Boyd Watterson Limited Duration Enhanced Income

 

 

fund ticker

Class I Shares BWDIX; Class I2 Shares BWDTX; Class A Shares BWDAX; Class C Shares BWDCX

 

Objectives

The Fund seeks income generation as a principal objective and capital preservation and total return as secondary objectives.

 

Fund Overview

The Fund consists of a diversified portfolio of fixed income securities and leveraged loans managed to generate potential returns primarily through security selection, sector allocation, duration management and tactical trading opportunities that attempt to capitalize on identified market inefficiencies. Under normal market conditions, the average quality rating of the portfolio may be expected to be BB-/Ba3 and the average portfolio duration may be expected to be 1.5-3.0 years.

 

PRINCIPAL INVESTMENT STRATEGIES

Under normal market conditions, the Fund invests a majority of its assets in investments in domestic, and U.S. dollar denominated foreign, income-producing securities.  These securities are (i) below investment-grade (also known as “junk” bonds) and investment grade fixed income securities, bank loans, and U.S. government securities, and (ii) equity securities (preferred securities and hybrid corporate securities). The Fund may make these investments directly or, from time to time, indirectly through exchange traded funds (“ETFs”), which include inverse ETFs, and through closed end funds. The fixed income securities in which the Fund invests have a typical targeted duration range of 1.5 years to 3.0 years. 

The Fund’s investment strategy seeks to capitalize on inefficiencies in the public trading markets for fixed-income securities and bank loans using Boyd Watterson Asset Management investment process and philosophy. 

 

DURATION

The Fund seeks to maintain a limited duration in order to reduce the impact of rising interest rates on its total return. The fixed income securities in which the Fund invests have a typical targeted duration range of 1.5 years to 3.0 years.