Natixis Loomis Sayles Short Duration Income ETF
The Natixis Loomis Sayles Short Duration Income ETF seeks current income consistent with preservation of capital to pursue higher yield potential in short duration yield securities
Primary Benchmark:
Bloomberg Barclays US Government/Credit 1-3 Year Index
Portfolio Management
Chris Harms
Cliff Rowe, CFA
Kurt Wagner, CFA, CIC
Total Fund Assets (as of 8/31/2019):
$30.4 million
Strategy Highlights
- Dynamic, active approach to sector allocation and security selection
- Individual investment ideas are evaluated on the basis of their investment return potential and contribution to portfolio risk
- Top-down macroeconomic analysis combined with bottom-up security selection drives portfolio construction
Investment Strategy
- Securities rated below investment grade are limited to 15% of the portfolio at the time of purchase
- Duration is managed within a narrow range to the benchmark
- All investments must be US dollar denominated
About Risk
- The fund is new with a limited operating history.
- Exchange-Traded Funds (ETFs) trade like stocks, are subject to investment risk, and will fluctuate in market value. Unlike mutual funds, ETF shares are not individually redeemable directly with the fund and are bought and sold at market price, which may be higher or lower than the ETF's net asset value (NAV). Transactions in shares of ETFs will result in brokerage commissions, which will reduce returns.
- Unlike typical exchange-traded funds, there are no indexes that the fund attempts to track or replicate. Thus, the ability of the fund to achieve its objectives will depend on the effectiveness of the portfolio manager. There is no assurance that the investment process will consistently lead to successful investing.
- 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.
- 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 U.S. securities, due to varying degrees of regulation and limited liquidity. These risks are magnified in emerging markets.
- Interest rate risk is a major risk to all bondholders. As rates rise, existing bonds that offer a lower rate of return decline in value because newly issued bonds that pay higher rates are more attractive to investors.
There is no guarantee that the investment objective will be realized or that the strategy will generate positive or excess returns. Diversification does not ensure a profit or guarantee against a loss. Any investment that has the possibility for profits also has the possibility of losses.
1 This arrangement is set to expire on 4/30/21. When an expense limit has not been exceeded, the fund may have similar expense ratios and/or yields. Net Expense Ratio refers to the limitation on expenses exclusive of brokerage expenses, interest expense, taxes, acquired fund fees and expenses, organizational and extraordinary expenses, such as litigation and information expenses and will expire as indicated.
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Primary Benchmark: Bloomberg Barclays US Government/Credit 1-3 Year Index
Year-to-Date Performance as of 9/19/2019 | | At-Market Value | Net Asset Value |
|---|
| | 4.44% | 4.44% |
Month-End Performance as of 8/31/2019 Cumulative
Total Return | At-Market Value | Net Asset Value |
|---|
| 3 month | 1.62% | 1.62% | | Year-to-date | 4.65% | 4.65% |
Average Annualized
Total Return | At-Market Value | Net Asset Value |
|---|
| Inception Date | 12/27/2017 | | 1 Year | 5.14% | 5.14% | | Since Inception | 3.38% | 3.38% |
Quarter-End Performance as of 6/30/2019 Cumulative
Total Return | At-Market Value | Net Asset Value |
|---|
| 3 month | 1.64% | 1.68% | | Year-to-date | 3.80% | 3.84% |
Average Annualized
Total Return | At-Market Value | Net Asset Value |
|---|
| Inception Date | 12/27/2017 | | 1 Year | 4.98% | 4.90% | | Since Inception | 3.22% | 3.24% |
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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.
Market returns are based upon the midpoint of the bid/ask spread at 4:00 p.m. Eastern time, when the NAV is normally calculated for most ETFs. Your returns may differ if you traded shares at other times.
