YIELDS VS. DURATION
Higher
Smart Part of the Curve
Move
Up
AIDYX
Lower
Cash Short-
Intermediate
ABTYX
Move to
Smart Credits
ALTVX
Move Down the Curve
Long-
Intermediate
Maturity
Smart Part of the Credit Spectrum
Long
30-Year
AA Muni
Past performance does not guarantee future results. All portfolio statistics are subject to change.
For illustrative purposes only.
+ Given that rates are finally rising, we think it’s a good time to analyze your bond portfolio based on its potential for risk and return
+ Many investors have flocked to short-term bonds in anticipation of rising rates, but the upside return potential is small, and the downside risk is increased if rates rise more quickly than expected
+ On the long end, yields have fallen dramatically and the potential returns for long-term, high-quality bonds seem too low to compensate for their risk
+ We think investors would be better served in an intermediate-term part of the yield curve and muni credit exposure remains an attractive opportunity for investors who want to further reduce their interest-rate risk while maintaining reasonable income
For investment professional use only. Not for inspection by, distribution or quotation to, the general public.
Investment Products Offered • Are Not FDIC Insured • May Lose Value • Are Not Bank Guaranteed

Roll down the yield curve to the intermediate part of the curve and add muni credit to further reduce interest-rate risk and maintain income
AB National Portfolio (ALTVX)
Overall Morningstar Rating™
Roll up the yield curve to the intermediate part of the curve to increase income while limiting volatility and maintaining stability
AB Intermediate Diversified Municipal Portfolio (AIDYX)
Overall Morningstar Rating™
Rated against 306 Muni National Intermediate Funds
AB High Income Municipal Portfolio (ABTYX)
Overall Morningstar Rating™
Rated against 190 Muni National Short Funds
+ Conservative, high-quality portfolio
+ Strong performance with low volatility
+ Substantial income advantage over short and cash
Rated against 167 High Yield Muni Funds
Consider a combination of both AB Portfolios:
+ Limits interest rate risk
+ Higher returns and lower volatility than long bonds
+ Allocation to high yield credit increases income
(800) 247 4154 | ABFUNDS.COM
As of June 30, 2016.
Morningstar Ratings are for the Advisor share class only; other classes may have different performance characteristics.
The Overall Morningstar Rating for a fund is derived from a weighted average of the performance figures associated with its three-, five- and ten-year (if applicable) Morningstar
Rating metrics. For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating™ based on a Morningstar Risk Adjusted Return measure that accounts for variation in a fund’s monthly performance (including the effects of sales charges, loads, and redemption fees), placing more emphasis on downward variations and rewarding consistent performance. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive
2 stars and the bottom 10% receive 1 star (Each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in the distribution percentages.) High Income Municipal Portfolio was rated 5 and 5 against 167 and 146 funds in the category, for the 3- and 5-year periods, respectively. National
Portfolio was rated 5, 5 and 5 against 306, 266 and 177 funds in the category for the 3-, 5- and 10-year periods, respectively. Intermediate Diversified Municipal Portfolio was rated 5, 5 and 5 against 190, 175 and 115 funds in the category for the 3-, 5- and 10-year periods, respectively. Morningstar rankings are specific metrics of performance and do not represent absolute performance of any fund. For full Fund performance, please visit our website at www.abfunds.com.
© 2016 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
A Word About Risk—Market Risk: The market values of the portfolio’s holdings rise and fall from day to day, so investments may lose value. Municipal Market Risk: Debt securities issued by state or local governments may be subject to special political, legal, economic and market factors that can have a significant effect on the portfolio’s yield or value. Interest Rate Risk: As interest rates rise, bond prices fall and vice versa—long-term securities tend to rise and fall more than short-term securities. Credit Risk: A bond’s credit rating reflects the issuer’s ability to make timely payments of interest or principal—the lower the rating, the higher the risk of default. If the issuer’s financial strength deteriorates, the issuer’s rating may be lowered and the bond’s value may decline. Inflation Risk: Prices for goods and services tend to rise over time, which may erode the purchasing power of investments. Derivatives Risk: Investing in derivative instruments such as options, futures, forwards or swaps can be riskier than traditional investments, and may be more volatile, especially in a down market. Liquidity Risk: The difficulty of purchasing or selling a security at an advantageous time or price. Leverage Risk: Trying to enhance investment returns by borrowing money or using other leverage tools—magnify both gains and losses, resulting in greater volatility. Local Economy Risk: This portfolio may contain municipal securities issued by the Commonwealth of Puerto Rico as well as other local governments whose current economic conditions could exacerbate the risks associated with investing in these securities.
Investors should consider the investment objectives, risks, charges and expenses of the Fund/Portfolio carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.abfunds.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.
For investment professional use only. Not for inspection by, distribution or quotation to the general public.
AllianceBernstein Investments, Inc. (ABI) is the distributor of the AB family of mutual funds. ABI is a member of FINRA and is an affiliate of AllianceBernstein L.P., the manager of the funds. The [A/B] logo is a registered service mark of AllianceBernstein and AllianceBernstein ® is a registered service mark used by permission of the owner, AllianceBernstein L.P.
© 2016 AllianceBernstein L.P., 1345 Avenue of the Americas, New York, NY 10105
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