Floating-Rate Advantage Fund (Advisers)

Overview

Average Annual Returns (%) as of Mar 31, 2012
4/30/2012	as of Apr 30, 2012
	3 Months	YTD	1 Year	3 Years	5 Years	10 Years
Fund at NAV	2.75	5.16	4.26	17.37	4.65	4.80
S&P/LSTA Leveraged Loan Index²	2.28	4.52	2.92	14.06	4.55	5.14
3/31/2012	as of Mar 31, 2012
Fund at NAV	4.37	4.37	4.13	21.02	4.60	4.78
S&P/LSTA Leveraged Loan Index²	3.76	3.76	2.85	16.99	4.53	5.19
Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Performance is for the stated time period only; due to market volatility, the Fund's current performance may be lower or higher than quoted. Returns are historical and are calculated by determining the percentage change in net asset value (NAV) with all distributions reinvested. Returns for other classes of shares offered by the Fund are different. Performance less than one year is cumulative. Total return prior to the commencement of the class reflects returns of another Fund class that invests in the same Portfolio. Prior returns are adjusted to reflect applicable sales charge (but were not adjusted for other expenses). If adjusted for other expenses, returns would be lower.

Fund Facts as of Apr 30, 2012
Class ADV Inception	03/17/2008
Performance Inception	08/04/1989
Investment Objective	High current income
Total Net Assets of Fund	$2.0B
Total Net Assets of Portfolio³	$2.0B
Minimum Investment	$1000
Expense Ratio (Gross)⁴	1.49%
Expense Ratio (Net)⁵	1.10%
CUSIP	277923678

Top 10 Issuers (%)⁶ as of Mar 31, 2012
Intelsat Jackson Holdings SA
Rite Aid Corporation
HCA Inc.
Asurion LLC
Community Health Systems Inc.
Aramark Corporation
Del Monte Foods Company
First Data Corporation
OSI Restaurant Partners LLC
Reynolds Group Holdings Inc.
Total	10.11

Portfolio Management
Scott H. Page, CFA			Managed Fund since 2007
Craig P. Russ			Managed Fund since 2007

Fund invests in an affiliated investment company (Portfolio) with the same objective(s) and policies as the Fund. References to investments are to the Portfolio's holdings. Portfolio profile subject to change due to active management. Percentages may not total 100% due to rounding.

About Risk

An imbalance in supply and demand in the income market may result in valuation uncertainties and greater volatility, less liquidity, widening credit spreads and a lack of price transparency in the market. There can be no assurance that the liquidation of collateral securing an investment will satisfy the issuer's obligation in the event of nonpayment or that collateral can be readily liquidated. The ability to realize the benefits of any collateral may be delayed or limited. Investments in income securities may be affected by changes in the creditworthiness of the issuer and are subject to the risk of non–payment of principal and interest. The value of income securities also may decline because of real or perceived concerns about the issuer's ability to make principal and interest payments. Borrowing to increase investments (leverage) will exaggerate the effect of any increase or decrease in the value of Fund investments. Investments rated below investment grade (typically referred to as "junk") are generally subject to greater price volatility and illiquidity than higher rated investments. As interest rates rise, the value of certain income investments is likely to decline. Bank loans are subject to prepayment risk. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical or other conditions. Changes in the value of investments entered for hedging purposes may not match those of the position being hedged. No Fund is a complete investment program and you may lose money investing in a Fund. The Fund may engage in other investment practices that may involve additional risks and you should review the Fund prospectus for a complete description.

1. Diversification cannot assure a profit or eliminate the risk of loss.
2. S&P/LSTA Leveraged Loan Index is an unmanaged index of the institutional leveraged loan market. It is not possible to invest directly in an index. Historical performance of the index illustrates market trends and does not represent the past or future performance of the fund.
3. Fund total net assets equals the sum of the net assets of each of the Fund's share classes. Portfolio total net assets includes fund total net assets plus any additional assets invested in the Portfolio.
4. Source: Fund prospectus.
5. Total Annual Fund Operating Expense ratio is as stated in the Fund's most recent prospectus. Net expense ratio excludes interest expense on borrowings.
6. Percent of total net assets.

