states, territories, commonwealths and possessions of the United States and their political subdivisions and agencies, authorities and instrumentalities. The Fund may invest up to 20% of its net assets in unrated securities deemed by MacKay Shields LLC, the Fund's Subadvisor, to be of comparable quality. The Fund may not invest more than 20% of its net assets in tax-exempt securities subject to the federal alternative minimum tax. If independent rating agencies assign different ratings to the same security, the Fund will use the higher rating for purposes of determining the security’s credit quality.

The Fund may invest more than 25% of its total assets in municipal bonds that are related in such a way that an economic, business or political development or change affecting one such security could also affect the other securities (for example, securities whose issuers are located in the same state). Some of the Fund's earnings may be subject to federal tax and most may be subject to state and local taxes.

The Fund may invest in derivatives, such as futures, options and swap agreements to try to enhance returns or reduce the risk of loss by hedging certain of its holdings.

Investment Process: The Subadvisor employs a relative value research-driven approach to achieve the Fund's investment objective. The Subadvisor's strategies include duration management, sector allocation, yield curve positioning and buy/sell trade execution. The Subadvisor may engage in various portfolio strategies to achieve the Fund's investment objective, to seek to enhance the Fund's investment return and to seek to hedge the portfolio against adverse effects from movements in interest rates and in the securities markets.

The Subadvisor uses active management in an effort to identify mispriced tax-exempt securities and build a consistent yield advantage. The Subadvisor focuses on reducing volatility through a disciplined investment process which includes fundamental, "bottom-up" credit research and risk management. In addition, the Subadvisor reviews macroeconomic events, technicals in the municipal market and tax policies, and analyzes individual municipal securities and sectors.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Debt Securities Risk: The risks of investing in debt securities include (without limitation): (i) credit risk, i.e., the issuer may not repay the loan created by the issuance of that debt security; (ii) maturity risk, i.e., a debt security with a longer maturity may fluctuate in value more than one with a shorter maturity; (iii) market risk, i.e., low demand for debt securities may negatively impact their price; (iv) interest rate risk, i.e., when interest rates go up, the value of a debt security goes down, and when interest rates go down, the value of a debt security goes up; (v) selection risk, i.e., the securities selected by the Subadvisor may underperform the market or other securities selected by other funds; and (vi) call risk, i.e., during a period of falling interest rates, the issuer may redeem a security by repaying it early, which may reduce the Fund's income if the proceeds are reinvested at lower interest rates.

MainStay Tax Free Bond Fund

instrument. Futures also may involve a small initial investment relative to the risk assumed, which could result in losses greater than if they had not been used. Due to fluctuations in the price of the underlying security, the Fund may not be able to profitably exercise an option and may lose its entire investment in an option.

· General Obligation Bonds Risk —timely payments depend on the issuer's credit quality, ability to raise tax revenues and ability to maintain an adequate tax base;

Municipal Bond Concentration Risk: From time to time the Fund may invest a substantial amount of its assets in municipal bonds whose interest is paid solely from revenues of similar projects. If the Fund concentrates its investments in this manner, it assumes the legal and economic risks relating to such projects and this may have a significant impact on the Fund’s investment performance. In addition, the Fund may invest more heavily in bonds from certain cities, states or regions than others, which may increase the Fund’s exposure to losses resulting from economic, political, or regulatory occurrences impacting these particular cities, states or regions.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Investor Class shares, first offered on February 28, 2008, includes the historical performance of Class A shares through February 27, 2008. Performance figures for Class I shares, first offered on December 21, 2009, includes the historical performance of Class B shares through December 20, 2009. Performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes

MainStay Tax Free Bond Fund

would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class B Shares

(by calendar year 2003-2012)


Best Quarter
3Q/09	8.29	%
Worst Quarter
4Q/10	-4.99	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	5.85	%	4.75	%	3.71	%
Class A	5.94	%	4.83	%	3.75	%
Class B	5.59	%	5.12	%	3.92	%
Class C	9.57	%	5.46	%	3.93	%
Class I	11.20	%	6.04	%	4.47	%
Return After Taxes on Distributions
Class B	5.58	%	5.11	%	3.91	%
Return After Taxes on Distributions and Sale of Fund Shares
Class B	4.93	%	4.93	%	3.88	%
Barclays Municipal Bond Index (reflects no deductions for fees, expenses, or taxes)	6.78	%	5.91	%	5.10	%

Management

New York Life Investment Management LLC serves as the Fund's Manager. MacKay Shields LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Managers	Service Date
MacKay Shields LLC	John Loffredo, Senior Managing Director	Since 2009
	Robert DiMella, Senior Managing Director	Since 2009
	Michael Petty, Managing Director	Since 2011

How to Purchase and Sell Shares

MainStay Tax Free Bond Fund

investment minimum ($50 for subsequent purchases) applies. Institutional shareholders in Class I shares have no initial or subsequent investment minimums.

Tax Information

Compensation to Financial Intermediary Firms

MainStay Money Market Fund

Investment Objective

The Fund seeks a high level of current income while preserving capital and maintaining liquidity.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class B		Class C
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	None		None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None		None		None		None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ¹	0.47	%	0.47	%	0.47	%	0.47	%
	Distribution and/or Service (12b-1) Fees	None		None		None		None
	Other Expenses	0.44	%	0.22	%	0.44	%	0.44	%
	Total Annual Fund Operating Expenses ²	0.91	%	0.69	%	0.91	%	0.91	%
	Waivers / Reimbursements ²	(0.11	)%	0.00	%	(0.11	)%	(0.11	)%
	Total Annual Fund Operating Expenses After Waivers / Reimbursements ²	0.80	%	0.69	%	0.80	%	0.80	%

1. The management fee is as follows: 0.45% on assets up to $500 million; 0.40% on assets from $500 million up to $1 billion; and 0.35% on assets in excess of $1 billion, plus a fee for fund accounting services previously provided by New York Life Investment Management LLC ("New York Life Investments") under a separate fund accounting agreement. This addition to the management fee amounted to 0.02% of the Fund's average daily net assets, but did not result in a net increase in Total Annual Fund Operating Expenses.

2. New York Life Investments has contractually agreed to waive fees and/or reimburse expenses so that Total Annual Fund Operating Expenses (excluding taxes, interest, litigation, extraordinary expenses, brokerage and other transaction expenses relating to the purchase or sale of portfolio investments, and acquired (underlying) fund fees and expenses) do not exceed the following percentages of average daily net assets: Investor Class, 0.80%; Class A, 0.70%; Class B, 0.80%; and Class C, 0.80%. This agreement will remain in effect until February 28, 2014, and shall renew automatically for one-year terms unless New York Life Investments provides written notice of termination prior to the start of the next term or upon approval of the Board of Trustees of the Fund.

Example

The 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. The Example reflects Class B shares converting into Investor Class shares in years 9-10; fees could be lower if you are eligible to convert to Class A shares instead. Although your actual costs may be higher or lower, based on these assumptions your costs would be:


Expenses After	Investor	Class A	Class B	Class C
	Class
1 Year	$ 82	$ 70	$ 82	$ 82
3 Years	$ 279	$ 221	$ 279	$ 279
5 Years	$ 493	$ 384	$ 493	$ 493
10 Years	$ 1,109	$ 859	$ 1,109	$ 1,109

Principal Investment Strategies

The Fund invests in short-term, high-quality, U.S. dollar-denominated securities that generally mature in 397 days (13 months) or less. The Fund maintains a dollar-weighted average maturity of 60 days or less and maintains a dollar-weighted average life to maturity of 120 days or less. The Fund seeks to maintain a stable $1.00 net asset value per share.

The Fund may invest in obligations issued or guaranteed by the U.S. government or any of its agencies or instrumentalities; U.S. and foreign bank and bank holding company obligations, such as certificates of deposit ("CDs"), bankers' acceptances and Eurodollars; commercial paper; time

MainStay Money Market Fund

deposits; repurchase agreements; and corporate debt securities. The Fund may invest in variable rate notes, floaters, and mortgage-related and asset-backed securities. The Fund may also invest in foreign securities that are U.S. dollar-denominated securities of foreign issuers.

