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Core Plus Bond Fund

The Core Plus Bond Fund seeks high total investment return through a combination of current income and capital appreciation
Total Assets $7.9 billion As of 11/30/2025
Asset Class Fixed
Daily YTD Return 8.28% As of 12/26/2025
Inception Date 11/7/1973

Overview

11/18/25: Effective June 30, 2026, Michael Gladchun will join the Fund’s portfolio management team. On the same date, Peter Palfrey will step down as a portfolio manager of the Fund in anticipation of his retirement at the end of September 2026. For more details, please refer to the prospectus.

Fund Details

Primary Benchmark
Bloomberg US Aggregate Index
Lipper Category
Core Plus Bond Funds
Morningstar Category
Intermediate Core-Plus Bond

Portfolio Managers

Peter Palfrey, CFA

Portfolio Manager

42 yearsIndustry Experience
24 yearsTenure at Loomis Sayles

Rick Raczkowski

Portfolio Manager, Co-Head of Relative Return

36 yearsIndustry Experience
24 yearsTenure at Loomis Sayles

Associate Portfolio Manager3

Michael Gladchun

Associate Portfolio Manager

25 yearsIndustry Experience
21 yearsTenure at Loomis Sayles

Agency MBS Portfolio Managers

Ian Anderson

Portfolio Manager, Agency MBS Strategist

27 yearsIndustry Experience
14 yearsTenure at Loomis Sayles

Barath Sankaran, CFA

Portfolio Manager

16 yearsIndustry Experience
16 yearsTenure at Loomis Sayles

Fund Facts

As of 11/30/2025
Ticker NERNX
Class Inception Date 2/1/2013
CUSIP 63872R574
Minimum Initial Investment $1,000,000
Gross Expense Ratio1 0.39%
Net Expense Ratio1 0.39%
Net Asset Value 11.81
30-Day SEC Yield2 4.38%
Unsubsidized 30-Day SEC Yield2 4.38%

About the Team

Relative Return

A comprehensive fixed income platform powered by seasoned investors and focused, benchmark aware investment strategies.

$135.4B assets under management (as of 9/30/2025)
View All Documents

Our Performance data shown represents past performance and is no guarantee of future results. Investment return and value will vary and you may have a gain or loss when shares are sold. Current performance may be lower or higher than quoted. For most recent month-end performance, please see the tab labeled “Performance”.

Why Choose this Fund?

  • As a core fixed income offering that is benchmark aware and focused on providing superior long-term relative returns.
  • To seek competitive returns by tactically allocating to non-benchmark fixed income sectors.

Investment Strategy

  • Portfolio guidelines are broad, offering considerable investment flexibility
  • Individual investment ideas are evaluated on the basis of their investment return potential and contribution to portfolio risk
  • Fund is structured to be benchmark-aware as one means of risk management
  • Duration bands: +/-2 years relative to the index
  • May invest up to 20% in high yield securities at the time of purchase
  • May invest up to 10% in non-US dollar denominated securities
  • May shift assets among various types of securities based upon changing market conditions

About Risk

  • Fixed income securities may carry one or more of the following risks: credit, interest rate (as interest rates rise bond prices usually fall), inflation and liquidity.
  • Mortgage-related and asset-backed securities are subject to the risks of the mortgages and assets underlying the securities. Other related risks include prepayment risk, which is the risk that the securities may be prepaid, potentially resulting in the reinvestment of the prepaid amounts into securities with lower yields.
  • Below investment grade fixed income securities may be subject to greater risks (including the risk of default) than other fixed income securities.
  • Foreign and emerging market securities may be subject to greater political, economic, environmental, credit, currency and information risks. Foreign securities may be subject to higher volatility than US securities due to varying degrees of regulation and limited liquidity. These risks are magnified in emerging markets.
  • Currency exchange rates between the US dollar and foreign currencies may cause the value of the fund’s investments to decline.
  • Inflation protected securities move with the rate of inflation and carry the risk that in deflationary conditions (when inflation is negative) the value of the bond may decrease.

