US Funds

Payden Absolute Return Bond Fund (PYARX)

$9.54

NAV ($)

$0.00

NAV change ($) as of 4/16/2024

  • Overview
  • Portfolio Statistics
  • Performance & Expenses
  • Fund Commentary
Investment Strategy

The Payden Absolute Return Bond Fund's strategy seeks to have positive absolute returns over the long term, regardless of different market environments. To achieve this goal, the fund seeks to provide total return, whether through price appreciation, or income, or a combination of both. It seeks opportunities by employing a flexible approach that evaluates security attractiveness globally, both inside and outside the U.S. A special emphasis is placed on risk management seeking to mitigate potential downside.

Role In Portfolio

Absolute Return – appropriate for investors seeking steady returns, limited downside and reduced correlations with traditional asset classes. Not intended to outperform stocks and bonds during strong market rallies.

Fund Highlights
Seeks to have positive absolute returns over the long term, regardless of different market environments.
Utilizes all sectors of the fixed-income market.
Portfolio is structured with relatively low interest rate sensitivity.
The fund may not achieve its goals if the economy weakens.

Fund Snapshot - 03/31/2024
Fund Inception Date Nov 6, 2014
Share Class Inception Date Nov 6, 2014
Ticker PYARX
CUSIP 70432T107
Fund Total Net Assets $721.7 million
Benchmark BLOOMBERG US TREASURY BILLS 1-MONTH INDEX

Net Expense Ratio 0.70%
Sales Charge None
Investment Minimum
Investor Class - Regular Account $100,000
Investor Class - IRA Account $100,000
Adviser Class - Regular Account $5,000
Adviser Class - IRA Account $2,000
SI Class $10,000,000
Additional Investment - All Classes$250

A Low Cost leader
Payden Absolute Return Bond Fund (PYARX) Morningstar average:
Nontraditional Bond
Net Expense Ratio 0.70% 1.40%

Quoted performance data represent past performance, which does not guarantee future results. Investment returns and principal value will fluctuate, so investors’ shares, when sold, may be worth more or less than their original cost. For the most recent month-end performance, which may be higher or lower than that quoted, go to the Mutual Funds > Performance page on this website, or call 800 572-9336.

To obtain a prospectus or summary prospectus, click on the Prospectuses & Reports link on the right side of this page, or call 800 572-9336. Before investing, investors should consider investment objectives, risks, charges, expenses and other important information, which are contained in these documents; read the prospectus carefully before investing. Investment in foreign securities offers different rewards and challenges from investing in domestic securities, including changes in exchange rates, political changes, and differences in reporting standards, and for emerging-market securities, higher volatility. The Paydenfunds are distributed through Payden & Rygel Distributors, member FINRA.

Please note that by your use of this website and/or sending Payden & Rygel any information via this website, you acknowledge that any personal information you provide to us will be subject to our Privacy Notice set forth in Prospectus Appendix B here.

The investment strategy and investment management information presented on this website should not be construed to be formal financial planning advice or the formation of a financial manager/client relationship. Payden.com is an informative website designed to provide information to the general public based on our recommendations of investment management and investment strategies and is not designed to be representative of your own financial needs. Nor does the information contained herein constitute financial management advice. The firm makes no warranty or representation regarding the accuracy or legality of any information contained in this website, and assumes no liability for the use of said information. Be advised that as Internet communications are not always confidential, you provide our website your personal information at your own risk. Please do not make any decisions about any investment management or investment strategy matter without consulting with a qualified professional.

