Morningstar asset category
US Fund Multisector Bond
Bloomberg Aggregate Bond
ICE BofA Merrill Lynch U.S. Cash Pay U.S. High Yield
Performance data quoted represents past performance and is no guarantee of future results. Total return figures include the reinvestment of dividends and capital gains. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. For the most recent month end performance, please call (800) 207-7108. Returns showing less than one year are cumulative. The gross and net operating expense ratio for the Class A, C, and Institutional Shares are 1.76%, 2.51%, and 1.51%, respectively. The contractual agreement between the Fund and the Advisor for fee waiver and/or paying for operating expenses is in effect until April 30, 2023. Without the contractual agreement, performance would have been lower. Performance results with load reflect the deduction for Class A Shares of the 4.25% maximum front-end sales charge. Class C Shares are subject to a contingent deferred sales charge of 1.00% when redeemed within 12 months of purchase. Performance represented without the load would be lower if this charge was reflected. Because of ongoing market volatility, Fund performance may be subject to substantial short-term changes. **ITD represents inception-to-date, 7/31/2009.
The Fund commenced investment operations on December 31, 2015, after the conversion of a limited partnership Account, Braddock Structured Opportunities Fund Series A, L.P., which commenced operations on 7/31/2009, (the “Predecessor Account”), into shares of the Fund’s Institutional Class. Information portrayed prior to December 31, 2015 is for the Predecessor Account. The Fund’s objectives, policies, guidelines and restrictions are in all material respects equivalent to those of the Predecessor Account. The Predecessor Account was not registered under the Investment Company Act of 1940, as amended (the “1940 Act”), and therefore was not subject to certain restrictions imposed by the 1940 Act on registered investment companies and by the Internal Revenue Code of 1986 on regulated investment companies. If the Predecessor Account had been registered under the 1940 Act, the Predecessor Account’s performance may have been adversely affected.
The Bloomberg Aggregate Bond Index measures the investment grade, US dollar-denominated, fixed-rate taxable bond market. The index includes Treasuries, government-related and corporate securities, mortgage-backed securities, asset-backed securities and commercial mortgage-backed securities. Index Inception: 1/1/1986. The Bank of America Merrill Lynch U.S. Cash Pay U.S. High Yield Index tracks the performance of US dollar denominated below investment grade corporate debt publicly issued in the US domestic market. Qualifying securities must have a below investment grade rating, at least 18 months to final maturity at the time of issuance, at least 1-year remaining term to final maturity as of the rebalancing date, a fixed coupon schedule and a minimum amount outstanding of $100 million. Index Inception: 5/31/1992. One cannot invest directly in an index.
Share Class Information
|As of 5/1/2022||Class A Shares||Class C Shares|| Class I|
|Maximum Sales Charge||4.25%||None||None|
|Gross Expense Ratio||1.76%||2.51%||1.51%|
|Net Expense Ratio*||1.76%||2.51%||1.51%|
*Net expenses based on the Advisor’s contractual agreement to waive its fees and/or pay operating expenses until 4/30/23 so that the total fund operating expenses do not exceed 1.75%, 2.50%, and 1.50% and for the Class A, C, and Institutional Shares, respectively. The net expense ratio is applicable to investors.
