L O A D I N G . . .

  • ABOUT US
  • Contact Us
LOGIN / REGISTER

Investment Objective

Seeks to provide high current income and long-term total return.

High-Conviction Investment Ideas

The portfolio manager utilizes his best ideas in the floating-rate and debt-security asset class to seek to amplify performance, with at least 80% of the Fund being invested in floating-rate loans or high-yield bonds that are below-investment-grade.

Global Opportunity Set

The Fund has a strategic allocation to foreign loans to attempt to take advantage of the maturing European loan market.

High Yield

To enhance the potential for increased distribution yield, the Fund has a strategic allocation to high-yield corporate debt.

Portfolio Management

  • Michael Bacevich

    Michael Bacevich
    Managing Director
    Fixed-Income Portfolio Manager
    Wellington Management
    Professional Experience Since 1988
    BS, U.S. Military Academy
    MBA, University of Chicago

    VIEW BIO

The portfolio manager is supported by the full resources of Wellington Management.

Average Annual Total Returns
(as of 6/30/2016)
Average Annual Total Returns YTD 1YR 3YR 5YR 10YR SI
AT NAV 6.20% -0.48% 1.86% --- --- 4.65%
Benchmark 4.23% 0.93% 3.04% --- --- ---
Peer Group 4.03% 0.19% 2.11% --- --- ---
With 3.0% Max
Sales Charge
--- -3.46% 0.84% --- --- 3.98%
Average Annual Total Returns
(as of 6/30/2016)
Average Annual Total Returns YTD 1YR 3YR 5YR 10YR SI
AT NAV 6.20% -0.48% 1.86% --- --- 4.65%
Benchmark 4.23% 0.93% 3.04% --- --- ---
Peer Group 4.03% 0.19% 2.11% --- --- ---
With 3.0% Max
Sales Charge
--- -3.46% 0.84% --- --- 3.98%

Performance data quoted represents past performance and does not guarantee future results. The 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 data quoted.

Fund Inception: 9/30/11


Operating Expenses

Net  1.07% |  Gross 1.13%  
 

Calendar Year Returns
Fund Benchmark Peer Group
2015 -3.70% -0.38% -1.28%
2014 -0.49% 2.06% 0.58%
2013 6.78% 6.15% 5.62%
2012 10.88% 9.43% 9.44%
2011 --- --- ---
2010 --- --- ---
2009 --- --- ---
2008 --- --- ---
2007 --- --- ---
2006 --- --- ---

Excludes sales charges. If sales charges and taxes had been included, the value would have been lower.

Growth of $10,000

(as of 6/30/2016)
[{"date":"2016/06/30","value":"12411"},{"date":"2016/05/31","value":"12385"},{"date":"2016/04/30","value":"12265"},{"date":"2016/03/31","value":"11865"},{"date":"2016/02/29","value":"11438"},{"date":"2016/01/31","value":"11461"},{"date":"2015/12/31","value":"11686"},{"date":"2015/11/30","value":"11910"},{"date":"2015/10/31","value":"12085"},{"date":"2015/09/30","value":"12083"},{"date":"2015/08/31","value":"12222"},{"date":"2015/07/31","value":"12420"},{"date":"2015/06/30","value":"12470"},{"date":"2015/05/31","value":"12581"},{"date":"2015/04/30","value":"12546"},{"date":"2015/03/31","value":"12362"},{"date":"2015/02/28","value":"12311"},{"date":"2015/01/31","value":"12067"},{"date":"2014/12/31","value":"12135"},{"date":"2014/11/30","value":"12450"},{"date":"2014/10/31","value":"12459"},{"date":"2014/09/30","value":"12450"},{"date":"2014/08/31","value":"12601"},{"date":"2014/07/31","value":"12554"},{"date":"2014/06/30","value":"12592"},{"date":"2014/05/31","value":"12501"},{"date":"2014/04/30","value":"12411"},{"date":"2014/03/31","value":"12379"},{"date":"2014/02/28","value":"12330"},{"date":"2014/01/31","value":"12268"},{"date":"2013/12/31","value":"12192"},{"date":"2013/11/30","value":"12123"},{"date":"2013/10/31","value":"12069"},{"date":"2013/09/30","value":"11935"},{"date":"2013/08/31","value":"11889"},{"date":"2013/07/31","value":"11923"},{"date":"2013/06/30","value":"11742"},{"date":"2013/05/31","value":"11871"},{"date":"2013/04/30","value":"11877"},{"date":"2013/03/31","value":"11744"},{"date":"2013/02/28","value":"11616"},{"date":"2013/01/31","value":"11581"},{"date":"2012/12/31","value":"11417"},{"date":"2012/11/30","value":"11329"},{"date":"2012/10/31","value":"11302"},{"date":"2012/09/30","value":"11230"},{"date":"2012/08/31","value":"11078"},{"date":"2012/07/31","value":"10946"},{"date":"2012/06/30","value":"10865"},{"date":"2012/05/31","value":"10744"},{"date":"2012/04/30","value":"10857"},{"date":"2012/03/31","value":"10751"},{"date":"2012/02/29","value":"10666"},{"date":"2012/01/31","value":"10510"},{"date":"2011/12/31","value":"10294"},{"date":"2011/11/30","value":"10201"},{"date":"2011/10/31","value":"10225"},{"date":"2011/09/30","value":"10000"}]