Portfolio Characteristics - 03/31/2024
Fund Inception Date Nov 6, 2014
Share Class Inception Date Nov 6, 2014
Total Net Assets $721.7 million
Average Duration 0.8 years
Average Maturity 3.5 years
30-Day SEC Yield (04/12/24) 4.75%
30-Day SEC Yield (unsubsidized) 4.69%
Duration Breakdown
Years Percent of Portfolio
0-148%
1-348%
3-510%
5-76%
7+-12%
Total 100%
Credit Breakdown
Credit Quality Percent of Portfolio
AAA28%
AA3%
A12%
BBB29%
BB and Below23%
Unrated5%
Total 100%
Security ratings are assigned using the highest rating of Moody’s, S&P, and Fitch.
Sector Breakdown
Sector Percent of Portfolio
Asset-Backed Securities28%
Investment Grade Corporates20%
Emerging Markets12%
Mortgage-Backed Securities11%
CMBS10%
Gov't Related8%
High Yield5%
Money Markets4%
Bank Loans2%
Total 100%

Quoted performance data represent past performance, which does not guarantee future results. Investment returns and principal value will fluctuate, so investors’ shares, when sold, may be worth more or less than their original cost. For the most recent month-end performance, which may be higher or lower than that quoted, go to the Mutual Funds > Performance page on this website, or call 800 572-9336.

To obtain a prospectus or summary prospectus, click on the Prospectuses & Reports link on the right side of this page, or call 800 572-9336. Before investing, investors should consider investment objectives, risks, charges, expenses and other important information, which are contained in these documents; read the prospectus carefully before investing. Investment in foreign securities offers different rewards and challenges from investing in domestic securities, including changes in exchange rates, political changes, and differences in reporting standards, and for emerging-market securities, higher volatility. The Paydenfunds are distributed through Payden & Rygel Distributors, member FINRA.

Please note that by your use of this website and/or sending Payden & Rygel any information via this website, you acknowledge that any personal information you provide to us will be subject to our Privacy Notice set forth in Prospectus Appendix B here.

The investment strategy and investment management information presented on this website should not be construed to be formal financial planning advice or the formation of a financial manager/client relationship. Payden.com is an informative website designed to provide information to the general public based on our recommendations of investment management and investment strategies and is not designed to be representative of your own financial needs. Nor does the information contained herein constitute financial management advice. The firm makes no warranty or representation regarding the accuracy or legality of any information contained in this website, and assumes no liability for the use of said information. Be advised that as Internet communications are not always confidential, you provide our website your personal information at your own risk. Please do not make any decisions about any investment management or investment strategy matter without consulting with a qualified professional.


Total Returns
YTD 1 Year 3 Year 5 Year 10 Year Since Inception
Quarter-end (3/31/2024) 2.39% 6.07% 2.12% 2.56% N/A 2.54%
Month-end (3/31/2024) 2.39% 6.07% 2.12% 2.56% N/A 2.54%
Yearly Returns
20236.22%
2022-2.74%
20211.13%
20202.81%
20195.52%
20180.95%
20173.40%
20163.81%
20150.93%
2014-0.20%
Expenses
Total Annual Operating Expense 0.76%
Net or Actual Operating Expense 0.70%

Quoted performance data represent past performance, which does not guarantee future results. Investment returns and principal value will fluctuate, so investors’ shares, when sold, may be worth more or less than their original cost. For the most recent month-end performance, which may be higher or lower than that quoted, go to the Mutual Funds > Performance page on this website, or call 800 572-9336.

To obtain a prospectus or summary prospectus, click on the Prospectuses & Reports link on the right side of this page, or call 800 572-9336. Before investing, investors should consider investment objectives, risks, charges, expenses and other important information, which are contained in these documents; read the prospectus carefully before investing. Investment in foreign securities offers different rewards and challenges from investing in domestic securities, including changes in exchange rates, political changes, and differences in reporting standards, and for emerging-market securities, higher volatility. The Paydenfunds are distributed through Payden & Rygel Distributors, member FINRA.

Please note that by your use of this website and/or sending Payden & Rygel any information via this website, you acknowledge that any personal information you provide to us will be subject to our Privacy Notice set forth in Prospectus Appendix B here.