Monthly as of 8/31/2019
| Characteristics | |
|---|
| Number of Issues | 316 | | Average Maturity | 2.07 | | Weighted Average Duration | 1.81 |
| Currency Distribution | |
|---|
| US Dollar | 100.0% | | Duration Distribution | |
|---|
| Less than 1 Yr. | 20.1% | | 1 to 3 Yrs. | 69.1% | | 3 to 5 Yrs. | 11.1% | | 5 to 7 Yrs. | -4.2% | | 7 to 10 Yrs. | 1.9% | | Cash & Equivalents | 2.0% |
|
| Sector Distribution | |
|---|
| Investment Grade Credit | 65.5% | | ABS/RMBS | 14.8% | | US Treasury | 9.3% | | Agency MBS | 4.9% | | High Yield Credit | 2.8% | | CMBS | 0.7% | | Cash & Equivalents | 2.0% | | Country Distribution | |
|---|
| United States | 87.7% | | Canada | 3.1% | | United Kingdom | 2.7% | | Germany | 2.5% | | Ireland | 1.0% | | Australia | 0.9% | | France | 0.7% | | Japan | 0.6% | | Luxembourg | 0.4% | | Other | 0.5% | | Maturity Distribution | |
|---|
| Less than 1 Yr. | 13.3% | | 1 to 3 Yrs. | 73.6% | | 3 to 5 Yrs. | 12.1% | | 5 to 7 Yrs. | -3.9% | | 7 to 10 Yrs. | 2.9% | | 10 Yrs. or more | 0.0% | | Cash & Equivalents | 2.0% | | Credit Quality | |
|---|
| US Treasurys | 9.3% | | AAA | 18.3% | | AA | 13.2% | | A | 26.0% | | BAA | 28.3% | | BA | 2.7% | | B | 0.1% | | CAA & Lower | 0.0% | | Not Rated | 0.0% | | Cash & Equivalents | 2.0% | |
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%.
The portfolio is actively managed and holdings are subject to change. There is no guarantee the Fund continues to invest in the securities referenced. Credit Quality is ranked highest to lowest.
Quarterly as of 6/30/2019
| Characteristics | Fund | Index |
|---|
| Number of Issues | 296 | 1622 | | Average Maturity | 2.07 | 1.89 | | Weighted Average Duration | 1.77 | 1.82 |
| Currency Distribution | Fund | Index |
|---|
| US Dollar | 100.0% | 100.0% | | Duration Distribution | Fund | Index |
|---|
| Less than 1 Yr. | 21.2% | 5.4% | | 1 to 3 Yrs. | 71.0% | 94.6% | | 3 to 5 Yrs. | 9.1% | 0.0% | | 5 to 7 Yrs. | -4.0% | 0.0% | | 7 to 10 Yrs. | 1.4% | 0.0% | | Cash & Equivalents | 1.2% | 0.0% |
|
| Sector Distribution | Fund | Index |
|---|
| Investment Grade Credit | 63.2% | 30.9% | | ABS/RMBS | 15.6% | 0.0% | | US Treasury | 9.6% | 65.7% | | Agency MBS | 6.1% | 0.0% | | High Yield Credit | 3.5% | 0.0% | | CMBS | 0.7% | 0.0% | | US Agency | 0.0% | 3.3% | | Municipals | 0.0% | 0.1% | | Cash & Equivalents | 1.2% | 0.0% | | Country Distribution | Fund | Index |
|---|
| United States | 89.9% | 88.0% | | Canada | 3.2% | 1.7% | | United Kingdom | 2.4% | 1.3% | | Germany | 1.4% | 1.6% | | Australia | 1.0% | 0.5% | | Japan | 0.6% | 0.7% | | Ireland | 0.5% | 0.1% | | France | 0.5% | 0.3% | | Mexico | 0.2% | 0.3% | | Other | 0.3% | 5.5% | | Maturity Distribution | Fund | Index |
|---|
| Less than 1 Yr. | 13.2% | 4.6% | | 1 to 3 Yrs. | 75.1% | 95.4% | | 3 to 5 Yrs. | 11.2% | 0.0% | | 5 to 7 Yrs. | -3.2% | 0.0% | | 7 to 10 Yrs. | 2.5% | 0.0% | | Cash & Equivalents | 1.2% | 0.0% | | Credit Quality | Fund | Index |
|---|
| US Treasurys | 9.6% | 65.7% | | AAA | 19.2% | 8.7% | | AA | 13.2% | 7.3% | | A | 25.6% | 10.8% | | BAA | 28.0% | 7.6% | | BA | 3.0% | 0.0% | | B | 0.1% | 0.0% | | CAA & Lower | 0.0% | 0.0% | | Not Rated | 0.0% | 0.0% | | Cash & Equivalents | 1.2% | 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%.
The portfolio is actively managed and holdings are subject to change. There is no guarantee the Fund continues to invest in the securities referenced. Credit Quality is ranked highest to lowest.