The Fund will generally invest in obligations that mature in 397 days or less and substantially all of which will be held to maturity. However, the Fund may invest in securities with a face maturity of more than 397 days provided that the security is a variable or floating rate note that meets the applicable guidelines with respect to maturity. Additionally, securities collateralizing repurchase agreements may have maturities in excess of 397 days.

Investment Process: New York Life Investments, the Fund's Manager, seeks to achieve the highest yield relative to minimizing risk while also maintaining liquidity and preserving principal. The Manager selects securities based on an analysis of the creditworthiness of the issuer. The Manager works to add value by emphasizing specific securities and sectors of the money market that appear to be attractively priced based upon historical and current yield spread relationships.

The Manager may sell a security prior to maturity if it no longer believes that the security will contribute to meeting the investment objective of the Fund.

Principal Risks

Stable Net Asset Value Risk: An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Fund. This could occur because of unusual market conditions or a sudden collapse in the creditworthiness of a company once believed to be an issuer of high-quality, short-term securities.

Management Risk: The investment strategies, practices and risk analysis used by the Manager may not produce the desired results.

Mortgage-Backed/Asset-Backed Securities Risk: Prepayment risk is associated with mortgage-backed and asset-backed securities. If interest rates fall, the underlying debt may be repaid ahead of schedule, reducing the value of the Fund's investments. If interest rates rise, there may be fewer prepayments, which would cause the average bond maturity to rise, increasing the potential for the Fund to lose money. The value of these securities may be significantly affected by changes in interest rates, the market's perception of issuers, and the creditworthiness of the parties involved. The ability of the Fund to successfully utilize these instruments may depend on the ability of the Manager to forecast interest rates and other economic factors correctly. These securities may have a structure that makes their reaction to interest rate changes and other factors difficult to predict, making their value highly volatile.

Money Market Fund Regulatory Risk: Money market funds are subject to liquidity, credit quality, and maturity requirements pursuant to Securities and Exchange Commission ("SEC") rules. These requirements may limit the amount of yield the Fund may achieve. The SEC or other

MainStay Money Market Fund

regulatory agencies may adopt additional money market fund regulations in the future, which may impact the operation or performance of the Fund.

Yield Risk: There can be no guarantee that the Fund will achieve or maintain any particular level of yield.

Past Performance

Performance for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008, adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer class would likely have been different. For certain periods, the Manager voluntarily has waived or reimbursed the Fund’s expenses to the extent it deemed appropriate to enhance the Fund’s yield during periods when expenses had a significant impact on yield because of low interest rates. Without these waivers or reimbursements, the Fund’s returns would have been lower. Past performance is not necessarily an indication of how the Fund will perform in the future.

For current yield information, call toll-free: 800-MAINSTAY (624-6782).

Annual Returns, Class B Shares

(by calendar year 2003-2012)


Best Quarter
3Q/07	1.16	%
Worst Quarter
1Q/11	0.00	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Investor Class	0.01	%	0.40	%	1.46	%
Class A	0.01	%	0.42	%	1.48	%
Class B	0.01	%	0.40	%	1.46	%
Class C	0.01	%	0.40	%	1.46	%
7-day current yield
Investor Class: 0.01%
Class A: 0.01%
Class B: 0.01%
Class C: 0.01%
Average Lipper Money Market Fund
(reflects no deductions for fees and taxes)	0.02	%	0.47	%	1.45	%

Management

New York Life Investment Management LLC serves as the Fund’s Manager and is responsible for the day-to-day portfolio management of the Fund.

MainStay Money Market Fund


Manager	Portfolio Managers	Service Date
New York Life Investment Management LLC	Thomas J. Girard, Senior Managing Director	Since 2009
	David E. Clement, Senior Director	Since 2009

How to Purchase and Sell Shares

Tax Information

Compensation to Financial Intermediary Firms

MainStay Balanced Fund

Investment Objective

The Fund seeks total return.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class B		Class C		Class I		Class R1		Class R2		Class R3
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None		None		None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None		None		None		None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.70	%	0.70	%	0.70	%	0.70	%	0.70	%	0.70	%	0.70	%	0.70	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None		None		0.25	%	0.50	%
	Other Expenses	0.44	%	0.25	%	0.44	%	0.44	%	0.25	%	0.35	%	0.35	%	0.35	%
	Acquired (Underlying) Fund Fees and Expenses	0.01	%	0.01	%	0.01	%	0.01	%	0.01	%	0.01	%	0.01	%	0.01	%
	Total Annual Fund Operating Expenses	1.40	%	1.21	%	2.15	%	2.15	%	0.96	%	1.06	%	1.31	%	1.56	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.70% on assets up to $1 billion; 0.65% on assets from $1 billion to $2 billion; and 0.60% on assets in excess of $2 billion.

Example


Expenses After	Investor	Class A	Class B		Class C		Class I	Class R1	Class R2	Class R3
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 685	$ 667	$ 218	$ 718	$ 218	$ 318	$ 98	$ 108	$ 133	$ 159
3 Years	$ 969	$ 913	$ 673	$ 973	$ 673	$ 673	$ 306	$ 337	$ 415	$ 493
5 Years	$ 1,274	$ 1,178	$ 1,154	$ 1,354	$ 1,154	$ 1,154	$ 531	$ 585	$ 718	$ 850
10 Years	$ 2,137	$ 1,935	$ 2,292	$ 2,292	$ 2,483	$ 2,483	$ 1,178	$ 1,294	$ 1,579	$ 1,856

Portfolio Turnover

Principal Investment Strategies

The Fund invests approximately 60% of its assets (net assets plus any borrowings for investment purposes) in stocks and 40% of its assets in fixed-income securities (such as bonds) and cash equivalents. Although this 60/40 ratio may vary, under normal market conditions, the Fund will invest at least 25% of its assets in fixed-income securities.

MainStay Balanced Fund

The Fund may invest up to 20% of its net assets in foreign securities, but only in countries the Manager or Subadvisor considers stable and only in securities considered to be of high quality. The Fund may also invest in derivatives, such as futures and options, to try to enhance returns or reduce the risk of loss by hedging certain of its holdings. In times of unusual or adverse market, economic or political conditions, these securities may experience higher than normal default rates.

Under normal market conditions, the Manager and Subadvisor will seek to keep the portfolio fully invested rather than taking temporary cash positions with respect to their portions of the Fund's assets. The Manager and Subadvisor will sell a security if it becomes relatively overvalued, if better opportunities are identified, or if they determine that the initial investment expectations are not being met.

Equity Investment Process: Cornerstone Capital Management Holdings LLC, the Fund's Subadvisor, manages the equity portion of the Fund. The Subadvisor generally invests in mid-capitalization, value oriented stocks, but may also invest in large capitalization, value oriented stocks. The Subadvisor considers mid-capitalization stocks to be those with a market capitalization that, at the time of investment, are similar to the companies in the Russell Midcap ^{^®} Index (which ranged from $296.4 million to $25.1 billion as of December 31, 2012), the S&P MidCap 400 ^{^®} Index (which ranged from $403.7 million to $16.2 billion as of December 31, 2012), or a universe selected from the smallest 800 companies of the largest 1,000 companies, ranked by market capitalization. Mid-capitalization stocks are common stocks of mid-size U.S. companies that tend to be well known, and to have a large amount of stock outstanding compared to small-capitalization stocks.

"Value" stocks are stocks that the Subadvisor determines (1) have strong or improving fundamental characteristics and (2) have been overlooked by the marketplace so that they are undervalued or "underpriced" relative to the rest of the Fund's universe.

The Fund seeks to construct a broadly diversified portfolio across countries, sectors and industries using quantitative analysis to identify undervalued and overvalued securities. Investments are selected using an objective, disciplined and broadly-applied process, while seeking to limit exposure to risk.

