Senior Floating Rate and Fixed Income Fund
2/3/2020 Effective immediately, Heather Young has been added to the portfolio management team of the Fund. Please refer to the prospectus for more details.
Y shares are only available to certain institutional investors. Please click here for other share classes.
The Senior Floating Rate and Fixed Income Fund seeks to provide a high level of current income
Primary Benchmark:
S&P/ LSTA Leveraged Loan Index
Portfolio Management
John Bell
Michael Klawitter, CFA
Heather Young, CFA
Total Fund Assets (as of 5/31/2020):
$1.3 billion
Lipper Category:
Loan Participation Funds
Morningstar Category:
Bank Loan
Strategy Highlights
- Portfolio selection is based on value driven, opportunistic approach to investing in senior secured floating rate loans and other fixed income securities
- Allocations to out of benchmark securities for offensive and defensive purposes
- Macro-guided portfolio construction
- Long term investment horizon
- Draws on Loomis Sayles’s deep fundamental credit research capabilities and experience
Investment Strategy
- Will invest at least 65% in floating rate loans
- May invest up to 35% of assets in other fixed income securities
- May invest up to 20% of assets in non-US issuers, including 10% in emerging market debt securities
- The Fund may use leverage through borrowing up to 33.33% of the Fund’s total assets after such borrowing
About Risk
- Floating-rate loans are often lower-quality debt securities and may involve greater risk of price changes and greater risk of default on interest and principal payments. The market for floating-rate loans is largely unregulated and these assets usually do not trade on an organized exchange. As a result, floating-rate loans can be relatively illiquid and hard to value.
- 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.
- Below investment grade fixed income securities may be subject to greater risks (including the risk of default) than other fixed income securities.
- Leverage can increase market exposure and magnify investment risk.
- 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.
- Non-diversified funds invest a greater portion of assets in fewer securities and therefore may be more vulnerable to adverse changes in the market.
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, L.P. (the “Distributor”).
1 As of the most recent prospectus, the investment advisor has contractually agreed to waive fees and/or reimburse expenses once the expense cap of the fund has been exceeded. This arrangement is set to expire on 3/31/21. When an expense cap 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. 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. Unsubsidized 30-day SEC yield is calculated using the gross expenses of the fund. Gross expenses do not include any fee waivers or reimbursement.
The S&P/LSTA Leveraged Loan Index reflects the market-weighted performance of institutional leveraged loans based upon real-time market weightings, spreads and interest payments. Indexes are unmanaged and do not incur fees. It is not possible to invest directly in an index.
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Primary Benchmark:
S&P/ LSTA Leveraged Loan Index
Year-to-Date Performance as of 6/5/2020 Month-End Performance as of 5/31/2020 Cumulative
Total Return | Class N | Class Y |
|---|
| 3 month | -8.11% | -8.12% | | Year-to-date | -9.03% | -9.05% |
Average Annualized
Total Return | Class N | Class Y |
|---|
| Inception Date | 3/31/2017 | 9/30/2011 | | 1 Year | -7.75% | -7.80% | | 3 Years | -0.28% | -0.36% | | 5 Years | N/A | 1.50% | | Since Inception | -0.01% | 4.10% |
Quarter-End Performance as of 3/31/2020 Cumulative
Total Return | Class N | Class Y |
|---|
| 3 month | -16.31% | -16.32% | | Year-to-date | -16.31% | -16.32% |
Average Annualized
Total Return | Class N | Class Y |
|---|
| Inception Date | 3/31/2017 | 9/30/2011 | | 1 Year | -14.18% | -14.13% | | 3 Years | -2.76% | -2.81% | | 5 Years | N/A | 0.09% | | Since Inception | -2.76% | 3.17% |
|
Lipper Ranking as of 5/31/2020 | | Class N | Class Y |
|---|
| 1 Year | 214/250 | 216/250 | | 3 Years | 178/224 | 183/224 | | 5 Years | N/A | 118/196 | | 10 Years | N/A | N/A | | Lipper Category: Loan Participation Funds |
Morningstar Ranking as of 5/31/2020 | | Class N | Class Y |
|---|
| 1 Year | 213/247 | 215/247 | | 3 Years | 180/225 | 185/225 | | 5 Years | N/A | 120/199 | | 10 Years | N/A | N/A | | Morningstar Category: Bank Loan |
Lipper and Morningstar 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.
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Performance data shown represents past performance and is no guarantee of, and not necessarily indicative 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.
Lipper Analytical Services Inc., a Thomson Reuters Company, is a nationally recognized organization that provides performance information for mutual funds. Copyright 2020 © 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.