Performance

Average Annual Returns (%) as of Mar 31, 2012
4/30/2012	as of Apr 30, 2012
	3 Months	YTD	1 Year	3 Years	5 Years	10 Years
Fund at NAV	2.75	5.16	4.26	17.37	4.65	4.80
S&P/LSTA Leveraged Loan Index²	2.28	4.52	2.92	14.06	4.55	5.14
3/31/2012	as of Mar 31, 2012
Fund at NAV	4.37	4.37	4.13	21.02	4.60	4.78
S&P/LSTA Leveraged Loan Index²	3.76	3.76	2.85	16.99	4.53	5.19
Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Performance is for the stated time period only; due to market volatility, the Fund's current performance may be lower or higher than quoted. Returns are historical and are calculated by determining the percentage change in net asset value (NAV) with all distributions reinvested. Returns for other classes of shares offered by the Fund are different. Performance less than one year is cumulative. Total return prior to the commencement of the class reflects returns of another Fund class that invests in the same Portfolio. Prior returns are adjusted to reflect applicable sales charge (but were not adjusted for other expenses). If adjusted for other expenses, returns would be lower.

Calendar Year Returns (%)
	2002	2003	2004	2005	2006	2007	2008	2009	2010	2011
Fund at NAV	0.67	7.35	5.12	4.56	6.14	1.11	-37.03	65.45	12.67	3.06
S&P/LSTA Leveraged Loan Index²	1.91	9.97	5.17	5.08	6.77	2.02	-29.10	51.62	10.13	1.52

Fund Facts
Expense Ratio (Gross)⁴	1.49%
Expense Ratio (Net)⁵	1.10%
Class ADV Inception	03/17/2008
Performance Inception	08/04/1989
Distribution Frequency	Monthly

Yield Information⁷ as of Apr 30, 2012
SEC 30 Day Yield	4.78%

Morningstar™ Ratings as of Apr 30, 2012
Time Period	Rating	Rating (Load Waived)	Funds in Bank Loan Category
Overall		—	125
3 Years		—	125
5 Years		—	90
10 Years		—	40
Based on Risk-Adjusted Returns. The Overall Morningstar Rating for a fund is derived from a weighted average of the performance figures associated with its 3-, 5- and 10-year (if applicable) Morningstar Rating metrics. © 2011 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers is responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating™ based on how a fund ranks on a Morningstar Risk-Adjusted Return measure against other funds in the same category. This measure takes into account variations in a fund's monthly performance after adjusting for sales loads (except for load-waived A shares) redemption fees, and the risk-free rate, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star. Load-waived A share star ratings do not include any front-end sales load and are intended for those investors who have access to such purchase terms (e.g., plan participants of a defined contribution plan). Not all A share mutual funds for which Morningstar calculates a load-waived A share star rating may actually waive their front-end sales load. Therefore, Morningstar strongly encourages investors to contact their investment professional to determine whether they are eligible to purchase the A share without paying the front load. The Morningstar Rating may differ among share classes of a mutual fund as a result of different sales loads and/or expense structure.

NAV History
Date	NAV	NAV Change
May 15, 2012	$10.95	$0.00
May 14, 2012	$10.95	$-0.01
May 11, 2012	$10.96	$0.00
May 10, 2012	$10.96	$0.00
May 09, 2012	$10.96	$0.00
May 08, 2012	$10.96	$0.00
May 07, 2012	$10.96	$0.00
May 04, 2012	$10.96	$0.00
May 03, 2012	$10.96	$0.01
May 02, 2012	$10.95	$0.00

Distribution History⁸
Ex-Date	Distribution	Reinvest NAV
Apr 30, 2012	$0.04235	$10.94
Mar 30, 2012	$0.04846	$10.90
Feb 29, 2012	$0.04457	$10.85
Jan 31, 2012	$0.04794	$10.78
Dec 30, 2011	$0.04675	$10.58
Nov 30, 2011	$0.04409	$10.54
Oct 31, 2011	$0.04893	$10.66
Sep 30, 2011	$0.04371	$10.34
Aug 31, 2011	$0.04613	$10.31
Jul 29, 2011	$0.04562	$10.91
View All
No records in this table indicates that there has not been a distribution greater than .0001 within the past 3 years. Fund prospectus

Capital Gain History⁸
Ex-Date	Short-Term	Long-Term	Reinvest NAV
No records in this table indicates that there has not been a capital gain greater than .0001 within the past 3 years. Fund prospectus



Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Performance is as of month-end for the stated time period only; due to market volatility, the Fund's current performance may be lower or higher than quoted. For the Eaton Vance Fund's performance as of the most recent month end, please refer to www.eatonvance.com. Returns are historical and are calculated by determining the percentage change in net asset value (NAV) with all distributions reinvested. Returns shown at NAV unless noted otherwise. Returns for other classes of shares offered by the Fund are different. It is not possible to invest in an index.

