Fund Description

The fund invests in income-producing debt instruments, including mortgage- and asset-backed securities, government and agency obligations, corporate obligations, and floating rate loans, and may invest in U.S. and non-U.S. issuers, including emerging market debt, with potentially significant non-U.S. exposure. Under normal circumstances, the fund invests at least 80% of its net assets (plus any borrowings for investment purposes) in fixed income securities, chosen from investment-grade obligations or unrated instruments deemed comparable. It may invest up to 20% in high yield debt, hold restricted securities, and have portfolio turnover of 100% or more. Duration is managed to mirror the Bloomberg U.S. Aggregate Bond Index, plus or minus 20%. In selecting investments for purchase and sale, the subadviser generally selects a greater weighting in corporate obligations and mortgage-backed securities relative to the fund's comparative benchmark, and a lower relative weighting in U.S. Treasury and government agency issues. It may use derivatives and opportunistically use TIPS.