Formulario 497 AB BOND FUND, INC.

Cartera de ingresos de corta duración AB

OBJETIVO DE INVERSIÓN

El objetivo de inversión del Fondo es
buscar altos ingresos corrientes consistentes con la preservación del capital.

HONORARIOS Y GASTOS DEL FONDO

Esta tabla describe los honorarios y gastos.
que puede pagar si compra y mantiene acciones del Fondo. Puede calificar para reducciones de cargos de ventas si usted y los miembros de su
familia invierte, o acepta invertir en el futuro, al menos $ 100,000 en fondos mutuos AB. Más información sobre estos y otros descuentos.
está disponible en su intermediario financiero y en Invertir en el fondo: programas de reducción de cargos de ventas para la clase A
Acciones en la página 24 de este Folleto, en el Apéndice C: Exenciones de intermediarios financieros de este Folleto y en la Compra de
Acciones: programas de reducción de cargos de ventas para acciones de Clase A en la página 84 de la Declaración de información adicional del Fondo
("EFS").

Es posible que deba pagar comisiones
y / u otras formas de compensación a un corredor por transacciones en acciones de Clase Asesor, que no se reflejan en las tablas
o los ejemplos a continuación.

Honorarios de accionistas (honorarios pagados directamente
de su inversión)

Ejemplos

Los ejemplos están destinados a ayudarlo
compare el costo de invertir en el Fondo con el costo de invertir en otros fondos mutuos. Los ejemplos suponen que usted
invertir $ 10,000 en el Fondo durante los períodos indicados y luego canjear todas sus acciones al final de los períodos. los
Los ejemplos también suponen que su inversión tiene un rendimiento del 5% cada año, que los gastos operativos del Fondo se mantienen igual
(excepto que los costos de oferta no están incluidos después del primer año) y que cualquier exención de tarifas y / o limitación de gastos está en
efecto solo por el primer año. Aunque sus costos reales pueden ser más altos o más bajos, según estos supuestos, sus costos
sería:

Volumen de negocios de cartera

El Fondo paga los costos de transacción, como comisiones,
cuando compra o vende valores (o "entrega" su cartera). Una tasa de rotación de cartera más alta puede indicar una mayor
costos de transacción y pueden resultar en impuestos más altos cuando las acciones se mantienen en una cuenta gravable. Estos costos de transacción, que son
no reflejado en los Gastos operativos anuales del Fondo o en los Ejemplos, afecta el rendimiento del Fondo.

ESTRATEGIAS PRINCIPALES

El Fondo persigue su objetivo invirtiendo,
en circunstancias normales, principalmente en valores que generan ingresos. El Fondo también invierte normalmente al menos el 65% de su total
activos en valores de gobiernos estadounidenses y extranjeros y sus agencias e instrumentos (incluidos valores respaldados por hipotecas),
derivados relacionados con dichos valores y acuerdos de recompra relacionados con valores del gobierno de EE. UU. Bajo circunstancias normales,
el Fondo mantendrá una duración promedio ponderada en dólares de menos de tres años, aunque puede invertir en valores de cualquier
duración o madurez.

El Fondo puede invertir en entidades no gubernamentales.
valores de renta fija, incluidos valores de deuda corporativa, valores respaldados por hipotecas no gubernamentales y otros valores respaldados por activos,
certificados de depósito y papel comercial. El Fondo puede invertir hasta el 35% de sus activos netos en valores por debajo del grado de inversión.
(comúnmente conocido como "enlaces basura"). Las inversiones del Fondo en valores extranjeros pueden incluir tanto el gobierno como
valores corporativos y valores de países de mercados emergentes o de emisores en mercados emergentes.

El asesor selecciona valores para
compra o venta en función de su evaluación de los riesgos y las características de rendimiento de los valores, así como de los valores
impacto en los riesgos generales y las características de rendimiento del Fondo. Al hacer esta evaluación, el Asesor tiene en cuenta varios
factores, incluida la calidad crediticia y la sensibilidad a los tipos de interés de los valores considerados y del Fondo
otras explotaciones

El Fondo puede utilizar derivados, como
como opciones, contratos de futuros, forwards y swaps. El Fondo puede, por ejemplo, utilizar contratos de futuros de tasa de interés y swaps para
establecer exposición a los mercados de renta fija o valores particulares de renta fija. Los derivados pueden proporcionar una forma más eficiente.
y exposición económica a segmentos de mercado que las inversiones directas, y también puede ser una forma más eficiente de alterar el Fondo
exposición. El Fondo también puede realizar transacciones tales como acuerdos de recompra inversa que son similares a los préstamos para inversión.
propósitos El uso de derivados del Fondo y estas transacciones de préstamos pueden crear una exposición agregada que es sustancialmente
en exceso de sus activos netos, apalancando efectivamente el Fondo.

El asesor puede cubrir al extranjero
exposición a divisas resultante de las posiciones de seguridad del Fondo, y puede tomar posiciones largas o cortas en divisas,
mediante el uso de derivados relacionados con la moneda. El Fondo está "no diversificado", lo que significa que puede invertir más
de sus activos en un número menor de emisores.

PRINCIPALES RIESGOS

Al igual que con
todas las inversiones, puede perder dinero invirtiendo en el Fondo.

TABLA DE BARES E INFORMACIÓN DE DESEMPEÑO

No hay información de rendimiento disponible para
el Fondo porque aún no ha estado en funcionamiento durante un año calendario completo.

Asesor de inversiones

AllianceBernstein L.P. es el asesor de inversiones
para el fondo.

GERENTES DE CARTERA

La siguiente tabla enumera las personas responsables
para la gestión diaria de la cartera del Fondo:

COMPRA Y VENTA DE ACCIONES DEL FONDO

Compra mínima

La siguiente tabla describe la inicial
y las cantidades mínimas de compra posteriores para cada clase de acciones, que están sujetas a exención en ciertas circunstancias.

Puede vender (canjear) sus acciones cada
día en que está abierta la Bolsa de Nueva York (la "Bolsa"). Puede vender sus acciones a través de su intermediario financiero
o por correo (AllianceBernstein Investor Services, Inc., apartado postal 786003, San Antonio, TX 78278-6003) o por teléfono
(800) 221-5672.

INFORMACIÓN SOBRE LOS IMPUESTOS

El Fondo puede pagar dividendos de ingresos o hacer capital
distribuciones de ganancias, que pueden estar sujetas a impuestos federales sobre la renta e imponibles como ingresos ordinarios o ganancias de capital, y también pueden
estar sujeto a impuestos estatales y locales.

PAGOS A CORREDORES-DISTRIBUIDORES Y OTROS
INTERMEDIARIOS FINANCIEROS

Si compra acciones del Fondo a través de
un corredor de bolsa u otro intermediario financiero (como un banco o un plan de jubilación grupal), el Fondo y sus compañías relacionadas
puede pagar al intermediario por la venta de acciones del Fondo y servicios relacionados. Estos pagos pueden crear un conflicto de intereses al
influir en el corredor de bolsa u otro intermediario financiero y su vendedor para recomendar el Fondo sobre otra inversión.
Consulte a su vendedor o visite el sitio web de su intermediario financiero para obtener más información.

Esta sección del Folleto proporciona información adicional.
información sobre las prácticas de inversión del Fondo y los riesgos relacionados, incluidas las estrategias principales y no principales y
riesgos Este Folleto no describe todas las prácticas de inversión del Fondo; información adicional sobre el Fondo
Los riesgos e inversiones se pueden encontrar en la EFS del Fondo.

Derivados

El Fondo puede, pero no está obligado a, usar derivados
para cobertura u otros fines de gestión de riesgos o como parte de sus estrategias de inversión. Los derivados son contratos financieros cuyo
el valor depende o se deriva del valor de un activo subyacente, tasa de referencia o índice. El Fondo puede usar derivados para
obtener ingresos y mejorar los rendimientos, para cubrir o ajustar el perfil de riesgo de sus inversiones, para reemplazar las inversiones directas más tradicionales
y para obtener exposición a mercados de otro modo inaccesibles.

Hay cuatro tipos principales de derivados: opciones,
contratos de futuros, forwards y swaps, cada uno de los cuales se describe a continuación. Los derivados incluyen transacciones listadas y liquidadas
donde la contraparte del comercio de derivados del Fondo es una casa de cambio o cámara de compensación y un "extrabursátil" bilateral no compensado
transacciones que se negocian de forma privada y donde la contraparte de derivados del Fondo es una institución financiera.
Las transacciones de derivados negociados en bolsa o compensados ​​tienden a estar sujetas a un menor riesgo de crédito de contraparte que aquellas que son privadas
negociado

El uso de derivados del Fondo
puede implicar riesgos diferentes o posiblemente mayores que los riesgos asociados con la inversión directa en valores
u otros instrumentos más tradicionales. Estos riesgos incluyen el riesgo de que el valor de un instrumento derivado no se correlacione
perfectamente, o en absoluto, con el valor de los activos, las tasas de referencia o los índices que están diseñados para rastrear. Otros riesgos incluyen
la posible ausencia de un mercado secundario líquido para un instrumento en particular y los posibles límites de fluctuación de precios impuestos por el intercambio,
cualquiera de los dos puede hacer que sea difícil o imposible cerrar una posición cuando se desee, y el riesgo de que la contraparte
No cumplir con sus obligaciones. Ciertos derivados pueden tener un componente de apalancamiento e implicar un riesgo de apalancamiento. Cambios adversos en el
El valor o nivel del activo subyacente, nota o índice puede resultar en una pérdida sustancialmente mayor que la inversión del Fondo
(En algunos casos, la pérdida potencial es ilimitada).

Las inversiones del Fondo en derivados
puede incluir, entre otros, los siguientes:

de una
la opción sobre una moneda extranjera puede constituir una cobertura efectiva contra las fluctuaciones en los tipos de cambio, aunque si las tasas se mueven negativamente,
el Fondo puede perder el monto total de la prima más los costos de transacción relacionados. El Fondo también puede invertir en opciones sobre divisas
monedas para fines de no cobertura como un medio para realizar inversiones directas en monedas extranjeras, como se describe a continuación en "Otros
Derivados y estrategias — Transacciones de divisas ”.

Una opción en un acuerdo de intercambio,
también llamado "intercambio", es una opción que le da al comprador el derecho, pero no la obligación, de realizar un intercambio
en una fecha futura a cambio de pagar una "prima" basada en el mercado. Un intercambio de receptor le da al propietario el derecho a
recibir el rendimiento total de un activo específico, tasa de referencia o índice. Un intercambio de pagador le da al propietario el derecho de pagar
rendimiento total de un activo específico, tasa de referencia o índice. Los intercambios también incluyen opciones que permiten finalizar un intercambio existente
o extendido por una de las contrapartes.

La compra de un interés.
el límite de la tasa da derecho al comprador, en la medida en que un índice específico exceda una tasa de interés predeterminada, a recibir pagos
de interés sobre un monto de capital basado en el contrato de la parte que vende el límite de la tasa de interés. La compra de un interés.
el piso de la tasa da derecho al comprador, en la medida en que un índice específico cae por debajo de una tasa de interés predeterminada, para recibir pagos
de interés sobre un monto de capital acordado de la parte que vende el piso de la tasa de interés. Puede ser más difícil para el Fondo.
para negociar o cerrar topes y pisos de tasas de interés en comparación con otros tipos de swaps.

No hay límite en la cantidad
de las transacciones de tasas de interés que pueda realizar el Fondo. El valor de estas transacciones fluctuará en función de los cambios.
en tasas de interés.

Swap de tasa de interés, swaption,
las transacciones de límite y piso pueden, por ejemplo, usarse en un esfuerzo por preservar un rendimiento o un margen sobre una inversión particular o
una parte de la cartera del Fondo o para proteger contra un aumento en el precio de los valores que el Fondo prevé comprar
en una fecha posterior. Los swaps de tasas de interés también se pueden utilizar para apalancar las inversiones del Fondo mediante la creación de posiciones que sean funcionalmente
similar a la compra de una seguridad municipal u otra seguridad de renta fija, pero solo puede requerir pagos a una contraparte de intercambio bajo ciertas
circunstancias y permitir que el Fondo aumente (o disminuya) de manera eficiente su duración e ingresos.

Credit default swaps may involve
greater risks than if the Fund had invested in the reference obligation directly. Credit default swaps are subject to general market
risk and credit risk and may be illiquid.

Convertible Securities

Prior to conversion, convertible securities
have the same general characteristics as non-convertible debt securities, which generally provide a stable stream of income with
generally higher yields than those of equity securities of the same or similar issuers. The price of a convertible security will
normally vary with changes in the price of the underlying equity security, although the higher yield tends to make the convertible
security less volatile than the underlying equity security. As with debt securities, the market value of convertible securities
tends to decrease as interest rates rise and increase as interest rates decline. While convertible securities generally offer lower
interest or dividend yields than non-convertible debt securities of similar quality, they offer investors the potential to benefit
from increases in the market prices of the underlying common stock. Convertible debt securities that are rated Baa3 or lower by
Moody’s or BBB- or lower by S&P or Fitch and comparable unrated securities may share some or all of the risks of debt
securities with those ratings.

Depositary Receipts and Securities
of Supranational Entities

The Fund may invest in depositary receipts.
American Depositary Receipts, or ADRs, are depositary receipts typically issued by a U.S. bank or trust company that evidence ownership
of underlying securities issued by a foreign corporation. Global Depositary Receipts, or GDRs, European Depositary Receipts, or
EDRs and other types of depositary receipts are typically issued by non-U.S. banks or trust companies and evidence ownership of
underlying securities issued by either a U.S. or a non-U.S. company. Depositary receipts may not necessarily be denominated in
the same currency as the underlying securities into which they may be converted. In addition, the issuers of the stock underlying
unsponsored depositary receipts are not obligated to disclose material information in the United States. Generally, depositary
receipts in registered form are designed for use in the U.S. securities markets, and depositary receipts in bearer form are designed
for use in securities markets outside of the United States. For purposes of determining the country of issuance, investments in
depositary receipts of either type are deemed to be investments in the underlying securities.

