Fund Description

The fund uses CPI-U to measure U.S. inflation and seeks returns exceeding that rate over time by combining inflation-linked derivatives and inflation-indexed fixed income securities with other fixed income holdings. The fund may invest substantially in inflation-linked derivatives, primarily CPI swaps, and may use other derivatives, including futures, forwards, options, and swaps; it is regulated by the CFTC as a commodity pool. It may invest in TIPS and non-U.S. sovereign inflation-indexed securities. Other holdings may include investment-grade corporates, mortgages/asset-backed, and U.S. government-related debt, with up to 35% in high-yield, foreign-currency debt, loans, convertibles, and structured/hybrid instruments. It limits most industry exposure to 25%, uses top-down and bottom-up analysis, may rotate sectors, and trades actively, including using Treasury futures and interest rate swaps to manage average duration and hedge interest rate risk.