Performance

Cumulative Total Return (%)
As of 11/30/2025
Class N Return
3 Months 2.53%
Year-To-Date 8.49%
Annualized Total Return (%)
As of 11/30/2025
Class N Return
1 Year 6.33%
3 Years 4.95%
5 Years 0.14%
10 Years 2.97%
Since Inception 2.59%
Inception Date 2/1/2013
Cumulative Total Return (%)
As of 9/30/2025
Class N Return
3 Months 2.28%
Year-To-Date 7.13%
Annualized Total Return (%)
As of 9/30/2025
Class N Return
1 Year 3.39%
3 Years 5.53%
5 Years 0.17%
10 Years 2.94%
Since Inception 2.53%
Inception Date 2/1/2013

Performance data shown represents past performance and is no guarantee of future results. Total return and value will vary and you may have a gain or loss when shares are sold. Current performance may be lower or higher than quoted. Returns include changes in share price and reinvestment of dividends and capital gains, if any.

Rankings

Lipper Ranking
As of 11/30/2025
Class N Rank Percentile
1 Year 108/318 34%
3 Years 194/294 66%
5 Years 142/279 51%
10 Years 29/177 16%
Lipper Category: Core Plus Bond Funds
Morningstar Ranking
As of 11/30/2025
Class N Rank Percentile
1 Year 115/523 22%
3 Years 326/490 67%
5 Years 226/450 50%
10 Years 47/325 14%
Morningstar Category: Intermediate Core-Plus Bond

Lipper rankings are based on total returns calculated by each ranking entity. Rankings do not take into account sales charges, if applicable, but include reinvestment of dividends and capital gains, if any.

Morningstar Percentile Rankings are based on total return and do not account for sales charges. Percentile ranks are based on absolute rank within specific fund categories and time periods. Within a category, all funds’ percentile rankings range from 1 (best) to 100 (worst), with all intermediate values spread evenly over that range. The fund’s absolute peer ranking may not be available for all time periods. Morningstar does not calculate an absolute peer ranking when a fund’s performance has been linked to a preexisting share class.

Past performance is no guarantee of future results.

Characteristics

Characteristics
As of 11/30/2025
Number of Holdings 746
Average Maturity 8.48
Weighted Average Duration 6.13
Annual Portfolio Turnover as of 9/30/2024 170.44%
Credit Quality
As of 11/30/2025
US Treasurys 35.9%
AAA 4.7%
AA 22.1%
A 7.9%
BAA 16.9%
BA 5.6%
B 0.2%
CAA & Lower 0.2%
Not Rated 0.6%
Cash & Equivalents 5.9%
Duration Distribution
As of 11/30/2025
Less than 1 Yr. -3.0%
1 to 3 Yrs. 26.2%
3 to 5 Yrs. 18.5%
5 to 7 Yrs. 19.7%
7 to 10 Yrs. 17.2%
10 Yrs. or more 15.4%
Cash & Equivalents 5.9%
Maturity Distribution
As of 11/30/2025
Less than 1 Yr. 3.0%
1 to 3 Yrs. 14.2%
3 to 5 Yrs. 16.2%
5 to 7 Yrs. 16.9%
7 to 10 Yrs. 17.0%
10 Yrs. or more 26.8%
Cash & Equivalents 5.9%

Sector Distribution

As of 11/30/2025
LabelFund
US Treasurys 35.9%
Investment Grade Corporate 19.6%
Securitized Agency 18.5%
Securitized Credit 10.4%
High Yield Corporate 5.0%
Non-US Dollar 2.6%
Government Related 2.0%
Municipals 0.1%
US Agency 0.1%
Cash & Equivalents 5.9%

Country Distribution

As of 11/30/2025
LabelFund
United States 81.6%
Cayman Islands 4.3%
Brazil 2.2%
Mexico 1.8%
United Kingdom 1.1%
Uruguay 1.0%
Chile 1.0%
Germany 0.7%
Ireland 0.7%
Other 5.5%

