Fund Description

The fund invests at least 80% of net assets (plus borrowings) in U.S. government and agency debt, investment-grade debt (including convertible debt), and cash and other short-term holdings; derivatives with similar characteristics may be used to meet this policy. It may hold substantial mortgage-related and asset-backed securities, including CMBS, CMOs, credit risk transfer securities and sub-prime mortgages, including private-issuer securities and structures with balloon or negative amortization features. It may also invest in subordinated debt, municipals, preferreds, TIPS and other inflation-linked debt, floating-rate loans, insurance-linked securities, and mortgage dollar rolls. Up to 20% may be below investment grade (including defaulted), and up to 15% in non-U.S. issuers (up to 5% emerging markets). Maturity, credit quality and sector positioning vary by adviser judgment; holdings may have varied payment and settlement features. The adviser may use derivatives for hedging, substitution, return seeking, portfolio management, or cash flow management, and integrates environmental, social and governance (ESG) considerations into its investment research process; ESG considerations are not a primary focus and may be given little or no weight for a specific decision; the adviser generally will not invest in companies engaged in the production, sale, storage of, or providing services for, certain controversial weapons.