A supranational entity is an entity
designated or supported by the national government of one or more countries to promote economic reconstruction or development.
Examples of supranational entities include the World Bank (International Bank for Reconstruction and Development) and the European
Investment Bank. “Semi-governmental securities” are securities issued by entities owned by either a national, state
or equivalent government or are obligations of one of such government jurisdictions that are not backed by its full faith and credit
and general taxing powers.

Event-Linked Securities

Event-linked securities are variable
or fixed-rate fixed-income securities or types of equity securities for which the return of principal and payment of interest are
contingent on the non-occurrence of various catastrophe exposures, which may be specific trigger events or a diversified group
of events, such as hurricanes, typhoons, wind events or earthquakes. The most common type of event-linked fixed-income bonds are
known as “catastrophe” or “cat” bonds. If the trigger events do not occur, the Fund will recover its principal
and interest. If a trigger event occurs, the Fund may lose a portion of or its entire principal invested in the securities. Estas
securities are generally illiquid and may be rated below investment grade or the unrated equivalent and have the same or equivalent
risks as higher yield debt securities (“junk bonds”).

Forward Commitments

Forward commitments for the purchase or sale
of securities may include purchases on a when-issued basis or purchases or sales on a delayed delivery basis. In some cases, a
forward commitment may be conditioned upon the occurrence of a subsequent event, such as approval and consummation of a merger,
corporate reorganization or debt restructuring or approval of a proposed financing by appropriate authorities (i.e., a “when,
as and if issued” trade).

When forward commitments with respect
to fixed-income securities are negotiated, the price, which is generally expressed in yield terms, is fixed at the time the commitment
is made, but payment for and delivery of the securities take place at a later date. Securities purchased or sold under a forward
commitment are subject to market fluctuation and no interest or dividends accrue to the purchaser prior to the settlement date.
There is a risk of loss if the value of either a purchased security declines before the settlement date or the security sold increases
before the settlement date. The use of forward commitments helps the Fund to protect against anticipated changes in interest rates
and prices.

Illiquid Securities

The Fund limits its investments in illiquid
securities to 15% of its net assets. Under Rule 22e-4 under the Investment Company Act of 1940 (the “1940 Act”), the
term “illiquid securities” means any security or investment that the Fund reasonably expects cannot be sold or disposed
of in current market conditions in seven calendar days or less without the sale or disposition significantly changing the market
value of the investment.

If the Fund invests in illiquid securities,
the Fund may not be able to sell such securities and may not be able to realize their full value upon sale. Restricted securities
(securities subject to legal or contractual restrictions on resale) may be illiquid. Some restricted securities (such as securities
issued pursuant to Rule 144A under the Securities Act of 1933 (“Rule 144A Securities”) or certain commercial paper)
may be treated as liquid, although they may be more difficult to trade than other types of securities.

Indexed Commercial Paper

Indexed commercial paper may have its principal
linked to changes in foreign currency exchange rates whereby its principal amount is adjusted upwards or downwards (but not below
zero) at maturity to reflect changes in the referenced exchange rate. The Fund will

receive interest and principal payments on
such commercial paper in the currency in which such commercial paper is denominated, but the amount of principal payable by the
issuer at maturity will change in proportion to the change (if any) in the exchange rate between the two specified currencies between
the date the instrument is issued and the date the instrument matures. While such commercial paper entails the risk of loss of
principal, the potential for realizing gains as a result of changes in foreign currency exchange rates enables the Fund to hedge
(or cross-hedge) against a decline in the U.S. Dollar value of investments denominated in foreign currencies while providing
an attractive money market rate of return. The Fund will purchase such commercial paper for hedging purposes only, not for speculation.

Inflation-Indexed Securities

Inflation-indexed securities are fixed-income
securities whose principal value is periodically adjusted according to the rate of inflation. If the index measuring inflation
falls, the principal value of these securities will be adjusted downward, and consequently the interest payable on these securities
(calculated with respect to a smaller principal amount) will be reduced.

The value of inflation-indexed securities
tends to react to changes in real interest rates. In general, the price of inflation-indexed securities can fall when real interest
rates rise, and can rise when real interest rates fall. In addition, the value of these securities can fluctuate based on fluctuations
in expectations of inflation. Interest payments on these securities can be unpredictable and will vary as the principal and/or
interest is adjusted for inflation.

Investment in Exchange-Traded Funds
and Other Investment Companies

The Fund may invest in shares of exchange-traded
funds or ETFs, subject to the restrictions and limitations of the 1940 Act, or any applicable rules, exemptive orders or regulatory
guidance thereunder. ETFs are pooled investment vehicles, which may be managed or unmanaged, that seek to track the performance
of a specific index or implement actively-managed investment strategies. Index ETFs will not track their underlying indices precisely
since the ETFs have expenses and may need to hold a portion of their assets in cash, unlike the underlying indices, and the ETFs
may not invest in all of the securities in the underlying indices in the same proportion as the indices for varying reasons. los
Fund will incur transaction costs when buying and selling ETF shares, and indirectly bear the expenses of the ETFs. In addition,
the market value of an ETF’s shares, which is based on supply and demand in the market for the ETF’s shares, may differ
from its NAV. Accordingly, there may be times when an ETF’s shares trade at a discount to its NAV.

The Fund may also invest in investment
companies other than ETFs, as permitted by the 1940 Act or the rules and regulations or exemptive orders thereunder. As with ETF
investments, if the Fund acquires shares in other investment companies, shareholders would bear, indirectly, the expenses of such
investment companies (which may include management and advisory fees), which to the extent not waived or reimbursed, would be in
addition to the Fund’s expenses. The Fund intends to invest uninvested cash balances in an affiliated money market fund as
permitted by Rule 12d1-1 under the 1940 Act. The Fund’s investment in other investment companies, including ETFs, subjects
the Fund indirectly to the underlying risks of those investment companies.

LIBOR Transition and Associated Risk

The Fund may invest in certain debt securities,
derivatives or other financial instruments that utilize the London Interbank Offered Rate, or “LIBOR,” as a “benchmark”
or “reference rate” for various interest rate calculations. In July 2017, the United Kingdom Financial Conduct Authority,
which regulates LIBOR, announced a desire to phase out the use of LIBOR by the end of 2021. Although financial regulators and industry
working groups have suggested alternative reference rates, such as European Interbank Offer Rate, Sterling Overnight Interbank
Average Rate and Secured Overnight Financing Rate, global consensus on alternative rates is lacking and the process for amending
existing contracts or instruments to transition away from LIBOR remains unclear. The elimination of LIBOR or changes to other reference
rates or any other changes or reforms to the determination or supervision of reference rates could have an adverse impact on the
market for, or value of, any securities or payments linked to those reference rates, which may adversely affect the Fund’s
performance and/or net asset value. Uncertainty and risk also remain regarding the willingness and ability of issuers and lenders
to include revised provisions in new and existing contracts or instruments. Consequently, the transition away from LIBOR to other
reference rates may lead to increased volatility and illiquidity in markets that are tied to LIBOR, fluctuations in values of LIBOR-related
investments or investments in issuers that utilize LIBOR, increased difficulty in borrowing or refinancing and diminished effectiveness
of hedging strategies, adversely affecting the Fund’s performance. Furthermore, the risks associated with the expected discontinuation
of LIBOR and transition may be exacerbated if the work necessary to effect an orderly transition to an alternative reference rate
is not completed in a timely manner. Because the usefulness of LIBOR as a benchmark could deteriorate during the transition period,
these effects could occur prior to the end of 2021.

Loan Participations

The Fund may invest in corporate loans either
by participating as co-lender at the time the loan is originated or by buying an interest in the loan in the secondary market from
a financial institution or institutional investor. The financial status of an institution interposed between the Fund and a borrower
may affect the ability of the Fund to receive principal and interest payments.

The success of the Fund may depend
on the skill with which an agent bank administers the terms of the corporate loan agreements, monitors borrower compliance with
covenants, collects principal, interest and fee payments from borrowers and, where necessary, enforces creditor remedies against
borrowers. Agent banks typically have broad discretion in enforcing loan agreements.

Mortgage-Related Securities, Other
Asset-Backed Securities and Structured Securities

The Fund may invest in mortgage-related or
other asset-backed securities. Mortgage-related securities include mortgage pass-through securities, collateralized mortgage obligations
(“CMOs”), commercial mortgage-backed securities, mortgage dollar rolls, CMO residuals, stripped mortgage-backed securities
(“SMBS”) and other securities that directly or indirectly represent a participation in or are secured by and payable
from mortgage loans on real property. These securities may be issued or guaranteed by the U.S. Government or one of its sponsored
entities or may be issued by private organizations.

The value of mortgage-related or other
asset-backed securities may be particularly sensitive to changes in prevailing interest rates. Early payments of principal on some
mortgage-related securities may occur during periods of falling mortgage interest rates and expose the Fund to a lower rate of
return upon reinvestment of principal. Early payments associated with mortgage-related securities cause these securities to experience
significantly greater price and yield volatility than is experienced by traditional fixed-income securities. During periods of
rising interest rates, a reduction in prepayments may increase the effective life of mortgage-related securities, subjecting them
to greater risk of decline in market value in response to rising interest rates. If the life of a mortgage-related security is
inaccurately predicted, the Fund may not be able to realize the rate of return it expected.

One type of SMBS has one class receiving
all of the interest from the mortgage assets (the interest-only, or “IO” class), while the other class will receive
all of the principal (the principal-only, or “PO” class). The yield to maturity on an IO class is extremely sensitive
to the rate of principal payments (including prepayments) on the underlying mortgage assets, and a rapid rate of principal payments
may have a material adverse effect on the Fund’s yield to maturity from these securities.

Another type of mortgage-related security,
known as a Government Sponsored Enterprise (“GSE”) Risk-Sharing Bond or Credit Risk Transfer Security (“CRT”),
is issued by GSEs (and sometimes banks or mortgage insurers) and structured without any government or GSE guarantee in respect
of borrower defaults or underlying collateral. The risks associated with an investment in CRTs differ from the risks associated
with an investment in mortgage-backed securities issued by GSEs because, in CRTs, some or all of the credit risk associated with
the underlying mortgage loans is transferred to the end-investor.

The Fund may invest in collateralized
debt obligations (“CDOs”), which include collateralized bond obligations (“CBOs”), collateralized loan
obligations (“CLOs”), and other similarly structured securities. CBOs and CLOs are types of asset-backed securities.
A CBO is a trust that is backed by a diversified pool of high-risk, below investment grade fixed-income securities. A CLO is a
trust typically collateralized by a pool of loans, which may include, among others, domestic and foreign senior secured loans,
senior unsecured loans, and subordinate corporate loans, including loans that may be rated below investment grade or equivalent
unrated loans. The Fund may invest in other types of asset-backed securities that have been offered to investors.

The securitization techniques used
to develop mortgage-related securities are being applied to a broad range of financial assets. Through the use of trusts and special
purpose corporations, various types of assets, including automobile loans and leases, credit card receivables, home equity loans,
equipment leases and trade receivables, are being securitized in structures similar to the structures used in mortgage securitizations.

The Fund may also invest in various
types of structured securities and basket securities. Structured securities are securities issued in structured financing transactions,
which generally involve aggregating types of debt assets in a pool or special purpose entity and then issuing new securities. Types
of structured financings include securities described elsewhere in this Prospectus, such as mortgage-related and other asset-backed
securities. The Fund’s investments include investments in structured securities that represent interests in entities organized
and operated solely for the purpose of restructuring the investment characteristics of particular debt obligations. This type of
restructuring involves the deposit with or purchase by an entity, such as a corporation or trust, of specified instruments (such
as commercial bank loans or high-yield bonds) and the issuance by that entity of one or more classes of structured securities backed
by, or representing interests in, the underlying instruments. The cash flow on the underlying instruments may be apportioned among
the newly issued structured securities to create securities with different investment characteristics such as varying maturities,
payment priorities and interest rate provisions, and the extent of the payments made with respect to structured securities is dependent
on the extent of the cash flow from the underlying instruments. Structured securities of a given class may be either subordinated
or un-subordinated to the payment of another class. Subordinated structured securities typically have higher yields and present
greater risks than unsubordinated structured securities.

Basket securities in which the Fund
may invest may consist of entities organized and operated for the purpose of holding a basket of other securities. Baskets involving
debt obligations may be designed to represent the characteristics of some portion of the debt securities market or the entire debt
securities market.

Municipal Securities

The two principal classifications of municipal
securities are bonds and notes. Municipal bonds are intended to meet longer-term capital needs while municipal notes are intended
to fulfill short-term capital needs. Municipal notes generally have original maturities not exceeding one year. Municipal notes
include tax anticipation notes, revenue anticipation notes, bond anticipation notes, variable rate demand obligations, and tax-exempt
commercial paper.

Municipal bonds are typically classified
as “general obligation” or “revenue” or “special obligation” bonds. General obligation bonds
are secured by the issuer’s pledge of its full faith, credit, and taxing power for the payment of principal and interest.
Revenue or special

obligation bonds are payable only from
the revenues derived from a particular facility or class of facilities or, in some cases, from the proceeds of a special excise
or other tax, but not from general tax revenues.

Current federal tax law distinguishes between
municipal securities issued to finance certain private activities (“private activity bonds”) and other municipal securities.
Private activity bonds, most of which are AMT-Subject bonds and are also revenue bonds, include bonds issued to finance such projects
as airports, housing projects, resource recovery programs, solid waste disposal facilities, and student loan programs. Bonds of
certain sectors have special risks. For example, the health-care industry can be affected by federal or state legislation, electric
utilities are subject to governmental regulation, and private activity bonds are not government-backed. Attempts to restructure
the tax system may have adverse effects on the value of municipal securities or make them less attractive to investors relative
to taxable treatments.