Fixed-Income Investment Process: New York Life Investment Management LLC, the Fund's Manager, manages the fixed-income portion of the Fund. The Manager invests in U.S. government securities, mortgage-backed securities, asset-backed securities and investment grade bonds issued by U.S. corporations. It selects fixed-income securities based on their credit quality, duration and price. The fixed-income portion of the portfolio normally has an intermediate term duration that ranges from three to five years.

The Fund's investments may include variable rate notes, floaters and mortgage-related securities (including mortgage-backed) securities, which are debt securities whose values are based on underlying pools of mortgages, and asset-backed securities, which are debt securities whose values are based on underlying pools of credit receivables.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Manager and Subadvisor may not produce the desired results.

MainStay Balanced Fund

Mortgage-Backed/Asset-Backed Securities Risk: Prepayment risk is associated with mortgage-backed and asset-backed securities. If interest rates fall, the underlying debt may be repaid ahead of schedule, reducing the value of the Fund's investments. If interest rates rise, there may be fewer prepayments, which would cause the average bond maturity to rise, increasing the potential for the Fund to lose money. The value of these securities may be significantly affected by changes in interest rates, the market's perception of issuers, and the creditworthiness of the parties involved. The ability of the Fund to successfully utilize these instruments may depend on the ability of the Manager to forecast interest rates and other economic factors correctly. These securities may have a structure that makes their reaction to interest rate changes and other factors difficult to predict, making their value highly volatile.

Past Performance

The following bar chart and tables indicate some of the risks of investing in the Fund. The bar chart shows you how the Fund's calendar year performance has varied over the last ten years. Sales loads are not reflected in the bar chart. If they were, returns would be less than those shown. The average annual total returns table shows how the Fund's average annual total returns (before and after taxes) for the one-, five- and ten-year periods compare to those of two broad-based securities market indices, as well as a composite index. The Fund has selected the Russell Midcap ^{^®} Value Index as its primary benchmark. The Russell Midcap ^{^®} Value Index measures the performance of the mid-cap value segment of the U.S. equity universe. It includes those Russell Midcap ^{^®} Index companies with lower price-to-book ratios and lower forecasted growth values. The Fund has selected the Balanced Composite Index as a secondary benchmark. The Balanced Composite Index consists of the Russell Midcap ^{^®} Value Index and the Bank of America Merrill Lynch 1-10 Year U.S. Corporate & Government Index weighted 60%/40%, respectively. The Fund has selected the Bank of America Merrill Lynch 1-10 Year U.S. Corporate & Government Index as an additional benchmark. The Bank of America Merrill Lynch 1-10 Year U.S. Corporate & Government Index is a market capitalization-weighted index including U.S. government and fixed coupon domestic investment grade corporate bonds.

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class A, B, R1 and R2 shares, first offered on January 2, 2004, include the historical performance of Class I shares through January 1, 2004. Performance figures for Class R3 shares, first offered to the public on April 28, 2006, include the historical performance of Class I shares through April 27, 2006. Performance figures for Class C shares, first offered on January 2, 2004, include the historical performance of the L Class shares (which were redesignated as Class C shares on January 2, 2004) from December 30, 2002 through January 1, 2004 and the historical performance of the Class I shares through December 29, 2002. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008. Performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

MainStay Balanced Fund

Annual Returns, Class I Shares

(by calendar year 2003-2012)


Best Quarter
2Q/09	13.23	%
Worst Quarter
4Q/08	-13.31	%

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	5.57	%	2.10	%	6.12	%
Class A	5.78	%	2.26	%	6.21	%
Class B	5.85	%	2.10	%	5.93	%
Class C	9.86	%	2.47	%	5.94	%
Class I	12.23	%	3.72	%	7.17	%
Class R1	12.06	%	3.60	%	7.05	%
Class R2	11.82	%	3.35	%	6.79	%
Class R3	11.56	%	3.10	%	6.52	%
Return After Taxes on Distributions
Class I	11.89	%	3.35	%	6.40	%
Return After Taxes on Distributions and Sale of Fund Shares
Class I	8.14	%	3.04	%	5.99	%
Russell Midcap ^{^®} Value Index (reflects no deductions for fees, expenses, or taxes)	18.51	%	3.79	%	10.63	%
Balanced Composite Index (reflects no deductions for fees, expenses, or taxes)	12.74	%	5.04	%	8.62	%
Bank of America Merrill Lynch 1-10 Year U.S. Corporate & Government Index (reflects no deductions for fees, expenses, or taxes)	4.24	%	5.19	%	4.61	%

After-tax returns are calculated using the highest individual federal marginal income tax rates in effect at the time of each distribution or capital gain or upon the sale of fund shares, and do not reflect the impact of state and local taxes. In some cases, the return after taxes may exceed the return before taxes due to an assumed tax benefit from any losses on a sale of shares at the end of the measurement period. Actual after-tax returns depend on your tax situation and may differ from those shown. After-tax returns are not relevant if you hold your shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts. After-tax returns shown are for Class I shares. After-tax returns for the other share classes may vary.

Management

New York Life Investment Management LLC serves as the Fund's Manager, oversees the investment portfolio of the Fund, and is responsible for the day-to-day portfolio management of the fixed-income portion of the Fund. Cornerstone Capital Management Holdings LLC serves as the Fund's Subadvisor and is responsible for the day-to-day portfolio management of the equity portion of the Fund.


Manager/Subadvisor	Portfolio Managers	Service Date
New York Life Investment Management LLC	Jae S. Yoon, Senior Managing Director	Since 2011
	Thomas J. Girard, Senior Managing Director	Since 2008
	Donald F. Serek, Managing Director	Since 2012
	George S. Cherpelis, Senior Director	Since 2012
Cornerstone Capital Management Holdings LLC	Andrew Ver Planck, Senior Vice President	Since February 2013

MainStay Balanced Fund

How to Purchase and Sell Shares

Tax Information

Compensation to Financial Intermediary Firms

MainStay Convertible Fund

Investment Objective

The Fund seeks capital appreciation together with current income.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class B		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.60	%	0.60	%	0.60	%	0.60	%	0.60	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None
	Other Expenses	0.37	%	0.15	%	0.37	%	0.37	%	0.15	%
	Total Annual Fund Operating Expenses	1.22	%	1.00	%	1.97	%	1.97	%	0.75	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.60% on assets up to $500 million; 0.55% on assets from $500 million up to $1 billion; and 0.50% on assets in excess of $1 billion, plus a fee for fund accounting services previously provided by New York Life Investment Management LLC under a separate fund accounting agreement. This addition to the management fee amounted to 0.01% of the Fund's average daily net assets, but did not result in a net increase in Total Annual Fund Operating Expenses.

Example


Expenses After	Investor	Class A	Class B		Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 667	$ 646	$ 200	$ 700	$ 200	$ 300	$ 77
3 Years	$ 916	$ 851	$ 618	$ 918	$ 618	$ 618	$ 240
5 Years	$ 1,183	$ 1,072	$ 1,062	$ 1,262	$ 1,062	$ 1,062	$ 417
10 Years	$ 1,946	$ 1,707	$ 2,102	$ 2,102	$ 2,296	$ 2,296	$ 930

Portfolio Turnover

Principal Investment Strategies

The Fund, under normal circumstances, invests at least 80% of its assets (net assets plus any borrowings for investment purposes) in "convertible securities" such as bonds, debentures, corporate notes, and preferred stocks or other securities that are convertible into common stock or the cash value of a stock or a basket or index of equity securities. The balance of the Fund may be invested or held in non-convertible debt, equity securities that do not pay regular dividends, U.S. government securities, and cash or cash equivalents.

MainStay Convertible Fund

Investment Process: The Fund takes a flexible approach by investing in a broad range of securities of a variety of companies and industries. The Fund invests in investment grade and below investment grade debt securities. Below investment grade securities are generally securities that receive low ratings from an independent rating agency, such as rated lower than BBB- by Standard & Poor's ("S&P") and Baa3 by Moody's Investors Service, Inc. ("Moody's"), or if unrated, are determined to be of equivalent quality by MacKay Shields LLC, the Fund's Subadvisor. Some securities that are rated below investment grade by independent rating agencies are commonly referred to as "junk bonds." The Subadvisor may also invest without restriction in securities with lower ratings from an independent rating agency, such as within the rating category of BB or B by S&P or Ba or B by Moody's. If independent rating agencies assign different ratings to the same security, the Fund will use the lower rating for purposes of determining the security's credit quality.

