Fund Description

The fund invests at least 80% of assets in a diversified portfolio of fixed income instruments of varying maturities, which may be represented by forwards or derivatives such as options, futures, or swap agreements. Fixed Income Instruments include bonds, debt securities and other similar instruments issued by U.S. and non-U.S. public- or private-sector entities. It uses multiple strategies across fixed income sectors, seeking income plus capital appreciation, if any, without index constraints. Duration normally ranges from zero to three years. It may use tax-loss strategies, though taxable gains may occur. It may hold investment-grade and high yield debt, with up to 20% below Baa (or equivalent), invest in foreign-currency and foreign-issuer securities, up to 30% tied to emerging markets (with local-currency sovereign debt exceptions), and normally limits net foreign currency exposure to 25%. It may invest up to 10% in preferreds, use mortgage- or asset-backed securities, transact when-issued or forward, engage in short sales, and use buy backs or dollar rolls.