Participatory Notes

The Fund may enter into participatory notes
(commonly known as “P-Notes”) to gain exposure to foreign securities markets or foreign securities that might otherwise
be difficult or costly to access or purchase because of foreign regulatory restrictions or foreign tax laws. Securities brokerages
in the country buy the securities, then issue to foreign investors P-Notes that derive their value from the underlying securities.
P-Notes involve transaction costs, which may be higher than those applicable to the equity securities. Any dividends or capital
gains collected from the underlying securities are passed through to the foreign investors; however, the holder of a P-Note is
not entitled to the same rights (e.g., dividends, voting rights) as an owner of the underlying security. The Fund must rely
on the creditworthiness of a counterparty and would have no rights against the issuer of an underlying security. Use of P-Notes
involves various risks. These include the risks that the P-Notes may be illiquid and that the Fund may not be able to terminate
or offset its positions at the time it wishes to do so or at a favorable price and that, as a result of the failure of a counterparty
or legal or operational issues, the Fund may not receive payments required to be made to them under the terms of a P-Note.

Preferred Stock

The Fund may invest in preferred stock. Preferred
stock is a class of capital stock that typically pays dividends at a specified rate. Preferred stock is generally senior to common
stock, but is subordinated to any debt the issuer has outstanding. Accordingly, preferred stock dividends are not paid until all
debt obligations are first met. Preferred stock may be subject to more fluctuations in market value, due to changes in market participants’
perceptions of the issuer’s ability to continue to pay dividends, than debt of the same issuer. These investments include
convertible preferred stock, which includes an option for the holder to convert the preferred stock into the issuer’s common
stock under certain conditions, among which may be the specification of a future date when the conversion must begin, a certain
number of shares of common stock per share of preferred stock, or a certain price per share for the common stock. Convertible preferred
stock tends to be more volatile than non-convertible preferred stock because its value is related to the price of the issuer’s
common stock as well as the dividends payable on the preferred stock.

Real Estate Investment Trusts (REITs)

REITs are pooled investment vehicles that invest
primarily in income-producing real estate or real estate related loans or interests. REITs are generally classified as equity REITs,
mortgage REITs or a combination of equity and mortgage REITs. Equity REITs invest the majority of their assets directly in real
property and derive income primarily from the collection of rents. Equity REITs can also realize capital gains by selling properties
that have appreciated in value. Mortgage REITs invest the majority of their assets in real estate mortgages and derive income from
the collection of interest and principal payments. Similar to investment companies such as the Fund, REITs are not taxed on income
distributed to shareholders provided they comply with several requirements of the Internal Revenue Code of 1986, as amended (the
“Code”). The Fund will indirectly bear its proportionate share of expenses incurred by REITs in which the Fund invests
in addition to the expenses incurred directly by the Fund.

Repurchase Agreements and Buy/Sell
Back Transactions

The Fund may enter into repurchase agreements.
In a repurchase agreement transaction, the Fund buys a security and simultaneously agrees to sell it back to the counterparty at
a specified price in the future. However, a repurchase agreement is economically similar to a secured loan, in that the Fund lends
cash to a counterparty for a specific term, normally a day or a few days, and is given acceptable collateral (the purchased securities)
to hold in case the counterparty does not repay the loan. The difference between the purchase price and the repurchase price of
the securities reflects an agreed-upon “interest rate”. Given that the price at which the Fund will sell the collateral
back is specified in advance, the Fund is not exposed to price movements on the collateral unless the counterparty defaults. Si
the counterparty defaults on its obligation to buy back the securities at the maturity date and the liquidation value of the collateral
is less than the outstanding loan amount, the Fund would suffer a loss. In order to further mitigate any potential credit exposure
to the counterparty, if the value of the securities falls below a specified level that is linked to the loan amount during the
life of the agreement, the counterparty must provide additional collateral to support the loan.

The Fund may enter into buy/sell back
transactions, which are similar to repurchase agreements. In this type of transaction, the Fund enters a trade to buy securities
at one price and simultaneously enters a trade to sell the same securities at another price on a specified date. Similar to a repurchase
agreement, the repurchase price is higher than the sale price and reflects current interest rates. Unlike a repurchase agreement,
however, the buy/sell back transaction is considered two separate transactions.

Reverse Repurchase Agreements and
Dollar Rolls

The Fund may enter into reverse repurchase
agreements and dollar rolls, subject to the Fund’s limitations on borrowings. The terms of reverse repurchase agreements
are essentially the reverse of “repurchase agreements” described above. In a reverse repurchase agreement transaction,
the Fund sells a security and simultaneously agrees to repurchase it at a specified time and price. The economic effect of a reverse
repurchase agreement is that of the Fund borrowing money on a secured basis, and reverse repurchase agreements may be considered
a form of borrowing for some purposes. Even though the Fund posts securities as collateral, the Fund maintains exposure to price
declines on these securities since it has agreed to repurchase the securities at a fixed price. Accordingly, reverse repurchase
agreements create leverage risk for the Fund because the Fund maintains exposure to price declines of both the securities it sells
in the reverse repurchase agreement and any securities it purchases with the cash it receives under the reverse repurchase agreement.
If the value of the posted collateral declines, the counterparty would require the Fund to post additional collateral. If the value
of the collateral increases, the Fund may ask for some of its collateral back. If the counterparty defaults and fails to sell the
securities back to the Fund at a time when the market purchase price of the securities exceeds the agreed-upon repurchase price,
the Fund would suffer a loss.

Dollar rolls involve sales by the Fund
of securities for delivery in the current month and the Fund’s simultaneously contracting to repurchase substantially similar
(same type and coupon) securities on a specified future date. During the roll period, the Fund forgoes principal and interest paid
on the securities. The Fund is compensated by the difference between the current sales price and the lower forward price for the
future purchase (often referred to as the “drop”) as well as by the interest earned on the cash proceeds of the initial
sale.

Reverse repurchase agreements and dollar
rolls involve the risk that the market value of the securities the Fund is obligated to repurchase under the agreement may decline
below the repurchase price. In the event the buyer of securities under a reverse repurchase agreement or dollar roll files for
bankruptcy or becomes insolvent, the Fund’s use of the proceeds of the agreement may be restricted pending a determination
by the other party, or its trustee or receiver, whether to enforce the Fund’s obligation to repurchase the securities.

Rights and Warrants

Rights and warrants are option securities permitting
their holders to subscribe for other securities. Rights are similar to warrants except that they have a substantially shorter duration.
Rights and warrants do not carry with them dividend or voting rights with respect to the underlying securities, or any rights in
the assets of the issuer. As a result, an investment in rights and warrants may be considered more speculative than certain other
types of investments. In addition, the value of a right or a warrant does not necessarily change with the value of the underlying
securities, and a right or a warrant ceases to have value if it is not exercised prior to its expiration date.

Short Sales

The Fund may make short sales as a part of
overall portfolio management or to offset a potential decline in the value of a security. A short sale involves the sale of a security
that the Fund does not own, or if the Fund owns the security, is not to be delivered upon consummation of the sale. When the Fund
makes a short sale of a security that it does not own, it must borrow from a broker-dealer the security sold short and deliver
the security to the broker-dealer upon conclusion of the short sale.

If the price of the security sold short
increases between the time of the short sale and the time the Fund replaces the borrowed security, the Fund will incur a loss;
conversely, if the price declines, the Fund will realize a short-term capital gain. The potential for the price of a fixed-income
security sold short to rise is a function of the combination of the remaining maturity of the obligation, its creditworthiness
and its yield. Unlike short sales of equities or other instruments, potential for the price of a fixed-income security to rise
may be limited due to the fact that the security will be no more than par at maturity. However, the short sale of other instruments
or securities generally, including fixed-income securities convertible into equities or other instruments, a fixed-income security
trading at a deep discount from par or that pays a coupon that is high in relative and/or absolute terms, or that is denominated
in a currency other than the U.S. Dollar, involves the possibility of a theoretically unlimited loss since there is a theoretically
unlimited potential for the market price of the security sold short to increase.

Standby Commitment Agreements

Standby commitment agreements are similar to
put options that commit the Fund, for a stated period of time, to purchase a stated amount of a security that may be issued and
sold to the Fund at the option of the issuer. The price and coupon of the security are fixed at the time of the commitment. A
the time of entering into the agreement, the Fund is paid a commitment fee, regardless of whether the security ultimately is issued.
The Fund will enter into such agreements only for the purpose of investing in the security underlying the commitment at a yield
and price considered advantageous to the Fund and unavailable on a firm commitment basis.

There is no guarantee that a security
subject to a standby commitment will be issued. In addition, the value of the security, if issued, on the delivery date may be
more or less than its purchase price. Since the issuance of the security is at the option of the issuer, the Fund will bear the
risk of capital loss in the event the value of the security declines and may not benefit from an appreciation in the value of the
security during the commitment period if the issuer decides not to issue and sell the security to the Fund.

Sovereign Debt Obligations

No established secondary markets may exist
for many sovereign debt obligations. Reduced secondary market liquidity may have an adverse effect on the market price and the
Fund’s ability to dispose of particular instruments when necessary to meet its liquidity

requirements or in response to specific economic
events such as a deterioration in the creditworthiness of the issuer. Reduced secondary market liquidity for certain sovereign
debt obligations may also make it more difficult for the Fund to obtain accurate market quotations for the purpose of valuing its
portfolio. Market quotations are generally available on many sovereign debt obligations only from a limited number of dealers and
may not necessarily represent firm bids of those dealers or prices for actual sales.

By investing in sovereign debt obligations,
the Fund will be exposed to the direct or indirect consequences of political, social, and economic changes in various countries.
Political changes in a country may affect the willingness of a foreign government to make or provide for timely payments of its
obligations. The country’s economic status, as reflected in, among other things, its inflation rate, the amount of its external
debt and its gross domestic product, will also affect the government’s ability to honor its obligations.

The Fund is permitted to invest in
sovereign debt obligations that are not current in the payment of interest or principal or are in default so long as the Adviser
believes it to be consistent with the Fund’s investment objectives. The Fund may have limited legal recourse in the event
of a default with respect to certain sovereign debt obligations they hold. For example, remedies from defaults on certain sovereign
debt obligations, unlike those on private debt, must, in some cases, be pursued in the courts of the defaulting party itself. Legal
recourse therefore may be significantly diminished. Bankruptcy, moratorium, and other similar laws applicable to issuers of sovereign
debt obligations may be substantially different from those applicable to issuers of private debt obligations. The political context,
expressed as the willingness of an issuer of sovereign debt obligations to meet the terms of the debt obligation, for example,
is of considerable importance. In addition, no assurance can be given that the holders of commercial bank debt will not contest
payments to the holders of securities issued by foreign governments in the event of default under commercial bank loan agreements.

Structured Products

The Fund may invest in certain hybrid derivatives-type
instruments that combine features of a traditional stock or bond with those of, for example, a futures contract or an option. Estas
instruments include structured notes and indexed securities, commodity-linked notes and commodity index-linked notes and credit-linked
securities. The performance of the structured product, which is generally a fixed-income security, is tied (positively or negatively)
to the price or prices of an unrelated reference indicator such as a security or basket of securities, currencies, commodities,
a securities or commodities index or a credit default swap or other kinds of swaps. The structured product may not pay interest
or protect the principal invested. The structured product or its interest rate may be a multiple of the reference indicator and,
as a result, may be leveraged and move (up or down) more rapidly than the reference indicator. Investments in structured products
may provide a more efficient and less expensive means of obtaining exposure to underlying securities, commodities or other derivatives,
but may potentially be more volatile and carry greater trading and market risk than investments in traditional securities. los
purchase of a structured product also exposes the Fund to the credit risk of the issuer of the structured product.

Structured notes are derivative debt
instruments. The interest rate or principal of these notes is determined by reference to an unrelated indicator (for example, a
currency, security, or index thereof) unlike a typical note where the borrower agrees to make fixed or floating interest payments
and to pay a fixed sum at maturity. Indexed securities may include structured notes as well as securities other than debt securities,
the interest or principal of which is determined by an unrelated indicator.

Commodity-linked notes and commodity
index-linked notes provide exposure to the commodities markets. These are derivative securities with one or more commodity-linked
components that have payment features similar to commodity futures contracts, commodity options, commodity indices or similar instruments.
Commodity-linked products may be either equity or debt securities, leveraged or unleveraged, and have both security and commodity-like
characteristics. A portion of the value of these instruments may be derived from the value of a commodity, futures contract, index
or other economic variable.

The Fund may also invest in certain
hybrid derivatives-type investments that combine features of a traditional bond with those of certain derivatives such as a credit
default swap, an interest rate swap or other securities. These investments include credit-linked securities. The issuers of these
securities frequently are limited purpose trusts or other special purpose vehicles that invest in a derivative instrument or a
basket of derivative instruments in order to provide exposure to certain fixed-income markets. For instance, the Fund may invest
in credit-linked securities as a cash management tool to gain exposure to a certain market or to remain fully invested when more
traditional income-producing securities are not available. The performance of the structured product, which is generally a fixed-income
security, is linked to the receipt of payments from the counterparties to the derivative instruments or other securities. The Fund’s
investments in credit-linked securities are indirectly subject to the risks associated with derivative instruments, including,
among others, credit risk, default risk, counterparty risk, interest rate risk and leverage risk. These securities are generally
structured as Rule 144A securities so that they may be freely traded among qualified institutional buyers. However, changes in
the market for credit-linked securities or the availability of willing buyers may result in reduced liquidity for the securities.

