Destinations Global Fixed Income Opportunities Fund - Class Z (DGFZX)

Overview

The fund is a comprehensive investment vehicle that focuses on diversifying its portfolio across a broad spectrum of fixed income securities. Its strategy emphasizes investing a significant portion of its assets in a mix of both investment grade and non-investment grade debt instruments, including preferred stock, convertible bonds, bank loans, high yield bonds, and municipal bonds. Additionally, the fund uniquely incorporates Special Purpose Acquisition Companies (SPACs) into its portfolio. A key aspect of the fund's investment approach is its commitment to investing globally. It aims to allocate at least 40% of its assets in companies that have a significant economic tie to at least three countries outside of the United States, ensuring a wide geographical coverage and exposure to various global market dynamics.

Products and Services

• Investment Grade and Non-Investment Grade Debt
  

  This portion of the fund's portfolio includes a variety of bonds and other debt instruments that are rated both above and below investment grade. By balancing higher quality, lower-yield investments with higher yield, potentially higher-risk ones, the fund seeks to optimize returns while managing risk.

• Preferred Stock
  

  Preferred stock represents a class of ownership in a corporation that has a higher claim on its assets and earnings than common stock. Invests in preferred stocks to potentially benefit from fixed dividends and priority over common stock in asset liquidation.

• Convertible Bonds
  

  Convertible bonds are unique in that they can be converted into a predetermined number of the company's shares, typically at the discretion of the bondholder. This allows the fund to benefit from the fixed-income characteristics of bonds while having the option to participate in the equity upside.

• Bank Loans
  

  By investing in bank loans, usually syndicated loans offered to corporations, the fund takes advantage of senior debt that often has floating interest rates, which can be an effective hedge against inflation.

• High Yield Bonds
  

  Also known as "junk" bonds, these high-risk, high-reward investments have lower credit ratings but offer higher interest rates to compensate for the increased risk. The fund incorporates high yield bonds to pursue enhanced returns.

• Municipal Bonds
  

  These bonds are issued by states, cities, or other governmental entities below the federal level. Municipal bonds offer tax-advantaged interest income, with the fund investing in these to potentially benefit from these tax efficiencies.

• SPACs (Special Purpose Acquisition Companies)
  

  SPACs are companies formed strictly to raise capital through an IPO to buy another company. By investing in SPACs, the fund participates in unique opportunities, typically in the pre-merger phase, aiming to capitalize on potential growth.