Columbia Capital Allocation Moderate Aggressive Portfolio Service Class (NBGDX)

Overview

The fund is designed as a "fund of funds," aiming to fulfill its investment objectives by predominantly investing in a variety of underlying funds. These underlying funds are either directly managed by the Investment Manager or an affiliate, or for which they serve as the principal underwriter. This structure allows the fund to leverage the expertise of its Investment Manager in selecting funds that align with its investment strategies. In addition to its primary strategy of investing in affiliated funds, the fund also retains the flexibility to allocate up to 20% of its net assets to other investment opportunities. These include unaffiliated funds advised by third parties, exchange-traded funds (ETFs), equity securities, fixed income securities, and derivative instruments. This diversified approach aims to balance the fund's investment portfolio, spreading risk and seeking potential returns from a variety of sources.

Products and Services

• Investment in Underlying Funds

  The core of the fund's investment strategy focuses on a diversified portfolio of underlying funds. These funds are carefully selected by the Investment Manager or an affiliate, who utilize their expertise in seeking to optimize the balance between risk and return. This approach allows investors in the fund to gain exposure to a wide range of asset classes and investment strategies through a single investment.

• Investment in Unaffiliated Funds

  Up to 20% of the fund's net assets may be invested in funds not affiliated with the Investment Manager, including third-party advised funds and ETFs. This element of the fund's strategy enhances its diversification, potentially accessing unique opportunities and investment styles not available within the Investment Manager's existing portfolio of underlying funds.

• Equity Securities

  Part of the fund's diversified investment strategy includes allocations to equity securities. This comprises investments in stocks or similar holdings which represent ownership in a company. Equity investments offer the potential for capital appreciation, making them a key component of the fund’s growth strategy.

• Fixed Income Securities

  The fund may also allocate assets to fixed income securities. These investments, such as bonds, provide regular income payments and are generally considered lower risk compared to equities. Fixed income securities can help stabilize the fund’s performance, offering a balance between growth and income.

• Derivative Instruments

  As part of its comprehensive investment strategy, the fund may engage in transactions involving derivative instruments. Derivatives are financial contracts whose value is derived from the performance of an underlying asset, index, or rate. They can be used for hedging risk or for speculative purposes, providing the fund with additional tools to manage its investment portfolio effectively.