NMFN: IV, MF, Russell, Russell Global Equity Fund

Focusing on Fundamentals

June 30, 2008

About the Fund
For this fund, Russell has created a diversified equity portfolio with the goal of providing global diversification by investing in the common and preferred stocks of companies located in developed countries, investing in companies located in countries with emerging markets, and investing in companies that derive a majority of their revenues from operations in such countries.

In selecting managers of the fund, a preference is given to those not currently used in Russell's other equity funds. Because returns from these global managers are not perfectly correlated with those of other equity managers, the fund can be used as a source of additional diversification in portfolios. However, the fund is not designed to be a core holding within a portfolio because it has higher relative risk compared to Russell's core U.S. and non-U.S. funds.

The fund invests primarily in mid- and large-capitalization companies, but it may also invest in small-cap companies with stock selection based on the relative attractiveness of the investment opportunity and not on the cap size of the company.

Investment Strategy

Seeks to provide long-term capital growth.
Invests in companies (securities) located around the world, including the United States.
Blends growth, market-oriented and value styles.
Invests primarily in mid- and large-cap stocks.

Fund Highlights

Provides exposure to managers who seek attractive equity investments around the world.
Offers an alternative way for investors to access global capital markets.
Focuses on companies which are believed to be undervalued and have favorable growth prospects.
Benchmarked against the MSCI World Index.

Managing Money Differently
The Russell approach has been trusted for decades by many of the world's largest investors; Russell's mutual funds allow you to employ that same approach. Russell identifies investment managers they believe have exceptional capabilities, blending them to help manage risk through diversification, and constantly monitoring them. Regardless of market conditions, Russell's investment approach remains constant.

Allocation of Fund Assets


	% Allocated	Year Assigned

Growth


Gartmore Global Partners	10%	2007


T. Rowe Price International, Inc.	35%	2007


Market-Oriented


ClariVest Asset Management, LLC	40%	2007


Value


Harris Associates, L.P.	15%	2008


Tradewinds Global Investors, LLC	10%	2008


Money managers listed are current as of 06/30/08. Subject to the fund's Board approval, Russell has the right to engage or terminate a money manager at any time and without a shareholder vote, based on an exemptive order from the Securities and Exchange Commission.

Global equity involves risk associated with investments primarily in equity securities of companies located around the world, including the United States. International securities can involve risks relating to political and economic instability or regulatory conditions. Investments in emerging or developing markets involve exposure to economic structures that are generally less diverse and mature, and to political systems which have less stability than those of more developed countries.

	Global Allocations				% of Total Equity

	Asia				14
	Europe/Middle East/Africa				32
	Latin America				10
	Other				44
	Total				100

	Top Ten Holdings				% of fund

	Google, Inc.				1.5
	McDonald's Corp.				1.5
	America Movil SA de CV				1.4
	Hewlett-Packard Co.				1.2
	American Tower Corp.				1.2
	Nippon Telegraph & Telephone Corp.				1.2
	Alcatel SA				1.1
	Intel Corp.				1.1
	Transocean, Inc.				1.1
	Exxon Mobil Corp.				1.1

					12.4

*The top ten holdings list does not reflect the investment of cash reserves and cash collateral received in securities lending transactions in one or more of RIC's money market funds.

Performance Review

Annualized Returns in Percentages as of June 30, 2008



Fund	QTR	YTD	1 Year	3 Years	5 Years	Since inception 09/05/85

Global Equity Fund Class S	0.11	-10.55	-10.01	—	—	-2.86

	Fund Fees and Expenses


	Annual Fund Operating Expenses

	Total		Net


	1.34%		1.34%

Performance information is historical and does not guarantee future results. Investment return and principal value will fluctuate so that redeemed shares may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Month-end performance for Russell mutual funds is available by choosing fund performance from the left-hand navigation.

Characteristics

Total Market Value	$1.1 billion
Net Asset Value	$9.33



	Cusip	Ticker

Class A	782478143	RGEAX


Class C	782478135	RGECX


Class E	782478127	RGEEX


Class S	782478119	RGESX

The fund offers other classes of shares with higher fees and expenses. These other classes may charge up to a 0.75% distribution fee and a 0.25% shareholder servicing fee which will result in a higher expense ratio and lower performance than that shown above. For a full description of other available classes, please see the prospectus.

Fund objectives, risks, charges, and expenses should be carefully considered before investing.

For more complete information, including a contract and fund prospectus that gives investment objectives, risks, charges, expenses, and other information about the investment company, contact a Northwestern Mutual Financial Network Representative, who is a Registered Representative of Northwestern Mutual Investment Services, LLC (NMIS). Read the prospectuses carefully before you invest or send money.