In selecting convertible securities for purchase or sale, the Subadvisor takes into account a variety of investment considerations, including the potential return of the common stock into which the convertible security is convertible, credit risk, projected interest return, and the premium for the convertible security relative to the underlying common stock.

The Fund may also invest in "synthetic" convertible securities, which are derivative positions composed of two or more securities whose investment characteristics, taken together, resemble those of traditional convertible securities. Unlike traditional convertible securities whose conversion values are based on the common stock of the issuer of the convertible security, "synthetic" and "exchangeable" convertible securities are preferred stocks or debt obligations of an issuer which are structured with an embedded equity component whose conversion value is based on the value of the common stocks of one or more different issuers or a particular benchmark (which may include indices, baskets of domestic stocks, commodities, a foreign issuer or basket of foreign stocks, or a company whose stock is not yet publicly traded). The value of a synthetic convertible is the sum of the values of its preferred stock or debt obligation component and its convertible component.

The Fund may invest in foreign securities, which are securities issued by companies organized outside the U.S. and traded primarily in markets outside the U.S.

The Subadvisor may sell a security if it no longer believes the security will contribute to meeting the investment objective of the Fund. In considering whether to sell a security, the Subadvisor may evaluate, among other things, the condition of the economy, meaningful changes in the issuer's financial condition, changes in credit risk, and changes in projected interest return.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisor may not produce the desired results.

Synthetic Convertible Securities Risk: The values of a synthetic convertible and a true convertible security may respond differently to market fluctuations. In addition, in purchasing a synthetic convertible security, the Fund may have counterparty (including counterparty credit) risk with respect to the financial institution or investment bank that offers the instrument.

Debt Securities Risk: The risks of investing in debt securities include (without limitation): (i) credit risk, i.e., the issuer may not repay the loan created by the issuance of that debt security; (ii) maturity risk, i.e., a debt security with a longer maturity may fluctuate in value more than one with a shorter maturity; (iii) market risk, i.e., low demand for debt securities may negatively impact their price; (iv) interest rate risk, i.e., when interest rates go up, the value of a debt security goes down, and when interest rates go down, the value of a debt security goes up; (v) selection risk, i.e., the securities selected by the Subadvisor may underperform the market or other securities selected by other funds; and (vi) call risk, i.e., during a period of falling interest rates, the issuer may redeem a security by repaying it early, which may reduce the Fund's income if the proceeds are reinvested at lower interest rates.

MainStay Convertible Fund

increased risk of loss. These securities can also be subject to greater price volatility. In times of unusual or adverse market, economic or political conditions, these securities may experience higher than normal default rates.

Past Performance

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008. Performance figures for Class I shares, first offered on November 28, 2008, include historical performance of Class B shares through November 27, 2008. Performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class B Shares

(by calendar year 2003-2012)


Best Quarter
3Q/09	14.57	%
Worst Quarter
4Q/08	-17.45	%

MainStay Convertible Fund

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	3.04	%	1.56	%	6.54	%
Class A	3.28	%	1.77	%	6.64	%
Class B	3.17	%	1.61	%	6.35	%
Class C	7.17	%	1.96	%	6.34	%
Class I	9.55	%	3.16	%	7.51	%
Return After Taxes on Distributions
Class B	2.06	%	0.88	%	5.78	%
Return After Taxes on Distributions and Sale of Fund Shares
Class B	3.01	%	1.11	%	5.41	%
Bank of America Merrill Lynch All U.S. Convertible Index (reflects no deductions for fees, expenses, or taxes)	14.96	%	4.06	%	7.31	%

Management

New York Life Investment Management LLC serves as the Fund's Manager. MacKay Shields LLC serves as the Fund's Subadvisor.


Subadvisor	Portfolio Manager	Service Date
MacKay Shields LLC	Edward Silverstein, Senior Managing Director	Since 2001

How to Purchase and Sell Shares

Tax Information

Compensation to Financial Intermediary Firms

MainStay Income Builder Fund

Investment Objective

The Fund seeks current income consistent with reasonable opportunity for future growth of capital and income.

Fees and Expenses of the Fund

The table below describes the fees and expenses that you may pay if you buy and hold shares of the Fund. You may qualify for sales charge discounts if you and your family invest, or agree to invest in the future, at least $50,000 in the MainStay Funds. This amount may vary depending on the MainStay Fund in which you invest. More information about these and other discounts is available from your financial professional and in the "Information on Sales Charges" section starting on page 104 of the Prospectus and in the "Alternative Sales Arrangements" section on page 103 of the Statement of Additional Information.


		Investor Class		Class A		Class B		Class C		Class I
Shareholder Fees (fees paid directly from your investment)
	Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of offering price)	5.50	%	5.50	%	None		None		None
	Maximum Deferred Sales Charge (Load) (as a percentage of the lesser of the original offering price or redemption proceeds)	None	¹	None	¹	5.00	%	1.00	%	None
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
	Management Fees (as an annual percentage of the Fund's average daily net assets) ²	0.64	%	0.64	%	0.64	%	0.64	%	0.64	%
	Distribution and/or Service (12b-1) Fees	0.25	%	0.25	%	1.00	%	1.00	%	None
	Other Expenses	0.48	%	0.17	%	0.48	%	0.48	%	0.17	%
	Total Annual Fund Operating Expenses	1.37	%	1.06	%	2.12	%	2.12	%	0.81	%

1. A contingent deferred sales charge of 1.00% may be imposed on certain redemptions made within one year of the date of purchase on shares that were purchased without an initial sales charge.

2. The management fee is as follows: 0.64% on assets up to $500 million; 0.60% on assets from $500 million up to $1 billion; and 0.575% on assets in excess of $1 billion, plus a fee for fund accounting services previously provided by New York Life Investment Management LLC under a separate fund accounting agreement. This addition to the management fee amounted to 0.01% of the Fund's average daily net assets, but did not result in a net increase in Total Annual Fund Operating Expenses.

Example


Expenses After	Investor	Class A	Class B		Class C		Class I
	Class		Assuming no redemption	Assuming redemption at end of period	Assuming no redemption	Assuming redemption at end of period
1 Year	$ 682	$ 652	$ 215	$ 715	$ 215	$ 315	$ 83
3 Years	$ 960	$ 869	$ 664	$ 964	$ 664	$ 664	$ 259
5 Years	$ 1,259	$ 1,103	$ 1,139	$ 1,339	$ 1,139	$ 1,139	$ 450
10 Years	$ 2,106	$ 1,773	$ 2,261	$ 2,261	$ 2,452	$ 2,452	$ 1,002

Portfolio Turnover

Principal Investment Strategies

The Fund normally invests a minimum of 30% of its net assets in equity securities and a minimum of 30% of its net assets in debt securities. From time to time, the Fund may temporarily invest slightly less than 30% of its net assets in equity or debt securities as a result of market conditions, individual securities transactions or cash flow considerations.

MainStay Income Builder Fund

Asset Allocation Investment Process: Asset allocation decisions are made by MacKay Shields LLC ("MacKay Shields"), the Subadvisor for the fixed-income portion of the Fund, based on the relative values of each asset class, inclusive of the ability of each asset class to generate income. As part of these asset allocation decisions, MacKay Shields may use equity index futures to add exposure to the equity markets. Neither equity index futures nor fixed-income futures are counted toward the Fund's total equity or fixed-income exposures, respectively.

Equity Investment Process: Epoch Investment Partners, Inc. ("Epoch"), the Subadvisor for the equity portion of the Fund, invests primarily in companies that generate increasing levels of free cash flow and have managements that use it to create returns for shareholders.

The security selection process focuses on free-cash-flow analytics as opposed to traditional accounting-based metrics. Epoch seeks to identify companies with a consistent, straightforward ability to both generate free cash flow and to intelligently allocate it among internal reinvestment opportunities, acquisitions, dividends, share repurchases and/or debt reductions.

