Boyd Watterson Limited Duration Enhanced Income

 

ldei fund share class overview

Note: Data as of June 30, 2019. Please refer to the Limited Duration Enhanced Income Fund fact sheet for additional Fund information. Please refer to the standardized average annual total returns for the Fund shown on the performance page associated with the SEC 30-day yields displayed above.  *The Adviser has contractually agreed to waive its fees and reimburse expenses of the Fund, at least until October 31, 2019 to ensure that Total Annual Fund Operating Expenses After Fee Waiver and Reimbursement will not exceed 0.60% and 0.40% of average daily net assets attributable to Class I and Class I2, and at least until February 27, 2020 to ensure that Total Annual Fund Operating Expenses After Fee Waiver and Reimbursement will not exceed 0.89% and 1.59% of average daily net assets attributable to Class A and Class C, respectively. These fee waivers and expense reimbursements are subject to possible recoupment from the Fund.  **Shown for informational purposes only. Class I2 Shares are not available for purchase.  5591-NLD-7/12/2019

Note: Data as of June 30, 2019. Please refer to the Limited Duration Enhanced Income Fund fact sheet for additional Fund information. Please refer to the standardized average annual total returns for the Fund shown on the performance page associated with the SEC 30-day yields displayed above.

*The Adviser has contractually agreed to waive its fees and reimburse expenses of the Fund, at least until October 31, 2019 to ensure that Total Annual Fund Operating Expenses After Fee Waiver and Reimbursement will not exceed 0.60% and 0.40% of average daily net assets attributable to Class I and Class I2, and at least until February 27, 2020 to ensure that Total Annual Fund Operating Expenses After Fee Waiver and Reimbursement will not exceed 0.89% and 1.59% of average daily net assets attributable to Class A and Class C, respectively. These fee waivers and expense reimbursements are subject to possible recoupment from the Fund.

**Shown for informational purposes only. Class I2 Shares are not available for purchase.

5591-NLD-7/12/2019

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.