S P ECT R A & C A P I TA L A P P R EC I AT I O N / F LY E R

For the 10-year period ended 12/31/15, the Funds (Class A) achieved:

Alger Spectra Fund (SPECX)

Morningstar 10-Year Ranking: (1 out of 933 Large Growth Funds)

Overall Morningstar Rating: (among 1,542 Large Growth Funds)

Fund:

Russell 3000 Growth Index:

Value Added:

Alger Capital Appreciation Fund (ACAAX)

Morningstar 10-Year Percentile Ranking: (14 out of 933 Large Growth Funds)

Overall Morningstar Rating: (among 1,542 Large Growth Funds)

Fund:

Russell 1000 Growth Index:

Value Added:

Since Alger’s founding in 1964, we have remained steadfast in our philosophy of investing in Positive Dynamic Change and our proven investment process. Our analyst team excels in original, bottom-up, fundamental research and aims to identify the best investment opportunities for our clients.

Patrick Kelly, CFAEXECUTIVE VICE PRESIDENT HEAD OF ALGER CAPITAL APPRECIATION AND SPECTRA STRATEGIES

18 Years Investment Experience Joined Alger in 1999

Ankur Crawford, Ph.D.SENIOR VICE PRESIDENT SENIOR ANALYST

11 Years Investment Experience Joined Alger in 2004

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Spectra Fund’s five-year rolling return placed in the top quartile in the Morningstar Large Growth category for the past 36 consecutive quarters

ending 12/31/15.

#1 Fund

12.18%

8.49%

+3.69%

10.82%

8.53%

+2.29%

PROOF OF ALGER’S TIME-

TESTED APPROACH

PORTFOLIO MANAGERS

For more information, speak with your financial advisor, visit www.alger.com or call 800.992.3863.

Top 2%

Fred Alger & Company, Incorporated 360 Park Avenue South, New York, NY 10010 / 800.992.3863 / www.alger.com ABCDEFGH00.00.00SPCAFLYER4Q1501.13.16

SPECTRA & CAPITAL APPRECIATION 2/2

1 Year 3 Years 5 Years 10 Years 15 Years Since Inception(12/31/1996)

Capital Appreciation Fund Class A Without Sales Charge 6.25 17.48 13.60 10.82 6.24 9.10 With Sales Charge 0.66 15.37 12.39 10.23 5.86 8.79

Russell 1000 Growth Index 5.67 16.83 13.53 8.53 4.33 6.87

Morningstar Percentile Rank (Large Growth Category)

29% 17% 16% 2%— —

483/1,681 262/1,542 211/1,326 14/933

Total Annual Fund Operating Expenses: Per Prospectus dated 3/1/15 1.24%

The Alger Spectra Fund is an active investment strategy that is able to invest in compa-nies of all sizes and sell securities short. There are additional risks when investing in an active investment strategy, such as increased short term trading, additional transaction costs and potentially increased taxes that a shareholder may pay, which can lower the actual return on an investment.* Historical performance has been calculated from 12/31/1974 to coincide with the first full calendar year Fred Alger Management, Inc. was the Fund’s investment adviser. The Fund operated as a closed end fund from 8/23/1978 to 2/12/1996. The calculation of total return during that time assumes dividends were reinvested at market value. On 9/24/08, the Fund’s name was changed from Spectra Fund to Alger Spectra Fund, and the Fund’s Class N shares were redesignated as Class A shares. Performance from 2/13/96 through 9/23/08 is that of the Fund’s Class N shares, adjusted to reflect applicable sales charges and operating expenses. The performance does not reflect a deduction for taxes that may be payable on fund distributions or on the redemption of fund shares.

