EIF Prospectus - Bright Directions

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MFS Value Fund to pay „„qualified higher education expenses‟‟ are tax-free for federal income tax purposes. State and local income taxes may still apply. These tax benefits are not available to 529 shares that are not owned through a qualifying section 529 tuition program. Withdrawals of earnings that are not used for the designated beneficiary‟s qualified higher education expenses generally are subject not only to federal income tax but also to a 10% penalty tax (unless such amounts are transferred within sixty (60) days to another tuition program for the same designated beneficiary or another designated beneficiary who is a member of the family of the designated beneficiary with respect to which the distribution was made and certain other conditions are satisfied). The 10% penalty tax will not apply to distributions made under certain circumstances, including certain distributions made after the designated beneficiary dies, becomes disabled, or receives a scholarship or other tax-free payment for educational expenses that does not exceed the amount of the distribution. Distributions attributable to contributions to the tuition program (including the portion of any rollover from another tuition program that is attributable to contributions to that program) are not subject to tax. You are urged to consult your own tax adviser for information about the federal, state, and local tax consequences of your investment in the fund‟s 529 share classes. Provision of Financial Reports and Summary <strong>Prospectus</strong>es The fund produces financial reports every six months and updates its summary prospectus and prospectus annually. To avoid sending duplicate copies of materials to households, only one copy of the fund‟s annual and semiannual report and summary prospectus may be mailed to shareholders having the same last name and residential address on the fund‟s records. However, any shareholder may contact MFSC (please see back cover for address and telephone number) to request that copies of these reports and summary prospectuses be sent personally to that shareholder. Additional Information on Fees and Expenses and Performance Fees and Expenses The annual fund operating expenses shown in “Fees and Expenses” are based on annualized expenses reported during the fund's most recently completed fiscal year expressed as a percentage of the fund‟s average net assets during the period. Annual fund operating expenses have not been adjusted to reflect the fund's current asset size. In general, annual fund operating expenses, expressed as a percentage of the fund‟s assets, increase as the fund‟s assets decrease. Annual fund operating expenses will likely vary from year to year. Performance Information All performance information shown in the “Class A Bar Chart” and the “Performance Table” reflects any applicable fee and expense waivers in effect during the periods shown; without these, the performance would have been lower. From time to time, the fund may receive proceeds from litigation settlements, without which performance would be lower. The fund commenced operations on January 2, 1996 with the offering of Class A shares, and subsequently offered Class I shares on January 2, 1997; Class B shares on November 4, 1997; Class C shares on November 5, 1997; Class 529A, Class 529B, and Class 529C shares on July 31, 2002; Class R2 shares on October 31, 2003; Class R1, Class R3, and Class R4 shares on April 1, 2005; and Class R5 shares on May 1, 2006. In the "Performance Table," performance for each of Class R1, Class R2, Class R3, Class R4, and Class R5 shares includes the performance of the fund‟s Class I shares, adjusted to take into account differences in sales loads and class specific operating expenses (such as Rule 12b-1 fees), if any, for periods prior to their offering. 16
MFS Value Fund Financial Highlights The financial highlights are intended to help you understand a fund‟s financial performance for the past five years (or, if shorter, the period of the fund‟s operation). Certain information reflects financial results for a single fund share. The total returns in the financial highlights represent the rate by which an investor would have earned (or lost) on an investment in a fund (assuming reinvestment of all distributions) held for the entire period. This information has been audited by the fund‟s independent registered public accounting firm, whose report, together with the fund‟s financial statements, is included in the fund‟s Annual Report to shareholders. The fund‟s Annual Report is available upon request by contacting MFSC (please see back cover for address and telephone number). The fund‟s independent registered public accounting firm is Ernst & Young LLP. Class A Years ended 8/31 2013 2012 2011 2010 2009 Net asset value, beginning of period $ 24.90 $ 21.83 $ 19.46 $ 19.39 $ 23.75 Income (loss) from investment operations Net investment income (d) $ 0.50 $ 0.43 $ 0.34 $ 0.32 $ 0.34 Net realized and unrealized gain (loss) on investments and foreign currency 5.08 3.05 2.35 0.06 (g) (4.35) Total from investment operations $ 5.58 $ 3.48 $ 2.69 $ 0.38 $ (4.01) Less distributions declared to shareholders From net investment income $ (0.48) $ (0.41) $ (0.32) $ (0.31) $ (0.35) From net realized gain on investments (0.19) – – – – Total distributions declared to shareholders $ (0.67) $ (0.41) $ (0.32) $ (0.31) $ (0.35) Net asset value, end of period (x) $ 29.81 $ 24.90 $ 21.83 $ 19.46 $ 19.39 Total return (%) (r)(s)(t)(x) 22.75 16.16 13.78 1.88 (16.75) Ratios (%) (to average net assets) and Supplemental data: Expenses before expense reductions (f) 0.93 0.95 0.95 0.98 1.09 Expenses after expense reductions (f) 0.92 0.93 0.94 0.98 1.09 Net investment income 1.80 1.86 1.49 1.54 1.94 Portfolio turnover 12 14 17 22 33 Net assets at end of period (000 omitted) $ 8,058,858 $ 6,628,244 $ 5,086,069 $ 4,980,816 $ 4,665,411 17
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EIF Prospectus - Bright Directions

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