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Monthly as of 5/31/2020
| Characteristics | |
|---|
| Number of Issues | 230 | | Average Maturity | 4.42 | | Weighted Average Duration | 0.34 | | Annual Turnover (11/30/2019) | 52% |
| Currency Distribution | |
|---|
| US Dollar | 100.0% | | Duration Distribution | |
|---|
| Less than 1 Yr. | 87.9% | | 1 to 3 Yrs. | 4.3% | | 3 to 5 Yrs. | 3.5% | | 5 to 7 Yrs. | 0.6% | | Cash & Equivalents | 3.5% |
|
| Sector Distribution (Fixed) * | |
|---|
| 0.0% | | Country Distribution | |
|---|
| United States | 93.7% | | United Kingdom | 1.8% | | Australia | 0.8% | | United Arab Emirates | 0.6% | | Colombia | 0.5% | | Spain | 0.5% | | Germany | 0.5% | | Canada | 0.4% | | Netherlands | 0.4% | | Other | 0.7% | | Maturity Distribution | |
|---|
| Less than 1 Yr. | 1.2% | | 1 to 3 Yrs. | 12.9% | | 3 to 5 Yrs. | 39.7% | | 5 to 7 Yrs. | 42.5% | | 7 to 10 Yrs. | 0.1% | | Cash & Equivalents | 3.5% | | Credit Quality | |
|---|
| US Treasurys | 0.0% | | AAA | 0.0% | | AA | 0.0% | | A | 0.0% | | BAA | 0.3% | | BA | 20.9% | | B | 62.9% | | CAA & Lower | 11.7% | | Not Rated | 0.7% | | Cash & Equivalents | 3.5% | |
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 derivatives. Negative Cash & Equivalents reflect the market value of future trade commitments for the fund. ABS/RMBS: Asset-Backed Securities/Residential Mortgage-Backed Securities. Agency MBS: Agency Mortgage-Backed Securities. CMBS: Commercial Mortgage-Backed Securities.
Due to rounding, Sector, Currency, Country, Duration, Maturity and Quality distribution totals may not equal 100%.
Quarterly as of 3/31/2020
| Characteristics | Fund | Index |
|---|
| Number of Issues | 218 | 1 | | Average Maturity | 4.16 | 0 | | Weighted Average Duration | .21 | .25 | | Annual Turnover (11/30/2019) | 52% | |
| Currency Distribution | Fund | Index |
|---|
| US Dollar | 100.0% | 100.0% | | Duration Distribution | Fund | Index |
|---|
| Less than 1 Yr. | 82.3% | 100.0% | | 1 to 3 Yrs. | 2.3% | 0.0% | | 3 to 5 Yrs. | 1.3% | 0.0% | | 5 to 7 Yrs. | 0.5% | 0.0% | | Cash & Equivalents | 13.3% | 0.0% |
|
| Sector Distribution (Fixed) * | Fund | Index |
|---|
| 0.0% | 0.0% | | 0.0% | 0.0% | | Country Distribution | Fund | Index |
|---|
| United States | 93.0% | 100.0% | | United Kingdom | 2.0% | 0.0% | | Australia | 1.0% | 0.0% | | Canada | 0.8% | 0.0% | | Spain | 0.6% | 0.0% | | Colombia | 0.6% | 0.0% | | Belgium | 0.5% | 0.0% | | United Arab Emirates | 0.5% | 0.0% | | Netherlands | 0.4% | 0.0% | | Other | 0.6% | 0.0% | | Maturity Distribution | Fund | Index |
|---|
| Less than 1 Yr. | 0.4% | 0.0% | | 1 to 3 Yrs. | 9.1% | 0.0% | | 3 to 5 Yrs. | 31.4% | 0.0% | | 5 to 7 Yrs. | 44.4% | 0.0% | | 7 to 10 Yrs. | 1.1% | 0.0% | | Cash & Equivalents | 13.3% | 0.0% | | Credit Quality | Fund | Index |
|---|
| US Treasurys | 0.0% | 0.0% | | AAA | 0.0% | 0.0% | | AA | 0.0% | 0.0% | | A | 0.0% | 0.0% | | BAA | 0.5% | 0.0% | | BA | 20.3% | 0.0% | | B | 55.0% | 100.0% | | CAA & Lower | 9.8% | 0.0% | | Not Rated | 1.0% | 0.0% | | Cash & Equivalents | 13.3% | 0.0% |
|
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 derivatives. Negative Cash & Equivalents reflect the market value of future trade commitments for the fund. ABS/RMBS: Asset-Backed Securities/Residential Mortgage-Backed Securities. Agency MBS: Agency Mortgage-Backed Securities. CMBS: Commercial Mortgage-Backed Securities.
Due to rounding, Sector, Currency, Country, Duration, Maturity and Quality distribution totals may not equal 100%.