Risk Disclosures: Investing in the stock market involves gains and losses and may not be suitable for all investors. Growth stocks tend to be more volatile than other stocks, as the prices of growth stocks tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. Foreign investing in-volves special risks including currency risk and risks related to political, social, or economic conditions. Small- and mid-capitalization stocks are subject to greater risk than larger stocks owing to such factors as limited liquidity, inexperienced management and limited financial resources. Alger funds can use derivatives. A small investment in derivatives could have a potentially large impact on a fund’s performance.Alger Spectra Fund can leverage (borrow) to achieve its investment objectives. The cost of borrowing money to leverage could exceed the returns for securities purchased or the securities purchased may go down in value; leverage may cause the Fund’s net asset value to decrease more quickly than if the Fund had not borrowed. In order to engage in a short sale, the Fund arranges with a broker to borrow the security being sold short. In order to close out its short position, the Fund will replace the security by purchasing the security at the price prevailing at the time of replacement. The Fund will incur a loss if the price of the security sold short has increased since the time of the short sale and may experience a gain if the price has decreased since the short sale. The use of short sales could increase the Fund’s exposure to the market, magnifying losses and increasing volatility.Returns indicated assume reinvestment of all distributions, no transaction costs or taxes, and are net of management fees and portfolio operating expenses only. The Russell 1000® Growth Index is an unmanaged index designed to measure the perfor-mance of the largest 1,000 companies in the Russell 3000® Index with higher price-to-book ratios and higher forecasted growth values. The Russell 3000 Growth Index, was cre-ated on 12/31/78 and measures the performance of the broad growth segment of the U.S.

equity universe. It includes those Russell 3000 companies with higher price-to-book ratios and higher forecasted growth values. The Russell 3000 Index measures the performance of the largest 3000 U.S. companies representing approximately 99% of the investable U.S. equity market. Investors cannot invest directly in any index. Index performance does not reflect deduction for fees, expenses, or taxes.Morningstar percentile rankings are based on the total return percentile rank (excluding sales charge) within each Morningstar Category. The highest (or most favorable) percentile rank is 1 and the lowest (or least favorable) percentile rank is 100. If sales charges were included, performance would be lower and the rank may be lower. Morningstar Rating is not to be confused with Morningstar Ranking, which is a numeric ranking of the fund, and is a distinct designation. Source: Morningstar. For funds with at least a 3-year history, a Morningstar Rating™ is based on a risk-adjusted return measure (including the effects of sales charges, loads, and redemption fees) with emphasis on downward variations and rewarding consistent performance. Within each asset class, the top 10%, the next 22.5%, 35%, 22.5%, and the bottom 10% receive 5, 4, 3, 2, or 1 star, respectively. Alger Spectra Fund Class A was rated 3, 4, and 5 stars and Alger Capital Appreciation Fund Class A was rated 3, 3, and 5 stars for the 3-, 5-, and 10-year periods among 1,542, 1,326, and 933 Large Growth funds as of 12/13/15. To determine a fund’s star rating for a given time period (three, five, or 10 years), the fund’s risk-adjusted return is plotted on a bell curve: If the fund scores in the top 10% of its category, it receives 5 stars (Highest); if it falls in the next 22.5% it receives 4 stars (Above Average); a place in the middle 35% earns 3 stars (Aver-age); those lower still, in the next 22.5%, receive 2 stars (Below Average); and the bottom 10% get only 1 star (Lowest). The Overall Morningstar Rating is a weighted average of the available three-, five-, and 10-year ratings. Morningstar Ratings are for the specified share classes only; other classes may have different performance characteristics. During certain of the referenced time periods, the Fund experienced periods of negative performance results. ©2015 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar; (2) may not be copied or distributed; and (3) is not war-ranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.

Before investing, carefully consider the Fund’s investment objec-tive, risks, charges, and expenses. For a prospectus or summary prospectus containing this and other information about the Fund, call (800) 992-3863, visit www.alger.com, or consult your financial advisor. Read the prospectus carefully before investing. Distributor: Fred Alger & Company, Incorporated, Member NYSE Euronext, SIPC. NOT FDIC INSURED. NOT BANK GUARANTEED. MAY LOSE VALUE.

The performance data quoted in this material represents past performance, which is not an indication or a guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. Performance figures assume all distributions are reinvested. Returns with a maximum sales charge reflect a front-end sales charge on Class A Shares of 5.25%. Class A shares held less than one year are subject to a 1% contingent deferred sales charge (CDSC). For performance current to the most recent month end, visit www.alger.com or call (800) 992-3863.

1 Year 3 Years 5 Years 10 Years 30 Years Since Inception (12/31/1974)*

Spectra Fund Class A Without Sales Charge 7.08 17.54 13.90 12.18 13.37 15.96 With Sales Charge 1.45 15.45 12.69 11.57 13.17 15.81

Russell 3000 Growth Index 5.09 16.62 13.30 8.49 9.71 —

Morningstar Percentile Rank (Large Growth Category)

21% 16% 14% 1%— —

355/1,681 249/1,542 177/1,326 1/933

Total Annual Fund Operating Expenses: Per Prospectus dated 3/1/15 1.52%

Average Annual Total Returns (%) (as of 12/31/15)