Fund Description

Under normal conditions, the fund invests at least 80% of net assets plus any borrowings in bonds, debentures and other fixed income securities, and may hold a substantial portion in high-yield (below investment grade) debt. It allocates principally among U.S. high yield, U.S. investment grade, convertible, and foreign (including emerging market) securities, and may concentrate in one category while keeping at least 20% in investment grade debt, U.S. Government securities, and/or cash equivalents; non-U.S. currency foreign securities are capped at 20%. It may invest in mortgage- and asset-backed securities, government securities (including U.S. Government securities and non-U.S. sovereign government securities) and municipal securities, loans (up to 15%), CLOs and other hybrids, inflation-linked instruments, and up to 20% in equity. The fund may use derivatives to hedge against risk or to gain investment exposure, and may use derivatives to seek to enhance returns, to attempt to hedge some of its investment risk, to manage portfolio duration, as a substitute for holding the underlying asset, or for cash management purposes; for example, it may invest in or sell short U.S. Treasury futures, securities index futures, other futures, and/or currency forwards. Security selection is bottom-up with diversification and credit analysis; holdings may be sold for deteriorating fundamentals, and it may take temporary defensive positions.