 

Excludes sales charges. If sales charges and taxes had been included, the value would have been lower.


A-Share Morningstar Ratings
(as of 6/30/2016)
Morning Star Rating LOAD WAIVED CATEGORY SIZE
Overall ---
3 year 215
5 year ---
10 year ---

Past performance is no guarantee of future results. Morningstar ratings reflect historical risk-adjusted performance as of June 30, 2016 and are subject to change every month. Ratings are based on a risk-adjusted return measure that accounts for variations in monthly performance (including the effects of sales charges, loads and redemption fees), emphasizing downward variations and rewarding consistent performance. The top 10% of funds in a category receive five stars, the next 22.5% receive four stars, the next 35% receive three stars, the next 22.5% receive two stars, and the bottom 10% receive one star. The Overall Rating reflects a weighted average of a fund’s 3-, 5- and 10-year (if applicable) risk-adjusted performance. Morningstar Load-Waived Ratings supplement Morningstar Ratings for Class A shares by recalculating measures that are load-adjusted without the effects of the front-end sales charge. Load-waived ratings should only be considered by investors who are not subject to the Fund's front-end sales charge. © 2016 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 are responsible for any damages or losses arising from any use of this information.

Holdings are subject to change. Percentages may be rounded.
Holdings Characteristics(as of 6/30/2016)
Holdings Characteristics Fund
% in Bank Loans 80.49
Average Days to Reset 38
Bank Loan Average Price $89.94
Effective Duration 0.45 yrs.

Credit Exposure

(as of 6/30/2016)
label value
Baa/BBB 4.2%
Ba/BB 26.4%
B 42.7%
Caa/CCC or lower 17.1%
Not Rated 3.1%
Cash & Cash Offsets 6.6%

Credit exposure is the credit ratings for the underlying securities of the Fund as provided by Standard and Poor's (S&P), Moody's Investors Service, or Fitch and typically range from AAA/Aaa (highest) to C/D (lowest). If S&P, Moody's, and Fitch assign different ratings, the median rating is used. If only two agencies assign ratings, the lower rating is used. Securities that are not rated by any of the three agencies are listed as "Not Rated." Ratings do not apply to the Fund itself or to Fund shares. Ratings may change.

Top Ten Issuers (%)