About Risk

2. S&P/LSTA Leveraged Loan Index is an unmanaged index of the institutional leveraged loan market. It is not possible to invest directly in an index. Historical performance of the index illustrates market trends and does not represent the past or future performance of the fund.
4. Source: Fund prospectus.
5. Total Annual Fund Operating Expense ratio is as stated in the Fund's most recent prospectus. Net expense ratio excludes interest expense on borrowings.
7. SEC Yield is a standardized measure based on the estimated yield to maturity of a fund's investments over a 30-day period and is based on the maximum offer price at the date specified. The SEC Yield is not based on the distributions made by the fund, which may differ. Subsidized yield reflects the effect of fee waivers and expense reimbursements.
8. A portion of the Fund's returns may be comprised of return of capital or short term capital gains. The Fund will determine the tax characteristics of all Fund distributions after the end of the calendar year and will provide shareholders such information at that time. Please consult your tax advisor for further information.

Portfolio

Asset Mix (%)⁶ as of Mar 31, 2012
Floating-Rate Loans	93.83
Cash & Equivalents	2.93
U.S. Corporate Bonds	1.93
U.S. Common Stocks	1.09
Other	0.22
Total	100.00

Portfolio Statistics as of Mar 31, 2012
Number of Issuers	407
Number of Holdings	554
Number of Industries	38
Average Coupon	4.65%
Average Maturity	4.63 yrs.
Average Loan Size (%of TNA)	0.23%
Average Loan Size	$5096731.36
Average Duration	0.13 yrs.
Average Price	$97.61

Sector Breakdown (%)⁶ as of Mar 31, 2012
Health Care	11.45
Business Equipment and Services	8.46
Electronics/Electrical	7.15
Automotive	5.08
Food Service	4.47
Publishing	4.30
Leisure Goods/Activities/Movies	4.16
Telecommunications	4.01
Food Products	3.99
Financial Intermediaries	3.95

Credit Quality (%)⁹ as of Mar 31, 2012
BBB	1.71
BB	49.88
B	40.34
CCC	1.11
Not Rated	6.96
Total	100.00
Ratings are based on Moody's, S&P or Fitch, as applicable. Credit ratings are based largely on the rating agency's investment analysis at the time of rating and the rating assigned to any particular security is not necessarily a reflection of the issuer's current financial condition. The rating assigned to a security by a rating agency does not necessarily reflect its assessment of the volatility of a security's market value or of the liquidity of an investment in the security. If securities are rated differently by the rating agencies, the higher rating is applied.

Assets by Country (%)⁶ as of Mar 31, 2012
US	89.54
Canada	2.12
Luxembourg	1.82
UK	1.72
Netherlands	1.65
Germany	1.63
Other	1.52

Maturity Distribution (%)^6,10 as of Mar 31, 2012
Less Than 1 Year	3.08
1 To 3 Years	18.20
3 To 5 Years	29.23
5 To 10 Years	49.10
10 To 20 Years	0.39
Total	100.00

Fund Holdings (%)^6,11 as of Mar 31, 2012
Holding	% of Net Assets
EV CASH RESERVES FUND	3.7565%
INTELSAT JACKSON HOLDINGS S A NEW TERM LOAN	1.5522%
DEL MONTE CORP TERM LOAN	1.1826%
CHRYSLER GROUP LLC TERM LOAN	1.1068%
RITE AID CORPORTATION FIRST LIEN	1.0897%
GOODYEAR TIRE + RUBBER COMPANY 04/14 ZERO CPN	1.0865%
ASURION CORPORATION NEW 1ST LIEN TERM LOAN	1.0688%
US DOLLARS	1.0644%
OSI RESTAURANT PARTNERS LLC FIRST LIEN	1.0365%
METROPCS WIRELESS ADD ON TERM LOAN B 3	0.9566%
View All

About Risk

6. Percent of total net assets.
9. Percent of loan holdings.
10. The "Equity/Other" category includes securities that have no maturity date. Cash & equivalents are included within the "Less Than 1 Year" category.
11. Includes unaudited securities holdings (which exclude any derivatives positions.) Portfolio characteristic information (such as sector weightings, top ten holdings, etc.) presented for the Fund or Portfolio (if applicable) may differ slightly from the information listed if presented as of trade date. Due to rounding, holdings of less than 0.00005% may show as 0.0000%. Portfolio profile subject to change due to active management.