Variable, Floating and Inverse Floating-Rate
Instruments

The Fund may invest in variable, floating and
inverse floating-rate instruments. Variable and floating-rate securities pay interest at rates that are adjusted periodically,
according to a specified formula. A “variable” interest rate adjusts at predetermined intervals (e.g., daily,
weekly or monthly), while a “floating” interest rate adjusts whenever a specified benchmark rate (such as the bank
prime lending rate) changes.

The Fund may also invest in inverse
floating-rate debt instruments (“inverse floaters”). The interest rate on an inverse floater resets in the opposite
direction from the market rate of interest to which the inverse floater is indexed. An inverse floater may have greater

volatility in market value, in that,
during periods of rising interest rates, the market values of inverse floaters will tend to decrease more rapidly than those of
fixed-rate securities.

Zero-Coupon and Principal-Only Securities

Zero-coupon securities and principal-only
(PO) securities are debt securities that have been issued without interest coupons or stripped of their unmatured interest coupons,
and include receipts or certificates representing interests in such stripped debt obligations and coupons. Such a security pays
no interest to its holder during its life. Its value to an investor consists of the difference between its face value at the time
of maturity and the price for which it was acquired, which is generally an amount significantly less than its face value. Such
securities usually trade at a deep discount from their face or par value and are subject to greater fluctuations in market value
in response to changing interest rates than debt obligations of comparable maturities and credit quality that make current distributions
of interest. On the other hand, because there are no periodic interest payments to be reinvested prior to maturity, these securities
eliminate reinvestment risk and “lock in” a rate of return to maturity.

ADDITIONAL RISKS AND OTHER CONSIDERATIONS

Investments in the Fund involve the risk considerations
described below.

Borrowings and Leverage

The Fund may use borrowings for investment
purposes subject to its investment policies and procedures and to applicable statutory or regulatory requirements. Borrowings by
the Fund result in leveraging of the Fund’s shares. The Fund may also use leverage for investment purposes by entering into
transactions such as reverse repurchase agreements, forward contracts and dollar rolls. This means that the Fund uses cash made
available during the term of these transactions to make investments in other securities.

Utilization of leverage, which is usually
considered speculative, involves certain risks to the Fund’s shareholders. These include a higher volatility of the NAV of
the Fund’s shares of common stock and the relatively greater effect of changes in the value of the Fund’s portfolio
on the NAV of the shares caused by favorable or adverse changes in market conditions or interest rates. In the case of borrowings
for investment purposes, so long as the Fund is able to realize a net return on the leveraged portion of its investment portfolio
that is higher than the interest expense paid on borrowings, the effect of leverage will be to cause the Fund’s shareholders
to realize a higher net return than if the Fund were not leveraged. If the interest expense on borrowings or other costs of leverage
approach the net return on the Fund’s investment portfolio or investments made through leverage, as applicable, the benefit
of leverage to the Fund’s shareholders will be reduced. If the interest expense on borrowings or other costs of leverage
were to exceed the net return to the Fund, the Fund’s use of leverage could result in a lower rate of net return than if
the Fund were not leveraged. Similarly, the effect of leverage in a declining market could normally be a greater decrease in NAV
than if the Fund were not leveraged.

Foreign (Non-U.S.) Securities

Investing in foreign securities involves special
risks and considerations not typically associated with investing in U.S. securities. The securities markets of many foreign countries
are relatively small, with the majority of market capitalization and trading volume concentrated in a limited number of companies
representing a small number of industries. The Fund may experience greater price volatility and significantly lower liquidity than
a portfolio invested solely in securities of U.S. companies. These markets may be subject to greater influence by adverse events
generally affecting the market, and by large investors trading significant blocks of securities, than is usual in the United States.
In addition, the securities markets of some foreign countries may be closed on certain days (p.ej., local holidays) when
the Fund is open for business. On such days, the Fund may be unable to add to or exit its positions in foreign securities traded
in such markets even though it may otherwise be attractive to do so.

Securities registration, custody, and
settlement may in some instances be subject to delays and legal and administrative uncertainties. Foreign investment in the securities
markets of certain foreign countries is restricted or controlled to varying degrees. These restrictions or controls may at times
limit or preclude investment in certain securities and may increase the costs and expenses of the Fund. In addition, the repatriation
of investment income, capital or the proceeds of sales of securities from certain of the countries is controlled under regulations,
including in some cases the need for certain advance government notification or authority, and if a deterioration occurs in a country’s
balance of payments, the country could impose temporary restrictions on foreign capital remittances.

The Fund also could be adversely affected
by delays in, or a refusal to grant, any required governmental approval for repatriation, as well as by the application to it of
other restrictions on investment. Investing in local markets may require the Fund to adopt special procedures or seek local governmental
approvals or other actions, any of which may involve additional costs to the Fund. These factors may affect the liquidity of the
Fund’s investments in any country and the Adviser will monitor the effect of any such factor or factors on the Fund’s
investments. Transaction costs, including brokerage commissions for transactions both on and off the securities exchanges, in many
foreign countries are generally higher than in the United States.

Issuers of securities in foreign jurisdictions
are generally not subject to the same degree of regulation as are U.S. issuers with respect to such matters as insider trading
rules, restrictions on market manipulation, shareholder proxy requirements, and timely disclosure of information. The reporting,
accounting, and auditing standards of foreign countries may differ, in some cases significantly, from U.S. standards in important
respects, and less information may be available to investors in foreign securities than to investors in U.S. securities. Substantially
less information is publicly available about certain non-U.S. issuers than is available about most U.S. issuers.

The economies of individual foreign
countries may differ favorably or unfavorably from the U.S. economy in such respects as growth of gross domestic product or gross
national product, rate of inflation, capital reinvestment, resource self-sufficiency, and balance of payments position. Nationalization,
expropriation or confiscatory taxation, currency blockage, political changes, government regulation, political or social instability,
revolutions, wars or diplomatic developments could affect adversely the economy of a foreign country. In the event of nationalization,
expropriation, or other confiscation, the Fund could lose its entire investment in securities in the country involved. In addition,
laws in foreign countries governing business organizations, bankruptcy and insolvency may provide less protection to security holders
such as the Funds than that provided by U.S. laws.

In June 2016, the United Kingdom (“UK”)
voted in a referendum to leave the European Union (“EU”). On March 29, 2017, the UK notified the European Council of
its intention to withdraw from the EU. There is considerable uncertainty relating to the timing and potential consequences of the
withdrawal. During the period prior to withdrawal and thereafter, the impact on the UK and European economies and the broader global
economy could be significant, resulting in increased volatility and illiquidity, currency fluctuations, impacts on arrangements
for trading and on other existing cross-border cooperation arrangements (whether economic, tax, fiscal, legal, regulatory or otherwise),
and in potentially lower growth for companies in the UK, Europe and globally, which could have an adverse effect on the value of
the Fund’s investments.

Investments in securities of companies
in emerging markets involve special risks. There are approximately 100 countries identified by the World Bank as Low Income, Lower
Middle Income and Upper Middle Income countries that are generally regarded as emerging markets. Emerging market countries that
the Adviser currently considers for investment include:

Countries may be added to or removed
from this list at any time.

Investing in emerging market securities
imposes risks different from, or greater than, risks of investing in domestic securities or in foreign, developed countries. Estas
risks include: smaller market capitalization of securities markets, which may suffer periods of relative illiquidity; significant
price volatility; restrictions on foreign investment; and possible repatriation of investment income and capital. In addition,
foreign investors may be required to register the proceeds of sales and future economic or political crises could lead to price
controls, forced mergers, expropriation or confiscatory taxation, seizure, nationalization, or creation of government monopolies.
The currencies of emerging market countries may experience significant declines against the U.S. Dollar, and devaluation may
occur subsequent to investments in these currencies by the Fund. Inflation and rapid fluctuations in inflation rates have had,
and may continue to have, negative effects on the economies and securities markets of certain emerging market countries.

Additional risks of emerging market
securities may include: greater social, economic and political uncertainty and instability; more substantial governmental involvement
in the economy; less governmental supervision and regulation; unavailability of currency hedging techniques; companies that are
newly organized and small; differences in auditing and financial reporting standards, which may result in unavailability of material
information about issuers; and less developed legal systems. In addition, emerging securities markets may have different clearance
and settlement procedures, which may be unable to keep pace with the volume of securities transactions or otherwise make it difficult
to engage in such transactions. Settlement problems may cause the Fund to miss attractive investment opportunities, hold a portion
of its assets in cash pending investment, or be delayed in disposing of a portfolio security. Such a delay could result in possible
liability to a purchaser of the security.

The Fund may invest in securities of
frontier market countries. Frontier market countries generally have smaller, less diverse economies and even less developed capital
markets and legal, regulatory, and political systems than traditional emerging markets. As a result, the risks of investing in
emerging market countries are magnified in frontier market countries. Frontier market risks include the potential for extreme price
volatility and illiquidity—economic or political instability may cause larger price changes in frontier market securities
than in securities of issuers located in more developed markets. The risks of investing in frontier market countries may also be
magnified

by: government ownership or control
of parts of the private sector and of certain companies; trade barriers, exchange controls, managed adjustments in relative currency
values, impaired or limited access to issuer information and other protectionist measures imposed or negotiated by the countries
with which frontier market countries trade; and the relatively new and unsettled securities laws in many frontier market countries.
The actions of a relatively few major investors in these markets are more likely to result in significant changes in local stock
prices and the value of fund shares. The risk also exists that an emergency situation may arise in one or more frontier market
countries as a result of which trading of securities may cease or may be substantially curtailed and prices for investments in
such markets may not be readily available. All of these factors can make investing in frontier markets riskier than investing in
more developed emerging markets or other foreign markets.

Foreign (Non-U.S.) Currencies

Investing in and exposure to foreign currencies
involve special risks and considerations. If the Fund invests some portion of its assets in securities denominated in, and receives
revenues in, foreign currencies, it will be adversely affected by reductions in the value of those currencies relative to the U.S.
Dollar. Foreign currency exchange rates may fluctuate significantly. They are determined by supply and demand in the foreign exchange
markets, the relative merits of investments in different countries, actual or perceived changes in interest rates, and other complex
factors. Currency exchange rates also can be affected unpredictably by intervention (or the failure to intervene) by U.S. or foreign
governments or central banks or by currency controls or political developments. In light of these risks, the Fund may engage in
certain currency hedging transactions, as described above, which involve certain special risks.

The Fund may also invest directly in
foreign currencies for non-hedging purposes, directly on a spot basis (i.e., cash) or through derivatives transactions,
such as forward currency exchange contracts, futures contracts and options thereon, swaps and options as described above. Estas
investments will be subject to the same risks. In addition, currency exchange rates may fluctuate significantly over short periods
of time, causing the Fund’s NAV to fluctuate.

Investment in Below Investment Grade
Fixed-Income Securities

Investments in securities rated below investment
grade (commonly known as “junk bonds”) are subject to greater risk of loss of principal and interest than higher-rated
securities. These securities are also generally considered to be subject to greater market risk than higher-rated securities. los
capacity of issuers of these securities to pay interest and repay principal is more likely to weaken than is that of issuers of
higher-rated securities in times of deteriorating economic conditions or rising interest rates. In addition, below investment grade
securities may be more susceptible to real or perceived adverse economic conditions than investment grade securities.

The market for these securities may
be thinner and less active than that for higher-rated securities, which can adversely affect the prices at which these securities
can be sold. To the extent that there is no established secondary market for these securities, the Fund may experience difficulty
in valuing such securities and, in turn, the Fund’s assets.

Unrated Securities

The Fund may invest in unrated securities when
the Adviser believes that the financial condition of the issuers of such securities, or the protection afforded by the terms of
the securities themselves, limits the risk to the Fund to a degree comparable to that of rated securities that are consistent with
the Fund’s objective and policies.

Future Developments

The Fund may take advantage of other investment
practices that are not currently contemplated for use by the Fund, or are not available but may yet be developed, to the extent
such investment practices are consistent with the Fund’s investment objective and legally permissible for the Fund. Such
investment practices, if they arise, may involve risks that exceed those involved in the activities described above.

Changes in Investment Objectives
and Policies

The Fund is a series of AB Bond Fund, Inc.
The Board of Directors of AB Bond Fund, Inc. (the “Board”) may change the Fund’s investment objective without
shareholder approval. The Fund will provide shareholders with 60 days’ prior written notice of any change to the Fund’s
investment objective. Unless otherwise noted, all other policies of the Fund may be changed without shareholder approval.

Temporary Defensive Position

For temporary defensive purposes in an attempt
to respond to adverse market, economic, political or other conditions, the Fund may invest in certain types of short-term, liquid,
investment-grade or high-quality debt securities. While the Fund is investing for temporary defensive purposes, it may not meet
its investment objectives.

Portfolio Holdings

A description of the Fund’s policies
and procedures with respect to the disclosure of the Fund’s portfolio securities is available in the Fund’s SAI.

Cyber Security Risk

Mutual funds, including the Fund, are susceptible
to cyber security risk. Cyber security breaches may allow an unauthorized party to gain access to Fund assets, shareholder data,
or proprietary information, or cause the Fund and/or its service providers to suffer data corruption or lose operational functionality.
In addition, cyber security breaches at issuers in which the Fund invests may affect the value of your investment in the Fund.

This section discusses how to buy, sell or
redeem, or exchange different classes of shares of the Fund that are offered through this Prospectus. The Fund offers three classes
of shares through this Prospectus.

Each share class represents an investment
in the same portfolio of securities, but the classes may have different sales charges and bear different ongoing distribution expenses.
For additional information on the differences between the different classes of shares and factors to consider when choosing among
them, please see “The Different Share Class Expenses” and “Choosing a Share Class” below. Only Class A
shares offer Quantity Discounts on sales charges, as described below.

The purchase of the Fund’s shares is
priced at the next-determined NAV after your order is received in proper form.

