Boyd Watterson Limited Duration Enhanced Income Fund - Class I2 (BWDTX)

Overview

The fund focuses on maximizing returns through a diversified portfolio concentrating on both domestic and U.S. dollar-denominated foreign income-producing securities. It aims to cater to investors seeking a broad exposure to income-generating assets, spanning across various categories, including both high yield (below investment-grade) and investment grade fixed income securities, as well as more complex instruments that merge debt and equity features. The fund's strategy encompasses a dynamic approach towards asset allocation, seeking to optimize income while considering the potential for capital appreciation and risk management.

Products and Services

• Investment Grade and Below Investment-Grade Fixed Income Securities

  A core component of the fund's portfolio, this category includes bonds and other debt instruments rated across the spectrum from high credit quality to below investment grade. These instruments offer a range of yield opportunities correlating with their risk levels, aiming to contribute to the fund's income generation and risk diversification objectives.

• Asset-Backed Securities (ABS)

  The fund invests in securities backed by financial assets, such as loans, leases, credit card debt, and receivables. ABS can provide regular income and diversification benefits, along with a structured approach to credit risk.

• Hybrid Corporate Securities

  This category includes securities such as preferred stocks that embody characteristics of both equity and debt instruments. Hybrid securities might offer higher yields than traditional fixed income securities and can serve as a tool for diversification and potential enhancement of portfolio yields.

• Bank Loans

  Senior secured floating rate bank loans provide an interest income that adjusts with market rates, offering an attractive option in rising interest rate environments. These loans are generally secured against the company's assets, potentially offering some degree of protection against default.

• U.S. Government Securities

  As part of its strategy to maintain a diversified and risk-adjusted portfolio, the fund includes U.S. government securities. These securities provide a stable source of income and are considered low risk, backed by the full faith and credit of the U.S. government.

• Equity Securities

  The inclusion of equity securities adds the potential for capital appreciation to the fund's income generation goals. While equities present a higher risk compared to fixed income securities, they offer growth opportunities and diversification benefits to the investment portfolio.