Fund Description

The fund invests substantially all net assets in U.S. Treasury obligations and obligations issued or guaranteed as to principal and interest by U.S. government agencies or instrumentalities, including mortgage-backed securities, and in repurchase agreements collateralized by such obligations. It may invest in U.S. government-sponsored entities such as Fannie Mae and Freddie Mac, whose securities are not issued or guaranteed by the U.S. Treasury or backed by the full faith and credit of the U.S. Government. It may use dollar rolls, TBA MBS, futures and forwards, with futures primarily for hedging interest-rate risk, and may trade frequently. Using top-down and bottom-up selection, the sub-adviser seeks attractively valued, competitive-yield securities and targets portfolio duration up to three years under normal conditions.