Planning: Tools & Service > Tax Information > 2008 Capital Gain Distribution Estimates
2008 Capital Gain Distribution Estimates

To help you prepare with tax planning, we are providing ongoing estimates for accumulated realized capital gains in 2008 in Thrivent Mutual Funds. The chart below lists the estimates for the capital gain distribution amount per share. If your fund is not listed, there are currently no estimated capital gains for the fund. While these estimates are subject to change between now and the final record date listed below, they may be helpful as you consider various tax-driven strategies. These estimates are updated monthly through November. Dividends and capital gain distributions earned on qualified retirement accounts are not taxable unless paid to you in cash. Please contact your tax advisor to review the impact of these capital gains on your situations and discuss possible tax strategies.

Compared to recent years, 2008 is expected to experience relatively low capital gain distributions. Listed below is more specific information on those funds with the greatest 2008 estimated capital gains. While capital gains are a taxable event, they are a normal part of investing in mutual funds and are the direct result of profitable decisions made by portfolio managers.

If you have additional questions about your mutual fund accounts, please contact the Customer Interaction Center at 1-800-THRIVENT (847-4836). For general information about capital gains, see the Dividend & Capital Gain Distribution Q&A.

More specific information regarding the capital gain distribution is available for the highlighted funds by clicking on the fund name in the chart below.

2008 Capital Gain Estimates as of October 31, 2008
Thrivent Mutual Fund	Record Date	Payment Date	Preliminary Short-Term Capital Gain Per Share	Preliminary Long-Term Capital Gain Per Share	Preliminary Total Per Share
Thrivent Aggressive Allocation Fund	12/15/2008	12/16/2008	-	$0.46	$0.46
Thrivent Moderately Aggressive Allocation Fund	12/15/2008	12/16/2008	-	$0.23	$0.23
Thrivent Moderate Allocation Fund	12/15/2008	12/16/2008	-	$0.06	$0.06
Thrivent Moderate Conservative Allocation Fund	12/15/2008	12/16/2008	-	$0.00	$0.00
Thrivent Balanced Fund	12/15/2008	12/16/2008	-	$0.00	$0.00
Thrivent Large Cap Stock Fund	12/15/2008	12/16/2008	-	$0.00	$0.00
Thrivent Mid Cap Growth Fund	12/15/2008	12/16/2008	-	$0.00	$0.00
Thrivent Mid Cap Index Fund	12/15/2008	12/16/2008	-	$0.73	$0.73
Thrivent Municipal Bond Fund	12/15/2008	12/16/2008	-	$0.01	$0.01
Thrivent Partner Small Cap Value Fund	12/15/2008	12/16/2008	-	$0.65	$0.65
Thrivent Small Cap Index Fund	12/15/2008	12/16/2008	-	$1.28	$1.28

Some of the key drivers for specific funds of realized capital gains in 2008:

Thrivent Small Cap Index, Thrivent Mid Cap Index,

• A key factor impacting the generation of capital gains in 2008 was the global mergers and acquisitions boom that began in 2003. In the last merger boom in the late 1990's many of the transactions were done for stock-a tax free exchange. In the last few years, many of these deals have been instigated and closed by private equity firms and done for cash, which forces a taxable event for investors of the company that was acquired. These funds will generally eliminate positions in response to changes in the index rather than changes in investment outlook. Several companies within the indices were acquired by firms forcing sales at substantial premiums that generated capital gains.
• The Large Cap index floor was dropped to $8.7 billion, and the Mid Cap floor was dropped to $2.5 billion, resulting in migration of stocks from one index to another. Turnover in the S&P 600 was 18%.
• Some companies also changed from one index to another causing a taxable event.

Thrivent Partner Small Cap Value Fund

• Small capitalization stocks that have performed well and grown into mid-cap stocks have been eliminated for reasons of size.
• We have eliminated some stocks that have reached prices well above expectation and we have sold to lock in these above-expectation gains
• We have reduced our energy holdings, which have done very well in the past three years, in order to reduce risk.

Return to Capital Gains Chart

Thrivent Financial for Lutherans and its respective associates and employees cannot provide legal, accounting, or tax advice or services. Work with your Thrivent Financial representative in collaboration with your attorney and/or tax professional for complete details.

Investing in a mutual fund involves risks, including the possible loss of principal. The prospectus contains more complete information on the investment objectives, risks, charges and expenses of the investment company which investors should read and consider carefully before investing. To obtain a prospectus contact a registered representative or visit www.thrivent.com

Securities are offered through Thrivent Investment Management Inc., 625 Fourth Ave. South, Minneapolis, MN 55415-1665, 1-800-THRIVENT (800-847-4836) a wholly owned subsidiary of Thrivent Financial for Lutherans. Member FINRA. Member SIPC.