The investment strategy and investment management information presented on this website should not be construed to be formal financial planning advice or the formation of a financial manager/client relationship. Payden.com is an informative website designed to provide information to the general public based on our recommendations of investment management and investment strategies and is not designed to be representative of your own financial needs. Nor does the information contained herein constitute financial management advice. The firm makes no warranty or representation regarding the accuracy or legality of any information contained in this website, and assumes no liability for the use of said information. Be advised that as Internet communications are not always confidential, you provide our website your personal information at your own risk. Please do not make any decisions about any investment management or investment strategy matter without consulting with a qualified professional.

Fund Commentary - 03/31/2024

MARKET
Fixed-income total returns were mixed for the quarter given interest rates increased 30 to 50 basis points across the U.S. Treasury yield curve due to stickier inflation. Moreover, credit risk premiums rallied on the heels of a still supportive economic backdrop, such as a robust labor market and rising real wages. Given the higher-than-expected inflation data reports, the Federal Reserve (Fed) held rates steady throughout the first quarter. As such, market expectations for interest rate cuts by the Fed have been substantially modified in just the first quarter of the year as the initially anticipated seven rate cuts have been reduced to just three. Separately, risk assets, such as securitized product, emerging-market debt (EMD), and high-yield corporate bonds strongly benefitted from the robust economic backdrop as credit risk premiums continued to decrease throughout the quarter. Conversely, performance within more rate sensitive asset classes, such as government bonds, mortgage-backed securities, and investment-grade corporate bonds were negative to flat for the quarter.

OUTLOOK
The combination of a secularly strong labor market, rising real wages, significant easing of financial conditions, and less hawkish global central banks appear supportive of a “stronger for longer” economic outcome. While this combination of factors is certainly positive for near-term growth prospects, it is also likely inflationary in nature. As such, growth expectations are likely too low and therefore market pricing of interest rate cuts appear to be at odds with the trajectory of the U.S. economy and asset prices. If this proves correct, interest rates need to rise, particularly in the long end of the curve, if policy remains lenient in the front-end. The role that interest rate duration plays in a portfolio today might be quite different versus the role it played in the 2000 and 2010 decades. Thus, attractive all-in yields in high-quality fixed income allow for portfolio construction solutions that are resilient in various macroeconomic outcomes, minimizing price risk while not overly mitigating running yield.

Quoted performance data represent past performance, which does not guarantee future results. Investment returns and principal value will fluctuate, so investors’ shares, when sold, may be worth more or less than their original cost. For the most recent month-end performance, which may be higher or lower than that quoted, go to the Mutual Funds > Performance page on this website, or call 800 572-9336.

To obtain a prospectus or summary prospectus, click on the Prospectuses & Reports link on the right side of this page, or call 800 572-9336. Before investing, investors should consider investment objectives, risks, charges, expenses and other important information, which are contained in these documents; read the prospectus carefully before investing. Investment in foreign securities offers different rewards and challenges from investing in domestic securities, including changes in exchange rates, political changes, and differences in reporting standards, and for emerging-market securities, higher volatility. The Paydenfunds are distributed through Payden & Rygel Distributors, member FINRA.

Please note that by your use of this website and/or sending Payden & Rygel any information via this website, you acknowledge that any personal information you provide to us will be subject to our Privacy Notice set forth in Prospectus Appendix B here.

The investment strategy and investment management information presented on this website should not be construed to be formal financial planning advice or the formation of a financial manager/client relationship. Payden.com is an informative website designed to provide information to the general public based on our recommendations of investment management and investment strategies and is not designed to be representative of your own financial needs. Nor does the information contained herein constitute financial management advice. The firm makes no warranty or representation regarding the accuracy or legality of any information contained in this website, and assumes no liability for the use of said information. Be advised that as Internet communications are not always confidential, you provide our website your personal information at your own risk. Please do not make any decisions about any investment management or investment strategy matter without consulting with a qualified professional.