(as of 6/30/2016)
label percentageholding
Valeant Pharmaceuticals International, Inc. 2.11
Brickman Group Ltd. 2.06
Advantage Sales & Marketing, Inc. 1.77
U.S. Renal Care, Inc. 1.68
InVentiv Health, Inc. 1.66
Hostess Brands LLC 1.61
Avago Technologies Cayman Ltd. 1.58
Albertsons, LLC 1.57
Mauser U.S. Corp. 1.52
Pike Corp. 1.52
Total Portfolio % 17.08
(as of 3/31/2016)
label percentageholding
Brickman Group Ltd. 2.03
Delta 2 1.89
Advantage Sales & Marketing, Inc. 1.86
Albertsons LLC 1.72
U.S. Renal Care, Inc. 1.67
InVentiv Health, Inc. 1.64
Hostess Brands LLC 1.57
Chemours Co. 1.51
Pike Corp. 1.49
Mauser U.S. Corp. 1.45
Total Portfolio % 16.83
Sector Distribution
Sectors 03/31/2016 Fund 06/30/2016 Benchmark 06/30/2016 UNDERWEIGHT / OVERWEIGHT -7 0 7
Consumer Non-Cyclical 25.0 25.3 18.2
Overweight 100.0%
Energy 5.3 6.8 3.7
Overweight 42.85714285714286%
Financial Institutions 9.3 8.5 6.4
Overweight 28.571428571428573%
Other Industrial 3.9 3.9 2.4
Overweight 28.571428571428573%
Utilities 3.0 4.0 2.6
Overweight 14.285714285714286%
Basic Industry 7.9 6.3 6.3
Overweight 0.0%
Cash and Cash Equivalents 6.0 6.6 0.0
Overweight 0.0%
Other Securities 0.2 0.2 0.0
Overweight 0.0%
Other High Yield 0.2 0.3 0.8
Overweight 14.285714285714286%
Transportation 1.3 1.4 2.5
Overweight 14.285714285714286%
Capital Goods 4.6 4.6 8.2
Overweight 42.85714285714286%
Technology 8.7 8.5 12.8
Overweight 57.142857142857146%
Consumer Cyclical 17.2 16.3 22.1
Overweight 85.71428571428572%
Communications 7.5 7.1 14.1
Overweight 100.0%
Distributions and Capital Gains
Distribution Date Distribution NAV Long-Term Capital Gain Short-Term Capital Gain Return of Capital Dividend Income Distribution Total
6/30/2016 9.50 0.0000 0.0000 --- 0.0400 0.0400
5/31/2016 9.52 0.0000 0.0000 0.0000 0.0423 0.0423
4/29/2016 9.47 0.0000 0.0000 0.0000 0.0402 0.0402
3/31/2016 9.20 0.0000 0.0000 0.0000 0.0428 0.0428
2/29/2016 8.91 0.0000 0.0000 0.0000 0.0417 0.0417
1/29/2016 8.97 0.0000 0.0000 0.0000 0.0434 0.0434
12/31/2015 9.19 0.0000 0.0000 0.0000 0.0429 0.0429
11/30/2015 9.41 0.0000 0.0000 0.0000 0.0411 0.0411
10/31/2015 9.59 0.0000 0.0000 0.0000 0.0416 0.0416
9/30/2015 9.63 0.0000 0.0000 0.0000 0.0390 0.0390
8/31/2015 9.78 0.0000 0.0000 0.0000 0.0406 0.0406
7/31/2015 9.98 0.0000 0.0000 0.0000 0.0398 0.0398

Past Dividend Distributions are not indicative of future results.

html
07/22/2016
3Q 2016 Outlooks

Thought leaders from Wellington Management provide their outlooks on the risks and opportunities available in equities, fixed income, commodities, and asset allocation as we head into the third quarter of 2016.

html
03/09/2016
Bank Loans: Valuations Compelling, but Defensive Posture Warranted

Learn more about current opportunities for bank loans, and why the portfolio manager for Floating Rate Fund and Floating Rate High Income Fund has a positive outlook for this sector.

html
12/16/2015
Rising Rates, Rising Equities?

Like gadget enthusiasts waiting for a new smartphone release, we've waited for the Fed to finally raise interest rates. And if this tightening cycle moves as gradually as expected, it could be beneficial for stocks.

Please enter valid numeric input.

VIEW ALL LITERATURE

quantity

Literature
All investments are subject to risk, including the possible loss of principal. There is no guarantee the Fund will achieve its stated objective. The Fund’s share price may fluctuate due to market risk and/or security selections that may underperform the market or relevant benchmarks. Fixed Income risks include credit, liquidity, call, duration, and interest-rate risk. As interest rates rise, bond prices generally fall; these risks are currently heightened due to the historically low interest rate environment. Investments in high-yield (“junk”) bonds involve greater risk of price volatility, illiquidity, and default than higher-rated debt securities. Loans can be difficult to value and highly illiquid; they are subject to credit risk and risks of bankruptcy and insolvency. Derivatives may be riskier or more volatile than other types of investments because they are generally more sensitive to changes in market or economic conditions; risks include currency, leverage, liquidity, index, pricing, and counterparty risk. Foreign investments can be riskier than U.S. investments due to the adverse effects of currency exchange rates, differences in market structure and liquidity, as well as political and economic developments in foreign countries and regions. The Fund is non-diversified, so it may be more exposed to the risks associated with individual issuers than a diversified fund. Privately placed, restricted (Rule 144A) securities may be more difficult to sell and value than publicly traded securities, thus they may be potentially illiquid.
Floating Rate High Income Fund should not be considered an alternative to CDs or money market funds. This Fund is for investors who are looking to complement their traditional fixed-income investments.
 

119094-1