AlphaCentric Real Income Fund Class I (SIIIX)

Overview

The fund, dedicated to achieving its investment objective, primarily allocates its assets across various interest-bearing fixed income securities. This includes a broad spectrum of investment vehicles such as convertible bonds and dividend-paying equity securities, underlining its focus on generating returns through a mix of income-generating instruments. In addition to traditional securities, the fund ventures into more specialized financial instruments like collateralized debt obligations (CDOs), collateralized loan obligations (CLOs), and the senior and subordinate debt and equity securities of companies outside the real estate and mortgage sectors. Notably, the fund operates with a non-diversified status, which may involve a greater concentration of investments in specific assets, potentially leading to higher risk and reward scenarios.

Products and Services

• Interest-Bearing Fixed Income Securities

Including convertible bonds, this category forms the core of the fund's investment strategy, focusing on instruments that provide regular interest income. This approach is designed for investors seeking steady returns from their investments through bonds and other fixed income vehicles.

• Dividend Paying Equity Securities

The fund also invests in equity securities that pay dividends, aiming to benefit from the growth potential of stocks while receiving periodic income. This balances growth and income, appealing to investors looking for both capital appreciation and dividends.

• Collateralized Debt Obligations (CDOs) and Collateralized Loan Obligations (CLOs)

By including senior and subordinate CDOs and CLOs in its portfolio, the fund diversifies into structured finance instruments. These investments offer exposure to pools of loans and debt, potentially enhancing yield and diversification but also carrying higher risks related to credit and market fluctuations.

• Senior and Subordinate Debt Securities and Equity Securities of Non-Real Estate Businesses

Expanding beyond traditional sectors, the fund invests in the senior and subordinate debt and equity securities of businesses not related to real estate or mortgages. This strategy seeks to tap into the growth and income potential of a wider array of industries, offering a diversified investment approach beyond the conventional focus areas.