Currency Distribution

As of 11/30/2025
LabelFund
US Dollar 97.4%
Brazilian Real 1.0%
Uruguay Peso 1.0%
Mexican Peso 0.6%
Characteristics
As of 9/30/2025
Characteristic Fund Index
Number of Holdings 762 13855
Average Maturity 8.75 8.17
Weighted Average Duration 6.21 6.00
Annual Portfolio Turnover as of 9/30/2024 170.44%
Credit Quality
As of 9/30/2025
Fund Index
US Treasurys 33.6% 45.4%
AAA 5.0% 3.6%
AA 23.0% 29.9%
A 8.5% 11.3%
BAA 16.9% 9.8%
BA 6.3% 0.0%
B 0.3% 0.0%
CAA & Lower 0.2% 0.0%
Not Rated 0.7% 0.0%
Cash & Equivalents 5.6% 0.0%
Duration Distribution
As of 9/30/2025
Fund Index
Less than 1 Yr. -4.0% 1.6%
1 to 3 Yrs. 27.7% 26.6%
3 to 5 Yrs. 18.6% 22.5%
5 to 7 Yrs. 19.9% 17.0%
7 to 10 Yrs. 16.0% 16.0%
10 Yrs. or more 16.2% 16.3%
Cash & Equivalents 5.6% 0.0%
Maturity Distribution
As of 9/30/2025
Fund Index
Less than 1 Yr. 3.2% 1.1%
1 to 3 Yrs. 14.8% 23.2%
3 to 5 Yrs. 15.2% 20.1%
5 to 7 Yrs. 14.8% 13.3%
7 to 10 Yrs. 16.9% 24.1%
10 Yrs. or more 29.5% 18.2%
Cash & Equivalents 5.6% 0.0%

Sector Distribution

As of 9/30/2025
LabelFundIndex
US Treasurys 33.6%45.4%
Investment Grade Corporate 19.5%23.9%
Securitized Agency 19.3%25.2%
Securitized Credit 11.3%1.2%
High Yield Corporate 5.3%–
Non-US Dollar 2.9%–
Government Related 2.2%3.2%
Municipals 0.1%0.5%
US Agency 0.1%0.6%
Cash & Equivalents 5.6%–

Country Distribution

As of 9/30/2025
LabelFundIndex
United States 80.2%93.4%
Cayman Islands 4.5%0.0%
Brazil 2.5%0.1%
Mexico 1.8%0.3%
United Kingdom 1.2%0.9%
Uruguay 1.1%0.1%
Chile 1.0%0.1%
Germany 0.9%0.3%
Ireland 0.7%0.1%
Other 6.0%4.7%

Currency Distribution

As of 9/30/2025
LabelFundIndex
US Dollar 97.1%100.0%
Brazilian Real 1.3%–
Uruguay Peso 1.1%–
Mexican Peso 0.6%–

Holdings

Top 10 Holdings
As of 11/30/2025
Holding % of Assets
U S TREASURY 37.1%
FEDERAL NATIONAL MORTGAGE ASSOCIATION 17.8%
FEDERAL HOME LOAN BANK 3.2%
BRAZIL GOVERNMENT 1.0%
GOVT OF URUGUAY 1.0%
BANK OF AMERICA CORP 1.0%
GOVT OF MEXICO 0.7%
FEDERAL HOME LOAN MORTGAGE CORP 0.7%
JPMORGAN CHASE & CO 0.6%
ARES CAPITAL CORP 0.5%
Total 63.6%
Top 10 Holdings
As of 9/30/2025
Holding % of Assets
U S TREASURY 34.8%
FEDERAL NATIONAL MORTGAGE ASSOCIATION 18.6%
FEDERAL HOME LOAN BANK 3.1%
BRAZIL GOVERNMENT 1.3%
GOVT OF URUGUAY 1.1%
TBA 1.0%
BANK OF AMERICA CORP 1.0%
FEDERAL HOME LOAN MORTGAGE CORP 0.8%
GOVT OF MEXICO 0.7%
JPMORGAN CHASE & CO 0.6%
Total 62.9%