Class A and Class C Shares –
Shares Available to Retail Investors

You may purchase the Fund’s Class A
or Class C shares through financial intermediaries, such as broker-dealers or banks. You also may purchase shares directly from
the Fund’s principal underwriter, AllianceBernstein Investments, Inc., or ABI, if you are (i) an initial investor and the
Fund has received and accepted a completed Mutual Fund Application identifying a financial intermediary with which ABI has an agreement;
(ii) an existing Fund shareholder with an account held directly with a Fund; or (iii) an employee of the Adviser or any of its
affiliates. These purchases may be subject to an initial sales charge, an asset-based sales charge or CDSC as described below.

Minimums:*

Maximum Individual Purchase Amount:

Other Purchase Information

Your broker or financial intermediary must
receive your purchase request by the Fund Closing Time, which is the close of regular trading on any day the Exchange is open (ordinarily,
4:00 p.m., Eastern time, but sometimes earlier, as in the case of scheduled half-day trading or unscheduled suspensions of
trading), and submit it to the Fund by a pre-arranged time for you to receive the next-determined NAV, less any applicable initial
sales charge.

If you are an existing Fund shareholder
and you have completed the appropriate section of the Mutual Fund Application, you may purchase additional shares by telephone
with payment by electronic funds transfer in amounts not exceeding $500,000. AllianceBernstein Investor Services, Inc., or ABIS,
must receive and confirm telephone requests before the Fund Closing Time to receive that day’s public offering price. Llamada
(800) 221-5672 to arrange a transfer from your bank account.

Shares of the Fund are generally available
for purchase in the United States, Puerto Rico, Guam, American Samoa and the U.S. Virgin Islands. Except to the extent otherwise
permitted by the Fund, the Fund will only accept purchase orders directly from U.S. citizens with a U.S. address (including an
APO or FPO address) or resident aliens with a U.S. address (including an APO or FPO address) and a U.S. taxpayer identification
number (i.e., W-9 tax status). Subject to the requirements of local law applicable to the offering of Fund shares, U.S.
citizens (i.e., W-9 tax status) residing in foreign countries are permitted to purchase shares of the Fund through their
accounts at U.S. registered broker-dealers and other similar U.S. financial intermediaries, provided the broker-dealer or intermediary
has an agreement with the Fund’s distributor permitting it to accept orders for the purchase and sale of Fund shares.

The Fund will not accept purchase orders
(including orders for the purchase of additional shares) from foreign persons or entities or from resident aliens who, to the knowledge
of the Fund, have reverted to non-resident status (p.ej., a resident alien who has a non-U.S. address at time of purchase).

Tax-Deferred Accounts

Class A shares are also available to the
following tax-deferred arrangements:

Class C shares are available to AllianceBernstein
Link, AllianceBernstein Individual 401(k), AllianceBernstein SIMPLE IRA plans with less than $250,000 in plan assets and 100 employees,
and to group retirement plans.

Advisor Class Shares

You may purchase Advisor Class shares through
your financial advisor at NAV. Advisor Class shares may be purchased and held solely:

Advisor Class shares may also be available
on brokerage platforms of firms that have agreements with ABI to offer such shares when acting solely on an agency basis for the
purchase or sale of such shares. If you transact in Advisor Class shares through one of these programs, you may be required to
pay a commission and/or other forms of compensation to the broker. Shares of the Fund are available in other share classes that
have different fees and expenses.

The Fund’s SAI has more detailed
information about who may purchase and hold Advisor Class shares.

Class A Shares Available to
Group Retirement Plans

Class A shares are available at NAV, without
an initial sales charge, to 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit-sharing and money purchase pension
plans, defined benefit plans, and non-qualified deferred compensation plans where plan level or omnibus accounts are held on the
books of the Fund (“group retirement plans”).

Class A shares are also available
at NAV to the AllianceBernstein Link, AllianceBernstein Individual 401(k) and AllianceBernstein SIMPLE IRA plans but only if such
plans have at least $250,000 in plan assets or 100 employees, and to certain defined contribution retirement plans that do not
have plan level or omnibus accounts on the books of the Fund.

Class A shares are also available
to group retirement plans in the AllianceBernstein-sponsored programs known as the “Informed Choice” programs.

Required Information

The Fund is required by law to obtain, verify
and record certain personal information from you or persons authorized to act on your behalf in order to establish an account.
Required information includes name, date of birth, physical address and taxpayer identification number (for most investors, your
social security number). The Fund may also ask to see other identifying documents. If you do not provide the information, the Fund
will not be able to open your account. If the Fund is unable to verify your identity, or that of another person(s) authorized to
act on your behalf, or if the Fund believes it has identified potentially criminal activity, the Fund reserves the right to take
action it deems appropriate or as required by law, which may include closing your account. If you are not a U.S. citizen or resident
alien, your account must be affiliated with a Financial Industry Regulatory Authority, or FINRA, member firm.

The Fund is required to withhold 24%
of taxable dividends, capital gains distributions, and redemptions paid to any shareholder who has not provided the Fund with his
or her correct taxpayer identification number. To avoid this, you must provide your correct taxpayer identification number on your
Mutual Fund Application.

General

IRA custodians, plan sponsors, plan fiduciaries,
plan recordkeepers, and other financial intermediaries may establish their own eligibility requirements as to the purchase, sale
or exchange of Fund shares, including minimum and maximum investment requirements. The Fund is not responsible for, and has no
control over, the decisions of any plan sponsor, fiduciary or other financial intermediary to impose such differing requirements.

ABI may refuse any order to purchase
shares. The Fund reserves the right to suspend the sale of its shares to the public in response to conditions in the securities
markets or for other reasons.

This section describes the different expenses
of investing in each class and explains factors to consider when choosing a class of shares. The expenses can include distribution
and/or service (Rule 12b-1) fees, initial sales charges and/or CDSCs. Only Class A shares offer Quantity Discounts,
as described below.

Asset-Based Sales Charges or Distribution
and/or Service (Rule 12b-1) Fees

The amount of these fees for each class
of the Fund’s shares is:

* The maximum fee allowed under
the Rule 12b-1 Plan for the Class A shares of the Fund is 0.25% of the aggregate average daily net assets. The Board currently
limits the payments to 0.20%.

Because these fees are paid out of
the Fund’s assets on an ongoing basis, over time these fees will increase the cost of your investment and may cost you more
than paying other types of sales fees. Class C shares are subject to higher Rule 12b-1 fees than Class A shares. Clase
C shares are subject to these higher fees for a period of ten years, after which they convert to Class A shares. Share classes
with higher Rule 12b-1 fees will have a higher expense ratio, pay correspondingly lower dividends and may have a lower NAV (and
returns). All or some of these fees are paid to financial intermediaries, which may include your financial intermediary’s
firm. ABI retains these fees for certain shareholder accounts, including those held directly with the Fund (with no associated
financial intermediary).

Sales Charges

Class A Shares. You can purchase
Class A shares at their public offering price (or cost), which is NAV plus an initial sales charge of up to 4.25% of the offering
precio. Any applicable sales charge will be deducted directly from your investment.

The initial sales charge you pay each
time you buy Class A shares differs depending on the amount you invest and may be reduced or eliminated for larger purchases
as indicated below. These discounts, which are also known as Breakpoints or Quantity Discounts, can reduce or, in some cases,
eliminate the initial sales charges that would otherwise apply to your investment in Class A shares.

The sales charge schedule of Class A
share Quantity Discounts is as follows:

Except as noted below, purchases of
Class A shares in the amount of $1,000,000 or more or by AllianceBernstein or non-AllianceBernstein sponsored group retirement
plans are not subject to an initial sales charge, but may be subject to a 1% CDSC if redeemed or terminated within one year.

Class A share purchases not
subject to sales charges. The Fund may sell its Class A shares at NAV without an initial sales charge or CDSC to some
categories of investors, including:

The availability of certain sales charge
waivers and discounts will depend on whether you purchase your shares directly from the Fund or through a financial intermediary.
Intermediaries may have different policies and procedures regarding the availability of front-end sales load waivers and discounts
or CDSC waivers. In all instances, it is the purchaser’s responsibility to notify the Fund or the purchaser’s financial
intermediary at the time of purchase of any relationship or other facts qualifying the purchaser for sales charge waivers or discounts.
For waivers and discounts not available through a particular intermediary, shareholders will have to purchase Fund shares directly
from the Fund or through another intermediary to receive these waivers or discounts.

Please see the Fund’s SAI for
more information about purchases of Class A shares without sales charges.

Certain intermediaries impose different
eligibility criteria for sales load waivers and discounts, which are described in Appendix C—Financial Intermediary Waivers.

Class C Shares. You can purchase
Class C shares at NAV without an initial sales charge. This means that the full amount of your purchase is invested in the Fund.
Your investment is subject to a 1% CDSC if you redeem your shares within one year. If you exchange your shares for the Class
C shares of another AB Mutual Fund, the 1% CDSC also will apply to the Class C shares received. The 1-year period for the CDSC
begins with the date of your original purchase, not the date of the exchange for the other Class C shares.

Class C shares purchased for cash automatically
convert to Class A shares ten years after the end of the month of your purchase. If you purchase shares by exchange for the Class
C shares of another AB Mutual Fund, the conversion period runs from the date of your original purchase.

Advisor Class Shares. Advisor
Class shares are not subject to any initial sales charge or CDSC, although your financial advisor may charge a fee.

This section includes important information
about sales charge reduction programs available to investors in Class A shares and describes information or records you may
need to provide to the Fund or your financial intermediary in order to be eligible for sales charge reduction programs. Your financial
intermediary may have different policies and procedures regarding eligibility for sales charge reduction programs. See Appendix
C—Financial Intermediary Waivers.

Information about Quantity Discounts
and sales charge reduction programs also is available free of charge and in a clear and prominent format on our website at www.abfunds.com
(click on “Investments—Mutual Funds”, select the Fund, then click on “More Literature—Understanding
Sales Charges & Expenses”).

Rights of Accumulation

To determine if a new investment in Class A
shares is eligible for a Quantity Discount, a shareholder can combine the value of the new investment in the Fund with the
higher of cost or NAV of existing investments in the Fund, any other AB Mutual Fund and AB Institutional Funds. The AB Mutual Funds
use the higher of cost or current NAV of your existing investments when combining them with your new investment.

Combined Purchase Privileges

A shareholder may qualify for a Quantity
Discount by combining purchases of shares of the Fund into a single “purchase”. A “purchase” means
a single purchase or concurrent purchases of shares of the Fund or any other AB Mutual Fund, including AB Institutional Funds,
by:

Letter of Intent

An investor may not immediately invest a sufficient
amount to reach a Quantity Discount, but may plan to make one or more additional investments over a period of time that,
in the end, would qualify for a Quantity Discount. For these situations, the Fund offers a Letter of Intent, cuales
permits new investors to express the intention, in writing, to invest at least $100,000 in Class A shares of the Fund or any
AB Mutual Fund within 13 months. The Fund will then apply the Quantity Discount to each of the investor’s purchases
of Class A shares that would apply to the total amount stated in the Letter of Intent. In the event an existing investor
chooses to initiate a Letter of Intent, the AB Mutual Funds will use the higher of cost or current NAV of the investor’s
existing investments and of those accounts with which investments are combined via Combined Purchase Privileges toward the
fulfillment of the Letter of Intent. For example, if the combined cost of purchases totaled $80,000 and the current NAV
of all applicable accounts is $85,000 at the time a $100,000 Letter of Intent is initiated, the subsequent investment of
an additional $15,000 would fulfill the Letter of Intent. If an investor fails to invest the total amount stated in the
Letter of Intent, the Fund will retroactively collect the sales charge otherwise applicable by redeeming shares in the investor’s
account at their then current NAV. Investors qualifying for Combined Purchase Privileges may purchase shares under a single
Letter of Intent.

Required Shareholder Information
and Records

In order for shareholders to take advantage
of sales charge reductions, a shareholder or his or her financial intermediary must notify the Fund that the shareholder qualifies
for a reduction. Without notification, the Fund is unable to ensure that the reduction is applied to the shareholder’s account.
A shareholder may have to provide information or records to his or her financial intermediary or the Fund to verify eligibility
for breakpoint privileges or other sales charge waivers. This may include information or records, including account statements,
regarding shares of the Fund or other AB Mutual Funds held in:

CDSC Waivers

The Fund will waive the CDSCs on redemptions
of shares in the following circumstances, among others:

Please
see the Fund’s SAI for a list of additional circumstances in which the Fund will waive the CDSCs on redemptions of shares.

Your financial
intermediary may have different policies and procedures regarding eligibility for CDSC waivers. See Appendix C—Financial
Intermediary Waivers.

Other Programs

Dividend Reinvestment Program

Unless you specifically have elected to receive
dividends or distributions in cash, they will automatically be reinvested, without an initial sales charge or CDSC, in the same
class of additional shares of the Fund. If you elect to receive distributions in cash, you will only receive a check if the amount
of the distribution is equal to or exceeds $25.00. Distributions of less than $25.00 will automatically be reinvested in shares
of the Fund. To receive distributions of less than $25.00 in cash, you must have bank instructions associated to your account so
that distributions can be delivered to you electronically via Electronic Funds Transfer using the Automated Clearing House or “ACH”.
In addition, the Fund may reinvest your distribution check (and future checks) in additional shares of the Fund if your check (i) is
returned as undeliverable or (ii) remains uncashed for nine months.

Dividend Direction Plan

A shareholder who already maintains accounts
in more than one AB Mutual Fund may direct the automatic investment of income dividends and/or capital gains by the Fund, in any
amount, without the payment of any sales charges, in shares of any eligible class of one or more other AB Mutual Fund(s) in which
the shareholder maintains an account.