Epoch seeks to find and invest in companies that meet its definition of quality-companies that are free cash flow positive or becoming free cash flow positive, that are debt free or deleveraging, and that are led by strong management. Epoch evaluates whether a company has a focus on shareholder yield by analyzing the company's existing cash dividend, the company's share repurchase activities, and the company's debt reduction activities as well as the likelihood of positive changes to each of these criteria, among other factors.

Debt Investment Process: The Fund may invest in investment grade and below investment grade debt securities of varying maturities. In pursuing the Fund's investment objective, the Fund may invest up to 30% of its net assets in debt securities that MacKay Shields believes may provide capital appreciation in addition to income and are rated below investment grade by an independent rating agency, such as Standard & Poor's or Moody's Investor Service, Inc., or if unrated, deemed to be of comparable creditworthiness by MacKay Shields. For purposes of this limitation, both the percentage and rating are counted at the time of purchase. If independent rating agencies assign different ratings to the same security, the Fund will use the higher rating for purposes of determining the security's credit quality. Some securities that are rated below investment grade by independent rating agencies are commonly referred to as "junk bonds."

The Fund maintains a flexible approach by investing in a broad range of securities, which may be diversified by company, industry and type.

Principal debt investments include U.S. government securities, domestic and foreign debt securities, mortgage-related and asset-backed securities and floating rate loans. The Fund may also enter into mortgage dollar roll and to-be-announced ("TBA") securities transactions.

The Fund may also invest in convertible securities such as bonds, debentures, corporate notes and preferred stocks or other securities that are convertible into common stock or the cash value of a stock or a basket or index of equity securities.

Investments Across the Fund : The Fund may invest in derivatives, such as futures, options, forward commitments and swap agreements, to try to enhance returns or reduce the risk of loss by hedging certain of its holdings. The Fund also may use fixed-income futures for purposes of managing duration and yield curve exposures. The Fund may invest up to 10% of its total assets in swaps, including credit default swaps.

The Subadvisors may sell a security if they no longer believe the security will contribute to meeting the investment objective of the Fund. In considering whether to sell a debt security, MacKay Shields may evaluate, among other things, deterioration in the issuer's credit quality. Epoch may sell or reduce a position in a security if among other things, it sees an interruption to the dividend policy, a deterioration in fundamentals or when the security is deemed less attractive relative to another security on a return/risk basis. Epoch may also sell or reduce a position in a security when it believes its investment objectives have been met or if it sees the investment thesis is failing to materialize.

Principal Risks

Loss of Money Risk: Before considering an investment in the Fund, you should understand that you could lose money.

Management Risk: The investment strategies, practices and risk analysis used by the Subadvisors may not produce the desired results.

Debt Securities Risk: The risks of investing in debt securities include (without limitation): (i) credit risk, i.e., the issuer may not repay the loan created by the issuance of that debt security; (ii) maturity risk, i.e., a debt security with a longer maturity may fluctuate in value more than one with a shorter maturity; (iii) market risk, i.e., low demand for debt securities may negatively impact their price; (iv) interest rate risk, i.e., when interest rates go up, the value of a debt security goes down, and when interest rates go down, the value of a debt security goes up; (v) selection risk, i.e., the securities selected by the Subadvisor may underperform the market or other securities selected by other funds; and (vi) call risk, i.e., during a period of falling interest rates, the issuer may redeem a security by repaying it early, which may reduce the Fund's income if the proceeds are reinvested at lower interest rates.

MainStay Income Builder Fund

been used. Due to fluctuations in the price of the underlying security, the Fund may not be able to profitably exercise an option and may lose its entire investment in an option. Forward commitments entail the risk that the instrument may be worth less when it is issued or received than the price the Fund agreed to pay when it made the commitment. The use of foreign currency forwards may result in currency exchange losses due to fluctuations in currency exchange rates or an imperfect correlation between portfolio holdings denominated in a particular currency and the forward contracts entered into by the Fund.

Past Performance

The following bar chart and tables indicate some of the risks of investing in the Fund. The bar chart shows you how the Fund's calendar year performance has varied over the last ten years. Sales loads are not reflected in the bar chart. If they were, returns would be less than those shown. The average annual total returns table shows how the Fund's average annual total returns (before and after taxes) for the one-, five- and ten-year periods compare to those of three broad-based securities market indices as well as a composite index. The Fund has selected the MSCI World Index as its primary benchmark. The MSCI World Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets. The Fund has selected the Russell 1000 ^{^®} Index as a secondary benchmark. The Russell 1000 ^{^®} Index measures the performance of the large-cap segment of the U.S. equity universe. It is a subset of the Russell 3000 ^{^®} Index and includes approximately 1,000 of the largest securities based on a combination of their market cap and current index membership. The Russell 1000 ^{^®} Index represents approximately 92% of the U.S. market. The Fund has selected the Income Builder Composite Index as an additional benchmark. The Income Builder Composite Index consists of the MSCI World Index and the Barclays U.S. Aggregate Bond Index weighted 50%/50%, respectively. The Fund has selected the Barclays U.S. Aggregate Bond Index as an additional benchmark. The Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable rate mortgage pass-through), asset-backed securities, and commercial mortgage-backed securities.

Performance data for the classes varies based on differences in their fee and expense structures. Performance figures for Class I shares, first offered on January 2, 2004, include the historical performance of Class B shares through January 1, 2004. Performance figures for Investor Class shares, first offered on February 28, 2008, include the historical performance of Class A shares through February 27, 2008. The performance for newer share classes is adjusted for differences in fees and expenses. Unadjusted, the performance shown for the newer classes would likely have been different. Past performance (before and after taxes) is not necessarily an indication of how the Fund will perform in the future. Please visit mainstayinvestments.com for more recent performance information.

Annual Returns, Class B Shares

(by calendar year 2003-2012)


Best Quarter
3Q/10	9.82	%
Worst Quarter
4Q/08	-14.22	%

MainStay Income Builder Fund

Average Annual Total Returns (for the periods ended December 31, 2012)


	1 Year		5 Years		10 Years
Return Before Taxes
Investor Class	7.91	%	2.51	%	5.89	%
Class A	8.26	%	2.78	%	6.02	%
Class B	8.33	%	2.53	%	5.70	%
Class C	12.29	%	2.88	%	5.68	%
Class I	14.82	%	4.24	%	7.04	%
Return After Taxes on Distributions
Class B	7.58	%	1.93	%	4.88	%
Return After Taxes on Distributions and Sale of Fund Shares
Class B	5.75	%	1.89	%	4.72	%
MSCI World Index (reflects no deductions for fees, expenses, or taxes)	15.83	%	-1.18	%	7.51	%
Russell 1000 ^{^®} Index (reflects no deductions for fees, expenses, or taxes)	16.42	%	1.92	%	7.52	%
Income Builder Composite Index (reflects no deductions for fees, expenses, or taxes)	10.13	%	2.89	%	6.70	%
Barclays U.S. Aggregate Bond Index (reflects no deductions for fees, expenses, or taxes)	4.22	%	5.95	%	5.18	%

Management

New York Life Investment Management LLC serves as the Fund's Manager. Epoch Investment Partners, Inc. serves as Subadvisor for the Fund's equity investments. MacKay Shields LLC serves as Subadvisor for the Fund's fixed-income investments, and is responsible for the overall asset allocation decisions for the Fund.


Subadvisors	Portfolio Managers	Service Date
MacKay Shields LLC	Dan Roberts, Senior Managing Director	Since 2009
	Michael Kimble, Managing Director	Since 2009
	Louis N. Cohen, Managing Director	Since 2010
	Taylor Wagenseil, Managing Director	Since 2010
Epoch Investment Partners, Inc.	Eric Sappenfield, Managing Director	Since 2009
	William Priest, Chief Executive Officer & Co-Chief Investment Officer	Since 2009
	Michael Welhoelter, Managing Director	Since 2009

How to Purchase and Sell Shares

Tax Information

MainStay Income Builder Fund

Compensation to Financial Intermediary Firms

More About Investment Strategies and Risks

Information about each Fund's objective, principal investment strategies, investment practices and principal risk factors appears in the relevant summary sections for each Fund at the beginning of this Prospectus. The information below describes in greater detail the investments, investment practices and other risks pertinent to the Funds. Some of the Funds may use the investments/strategies discussed below more than other Funds.