Schedule of Distributions
|Jul 28, 2022||$0.0256||$0.0110||$0.0242|
|Jun 29, 2022||$0.0214||$0.0187||$0.0227|
|May 27, 2022||$0.0279||$0.0218||$0.0263|
|Apr 28, 2022||$0.0194||$0.0137||$0.0180|
|Mar 29, 2022||$0.0224||$0.0180||$0.0225|
|Feb 25, 2022||$0.0253||$0.0197||$0.0238|
|Jan 28, 2022||$0.0195||$0.0132||$0.0180|
|Dec 29, 2021||$0.0225||$0.0160||$0.0207|
|Nov 24, 2021||$0.0225||$0.0164||$0.0209|
|Oct 28, 2021||$0.0217||$0.0153||$0.0200|
|Sep 29, 2021||$0.0240||$0.0174||$0.0223|
|Aug 30, 2021||$0.0218||$0.0155||$0.0203|
|Jul 29, 2021||$0.0186||$0.0122||$0.0170|
|Jun 29, 2021||$0.0219||$0.0154||$0.0203|
|May 28, 2021||$0.0216||$0.0153||$0.0200|
|Apr 29, 2021||$0.0186||$0.0126||$0.0171|
|Mar 30, 2021||$0.0240||$0.0174||$0.0223|
|Feb 25, 2021||$0.0248||$0.0192||$0.0232|
|Jan 28, 2021||$0.0231||$0.069||$0.0216|
|Dec 30, 2020||$0.0241||$0.0179||$0.0225|
|Nov 25, 2020||$0.0226||$0.0170||$0.0212|
|Oct 29, 2020||$0.0229||$0.0168||$0.0213|
|Sep 29, 2020||$0.0305||$0.0248||$0.0291|
|Aug 28, 2020||$0.0290||$0.0231||$0.0276|
|Jul 30, 2020||$0.0254||$0.0195||$0.0237|
|Jun 29, 2020||$0.0230||$0.0178||$0.0218|
|May 28, 2020||$0.0224||$0.0174||$0.0213|
|Apr 29, 2020||$0.0203||$0.0162||$0.0194|
|Mar 30, 2020||$0.0275||$0.0203||$0.0203|
|Feb 27, 2020||$0.0308||$0.0226||$0.0287|
|Jan 30, 2020||$0.0318||$0.0233||$0.0296|
|Dec 30, 2019||$0.0351||$0.0264||$0.0329|
|Nov 27, 2019||$0.0310||$0.0228||$0.0290|
|Oct 30, 2019||$0.0331||$0.0247||$0.0310|
|Sep 27, 2019||$0.0327||$0.0243||$0.0306|
|Aug 29, 2019||$0.0328||$0.0242||$0.0309|
|Jul 30, 2019||$0.0363||$0.0280||$0.0341|
|Jun 27, 2019||0.0349||$0.0265||$0.0327|
|May 30, 2019||$0.0380||$0.0295||$0.0360|
|Apr 29, 2019||$0.0318||$0.0237||$0.0297|
|Mar 29, 2019||$0.0377||$0.0292||$0.0355|
|Feb 28, 2019||$0.0361||$0.0287||$0.0342|
|Jan 30, 2019||$0.0395||$0.0314||$0.0373|
|Dec 28, 2018||$0.0384||$0.0304||$0.0362|
|Nov 29, 2018||$0.0345||$0.0263||$0.0327|
|Oct 30, 2018||$0.0376||$0.0290||$0.0355|
|Sep 27, 2018||$0.0390||$0.0310||$0.0371|
|Aug 30, 2018||$0.0371||$0.0285||$0.0348|
|Jul 30, 2018||$0.0385||$0.0301||$0.0363|
|Jun 28, 2018||$0.0361||$0.0281||$0.0341|
|May 30, 2018||$0.0378||$0.0291||$0.0357|
|Apr 27, 2018||$0.0352||$0.0273||$0.0331|
|Mar 28, 2018||$0.0358||$0.0275||$0.0337|
|Feb 28, 2018||$0.0424||$0.0352||$0.0405|
|Jan 31, 2018||$0.0371||$0.0280||$0.0349|
|Dec 31, 2017||$0.0418||$0.0349||$0.0396|
|Nov 30, 2017||$0.0376||0.0292||$0.0354|
|Oct 31, 2017||$0.0373||$0.0298||$0.0351|
|Sep 29, 2017||$0.0384||$0.0318||$0.0363|
|Aug 31, 2017||$0.0406||$0.0330||$0.0384|
|Jul 31, 2017||$0.0406||$0.0330||$0.0385|
|Jun 30, 2017||$0.0405||$0.0341||$0.0374|
|May 31, 2017||$0.0465||$0.0399||$0.0443|
|Apr 28, 2017||$0.0435||$0.0346||$0.0414|
|Mar 31, 2017||$0.0433||$0.0367||$0.0414|
|Feb 28, 2017||$0.0411||$0.0340||$0.0391|
|Jan 31, 2017||$0.0574||$0.0490||$0.0560|
|Dec 29, 2016||$0.0543||0.0458||$0.0528|
|Nov 30, 2016||$0.0440||$0.0368||$0.0419|
|Oct 31, 2016||$0.0501||$0.0450||$0.0481|
|Sep 30, 2016||$0.0518||$0.0440||$0.0496|
|Aug 31, 2016||$0.0475||$0.0390||$0.0457|
|Jul 29, 2016||$0.0479||$0.0394||$0.0460|
|Jun 30, 2016||$0.0548||$0.0466||$0.0527|
|May 31, 2016||$0.0555||$0.0470||$0.0533|
|Apr 29, 2016||$0.0454||$0.0369||$0.0448|
|Mar 31, 2016||$0.0358||$0.0310||$0.0357|
|Feb 29, 2016||$0.0389||$0.0315||$0.0372|
|Jan 29, 2016||$0.0412||$0.0348||$0.0436|
|As of 6/30/22||% of Net Assets (Excluding Cash)|
|VSLR 2018-2A B VAR RT 08/29/2023||4.78|
|BMIR 2020-2A M2 VAR RT 08/26/2030||3.35|