Automatic Investment Program

The Automatic Investment Program allows investors
to purchase shares of the Fund through pre-authorized transfers of funds from the investor’s bank account. Under the Automatic
Investment Program, an investor may (i) make an initial purchase of at least $2,500 and invest at least $50 monthly or (ii) make
an initial purchase of less than $2,500 and commit to a monthly investment of $200 or more until the investor’s account balance
is $2,500 or more. Please see the Fund’s SAI for more details.

Reinstatement Privilege

A shareholder who has redeemed all or any portion
of his or her Class A shares may reinvest all or any portion of the proceeds from the redemption in Class A shares of
any AB Mutual Fund at NAV without any sales charge, if the reinvestment is made within 120 calendar days after the redemption date.

Systematic Withdrawal Plan

The Fund offers a systematic withdrawal plan
that permits the redemption of Class A or Class C shares without payment of a CDSC. Under this plan, redemptions equal to
1% a month, 2% every two months or 3% a quarter of the value of the Fund account would be free of a CDSC. The Class A and
Class C shares held the longest would be redeemed first.

Each share class represents an interest in
the same portfolio of securities, but each class has its own sales charge and expense structure, allowing you to choose the class
that best fits your situation. In choosing a class of shares, you should consider:

Among other things, Class A shares,
with their lower Rule 12b-1 fees, are designed for investors with a long-term investing time frame. Class C shares should
not be considered as a long-term investment because they are subject to a higher distribution fee for ten years. Class C shares
do not, however, have an initial sales charge or a CDSC so long as the shares are held for one year or more. Class C shares are
designed for investors with a short-term investing time frame.

A transaction, service, administrative
or other similar fee may be charged by your broker-dealer, agent or other financial intermediary, with respect to the purchase,
sale or exchange of Class A, Class C or Advisor Class shares made through your financial advisor, or in connection with participation
on the intermediary’s platform. Financial intermediaries, a fee-based program, or, for group retirement plans, a plan sponsor
or plan fiduciary, also may impose requirements on the purchase, sale or exchange of shares that are different from, or in addition
to, those described in this Prospectus and the Fund’s SAI, including requirements as to the minimum initial and subsequent
investment amounts. In addition, group retirement plans may not offer all classes of shares of the Fund. The Fund is not responsible
for, and has no control over, the decision of any financial intermediary, plan sponsor or fiduciary to impose such differing requirements.

You should consult your financial
advisor for assistance in choosing a class of Fund shares.

Financial intermediaries market and sell shares
of the Fund. These financial intermediaries employ financial advisors and receive compensation for selling shares of the Fund.
This compensation is paid from various sources, including any sales charge, CDSC and/or Rule 12b-1 fee that you or the Fund may
pagar. Your individual financial advisor may receive some or all of the amounts paid to the financial intermediary that employs him
or her.

All or a portion of the initial sales
charge that you pay is paid by ABI to financial intermediaries selling Class A shares. ABI may also pay financial intermediaries
a fee of up to 1% on purchases of Class A shares that are sold without an initial sales charge.

ABI pays, at the time of your purchase,
a commission to financial intermediaries in an amount to equal to 1% of your investment for sales of Class C shares.

For Class A and Class C shares,
up to 100% of the Rule 12b-1 fees applicable to these classes of shares each year may be paid to financial intermediaries.

Other Payments for Distribution Services
and Educational Support

In addition to the commissions paid to or charged
by financial intermediaries at the time of sale and Rule 12b-1 fees, some or all of which are paid to financial intermediaries
(and, in turn, may be paid to your financial advisor), ABI, at its expense, currently provides additional payments to firms that
sell shares of the AB Mutual Funds. Although the individual components may be higher and the total amount of payments made to each
qualifying firm in any given year may vary, the total amount paid to a financial intermediary in connection with the sale of shares
of the AB Mutual Funds will generally not exceed the sum of (a) 0.25% of the current year’s fund sales by that firm
and (b) 0.10% of average daily net assets attributable to that firm over the year. These sums include payments for distribution
analytical data regarding AB Mutual Fund sales by financial advisors of these firms and to reimburse directly or indirectly the
costs incurred by these firms and their employees in connection with educational seminars and training efforts about the AB Mutual
Funds for the firms’ employees and/or their clients and potential clients. The costs and expenses associated with these efforts
may include travel, lodging, entertainment and meals. ABI may pay a portion of “ticket” or other transactional charges.

For 2020, ABI’s additional payments
to these firms for distribution services and educational support related to the AB Mutual Funds are expected to be approximately
0.05% of the average monthly assets of the AB Mutual Funds, or approximately $22 million. In 2019, ABI paid approximately 0.05%
of the average monthly assets of the AB Mutual Funds or approximately $21 million for distribution services and educational
support related to the AB Mutual Funds.

A number of factors are considered
in determining the additional payments, including each firm’s AB Mutual Fund sales, assets and redemption rates, and the
willingness and ability of the firm to give ABI access to its financial advisors for educational and marketing purposes. En algunos
cases, firms will include the AB Mutual Funds on a “preferred list”. ABI’s goal is to make the financial advisors
who interact with current and prospective investors and shareholders more knowledgeable about the AB Mutual Funds so that they
can provide suitable information and advice about the funds and related investor services.

The Fund and ABI also make payments
for recordkeeping and other transfer agency services to financial intermediaries that sell AB Mutual Fund shares. Please see “Management
of the Fund—Transfer Agency and Retirement Plan Services” below. If paid by the Fund, these expenses are included in
“Other Expenses” under “Fees and Expenses of the Fund—Annual Fund Operating Expenses” in the Summary
Information at the beginning of this Prospectus.

As of the date of this Prospectus,
ABI anticipates that the firms that will receive additional payments for distribution services and/or educational support include:

Advisor Group

American Enterprise Investment Services

AXA Advisors

Cadaret, Grant & Co.

Citigroup Global Markets

Citizens Securities

Commonwealth Financial Network

Great-West Life & Annuity Insurance
Co.

John Hancock Retirement Plan Services

JP Morgan Securities

Lincoln Financial Advisors Corp.

Lincoln Financial Securities Corp.

LPL Financial

Merrill Lynch

Morgan Stanley

Northwestern Mutual Investment Services

PNC Investments

Raymond James

RBC Wealth Management

Robert W. Baird

UBS Financial Services

US Bancorp Investments

Voya Financial Partners

Waddell & Reed, Inc.

Wells Fargo Advisors

Although the Fund may use brokers and
dealers that sell shares of the Fund to effect portfolio transactions, the Fund does not consider the sale of AB Mutual Fund shares
as a factor when selecting brokers or dealers to effect portfolio transactions.

You may exchange your Fund shares for shares
of the same class of other AB Mutual Funds provided that the other fund offers the same class of shares and, in the case of retirement
plans, is an investment option under the plan. Exchanges of shares are made at the next-determined NAV, without sales or service
charges, after your order is received in proper form. All exchanges are subject to the minimum investment restrictions set forth
in the prospectus for the AB Mutual Fund whose shares are being acquired. You may request an exchange either directly or through
your financial intermediary or, in the case of retirement plan participants, by following the procedures specified by your plan
sponsor or plan recordkeeper. In order to receive a day’s NAV, ABIS must receive and confirm your telephone exchange request
by the Fund Closing Time, on that day. The Fund may modify, restrict or terminate the exchange privilege on 60 days’ written
darse cuenta.

You may “redeem” your shares (i.e.,
sell your shares to the Fund) on any day the Exchange is open, either directly or through your financial intermediary or, in the
case of retirement plan participants, by following the procedures specified by your plan sponsor or plan recordkeeper. For Advisor
Class shares, if you are in doubt about what procedures or documents are required by your fee-based program or employee benefit
plan to sell your shares, you should contact your financial intermediary. Your sale price will be the next-determined NAV, less
any applicable CDSC, after the Fund receives your redemption request in proper form. The Fund expects that it will typically take
one to three business days following the receipt of your redemption request in proper form to pay out redemption proceeds. Sin embargo,
while not expected, payment of redemption proceeds may take up to seven days from the day your request is received in proper form
by the Fund by the Fund Closing Time. If you recently purchased your shares by check or electronic funds transfer, your redemption
payment may be delayed until the Fund is reasonably satisfied that the check or electronic funds transfer has been collected (which
may take up to 10 days).

The Fund expects, under normal circumstances,
to use cash or cash equivalents held by the Fund to satisfy redemption requests. The Fund may also determine to sell portfolio
assets to meet such requests. Under certain circumstances, including stressed market conditions, the Fund may determine to pay
a redemption request by accessing a bank line of credit or by distributing wholly or partly in kind securities from its portfolio,
instead of cash.

Sale In-Kind. The Fund normally
pays proceeds of a sale of Fund shares in cash. However, the Fund has reserved the right to pay the sale price in whole or in part
by a distribution in-kind of securities in lieu of cash. If the redemption payment is made in-kind, the securities received will
be subject to market risk and may decline in value. In addition, you may incur brokerage commissions if you elect to sell the securities
for cash.

Selling Shares Through Your Financial
Intermediary or Retirement Plan

Your financial intermediary or plan recordkeeper
must receive your sales request by the Fund Closing Time, and submit it to the Fund by a pre-arranged time for you to receive that
day’s NAV, less any applicable CDSC. Your financial intermediary, plan sponsor or plan recordkeeper is responsible for submitting
all necessary documentation to the Fund and may charge you a fee for this service.

Selling Shares Directly to the Fund

Por correo:

AllianceBernstein Investor Services,
Cía.

CORREOS. Box 786003

San Antonio, TX 78278-6003

AllianceBernstein Investor Services,
Cía.

8000 IH 10 W, 13th floor

San Antonio, TX 78230

By Telephone:

The Board has adopted policies and procedures
designed to detect and deter frequent purchases and redemptions of Fund shares or excessive or short-term trading that may disadvantage
long-term Fund shareholders. These policies are described below. There is no guarantee that the Fund will be able to detect excessive
or short-term trading activity or to identify shareholders engaged in such practices, particularly with respect to transactions
in omnibus accounts. Shareholders should be aware that application of these policies may have adverse consequences, as described
below, and should avoid frequent trading in Fund shares through purchases, sales and exchanges of shares. The Fund reserves the
right to restrict, reject or cancel, without any prior notice, any purchase or exchange order for any reason, including any purchase
or exchange order accepted by any shareholder’s financial intermediary.

Risks Associated With Excessive
or Short-Term Trading Generally. While the Fund will try to prevent market timing by utilizing the procedures described below,
these procedures may not be successful in identifying or stopping excessive or short-term trading in all circumstances. By realizing
profits through short-term trading, shareholders that engage in rapid purchases and sales or exchanges of the Fund’s shares
dilute the value of shares held by long-term shareholders. Volatility resulting from excessive purchases and sales or exchanges
of Fund shares, especially involving large dollar amounts, may disrupt efficient portfolio management and cause the Fund to sell
portfolio securities at inopportune times to raise cash to accommodate redemptions relating to short-term trading activity. En
particular, the Fund may have difficulty implementing its long-term investment strategies if it is forced to maintain a higher
level of its assets in cash to accommodate significant short-term trading activity. In addition, the Fund may incur increased administrative
and other expenses due to excessive or short-term trading, including increased brokerage costs and realization of taxable capital
gains.

Funds that may invest
significantly in securities of foreign issuers may be particularly susceptible to short-term trading strategies. This is because
securities of foreign issuers are typically traded on markets that close well before the time a Fund calculates its NAV (ordinarily
at 4:00 p.m., Eastern time), which gives rise to the possibility that developments may have occurred in the interim that would
affect the value of these securities. The time zone differences among international stock markets can allow a shareholder engaging
in a short-term trading strategy to exploit differences in Fund share prices that are based on closing prices of securities of
foreign issuers established some time before the Fund calculates its own share price (referred to as “time zone arbitrage”).
The Fund has procedures, referred to as fair value pricing, designed to adjust closing market prices of securities of foreign issuers
to reflect what is believed to be the fair value of those securities at the time the Fund calculates its NAV. While there is no
assurance, the Fund expects that the use of fair value pricing, in addition to the short-term trading policies discussed below,
will significantly reduce a shareholder’s ability to engage in time zone arbitrage to the detriment of other Fund shareholders.

A shareholder engaging in a short-term
trading strategy may also target the Fund irrespective of its investments in securities of foreign issuers. Any Fund that invests
in securities that are, among other things, thinly traded, traded infrequently or that have a limited public float has the risk
that the current market price for the securities may not accurately reflect current market values. A shareholder may

seek to engage in short-term trading
to take advantage of these pricing differences (referred to as “price arbitrage”). The Fund may be adversely affected
by price arbitrage.

Policy Regarding Short-Term Trading.
Purchases and exchanges of shares of the Fund should be made for investment purposes only. The Fund seeks to prevent patterns of
excessive purchases and sales of Fund shares to the extent they are detected by the procedures described below subject to the Fund’s
ability to monitor purchase, sale and exchange activity. The Fund reserves the right to modify this policy, including any surveillance
or account blocking procedures established from time to time to effectuate this policy, at any time without notice.

The Fund’s NAV is calculated on any day
the Exchange is open at the close of regular trading (ordinarily, 4:00 p.m., Eastern time, but sometimes earlier, as in the case
of scheduled half-day trading or unscheduled suspensions of trading). To calculate NAV, the Fund’s assets are valued and
totaled, liabilities are subtracted, and the balance, called net assets, is divided by the number of shares outstanding. If the
Fund invests in securities that are primarily traded on foreign exchanges that trade on weekends or other days when the Fund does
not price its shares, the value of the Fund’s shares may change on days when shareholders will not be able to purchase or
redeem their shares in the Fund.