American Depositary Receipts ("ADRs")

Brady Bonds

Brady Bonds are securities created through the exchange of existing commercial bank loans to foreign sovereign entities for new obligations in connection with debt restructurings. They are subject to the risks of foreign securities.

Closed-End Funds

The Funds may invest in shares of closed-end funds. Closed-end funds are investment companies that generally do not continuously offer their shares for sale. Rather, closed-end funds typically trade on a secondary market, such as the New York Stock Exchange (“Exchange”) or the NASDAQ Stock Market, Inc. ("NASDAQ"). Closed-end funds are subject to management risk because the adviser to the closed-end fund may be unsuccessful in meeting the fund's investment objective. Moreover, investments in a closed-end fund generally reflect the risks of the closed-end fund's underlying portfolio of securities. Closed-end funds may also trade at a discount or premium to their net asset value ("NAV") and may trade at a larger discount or smaller premium subsequent to their purchase by a Fund. Closed-end funds may trade infrequently and with small volume, which may make it difficult for a Fund to buy and sell shares. Closed-end funds are subject to management fees and other expenses that may increase their cost versus the costs of owning the underlying securities. Since closed-end funds trade on exchanges, a Fund may also incur brokerage expenses and commissions when it buys or sells closed-end fund shares.

California State Specific Risk

The MainStay California Tax Free Opportunities Fund invests primarily in municipal bonds issued by or on behalf of the State of California and its political subdivisions, agencies, authorities and instrumentalities. As a result, the Fund is more exposed to the risks affecting issuers of California municipal bonds than is a municipal bond fund that invests more widely.

Most local government agencies within the State, particularly counties, continue to face budget constraints due to limited taxing powers, mandated expenditures for health, welfare and public safety and a weakened economy, among other factors. State and local governments are limited in their ability to levy and raise property taxes and other forms of taxes, fees or assessments, and in their ability to appropriate their tax revenues by a series of constitutional amendments enacted by voter initiatives since 1978. Individual local governments may also have local initiatives that affect their fiscal flexibility. The major sources of revenues for local government, property taxes and sales taxes, as well as fees based on real estate development, have all been adversely impacted by the economic recession. Unfunded pension and other post-retirement liabilities also weigh heavily upon the State as well as many local jurisdictions.

California’s current economic problems heighten the risk of investing in bonds issued by the State and its political subdivisions, agencies, authorities and instrumentalities, including the risk of potential issuer default. There is a heightened risk that there could be an interruption in payments to bondholders in some cases. This possibility, along with the risk of a downgrade in the credit rating of the State’s general obligation debt, could result in a reduction in the market value of the bonds held by the Fund, which could adversely affect the Fund’s NAV or the distributions paid by the Fund.

Convertible Securities

Convertible securities, until converted, have the same general characteristics as debt securities insofar as they generally provide a stable stream of income with generally higher yields than those of equity securities of the same or similar issuers. By permitting the holder to exchange an investment for common stock or the cash value of a security or a basket or index of securities, convertible securities may also enable the investor to benefit from increases in the market price of the underlying securities. Therefore, convertible securities generally offer lower interest or dividend yields than non-convertible securities of similar quality.

More About Investment Strategies and Risks

Debt Securities

The risks involved with investing in debt securities include (without limitation):

· Maturity risk: A debt security with a longer maturity may fluctuate in value more than a debt security with a shorter maturity. Therefore, the NAV of a Fund that holds debt securities with a longer average maturity may fluctuate in value more than the NAV of a Fund that holds debt securities with a shorter average maturity.

· Market risk: Like other securities, debt securities are subject to the forces of supply and demand. Low demand may negatively impact the price of a debt security.

A laddered maturity schedule means a portfolio is structured so that a certain percentage of the securities will mature each year. This helps the Fund manage duration and risk, and attempts to create a more consistent return.

Derivative Transactions

The Funds may enter into derivative transactions, or "derivatives," which may include options, forwards, futures, options on futures and swap agreements. The value of derivatives is based on certain underlying equity or fixed-income securities, interest rates, currencies or indices. The use of these transactions is a highly specialized activity that involves investment techniques, tax planning and risks that are different from those of ordinary securities transactions. Derivatives may be hard to sell at an advantageous price or time and typically are very sensitive to changes in the underlying security, interest rate, currency or index. As a result, derivatives can be highly volatile. If the Manager or the Subadvisor is incorrect about its expectations of changes in interest rates or market conditions, the use of derivatives could result in a loss, which in some cases may be unlimited. When using derivatives, there is a risk that a Fund will lose money if the contract counterparty does not make the required payments or otherwise fails to comply with the terms of the contract. In the event of the bankruptcy or insolvency of a counterparty, the Fund could experience the loss of some or all of its investment or experience delays in liquidating its positions, including declines in the value of its investment during the period in which the Fund seeks to enforce its rights, and an inability to realize any gains on its investment during such period. A Fund may also incur fees and expenses in enforcing its rights. In addition, certain derivative transactions can result in leverage. Leverage involves investment exposure in an amount exceeding the initial investment. Leverage can cause increased volatility by magnifying gains or losses. Investments in derivatives may cause a Fund, including the Municipal Bond Funds, to gain income that is taxable when distributed to shareholders. As investment companies registered with the Securities and Exchange Commission ("SEC"), the Funds must maintain reserves of liquid assets to "cover" obligations with respect to certain kinds of derivative instruments.

Emerging Markets

More About Investment Strategies and Risks

Practices in relation to settlement of securities transactions in emerging markets involve higher risks than those in developed markets, in part because a Fund will need to use brokers and counterparties that are less well capitalized, and custody and registration of assets in some countries may be unreliable. The possibility of fraud, negligence, undue influence being exerted by the issuer or refusal to recognize ownership exists in some emerging markets, and, along with other factors, could result in ownership registration being completely lost. The Fund would absorb any loss resulting from such registration problems and may have no successful claim for compensation. In addition, communications between the U.S. and emerging market countries may be unreliable, increasing the risk of delayed settlements or losses of security certificates.

Equity Securities

Certain Funds may invest in equity securities for capital appreciation or other reasons. Publicly held corporations may raise needed cash by issuing or selling equity securities to investors. When a Fund buys the equity securities of a corporation it becomes a part owner of the issuing corporation. Equity securities may be bought on domestic stock exchanges, foreign stock exchanges, or in the over-the-counter market. There are many different types of equity securities, including (without limitation) common stocks, preferred stocks, ADRs, and real estate investment trusts.

· Changing economic conditions: Equity securities may fluctuate as a result of general economic conditions, including changes in interest rates.

Exchange Traded Funds (“ETFs”)

Floating Rate Loans

Floating rate loans incur some of the same risks as other debt securities, such as prepayment risk, credit risk, interest rate risk and risk found with high-yield securities.

Floating rate loans are subject to the risk that the scheduled interest or principal payments will not be paid. Lower-quality loans (those of less than investment grade quality) involve greater risk of default on interest and principal payments than higher quality loans. In the event that a non-payment occurs, the value of that obligation likely will decline. In turn, the NAV of a Fund's shares also will decline. Generally, the lower the rating category, the more risky the investment.

More About Investment Strategies and Risks

Although the floating rate loans in which a Fund invests are generally speculative, they are generally subject to less credit risk than debt securities rated below investment grade, as they have features that such debt securities generally do not have. They are typically senior obligations of the borrower or issuer, are typically secured by collateral, and generally are subject to certain restrictive covenants in favor of the lenders or security holders that invest in them. Floating rate loans are usually issued in connection with a financing or corporate action (such as leveraged buyout loans, leveraged recapitalizations and other types of acquisition financing). In such highly leveraged transactions, the borrower assumes large amounts of debt in order to have the financial resources to attempt to achieve its business objectives. As such, floating rate loans are part of highly leveraged transactions and involve a significant risk that the borrower may default or go into bankruptcy. In times of unusual or adverse market, economic or political conditions, floating rate loans may experience higher than normal default rates.

