For Financial Professionals in the US

HFAIX Developed World Bond Fund

Investing across a wide range of fixed income securities, the Fund seeks income and total return while actively managing duration and credit exposure

NAV
$9.99
As of 09/27/2021

1-Day Change
-$0.01 (-0.10%)
As of 09/27/2021

YTD Return
0.52%
As of 09/27/2021

Morningstar Rating

As of 08/31/2021

Morningstar Analyst Rating
Morningstar Analyst Rating				Silver
As of 08/31/2021

Overview

Quarterly Update

Watch the investment team recap this quarter.

ABOUT THIS FUND

A world bond fund focusing on developed markets that seeks total return through current income and capital appreciation. The Fund makes strategic asset allocation decisions between countries, fixed income asset classes, sectors and credit ratings.

WHY INVEST IN THIS FUND

Active Asset Allocation Approach
We believe asset allocation is the primary driver of returns. Specifically, we actively manage the Fund’s duration position and credit exposure based on where we believe we are in the economic cycle.

Designed for Attractive Total Return
The Fund’s flexibility allows it to source return from a wide range of global fixed income securities. In addition, we favor sensible income from large, non-cyclical businesses that are likely to continue paying their coupons in the years to come.

Aims to Exploit Opportunities
We believe divergent central bank policy has created an opportunity for us to exploit market inefficiencies. The portfolio seeks to take advantage of these opportunities across developed markets and to avoid currency bets.

PORTFOLIO MANAGEMENT

Jenna Barnard, CFA

Co-Head of Strategic Fixed Income | Portfolio Manager

Industry since 2001. Joined Firm in 2002.

John Pattullo

Co-Head of Strategic Fixed Income | Portfolio Manager

Industry since 1993. Joined Firm in 1997.

Performance

CALENDAR YEAR RETURNS (%)
Developed World Bond Fund - Class I Shares Bloomberg Barclays Global Aggregate Credit Index (USD Hedged)
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Developed World Bond Fund - Class I Shares 0.12 14.06 4.17 5.79 2.07 6.20 5.93 0.74 9.68 9.46
Bloomberg Barclays Global Aggregate Credit Index (USD Hedged) 5.07 10.35 -0.43 7.49 -0.13 5.69 5.36 -0.47 11.85 7.78

MORNINGSTAR PERCENTILE

(As Of 06/30/2021)
1 YR 3 YR 5 YR 10 YR SINCE INCEPTION
Percentile Ranking 16 9 1 2 4
World Bond-USD Hedged Category|Rank/Count 19/121 12/100 2/77 2/52 4/49
(As Of 08/31/2021)
1 YR 3 YR 5 YR 10 YR SINCE INCEPTION
Percentile Ranking 10 14 3 1 3
World Bond-USD Hedged Category|Rank/Count 12/131 15/110 4/93 1/62 3/50
GROWTH OF A HYPOTHETICAL INVESTMENT

RETURNS-BASED STATISTICS (As of 08/31/2021 Class I Shares)

RISK / REWARD
VS. Bloomberg Barclays Global Aggregate Credit Index Net (USD Hedged)
3YR 5YR
Information Ratio 0.21 0.52
Alpha 1.16 1.34
Tracking Error 1.55 1.40
Beta 0.86 0.85
R-squared (%) 92.57 91.23
UP/DOWN MARKET CAPTURE (%)
VS. Bloomberg Barclays Global Aggregate Credit Index Net (USD Hedged)
3YR 5YR
Up Capture Ratio 92.21 94.13
Down Capture Ratio 73.57 68.11
STANDARD DEVIATION 3YR 5YR
Developed World Bond Fund 4.96 4.09
Bloomberg Barclays Global Aggregate Credit Index Net (USD Hedged) 5.53 4.60
SHARPE RATIO 3YR 5YR
Developed World Bond Fund 1.12 0.95
Bloomberg Barclays Global Aggregate Credit Index Net (USD Hedged) 0.95 0.69
ANNUAL FEES & EXPENSES (As of Fiscal Year End, 06/30/20)
CLASS I SHARES
Management Fees 0.53%
Other Expenses 0.16%
Total Gross Expenses 0.69%
Waivers -0.11%
Total Net Expenses 0.58%

Portfolio

Index represents the Bloomberg Barclays Global Aggregate Credit Index (USD Hedged).

Top Holdings (As of 08/31/2021)
% of Fund
United States Treasury Note/Bond, 0.50%, 02/28/26 4.39
Australia Government Bond, 0.25%, 11/21/24 2.88
Bundesrepublik Deutschland Bundesanleihe, 0.00%, 02/15/30 2.17
Canadian Government Bond, 0.50%, 12/01/30 2.12
Canadian Government Bond, 0.25%, 03/01/26 2.03
Canadian Government Bond, 1.75%, 03/01/23 1.99
Australia Government Bond, 3.25%, 04/21/29 1.76
United Kingdom Gilt, 0.50%, 07/22/22 1.71
Australia Government Bond, 2.75%, 04/21/24 1.58
New Zealand Government Bond, 0.50%, 05/15/26 1.52
Total 22.15
View Full Holdings
Portfolio Characteristics (As of 08/31/2021)
 
Number of Holdings
Debt Issues
291
Portfolio Turnover Rate
(1-year trailing)
36.48%
Weighted Average Maturity
(years)
6.79
Effective Duration
(years)
3.98
Sector Allocation % OF FUND % OF FUND (As of 08/31/2021)
Credit-Investment Grade 33.73
Treasuries 29.31
Credit-High Yield 23.17
Bank Loans 3.60
Government Related 2.33
CMBS 0.27
Credit Default Swap 0.13
Short Credit Default Swap -0.13
Cash & Equivalents 7.59
Regional Allocations % OF FUND % OF FUND (As of 08/31/2021)
North America 42.27
Europe 37.55
Asia/Pacific Ex Japan 11.62
Supranational 0.97
Cash & Equivalents 7.59
MATURITY BREAKDOWN OF FIXED INCOME HOLDINGS % OF FUND % OF FUND (As of 08/31/2021)
< 1 yr 1.79
1 - 3 yrs 7.06
3 - 5 yrs 22.08
5 - 7 yrs 19.59
7 - 10 yrs 34.62
10 - 20 yrs 5.73
> 20 yrs 0.40
N/A 1.14
Credit Quality of Fixed Income Holdings % OF FUND % OF FUND (As of 08/31/2021)
Aaa 28.07
Aa 5.27
A 5.35
Baa 26.96
Ba 15.66
B 8.77
Caa 0.33
NOT RATED 2.00

Documents