Insights & Analysis

Quarterly Commentary

A Word On The Markets as of Mar 31, 2012

Building on late-2011 momentum, the S&P/LSTA Leveraged Loan Index², the broad barometer for the U.S. floating-rate loan market, advanced 3.70% for the three-month period ended March 31, 2012. Performance reflected a solid increase in loan prices, plus investment income. Favorable macroeconomic developments and improving technical trends provided a supportive backdrop for risk assets during the period. U.S. economic data pointed to a sustained recovery, as evidenced by improvement in employment and manufacturing numbers. Although China experienced a modest deceleration, the main risks to global economic growth were the eurozone crisis, rising oil prices and political uncertainty in the United States and abroad. That said, investor confidence in Europe improved somewhat during the quarter in response to coordinated action by the European Central Bank (ECB) and other world central banks to provide adequate liquidity to the region. Meanwhile, core inflation remained relatively low, allowing the Federal Reserve to remain accommodative and pledging to keep interest rates low until late 2014.

Improving company fundamentals and earnings growth also helped bolster corporate-backed assets. In terms of market technical trends, loan supply was moderate during the quarter and in line with the past several quarters and the first quarter of 2011. Overall loan demand improved and modestly outstripped supply, as net inflows into mutual funds turned positive.

Loan market returns for the quarter occurred early. In January, the S&P/LSTA Leverage Loan Index recorded a strong monthly return (2.18%), followed by more modest gains in February and March (+0.77% and 0.71%, respectively).

Performance Summary

Floating Rate Advantage Fund trailed its benchmark, the S&P LSTA Leveraged Loan Index, during the first quarter at net asset value. Relative performance compared to the benchmark for the period was primarily driven by the Fund's higher-credit-quality positioning and the broad level of diversification¹².

The Fund's use of leverage added additional loan market exposure, which aided relative performance.
The Fund's overall bias to the higher-quality end of the loan market detracted from relative performance, as lower quality B-rated loans outperformed higher-rated BB loans¹³.
The benchmark's larger-cap, more liquid names outperformed the broad market. As a result, the Fund's broad diversification beyond these issues weighed on relative returns.
The Fund generated attractive income during the quarter, even with LIBOR near all-time lows.

Contributors

Factors contributing to the Fund's relative performance compared to the benchmark during the quarter:

The Fund's use of leverage aided relative returns and helped to amplify the loan market's positive performance during the quarter. The Fund's benchmark is unlevered.
Although higher-quality loans (BB securities) underperformed their lower-quality counterparts (B securities) for the quarter, CCC-rated loans in the benchmark lagged the overall market. The Fund's underweight to CCC-rated loans¹³ bolstered relative returns.
Underweight positioning in the utilities and telecom sectors aided relative returns, as these segments underperformed the broad loan market, while overweight positioning in the food products and business equipment sectors aide relative performance, as they outpaced the overall loan market.

Detractors

Factors detracting from the Fund's relative performance compared to the benchmark during the quarter:

In the BB/B segment of the market, the Fund's ongoing bias against lower-quality loans detracted from relative performance compared to the benchmark, as higher-quality loans lagged. BB- and B-rated loans in the benchmark returned 2.68% and 4.99%, respectively. The Fund was underweight the B-rated segment of the market and overweight BB-rated loans¹³, positioning which detracted from relative performance.
Underweight positioning in the publishing, radio/TV and financials sectors curtailed relative returns, as these segments outperformed the overall loan market, while overweight to leisure goods and conglomerates also detracted as these sectors underperformed.

Investment Outlook And Fund Positioning

We believe new issuance of loans in the first half of 2012 is likely to remain comparatively light relative to 2011 levels, given the significant amount of refinancing that took place during the past three years and comparatively subdued - albeit rising - M&A activity. As for demand, we believe the critical variable will be flows into loan mutual funds. In the short term, we believe individual investors will be buoyed by improving corporate fundamentals as the economy strengthens. Our view is that loans were more or less fairly priced at the end of the quarter, meaning their price appreciation is likely to be more muted than it was during the first quarter of 2012. However, we believe demand could continue to strengthen as retail investors seek higher-yielding income-producing alternatives to government bonds. Furthermore, the loan market historically has outperformed fixed-income assets during periods of rising interest rates. To the extent that investors seek protection against rising rates, the loan market could benefit as demand strengthens.