A Fund will typically purchase loans via assignment, which makes the Fund a direct lender. However, a Fund may also invest in floating rate loans by purchasing a participation interest. See "Loan Participation Interests."

A Fund also may be in possession of material non-public information about a borrower as a result of its ownership of a floating rate instrument of such borrower. Because of prohibitions on trading in securities of issuers while in possession of such information, a Fund might be unable to enter into a transaction in a publicly-traded security of that borrower when it would otherwise be advantageous to do so.

Foreign Securities

Many of the foreign securities in which the Funds invest will be denominated in foreign currency. Changes in foreign currency exchange rates will affect the value of securities denominated or quoted in foreign currencies. Exchange rate movements can be large and can endure for extended periods of time, affecting either favorably or unfavorably the value of the Funds’ assets. However, a Fund may engage in foreign currency transactions to attempt to protect itself against fluctuations in currency exchange rates in relation to the U.S. dollar. See "Risk Management Techniques" below.

Futures Transactions

A Fund may purchase and sell single stock futures or stock index futures to hedge the equity portion of its investment portfolio with regard to market (systemic) risk or to gain market exposure to that portion of the market represented by the futures contracts. A Fund may also purchase and sell other futures when deemed appropriate, in order to hedge the equity or non-equity portions of its portfolio. In addition, to the extent that it invests in foreign securities, and subject to any applicable restriction on the Funds' ability to invest in foreign currencies, each Fund may enter into contracts for the future delivery of foreign currencies to hedge against changes in currency exchange rates. Subject to compliance with applicable rules and restrictions, the Funds also may enter into futures contracts traded on foreign futures exchanges.

More About Investment Strategies and Risks

High-Yield Securities

High-yield or non-investment grade securities (commonly referred to as "junk bonds") are typically rated below investment grade by one or more independent rating agencies, such as S&P or Moody’s, or, if not rated, are determined to be of equivalent quality by the Manager or Subadvisor and are sometimes considered speculative.

Investments in high-yield securities or junk bonds involve special risks in addition to the risks associated with investments in higher rated securities. High-yield securities may be regarded as predominantly speculative with respect to the issuer's continuing ability to meet principal and interest payments. Moreover, such securities may, under certain circumstances, be less liquid than higher rated securities. In times of unusual or adverse market, economic or political conditions, these securities may experience higher than normal default rates.

Illiquid and Restricted Securities

A Fund's investments may include illiquid securities or restricted securities. The principal risk of investing in illiquid and restricted securities is that they may be difficult to sell.

Securities and other investments purchased by a Fund that are liquid at the time of purchase may subsequently become illiquid due to events relating to the issuer of the securities, market events, economic conditions or investor perceptions. Domestic and foreign markets are becoming more and more complex and interrelated, so that events in one sector of the market or the economy or in one geographical region, can reverberate and have negative consequences for other market, economic or regional sectors in a manner that may not be reasonably foreseen. With respect to over-the-counter traded securities, the continued viability of any over-the-counter secondary market depends on the continued willingness of dealers and other participants to purchase the securities.

If one or more instruments in a Fund's portfolio become illiquid, a Fund may exceed its limit on illiquid instruments. In the event that this occurs, the Fund must take steps to bring the aggregate amount of illiquid instruments back within the prescribed limitations as soon as reasonably practicable. This requirement would not force a Fund to liquidate any portfolio instrument where the Fund would suffer a loss on the sale of that instrument. Where no clear indication of the value of a particular investment is available, the investment will be valued at its fair value according to valuation procedures approved by the Funds' Boards. These cases include, among others, situations where the secondary markets on which a security has previously been traded are no longer viable for lack of liquidity. The value of illiquid securities may reflect a discount, which may be significant, from the market price of comparable securities for which a liquid market exists, and thus negatively affect a Fund's NAV. For more information on fair valuation, please see "Fair Valuation and Portfolio Holdings Disclosure."

Restricted securities are securities that are sold only through negotiated private transactions and not to the general public, due to certain restrictions imposed by federal securities laws.

Initial Public Offerings ("IPOs")

Investment Policies and Objectives

Certain of the Funds have names which suggest a focus on a particular type of investment. In accordance with Rule 35d-1 under the Investment Company Act of 1940, as amended (the “1940 Act”), each of these Funds has adopted a policy that it will, under normal circumstances, invest at least 80% of the value of its assets (net assets plus the amount of any borrowings for investment purposes) in investments of the type suggested by its name, as set forth in that Fund's Principal Investment Strategies section. This requirement is applied at the time a Fund invests its assets. If, subsequent to an investment by a Fund, this requirement is no longer met, the Fund's future investments will be made in a manner that will bring the Fund into compliance with this requirement. In addition, in appropriate circumstances, synthetic investments may count toward the 80% minimum if they have economic characteristics similar to the other investments included in the basket. Except with respect to the MainStay California Tax Free Opportunities Fund, MainStay High Yield Municipal Bond Fund, MainStay New York Tax Free Opportunities Fund and the MainStay Tax Free Bond Fund, a Fund's policy to invest at least 80% of its assets in such a manner is "non-fundamental," which means that it may be changed without the vote of a majority of the Fund's outstanding shares as defined in the 1940 Act. The Funds have adopted a policy to provide a Fund's shareholders with at least 60 days' prior notice of any changes in a Fund's non-fundamental investment policy with respect to investments of the type suggested by its name.

The MainStay California Tax Free Opportunities Fund, MainStay High Yield Municipal Bond Fund, MainStay New York Tax Free Opportunities Fund and the MainStay Tax Free Bond Fund also have names which suggest a focus on a particular type of investment (MainStay High Yield Municipal Bond Fund's name suggests investment in municipal bonds; however Rule 35d-1 does not apply to the "High Yield" portion of the Fund's name). In accordance with Rule 35d-1, each of these Funds (except the MainStay California Tax Free Opportunities Fund and MainStay New York Tax Free Opportunities Fund) has adopted a policy that it will invest at least 80% of the value of its assets in investments the income from which is exempt from federal income tax. In accordance with Rule 35d-1, the MainStay California Tax Free Opportunities Fund and MainStay New York Tax Free Opportunities Fund each have adopted a policy that it will invest

More About Investment Strategies and Risks

at least 80% of the value of its assets in municipal bonds, whose interest is, in the opinion of bond counsel for the issuers at the time of issuance, exempt from federal and California and New York income taxes, respectively. The investment policy of MainStay California Tax Free Opportunities Fund, MainStay High Yield Municipal Bond Fund, MainStay New York Tax Free Opportunities Fund and the MainStay Tax Free Bond Fund to invest at least 80% of its assets in such a manner is "fundamental," which means that it may not be changed without the vote of a majority of the respective Fund's outstanding shares as defined in the 1940 Act.

A Fund may invest its net assets in ETFs whose underlying securities are similar to those in which the Fund may invest directly, and count such holdings toward various guideline tests (such as the 80% test required under Rule 35d-1 under the 1940 Act).

Large Transaction Risks

Lending of Portfolio Securities

Although not considered to be a principal investment strategy at this time, all of the Funds may lend their portfolio securities. Portfolio securities may be loaned to brokers, dealers and financial institutions to realize additional income under guidelines adopted by the Funds' Boards. A risk of lending portfolio securities, as with other extensions of credit, is the possible loss of rights in the collateral should the borrower fail financially. In determining whether to lend securities, the Manager, the Subadvisors, or its/their agent, will consider all relevant facts and circumstances, including the creditworthiness of the borrower.

Liquidity

Certain Funds are subject to liquidity risk. Liquidity risk exists when particular investments are difficult to purchase or sell, possibly preventing the Funds from selling these illiquid securities at an advantageous time or price. The Funds with principal investment strategies that involve securities of companies with smaller market capitalizations, foreign securities, derivatives or securities with substantial market and/or credit risk tend to have the greatest exposure to liquidity risk.