|STRUCT AGENCY CREDIT VAR RT 10/25/2027||2.80|
|PNMSR 18-GT2 VAR RT 08/25/2025||2.48|
|TMIR 2021-3 B1 VAR RATE 02/25/2034||2.47|
|STACR 2018-SPI1 B VAR RT 02/25/2048||2.36|
|STACR 2021-DNA5 B2 VAR RATE 01/25/2034||2.34|
|STACR 2018-SPI3 VAR RT 08/25/2048||2.32|
|RMIR 2021-1 B1 VAR RATE 12/27/2033||2.23|
|CAS 2019-HRP1 B1 VAR RT 11/25/2039||2.17|
Important Risks and Disclosures:
Before investing you should carefully consider the Braddock Multi-Strategy Income Fund’s investment objectives, risks, charges and expenses. This and other information about the Fund is in the prospectus and summary prospectus, a copy of which may be obtained by calling 800-207-7108 or by visiting the Fund’s website at www.libertystreetfunds.com. Please read the Fund’s prospectus or summary prospectus carefully before investing.
An investment in the Braddock Multi-Strategy Income Fund is subject to risk, including the possible loss of principal amount invested and including, but not limited to, the following risks, which are more fully described in the prospectus:
Market Risk: The market price of a security may decline, sometimes rapidly or unpredictably, due to general market conditions that are not specifically related to a particular issuer, company, or asset class. Local, regional or global events such as the spread of infectious illness or other events could have a significant impact on a security or instrument.
Fixed Income Securities Risk/Interest Rate Risk: The prices of fixed income securities respond to economic developments, particularly interest rate changes, as well as to changes in an issuer’s credit rating or market perceptions about the creditworthiness of an issuer. Generally fixed income securities decrease in value if interest rates rise and increase in value if interest rates fall, and longer-term and lower rated securities are more volatile than shorter-term and higher rated securities.
High Yield (“Junk”) Bond Risk: Junk bonds are speculative investments which involve greater risk of default, downgrade, or price declines, can be more volatile and tend to be less liquid that investment-grade securities.
Mortgage-backed and Asset-backed Debt Securities: Subject to “prepayment risk” (the risk that borrowers will repay a loan more quickly in periods of falling interest rates) and “extension risk” (the risk that borrowers will repay a loan more slowly in periods of rising interest rates). If the Fund invests in mortgage-backed or asset-backed debt securities that are subordinated to other interests in the same pool, the Fund may receive payments only after the pool’s obligations to other investors have been satisfied. The risk of defaults is generally higher in the case of mortgage pools that include so-called “subprime” mortgages.
Liquidity Risk: The Fund may not be able to sell some or all of the investments that it holds due to a lack of demand in the marketplace or other factors such as market turmoil, or it may only be able to sell those investments at a loss. Liquid investments may become illiquid or less liquid after purchase by the Fund, particularly during periods of market turmoil. Illiquid and relatively less liquid investments may be harder to value, especially in changing markets.
Sector Focus Risk: The focus of the Fund’s portfolio on a specific sector, such as in mortgage-related securities, may present more risks than if the portfolio were broadly diversified over numerous sectors.
