Calvert Short Duration Income Fund Class A (CSDAX)

Overview

The company in focus operates as a specialized investment fund, focusing primarily on the realm of debt securities. At its core, the fund is designed to allocate a significant portion of its assets towards investment-grade, U.S. dollar-denominated debt securities. These securities are deemed to be of a higher quality, as assessed at the time of purchase, indicating a lower risk of default. In seeking to diversify its investment portfolio, the fund also engages in investing a smaller portion of its assets in below-investment-grade, high-yield debt instruments, commonly referred to as "junk bonds". These instruments typically offer higher yields in return for a higher risk of default. Additionally, the fund extends its investment portfolio to include foreign debt securities, providing a broader geographical investment exposure. This strategy aims to achieve a balanced return on investment by combining the security of investment-grade debt with the potential high returns of high-yield and foreign debt securities.

Products and Services

• Investment Grade Debt Securities:

  A significant part of the fund's portfolio is dedicated to investment grade, U.S. dollar-denominated debt securities. These securities are evaluated for their credit quality at the time of purchase and are considered to have a relatively low risk of default. Investing in these instruments allows the fund to maintain a solid foundation of stability and reliability within its investment portfolio.

• High-Yield Debt Instruments:

  Up to 35% of the fund's net assets may be invested in below-investment-grade, high-yield debt instruments, also known as "junk bonds." These bonds offer higher yields compared to investment-grade bonds but come with a higher risk of default. The fund also considers investing in distressed instruments that are in default, which can potentially offer significant returns if the default is successfully resolved.

• Foreign Debt Securities:

  The fund allocates up to 25% of its net assets in foreign debt securities, diversifying its investments beyond U.S. markets. This segment includes securities issued by various governments and corporate entities outside of the United States. Investing in foreign debt allows the fund to take advantage of potentially higher yields found in other markets while also spreading its risk across different geographies and economic environments.