Loan Participation Interests

Loan participation interests, also referred to as Participations, are fractional interests in an underlying corporate loan and may be purchased from an agent bank, co-lenders or other holders of Participations. There are three types of Participations which a Fund may purchase. A Participation in a novation of a corporate loan involves a Fund assuming all of the rights of the lender in a corporate loan, including the right to receive payments of principal and interest and other amounts directly from the borrower and to enforce its rights as a lender directly against the borrower. Second, a Fund may purchase a Participation in an assignment of all or a portion of a lender's interest in a corporate loan, in which case the Fund may be required generally to rely on the assigning lender to demand payment and to enforce its rights against the borrower, but would otherwise be entitled to all of such lender's rights in the underlying corporate loan. Third, a Fund may also purchase a Participation in a portion of the rights of a lender in a corporate loan, in which case, a Fund will be entitled to receive payments of principal, interest and fees, if any, but generally will not be entitled to enforce its rights against the agent bank or borrower. The Fund must rely on the lending institution for that purpose.

Mid-Cap and Small-Cap Stocks

Mortgage Dollar Roll Transactions

In a mortgage dollar roll transaction, a Fund sells a mortgage-backed security from its portfolio to another party and agrees to buy a similar security from the same party at a set price at a later date.

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Mortgage-Related and Asset-Backed Securities

Mortgage-related (including mortgage-backed) and asset-backed securities are securities whose values are based on underlying pools of loans or other assets that may include interests in pools of lower-rated debt securities, consumer loans or mortgages, or complex instruments such as collateralized mortgage obligations and stripped mortgage-backed securities. The value of these securities may be significantly affected by changes in interest rates, the market's perception of the issuers and the creditworthiness of the parties involved. The Manager's or Subadvisors' ability to correctly forecast interest rates and other economic factors will impact the success of investments in mortgage-related and asset-backed securities. Some securities may have a structure that makes their reaction to interest rate changes and other factors difficult to predict, making their value highly volatile. These securities may also be subject to prepayment risk if interest rates fall, and if the security has been purchased at a premium the amount of some or all of the premium may be lost in the event of prepayment. On the other hand, if interest rates rise, there may be fewer repayments, which would cause the average bond maturity to rise and increase the potential for a Fund to lose money.

Municipal Bonds

Municipal bonds are bonds issued by, or on behalf of, the District of Columbia, the states, the territories, commonwealths and possessions of the United States and their political subdivisions, and agencies, authorities and instrumentalities.

A Fund may invest more heavily in bonds from certain cities, states or regions than others, which may increase the Fund's exposure to losses resulting from economic, political, or regulatory occurrences impacting these particular cities, states or regions.

New York State Specific Risk

The MainStay New York Tax Free Opportunities Fund will invest in municipal bonds issued by or on behalf of the State of New York, and its political subdivisions, agencies and instrumentalities. As a result, the Fund is more exposed to risks affecting issuers of New York municipal bonds than is a municipal bond fund that invests more widely. Such risks include, but are not limited to, the performance of the national and New York economies; the impact of behavioral changes concerning financial sector bonus payouts, as well as any future legislation governing the structure of compensation; the impact of an anticipated shift in monetary policy actions on interest rates and the financial markets; the impact of financial and real estate market developments on bonus income and capital gains realizations; the impact of consumer spending on tax collections; increased demand in entitlement-based and claims based programs such as Medicaid, public assistance and general public health; access to the capital markets in light of disruptions in the market; litigation against the State of New York; and actions taken by the federal government, including audits, disallowances, changes in aid levels and changes to Medicaid rules.

In addition, the economy of New York City is dependent on the financial industry. As a result, a downturn in the financial industry may affect New York City and the State of New York more than other states and municipalities.

Options

Portfolio Turnover

Real Estate Investment Trusts ("REITs")

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Risk Management Techniques

Short Sales

Swap Agreements

Whether the use of swap agreements will be successful will depend on whether the Manager or Subadvisor correctly predicts movements in the value of particular securities, interest rates, indices and currency exchange rates. In addition, swap agreements entail the risk that a party will default on its payment obligations to the Fund. For example, credit default swaps can result in losses if the Fund does not correctly evaluate the creditworthiness of the company on which the credit default swap is based. Such instruments are not afforded the same protections as may apply to participants trading futures or options on organized exchanges, such as the performance guarantee of an exchange clearinghouse. Because they are two-party contracts and because they may have terms of greater than seven days, swap agreements may be considered to be illiquid. There is a risk that the other party could go bankrupt and the Fund would lose the value of the security it should have received in the swap. For additional information on swaps, see "Derivative Transactions" above. Also, see the "Tax Information" section in the SAI for information regarding the tax considerations relating to swap agreements.

Taxability Risk

Certain Funds intend to minimize the payment of taxable income to shareholders by investing in tax-exempt or municipal bonds in reliance at the time of purchase on an opinion of bond counsel to the issuer that the interest paid on those securities will be excludable

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from gross income for federal income tax purposes. Such securities, however, may be determined to pay, or have paid, taxable income subsequent to a Fund’s acquisition of the bonds. In that event, the Internal Revenue Service may demand that a Fund pay federal income taxes on the affected interest income, and, if the Fund agrees to do so, the Fund’s yield could be adversely affected. In addition, the treatment of dividends previously paid or to be paid by a Fund as “exempt interest dividends” could be adversely affected, subjecting the Fund’s shareholders to increased federal income tax liabilities. If the interest paid on any tax-exempt or municipal security held by a Fund is subsequently determined to be taxable, the Fund will dispose of that security as soon as reasonably practicable. In addition, future laws, regulations, rulings or court decisions may cause interest on municipal bonds to be subject, directly or indirectly, to federal income taxation or interest on state municipal bonds to be subject to state or local income taxation, or the value of state municipal bonds to be subject to state or local intangible personal property tax, or may otherwise prevent a Fund from realizing the full current benefit of the tax-exempt status of such securities. Any such change could also affect the market price of such securities, and thus the value of an investment in a Fund.

Temporary Defensive Investments

The MainStay Money Market Fund also may invest outside the scope of its principal investment strategies in securities other than money market instruments for temporary defensive purposes, subject to Rule 2a-7 under the 1940 Act and its investment guidelines.

To-Be-Announced ("TBA") Securities

In a TBA securities transaction, a seller agrees to deliver a security to a Fund at a future date. However, the seller does not specify the particular security to be delivered. Instead, a Fund agrees to accept any security that meets specified terms.

There can be no assurance that a security purchased on a TBA basis will be delivered by the counterparty. Also, the value of TBA securities on the delivery date may be more or less than the price paid by a Fund to purchase the securities. A Fund will lose money if the value of the TBA security declines below the purchase price and will not benefit if the value of the security appreciates above the sale price prior to delivery.

Variable Rate Demand Obligations Risks

Variable rate demand obligations are floating rate securities that combine an interest in a long term municipal bond with a right to demand payment before maturity from a bank or other financial institution. If the bank or financial institution is unable to pay, a Fund may lose money.

When-Issued Securities and Forward Commitments

Yankee Debt Securities

Yankee debt securities are dollar-denominated securities of foreign issuers that are traded in the U.S.

Zero Coupon and Payment-in-Kind Bonds

One or more of the Funds may purchase zero coupon bonds, which are debt obligations issued without any requirement for the periodic payment of interest. Certain Funds may also invest in payment-in-kind bonds. Payment-in-kind bonds normally give the issuer an option to pay in cash at a coupon payment date or in securities with a fair value equal to the amount of the coupon payment that would have been made. Zero coupon bonds are issued at a significant discount from their face value. The discount approximates the total amount of interest the bonds would accrue and compound over the period until maturity at a rate of interest reflecting the market rate at the time of issuance. Because interest on zero coupon obligations is not paid to the Funds on a current basis but is, in effect, compounded, the value of this type of security is subject to greater fluctuations in response to changing interest rates than the value of debt obligations that distribute income regularly.