The Fund values its securities at their
current market value determined on the basis of market quotations or, if market quotations are not readily available or are unreliable,
at “fair value” as determined in accordance with procedures established by and under the general supervision of the
Board. When the Fund uses fair value pricing, it may take into account any factors it deems appropriate. The Fund may determine
fair value based upon developments related to a specific security, current valuations of foreign stock indices (as reflected in
U.S. futures markets) and/or U.S. sector or broader stock market indices. The prices of securities used by the Fund to calculate
its NAV may differ from quoted or published prices for the same securities. Fair value pricing involves subjective judgments and
it is possible that the fair value determined for a security is materially different than the value that could be realized upon
the sale of that security.

The Fund expects to use fair value
pricing for securities primarily traded on U.S. exchanges only under very limited circumstances, such as the early closing of the
exchange on which a security is traded or suspension of trading in the security, or for securities for which market prices are
not readily available or deemed unreliable (including restricted securities). The Fund may use fair value pricing more frequently
for securities primarily traded in non-U.S. markets because, among other things, most foreign markets close well before the Fund
ordinarily values its securities at 4:00 p.m., Eastern time. The earlier close of these foreign markets gives rise to the
possibility that significant events, including broad market moves, may have occurred in the interim. Factors considered in fair
value pricing may include, but are not limited to, information obtained by contacting the issuer or analysts, or by analysis of
the issuers’ financial statements. The Fund may value its securities using fair value prices based on independent pricing
servicios.

Subject to its oversight, the Board
has delegated responsibility for valuing the Fund’s assets to the Adviser. The Adviser has established a Valuation Committee,
which operates under the policies and procedures approved by the Board, to value the Fund’s assets on behalf of the Fund.
The Valuation Committee values Fund assets as described above. More information about the valuation of the Fund’s assets
is available in the Fund’s SAI.

INVESTMENT ADVISER

The Fund’s Adviser is AllianceBernstein
L.P., 1345 Avenue of the Americas, New York, NY 10105. The Adviser is a leading global investment adviser supervising client
accounts with assets as of September 30, 2019, totaling over $592 billion (of which approximately $116 billion represented
assets of investment companies sponsored by the Adviser). As of September 30, 2019, the Adviser managed retirement assets for many
of the largest public and private employee benefit plans (including 15 of the nation’s FORTUNE 100 companies), for public
employee retirement funds in 30 of the 50 states, for investment companies, and for foundations, endowments, banks and insurance
companies worldwide. The 28 registered investment companies managed by the Adviser, comprising approximately 109 separate investment
portfolios, had as of September 30, 2019 approximately 2.6 million shareholder accounts.

During the second quarter of 2018, AXA S.A.
(“AXA”), a French holding company for the AXA Group, a worldwide leader in life, property and casualty and health insurance
and asset management, completed the sale of a minority stake in its subsidiary, AXA Equitable Holdings, Inc. (now named Equitable
Holdings, Inc.) (“Equitable”), through an initial public offering. Equitable is the holding company for a diverse group
of financial services companies, including an approximately 65.3% economic interest in the Adviser and a 100% interest in AllianceBernstein
Corporation, the general partner of the Adviser. Since the initial sale, AXA has completed additional offerings, most recently
during the fourth quarter of 2019. As a result, AXA owned 10.1% of the outstanding shares of common stock of Equitable as of November
13, 2019, and no longer owns a controlling interest in Equitable. AXA previously announced its intention to sell its entire interest
in Equitable over time, subject to market conditions and other factors (the “Plan”). Most of AXA’s remaining
Equitable shares are to be delivered on redemption of AXA bonds mandatorily exchangeable into Equitable shares and maturing in
May 2021. AXA retains sole discretion to determine the timing of any future sales of its remaining shares of Equitable common stock.

The latest transaction
under the Plan, which occurred on November 13, 2019, resulted in the indirect transfer of a “controlling
block” of voting securities of the Adviser (a “Change of Control Event”) and was deemed an
“assignment” causing a termination of the Fund’s investment advisory agreement. In order to ensure that
investment advisory services could continue uninterrupted in the event of a Change of Control Event, the Board previously
approved new investment advisory agreements with the Adviser and shareholders of the Fund subsequently approved the new
investment advisory agreements. These agreements became effective on November 13, 2019.

The Adviser provides investment advisory
services and order placement facilities for the Fund. For these advisory services, the Fund pays the Adviser a management fee of
0.35% of the first $2.5 billion of the Fund’s average net assets and 0.30% thereafter.

A discussion regarding the basis for
the Board’s approval of the Fund’s investment advisory agreement will be available in the Fund’s semi-annual
report to shareholders for the fiscal period ending April 30, 2019.

The Adviser acts as an investment adviser
to other persons, firms or corporations, including investment companies, hedge funds, pension funds and other institutional investors.
The Adviser may receive management fees, including performance fees, that may be higher or lower than the advisory fees it receives
from the Fund. Certain other clients of the Adviser have investment objectives and policies similar to those of the Fund. The Adviser
may, from time to time, make recommendations that result in the purchase or sale of a particular security by its other clients
simultaneously with the Fund. If transactions on behalf of more than one client during the same period increase the demand for
securities being purchased or the supply of securities being sold, there may be an adverse effect on price or quantity. It is the
policy of the Adviser to allocate advisory recommendations and the placing of orders in a manner that is deemed equitable by the
Adviser to the accounts involved, including the Fund. When two or more of the clients of the Adviser (including the Fund) are purchasing
or selling the same security on a given day from the same broker-dealer, such transactions may be averaged as to price.

PORTFOLIO MANAGERS

The management of, and investment decisions
for, the Fund’s portfolio are made by the Adviser’s Short Duration Income investment team. The Short Duration Income
investment team relies heavily on the fundamental analysis and research of the Adviser’s large internal research staff. No
one person is principally responsible for coordinating the Fund’s investments.

The following table lists the senior
members of the Short Duration Income investment team with the responsibility for day-to-day management of the Fund’s portfolio,
the length of time that each person has been jointly and primarily responsible for the Fund, and each person’s principal
occupation during the past five years:

The Fund’s SAI provides additional
information about each Portfolio Manager’s compensation, other accounts managed by the Portfolio Managers, and the Portfolio
Managers’ ownership of securities in the Fund.

TRANSFER AGENCY AND RETIREMENT PLAN
SERVICES

ABIS acts as the transfer agent for the Fund.
ABIS, an indirect wholly-owned subsidiary of the Adviser, registers the transfer, issuance and redemption of Fund shares and disburses
dividends and other distributions to Fund shareholders.

Many Fund shares are owned by financial
intermediaries for the benefit of their customers. Retirement plans also may hold Fund shares in the name of the plan, rather than
the participant. In those cases, the Fund often does not maintain an account for you. Thus, some or all of the transfer agency
functions for these and certain other accounts are performed by the financial intermediaries and plan recordkeepers. Financiero
intermediaries and recordkeepers, which may have affiliated financial intermediaries that sell shares of the AB Mutual Funds, may
be paid by the Fund, the Adviser, ABI and ABIS (i) account fees in amounts up to $19 per account per annum, (ii) asset-based fees
of up to 0.25% (except in respect of a limited number of intermediaries) per annum of the average daily assets held through
the intermediary, or (iii) a combination of both. These amounts include fees for shareholder servicing, sub-transfer agency, sub-accounting
and recordkeeping services. These amounts do not include fees for shareholder servicing that may be paid separately by the Fund
pursuant to its Rule 12b-1 plan. Amounts paid by the Fund for these services are included in “Other Expenses” under
“Fees and Expenses of the Fund” in the Summary Information section of this Prospectus. In addition, financial intermediaries
may be affiliates of entities that receive compensation from the Adviser or ABI for maintaining retirement plan “platforms”
that facilitate trading by affiliated and non-affiliated financial intermediaries and recordkeeping for retirement plans.

Because financial intermediaries and plan recordkeepers
may be paid varying amounts per class for sub-transfer agency and related recordkeeping services, the service requirements of which
may also vary by class, this may create an additional incentive for financial intermediaries and their financial advisors to favor
one fund complex over another or one class of shares over another.

For more information, please refer
to the Fund’s SAI, call your financial advisor or visit our website at www.abfunds.com.

Dividends and Distributions

Income dividends and capital gains
distributions, if any, declared by the Fund on its outstanding shares will, at the election of each shareholder, be paid in cash
or in additional shares of the same class of shares of the Fund. If paid in additional shares, the shares will have an aggregate
NAV as of the close of business on the declaration date of the dividend or distribution equal to the cash amount of the dividend
or distribution.

Income dividends generally are declared
daily and distributed monthly; capital gains distributions for the Fund generally occur annually in December.

You may make an election to receive
dividends and distributions in cash or in shares at the time you purchase shares. Your election can be changed at any time prior
to a record date for a dividend. There is no sales or other charge in connection with the reinvestment of dividends or capital
gains distributions. Cash dividends may be paid by check, or, at your election, electronically via the ACH network.

If you receive an income dividend or
capital gains distribution in cash you may, within 120 days following the date of its payment, reinvest the dividend or distribution
in additional shares of the Fund without charge by returning to the Adviser, with appropriate instructions, the check representing
the dividend or distribution. Thereafter, unless you otherwise specify, you will be deemed to have elected to reinvest all subsequent
dividends and distributions in shares of the Fund.

Impuestos

While it is the intention of the Fund
to distribute to its shareholders substantially all of each fiscal year’s net income and net realized capital gains, if any,
the amount and timing of any dividend or distribution will depend on the realization by the Fund of income and capital gains from
investments. There is no fixed dividend rate and there can be no assurance that the Fund will pay any dividends or realize any
capital gains. The final determination of the amount of the Fund’s return of capital distributions for the period will be
made after the end of each calendar year.

You will normally have to pay federal
income tax, and any state or local income taxes, on the distributions you receive from the Fund, whether you take the distributions
in cash or reinvest them in additional shares. Distributions of net capital gains from the sale of investments that the Fund owned
for more than one year and that are properly designated as capital gains distributions are taxable as long-term capital gains.
Distributions of dividends to the Fund’s non-corporate shareholders may be treated as “qualified dividend income”,
which is taxed at reduced rates, if such distributions are derived from, and designated by the Fund as, “qualified dividend
income” and provided that holding period and other requirements are met by both the shareholder and the Fund. “Qualified
dividend income” generally is income derived from dividends from U.S. corporations and “qualified foreign corporations”.
Other distributions by the Fund are generally taxable to you as ordinary income. The Fund will notify you as to how much of the
Fund’s distributions, if any, qualify for these reduced tax rates. Dividends declared in October, November, or December and
paid in January of the following year are taxable as if they had been paid the previous December.

Investment income received by the Fund
from sources within foreign countries may be subject to foreign income taxes withheld at the source. To the extent that the Fund
is liable for foreign income taxes withheld at the source, the Fund intends, if possible, to operate so as to meet the requirements
of the Code to “pass through” to the Fund’s shareholders credits for foreign income taxes paid (or to permit
shareholders to claim a deduction for such foreign taxes), but there can be no assurance that the Fund will be able to do so, and
if the Fund invests primarily in U.S. securities, it will not do so. Furthermore, a shareholder’s ability to claim a foreign
tax credit or deduction for foreign taxes paid by the Fund may be subject to certain limitations imposed by the Code, as a result
of which a shareholder may not be permitted to claim a credit or deduction for all or a portion of the amount of such taxes.

Under certain circumstances, if the
Fund realizes losses (e.g., from fluctuations in currency exchange rates) after paying a dividend, all or a portion of the
dividend may subsequently be characterized as a return of capital. Returns of capital are generally nontaxable, but will reduce
a shareholder’s basis in shares of the Fund. If that basis is reduced to zero (which could happen if the shareholder does
not reinvest distributions and returns of capital are significant), any further returns of capital will be taxable as a capital
gain.

General

If you buy shares just before the Fund deducts
a distribution from its NAV, you will pay the full price for the shares and then receive a portion of the price back as a distribution,
which may be taxable.

For tax purposes, an exchange is treated
as a sale of Fund shares. The sale or exchange of Fund shares is a taxable transaction for federal income tax purposes.

Each year shortly after December 31,
the Fund will send you tax information stating the amount and type of all its distributions for the year. You are encouraged to
consult your tax adviser about the federal, state, and local tax consequences in your particular circumstances, as well as about
any possible foreign tax consequences.

Non-U.S. Shareholders

If you are a nonresident alien individual or
a foreign corporation for federal income tax purposes, please see the Fund’s SAI for information on how you will be taxed
as a result of holding shares in the Fund.

Under unusual circumstances, the Fund may suspend
redemptions or postpone payment for up to seven days or longer, as permitted by federal securities law. The Fund reserves the right
to close an account that has remained below $1,000 for 90 days.

During drastic economic or market developments,
you might have difficulty in reaching ABIS by telephone, in which event you should issue written instructions to ABIS. ABIS is
not responsible for the authenticity of telephone requests to purchase, sell, or exchange shares. ABIS will employ reasonable procedures
to verify that telephone requests are genuine, and could be liable for losses resulting from unauthorized transactions if it failed
to do so. Dealers and agents may charge a commission for handling telephone requests. The telephone service may be suspended or
terminated at any time without notice.

Shareholder Services. ABIS offers
a variety of shareholder services. For more information about these services or your account, call ABIS’s toll-free number,
(800) 221-5672. Some services are described in the Mutual Fund Application.

Householding. Many shareholders
of the AB Mutual Funds have family members living in the same home who also own shares of the same funds. In order to reduce the
amount of duplicative mail that is sent to homes with more than one fund account and to reduce expenses of the funds, all AB Mutual
Funds will, until notified otherwise, send only one copy of each prospectus, shareholder report and proxy statement to each household
address. This process, known as “householding”, does not apply to account statements, confirmations, or personal tax
information. If you do not wish to participate in householding, or wish to discontinue householding at any time, call ABIS at (800)
221-5672. We will resume separate mailings for your account within 30 days of your request.

AMT is the federal alternative minimum
tax.

