Loomis Sayles Investment Grade Bond Fund Class Y (LSIIX)

Overview

The described fund is primarily focused on investing in a diverse range of fixed-income securities with an emphasis on maintaining a high percentage of investment-grade assets. By committing at least 80% of its net assets, along with any funds borrowed for investment purposes, to investment-grade fixed-income securities, the fund aims to secure stable returns while managing risk. However, to potentially enhance returns, the fund allows for investments of up to 15% in below investment grade fixed-income securities, commonly referred to as "junk bonds". The fund's strategy includes the flexibility to invest in fixed-income securities of any maturity, thus providing a broad spectrum of investment opportunities within the fixed-income market. Additionally, the fund is open to international investments, with the possibility of allocating up to 30% of its assets in U.S. dollar-denominated foreign securities, including those from emerging markets, thereby diversifying its investment portfolio and risk exposure further.

Products and Services

The fund offers a range of investment products and services tailored to meet the needs of diverse clients looking for fixed-income investment opportunities. Below are key aspects of its offerings:

• Investment Grade Fixed-Income Securities: The cornerstone of the fund's investment strategy, focusing on securities that are rated as being of high credit quality by rating agencies. This focus aims to provide investors with a stable income stream, while minimizing the potential risk of default.
• Below Investment Grade Fixed-Income Securities (Junk Bonds): Up to 15% of the fund's assets may be invested in these higher yield, higher risk securities. This component is aimed at investors seeking higher income potential, albeit with an increased risk profile.
• Flexible Maturity Investments: Unlike some fixed-income funds that target securities within a specific maturity range, this fund invests across a broad spectrum of maturities. This flexibility allows for strategic adjustments based on changing market conditions and interest rate environments.
• U.S. Dollar-Denominated Foreign Securities: With an allowance for up to 30% investment in foreign securities, the fund seeks to capitalize on global fixed-income opportunities. This includes investments in both developed and emerging markets, offering potential for geographic diversification and exposure to various economic conditions.