Valuation Risk: From time to time, the Fund will need to fair-value portfolio securities at prices that differ from third party pricing inputs in order to more accurately reflect the sales price the Fund could receive in a reasonable period of time for any particular portfolio investment or groups of investments. Investors who purchase or redeem Fund shares on days when the Fund is pricing or holding fair-valued securities may pay a higher or lower price for the shares or may receive more or less redemption proceeds than they would have received if certain of the Fund’s securities had not been fair-valued, or if a different valuation methodology had been used. Such pricing differences can be significant and can occur quickly during times of market volatility, particularly for securities that trade in thin or illiquid markets.
Credit Risk: If an issuer or guarantor of a debt security held by the Fund or a counterparty to a financial contract with the Fund defaults or is downgraded or is perceived to be less creditworthy, or if the value of the assets underlying a security declines, the value of the Fund’s portfolio will typically decline. The Fund’s securities are generally not guaranteed by any governmental agency.
Real Estate Market Risk: The Fund’s investment in mortgage-related securities, including RMBS, will subject the Fund to risks similar to those associated with direct ownership of real estate, including reduction in the value of the real estate serving as loan collateral, losses from casualty or condemnation, and changes in local and general economic, supply and demand factors, interest rates, zoning laws, regulatory limitations on rents, property taxes and operating expenses.
Management and Strategy. The evaluation and selection of the Fund’s investments depend on the judgment of the Fund’s Sub-Advisor about the quality, relative yield, value or market trends affecting a particular security, industry, sector or region, which may prove to be incorrect.
CLO Risk: Collateralized Loan Obligations (CLOs) largely depend on the type of underlying collateral securities and the tranche in which the Fund invests. While CLOs are subject to the typical risks associated with debt instruments (i.e., interest rate risk and credit risk), the Fund is also subject to asset manager, legal and regulatory, limited recourse, liquidity, redemption, and reinvestment risks as a result of the structure of CLOs in which the Fund may invest.
COVID-19 Related Market Events: The pandemic of the novel coronavirus respiratory disease designated COVID-19 has resulted in extreme volatility in the financial markets, a domestic and global economic downturn, severe losses, particularly to some sectors of the economy and individual issuers, and reduced liquidity of many instruments.
Non-diversification Risk: As a non-diversified fund, the Fund may focus its assets in the securities of fewer issuers, which exposes the Fund to greater market risk that if its assets were diversified among a greater number of issuers.
Repurchase Agreement Risk: may be viewed as loans made by the Fund which are collateralized by the securities subject to repurchase. The Fund’s investment in repurchase agreements may be subject to market and credit risk with respect to the collateral securing the repurchase agreements.
Reverse Repurchase Agreement Risk: reverse repurchases provide the Fund with cash for investment purposes, which creates leverage and subjects the Fund to the risks of leverage. Reverse repurchase agreements also involve the risk that the other party may fail to return the securities in a timely manner or at all.
Leverage Risk: as a result of borrowing or other investment techniques, the Fund may be leveraged. The use of leverage may magnify the Fund’s gains and losses and make the Fund more volatile. Leverage creates a risk of loss of value on a larger pool of assets than the Fund would otherwise have had, potentially resulting in the loss of all assets.
Derivatives Risk: Derivative instruments, futures contracts, options, swap agreements, and/or selling securities short involve risks different from direct investment in the underlying assets, including but not limited to: futures contracts may cause the value of the Fund’s shares to be more volatile; the Fund may not fully benefit from or may lose money on option or shorting strategies; swaps may be leveraged, are subject to counterparty risk and may be difficult to value or liquidate.
ETF Risk: Investing in an ETF will provide the Fund with exposure to the securities comprising the index on which the ETF is based and will expose the Fund to risks similar to those of investing directly in those securities.
LIBOR Risk: The financial instruments in which the Fund may invest may be a party use or may use a floating rate based on the London Interbank Offered Rate (“LIBOR”), the most common benchmark interest rate index used to make adjustments to variable-rate loans, which is being phased out. The majority of the USD LIBOR publications are scheduled to be phased out by June 30, 2023, although the remainder of LIBOR publications ended on December 31, 2021. Any effects of the transition away from LIBOR could result in losses to the financial instruments in which the Fund invests and to the Fund.
The Fund may not be suitable for all investors. We encourage you to consult with appropriate financial professionals before considering an investment in the Fund.