AMT-Subject bonds are municipal
securities paying interest that is an item of “tax preference” and thus subject to the AMT when received by a person
in a tax year during which the person is subject to the AMT. These securities are primarily private activity bonds, including revenue
cautiverio.

Bonds are interest-bearing or
discounted government or corporate securities that obligate the issuer to pay the bond holder a specified sum of money, usually
at specified intervals, and to repay the principal amount of the loan at maturity.

Fixed-income securities son
investments, such as bonds, that pay a fixed rate of return.

Municipal securities are debt
obligations issued by states, territories and possessions of the United States and the District of Columbia, and their political
subdivisions, duly constituted authorities and corporations. Municipal securities include municipal bonds, which are intended to
meet longer-term capital needs and municipal notes, which are intended to fulfill short-term capital needs.

Non-U.S. company or non-U.S. issuer
is an entity that (i) is organized under the laws of a foreign country and conducts business in a foreign country, (ii) derives
50% or more of its total revenues from business in foreign countries, or (iii) issues equity or debt securities that are traded
principally on a stock exchange in a foreign country.

U.S. Government securities son
securities issued or guaranteed by the U.S. Government, its agencies or instrumentalities, including obligations that are issued
by private issuers that are guaranteed as to principal or interest by the U.S. Government, its agencies or instrumentalities, or
by certain government-sponsored entities (entities chartered by or sponsored by Act of Congress). These securities include securities
backed by the full faith and credit of the United States, those supported by the right of the issuer to borrow from the U.S.
Treasury, and those backed only by the credit of the issuing agency or entity itself. The first category includes U.S. Treasury
securities (which are U.S. Treasury bills, notes, and bonds) and certificates issued by the Government National Mortgage Association.
U.S. Government securities not backed by the full faith and credit of the United States or a right to borrow from the U.S. Treasury
include certificates issued by the Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation.

Financial highlights information is
not available because the Fund had not yet commenced operations as of the date of this Prospectus.

BOND RATINGS

Moody’s Investors Service, Inc. (“Moody’s”)

Aaa—Bonds which are rated Aaa are judged
to be of the highest quality. They carry the smallest degree of investment risk and are generally referred to as “gilt edge”.
Interest payments are protected by a large or by an exceptionally stable margin and principal is secure. While the various protective
elements are likely to change, such changes as can be visualized are most unlikely to impair the fundamentally strong position
of such issues.

Aa—Bonds which are rated Aa are
judged to be of high quality and are subject to very low credit risk. Together with the Aaa group they comprise what are generally
known as high-grade bonds. They are rated lower than the best bonds because margins of protection may not be as large as in Aaa
securities or fluctuation of protective elements may be of greater amplitude or there may be other elements present which make
the long-term risks appear somewhat larger than the Aaa securities.

A—Bonds which are rated A possess
many favorable investment attributes and are to be considered as upper-medium-grade obligations and are subject to low credit risk.
Factors giving security to principal and interest are considered adequate but elements may be present which suggest a susceptibility
to impairment some time in the future.

Baa—Bonds which are rated Baa
are considered as medium-grade obligations, i.e., they are neither highly protected nor poorly secured. Interest payments
and principal security appear adequate for the present but certain protective elements may be lacking or may be characteristically
unreliable over any great length of time. Such bonds lack outstanding investment characteristics and in fact have speculative characteristics
también.

Ba—Bonds which are rated Ba are
judged to be speculative and are subject to substantial credit risk; their future cannot be considered as well-assured. Often the
protection of interest and principal payments may be very moderate and thereby not well safeguarded during both good and bad times
over the future. Uncertainty of position characterizes bonds in this class.

B—Bonds which are rated B are
considered speculative and are subject to high credit risk.

Caa—Bonds which are rated Caa
are judged to be speculative of poor standing and are subject to very high credit risk.

Ca—Bonds which are rated Ca are
highly speculative and are likely in, or very near, default, with some prospect of recovery of principal and interest.

C—Bonds which are rated C are
the lowest rated class of bonds and are typically in default, with little prospect for recovery of principal or interest.

Absence of Rating—Where no rating
has been assigned or where a rating has been withdrawn, it may be for reasons unrelated to the quality of the issue.

Should no rating be assigned, the reason
may be one of the following:

Suspension may occur if new and material
circumstances arise, the effects of which preclude satisfactory analysis; if there is no longer available reasonable up-to-date
data to permit a judgment to be formed; if a bond is called for redemption; or for other reasons.

Note—Moody’s applies numerical
modifiers, 1, 2 and 3 in each generic rating classification from Aa through Caa in its corporate bond rating system. The modifier
1 indicates that the security ranks in the higher end of its generic rating category; the modifier 2 indicates a mid-range ranking;
and the modifier 3 indicates that the issue ranks in the lower end of its generic rating category. Additionally, a “(hyb)”
indicator is appended to all ratings of hybrid securities issued by banks, insurers, finance companies, and securities firms.

S&P Global Ratings (“S&P”)

AAA—Debt rated AAA has the highest rating
assigned by S&P. Capacity to pay interest and repay principal is extremely strong.

AA—Debt rated AA has a very strong
capacity to pay interest and repay principal and differs from the highest rated issues only in small degree.

A—Debt rated A has a strong capacity
to pay interest and repay principal although it is somewhat more susceptible to the adverse effects of changes in circumstances
and economic conditions than debt in higher rated categories.

BBB—Debt rated BBB normally exhibits
adequate protection parameters. However, adverse economic conditions or changing circumstances are more likely to lead to a weakened
capacity to pay interest and repay principal for debt in this category than in higher rated categories.

BB, B, CCC, CC, C—Debt rated
BB, B, CCC, CC or C is regarded as having significant speculative characteristics. BB indicates the lowest degree of speculation
and C the highest. While such debt will likely have some quality and protective characteristics, these may be outweighed by large
uncertainties or major exposures to adverse conditions.

BB—Debt rated BB is less vulnerable
to nonpayment than other speculative debt. However, it faces major ongoing uncertainties or exposure to adverse business, financial
or economic conditions which could lead to an inadequate capacity to pay interest and repay principal.

B—Debt rated B is more vulnerable
to nonpayment than debt rated BB, but there is capacity to pay interest and repay principal. Adverse business, financial or economic
conditions will likely impair the capacity or willingness to pay principal or repay interest.

CCC—Debt rated CCC is currently
vulnerable to nonpayment, and is dependent upon favorable business, financial and economic conditions to pay interest and repay
principal. In the event of adverse business, financial or economic conditions, there is not likely to be capacity to pay interest
or repay principal.

CC—Debt rated CC is currently
highly vulnerable to nonpayment. The CC rating is used when a default has not yet occurred but S&P expects default to be a
virtual certainty, regardless of the anticipated time to default.

C— Debt rated C is currently
highly vulnerable to nonpayment, and the obligation is expected to have lower relative seniority or lower ultimate recovery compared
with obligations that are rated higher.

D—Debt rated D is in default
or in breach of an imputed promise. For non-hybrid capital instruments, the D rating category is used when payments on an obligation
are not made on the date due, unless S&P believes that such payments will be made within five business days in the absence
of a stated grace period or within the earlier of the stated grace period or 30 calendar days. The D rating also will be used upon
the filing of a bankruptcy petition or the taking of similar action and where default on an obligation is a virtual certainty,
for example due to automatic stay provisions. An obligation’s rating is lowered to D if it is subject to a distressed exchange
offer.

Plus (+) or Minus (-)—The
ratings from AA to CCC may be modified by the addition of a plus or minus sign to show relative standing within the major rating
categories.

NR—Debt designated NR is not
rated.

Fitch Ratings

AAA—Bonds considered to be investment
grade and of the highest credit quality. The obligor has an exceptionally strong ability to pay interest and repay principal, which
is unlikely to be affected by reasonably foreseeable events.

AA—Bonds considered to be investment
grade and of very high credit quality. The obligor’s ability to pay interest and repay principal is very strong, although
not quite as strong as bonds rated AAA. Because bonds rated in the AAA and AA categories are not significantly vulnerable to foreseeable
future developments, short-term debt of these issuers is generally rated F1+.

A—Bonds considered to be investment
grade and of high credit quality. The obligor’s ability to pay interest and repay principal is considered to be strong, but
may be more vulnerable to adverse business or economic conditions and circumstances than bonds with higher ratings.

BBB—Bonds considered to be investment
grade and of satisfactory credit quality. The obligor’s ability to pay interest and repay principal is considered to be adequate.
Adverse changes in economic conditions and circumstances, however, are more likely to have adverse impact on these bonds, and therefore
impair timely payment. The likelihood that the ratings of these bonds will fall below investment grade is higher than for bonds
with higher ratings.

BB—Bonds are considered speculative.
The obligor’s ability to pay interest and repay principal may be affected over time by adverse economic changes. Sin embargo,
business and financial alternatives can be identified which could assist the obligor in satisfying its debt service requirements.

B—Bonds are considered highly
speculative. While bonds in this class are currently meeting debt service requirements, the probability of continued timely payment
of principal and interest reflects the obligor’s limited margin of safety and the need for reasonable business and economic
activity throughout the life of the issue.

CCC—Bonds have certain identifiable
characteristics which, if not remedied, may lead to default. The ability to meet obligations requires an advantageous business
and economic environment.

CC—Bonds are minimally protected.
Default in payment of interest and/or principal seems probable over time.

C—Bonds are in imminent default
in payment of interest or principal.

Defaulted obligations are typically
rated in the CCC to C rating categories, depending upon their recovery prospects and other relevant characteristics. This approach
better aligns obligations that have comparable overall expected loss but varying vulnerability to default and loss.

Plus (+) Minus (-)—Plus
and minus signs are used with a rating symbol to indicate the relative position of a credit within the rating category. Plus and
minus signs, however, are not used in the AAA category or in categories below CCC.

Hypothetical Investment and Expense Information

The following supplemental hypothetical
investment information provides additional information calculated and presented in a manner different from expense information
found under “Fees and Expenses of the Fund” in the Summary Information at the beginning of this Prospectus, about the
effect of the Fund’s expenses, including investment advisory fees and other Fund costs, on the Fund’s returns over
a 10-year period. The chart shows the estimated expenses that would be charged on a hypothetical investment of $10,000 in Class A
shares of the Fund assuming a 5% return each year, including an initial sales charge of 4.25%. Except as otherwise indicated, the
chart also assumes that the current annual expense ratio stays the same throughout the 10-year period. The current annual expense
ratio for the Fund is the same as stated under “Fees and Expenses of the Fund”. Additional information concerning the
fees and expenses incurred by the Fund may be found at FINRA’s Fund Analyzer web page (available at http://apps.finra.org/fundanalyzer/1/fa.aspx).
Your actual expenses may be higher or lower.

Waiver Specific to Merrill Lynch

Effective April 10, 2017, shareholders
purchasing Fund shares through a Merrill Lynch platform or account will be eligible only for the following load waivers (front-end
sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed
elsewhere in the Fund’s Prospectus or SAI:

Front-end Sales Load Waivers
on Class A Shares available at Merrill Lynch

CDSC Waivers on A and C Shares
available at Merrill Lynch

Front-end Load Discounts Available
at Merrill Lynch: Breakpoints, Rights of Accumulation & Letters of Intent

Waivers Specific to Morgan Stanley

Effective July 1, 2018, shareholders purchasing Fund
shares through a Morgan Stanley Wealth Management transactional brokerage account will be eligible only for the following front-end
sales charge waivers with respect to Class A shares, which may differ from and may be more limited than those disclosed elsewhere
in the Fund’s Prospectus or SAI.

Waivers Specific to Ameriprise Financial

The following information applies to Class A shares
purchases if you have an account with or otherwise purchase Fund shares through Ameriprise Financial:

Effective June 1, 2018, shareholders purchasing Fund
shares through an Ameriprise Financial platform or account will be eligible for the following front-end sales charge waivers and
discounts, which may differ from those disclosed elsewhere in the Fund’s prospectus or SAI:

Waivers Specific to Raymond
James & Associates, Inc., Raymond James Financial Services, Inc. and Each Entity’s Affiliates (“Raymond James”)

Effective
March 1, 2019, shareholders purchasing Fund shares through a Raymond James platform or account, or through an introducing broker-dealer
or independent registered investment adviser for which Raymond James provides trade execution, clearance, and/or custody services,
will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales
charge waivers) and discounts, which may differ from those disclosed elsewhere in this Fund’s Prospectus or SAI.

Front-end
Sales Load Waivers on Class A Shares Available at Raymond James

CDSC Waivers on Class A and C Shares
Available at Raymond James

Front-end Load Discounts Available
at Raymond James: Breakpoints, and/or Rights of Accumulation, and/or Letters of Intent

For more information about the Fund, the following
documents are available upon request:

The Fund’s annual and semi-annual reports
to shareholders will contain additional information on the Fund’s investments. In the annual report, you will find a discussion
of the market conditions and investment strategies that significantly affected the Fund’s performance during its last fiscal
año.

The Fund has an SAI, which contains more detailed
information about the Fund, including its operations and investment policies. The Fund’s SAI and the independent registered
public accounting firm’s reports and financial statements in the Fund’s most recent annual report to shareholders are
incorporated by reference into (and are legally part of) this Prospectus.

You may request a free copy of the current
annual/semi-annual report or SAI, or make inquiries concerning the Fund, by contacting your broker or other financial intermediary,
or by contacting the Adviser:

You may also view reports and other information
about the Funds, including the SAI, by visiting the EDGAR database on the Securities and Exchange Commission’s website (http://www.sec.gov).
Copies of this information can be obtained, for a duplicating fee, by electronic request at the following e-mail address: publicinfo@sec.gov.

You also may find these documents and
more information about the Adviser and the Fund on the Internet at: www.abfunds.com.

The (A/B)
Logo is a service mark of AllianceBernstein and AllianceBernstein^®
is a registered trademark used by permission of the owner, AllianceBernstein L.P.