Credit Quality (% of loan holdings)⁹ as of Mar 31, 2012
BBB	1.71
BB	49.88
B	40.34
CCC	1.11
Not Rated	6.96
TOTAL	100.00
Ratings are based on Moody's, S&P or Fitch, as applicable. Credit ratings are based largely on the rating agency's investment analysis at the time of rating and the rating assigned to any particular security is not necessarily a reflection of the issuer's current financial condition. The rating assigned to a security by a rating agency does not necessarily reflect its assessment of the volatility of a security's market value or of the liquidity of an investment in the security. If securities are rated differently by the rating agencies, the higher rating is applied.

The views expressed in this report are those of portfolio manager(s) and are current only through the date stated at the top of this page. These views are subject to change at any time based upon market or other conditions, and Eaton Vance disclaims any responsibility to update such views. These views may not be relied upon as investment advice and, because investment decisions are based on many factors, may not be relied upon as an indication of trading intent on behalf of any Eaton Vance fund. This commentary may contain statements that are not historical facts, referred to as "forward looking statements". The Fund's actual future results may differ significantly from those stated in any forward-looking statement, depending on factors such as changes in securities or financial markets or general economic conditions, the volume of sales and purchases of Fund shares, the continuation of investment advisory, administrative and service contracts, and other risks discussed from time to time in the Fund's filings with the Securities and Exchange Commission.

About Risk

2. S&P/LSTA Leveraged Loan Index is an unmanaged index of the institutional leveraged loan market. It is not possible to invest directly in an index. Historical performance of the index illustrates market trends and does not represent the past or future performance of the fund.
9. Percent of loan holdings.
12. Diversification cannot assure a profit or eliminate the risk of loss.
13. Ratings are based on Moody's, S&P or Fitch, as applicable. Credit ratings are based largely on the rating agency's investment analysis at the time of rating and the rating assigned to any particular security is not necessarily a reflection of the issuer's current financial condition. The rating assigned to a security by a rating agency does not necessarily reflect its assessment of the volatility of a security's market value or of the liquidity of an investment in the security. If securities are rated differently by the rating agencies, the higher rating is applied.

Attribution

No attribution information is available.

About Risk

Management

Biography

Scott H. Page, CFA

Vice President, Eaton Vance Management
Joined Eaton Vance 1989

Scott Page is a vice president of Eaton Vance Management, portfolio manager on Eaton Vance's bank loan team and head of the Bank Loan Investment group.

Scott joined Eaton Vance in 1989 as a senior financial analyst in the bank loan group. He was promoted to co-portfolio manager in 1996. His previous experience includes the Dartmouth College Investment Office, as well as corporate finance and commercial lending at Citicorp and Chase Manhattan Bank.

Scott earned a B.A. from Williams College in 1981 and an M.B.A. from the Amos Tuck School of Dartmouth College in 1987. He is a CFA charterholder and has served as a member of the Board of Directors of the LSTA (Loan Syndications and Trading Association).

Scott's commentary has appeared in Bloomberg, Business Week, Dow Jones Investment Advisor, Forbes, Investor's Business Daily, Smart Money, Kiplinger's, USA Today, and The Wall Street Journal, and he has been featured on CNBC.

Education

B.A. Williams College
M.B.A. Amos Tuck School of Business Administration, Dartmouth College

Experience

Managed Fund since 2007

Other funds managed

Biography

Craig P. Russ

Vice President, Eaton Vance Management
Joined Eaton Vance 1997

Craig Russ is a vice president of Eaton Vance Management, director of credit analysis and portfolio manager on Eaton Vance's bank loan team.

Craig joined Eaton Vance 1997 as an analyst and became co-manager of institutional bank loan funds in 2001. Prior to joining Eaton Vance, he worked for 10 years in commercial lending with State Street Bank.

Craig earned a B.A., cum laude, from Middlebury College in 1985 and studied at the London School of Economics and Political Science. He is a member of the board of directors of the Loan Syndications and Trading Association (LSTA). His commentary has appeared in Bloomberg, Grant's Interest Rate Observer and The Wall Street Journal.