Documents

1As of the most recent prospectus, the investment advisor has contractually agreed to waive fees and/or reimburse expenses (with certain exceptions) once the expense limitation of the fund has been exceeded. This arrangement is set to expire on 1/31/27. When an expense limitation has not been exceeded, the fund may have similar expense ratios and/or yields.

2The 30-day SEC yield is a standardized calculation, calculated by dividing the net investment income per share for the 30-day period by the maximum offering price per share at the end of the period and annualizing the result. Treasury Inflation-Protected Securities (TIPS) are designed to provide protection against inflation through monthly adjustments to the principal value of TIPS, which increases with inflation and decreases with deflation as measured by the Consumer Price Index. Monthly principal adjustments for inflation (increases and decreases) are excluded from the 30-day SEC yield calculation. Such adjustments can vary substantially from one month to the next, and if they were included, may materially impact the 30-day SEC yield either higher or lower. A subsidized 30-day SEC yield reflects the effect of fee waivers and expense reimbursements. The SEC yield is not based upon distributions of the fund and actual income distributions may be higher or lower than the 30-day SEC yield amounts. During periods of unusual market conditions and/or activity in the sales or redemptions of fund shares, the fund’s 30-day SEC yield amounts may be materially higher or lower than its actual income distributions. Unsubsidized 30-day SEC yield is calculated using the gross expenses of the fund. Gross expenses do not include any fee waivers or reimbursement.

3Associate Portfolio Managers do not have discretion over the strategy.

Important Disclosures

Investing involves risk, including possible loss of principal. 

There is no guarantee that the investment objective will be realized or that the fund will generate positive or excess return.

Portfolio composition statistics are from the adviser’s internal system and may not match the fund’s regulatory documents.

Credit Quality reflects the highest credit rating assigned to individual holdings of the fund among Moody’s, S&P or Fitch; ratings are subject to change. The fund’s shares are not rated by any rating agency and no credit rating for fund shares is implied. Bond credit ratings are measured on a scale that generally ranges from AAA (highest) to D (lowest).

Cash & Equivalents reflects unsettled trades, fees and/or derivatives. Due to rounding, Sector, Currency, Country, Duration, Maturity and Quality distribution totals may not equal 100%. Both duration and maturity for equity securities are deemed to be zero. Top 10 holdings may not be representative of current or future holdings and will evolve over time.

The Bloomberg US Aggregate Bond Index represents securities that are SEC-registered, taxable, and dollar denominated. The index covers the US investment grade fixed rate bond market, with index components for government and corporate securities, mortgage pass-through securities, and asset-backed securities. These major sectors are subdivided into more specific indices that are calculated and reported on a regular basis. Indexes are unmanaged. It is not possible to invest directly in an index.

Lipper Analytical Services Inc., a Thomson Reuters Company, is a nationally recognized organization that provides performance information for mutual funds. Copyright 2025 © Reuters. All rights reserved. Any copying, republication or redistribution of Lipper content is expressly prohibited without the prior written consent of Lipper. Lipper shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

© 2025 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers (2) may not be copied or distributed and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. 

Class N shares of the Fund are subject to a $1,000,000 initial investment minimum. There is no initial investment minimum for Certain Retirement Plans and funds of funds that are distributed by Natixis Distribution, LLC (the “Distributor”).

Before investing, consider the fund’s investment objectives, risks, charges, and expenses. You may obtain a prospectus or a summary prospectus containing this and other information on this website. Read it carefully.

Natixis Distribution, LLC (fund distributor, member FINRA|SIPC) and Loomis, Sayles & Company, L.P. are affiliated.

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