RBC BlueBay Strategic Income Fund Class A (RBIAX)

Overview

The company operates a diversified investment fund that focuses on fixed income securities. With a broad investment mandate, the fund seeks to generate returns through a mix of bonds, municipal securities, mortgage-related and asset-backed securities as well as obligations of both U.S. and foreign governments and their agencies. Primary investments are made in U.S. domestic investment grade bonds, offering a foundation of stability and reliable returns. However, the fund is not limited to these securities and possesses the flexibility to invest across various sectors, including non-U.S. and non-investment grade securities, to pursue opportunities for enhanced returns and diversification.

Products and Services

• Bonds

Involves investing in bonds issued by corporations and governments, aiming to provide steady income through interest payments. Bonds serve as a core component of the fund's investment strategy, offering a blend of risk and return that caters to conservative investors seeking regular income and preservation of capital.

• Municipal Securities

Focused on investing in securities issued by municipalities, these investments are sought for their tax-exempt status, making them attractive to investors in higher tax brackets. Municipal securities contribute to the fund’s income while offering a degree of safety and contributing to portfolio diversification.

• Mortgage-Related and Asset-Backed Securities

The fund invests in securities backed by pools of mortgages or other assets. These investments can offer higher yields compared to other fixed income securities, albeit with a potentially higher risk. The fund's investment in these securities is guided by a rigorous analysis of underlying assets and market conditions.

• U.S. and Foreign Government Obligations

Includes securities issued by the U.S. government and its agencies, as well as obligations issued by foreign governments. These investments are typically sought for their safety and are an essential part of a diversified fixed-income portfolio. Investing in foreign government securities also offers currency and geopolitical diversification.

• Investment Grade Bonds

The fund primarily invests in bonds rated as investment grade, denoting a low risk of default. These securities provide a stable income stream and are a cornerstone of the fund's investment approach, catering to investors seeking lower-risk fixed-income assets.

• Non-U.S. and Non-Investment Grade Securities

This component allows the fund to invest flexibly across various sectors and geographies, including high yield (or “junk”) bonds that offer higher income potential at the expense of higher risk. This flexibility enables the fund to take advantage of global investment opportunities and manage risk through diversification.