US Funds

Payden Core Bond Fund Adviser Class (PYCWX)

$9.31

NAV ($)

$0.03

NAV change ($) as of 1/31/2023

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

The Payden Core Bond Fund invests in a diversified mix of bonds across a wide spectrum of sectors and maturities. It utilizes the entire range of maturities from cash instruments to 30-year bonds, investing in sectors, such as, sovereign bonds, corporates, mortgage-backed securities and asset-backed securities. There is some use of below investment-grade bonds for their added yield and diversification. The fund has a moderate degree of expected price volatility given its longer-duration profile.

Role In Portfolio

Intermediate-Term Bond – Appropriate as a core fixed-income holding for investors seeking exposure to a diversified bond portfolio.

Fund Highlights
Bond selection is driven by extensive credit research
Diversified portfolio holdings
Investments allocated across the 1-year to 30-year maturity spectrum
The value of an investment will generally fall when interest rates rise

Fund Snapshot
Fund Inception Date Jan 1, 1994
Share Class Inception Date Nov 2, 2009
Ticker PYCWX
CUSIP 704329333
Fund Total Net Assets $918.4 million
Benchmark BLOOMBERG US AGGREGATE BOND INDEX

Net Expense Ratio 0.78%
Sales Charge None
Investment Minimum
Investor Class - Regular Account $5,000
Investor Class - IRA Account $2,000
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 Core Bond Fund Adviser Class (PYCWX) Morningstar average:
Intermediate Core-Plus Bond
Net Expense Ratio 0.78% None

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
Fund Inception Date Jan 1, 1994
Share Class Inception Date Nov 2, 2009
Total Net Assets $918.4 million
Average Duration 6.2 years
Average Maturity 9.7 years
30-Day SEC Yield (01/27/23) 3.73%
30-Day SEC Yield (unsubsidized) 4.09%
Duration Breakdown
Years Percent of Portfolio
0-16%
1-39%
3-523%
5-728%
7-1020%
10+14%
Total 100%
Credit Breakdown
Credit Quality Percent of Portfolio
AAA52%
AA5%
A9%
BBB20%
BB5%
B3%
CCC1%
Unrated5%
Total 100%
Security ratings are assigned using the highest rating of Moody’s, S&P, and Fitch.
Sector Breakdown
Sector Percent of Portfolio
Mortgage-Backed38%
Corporates27%
Government/Gov't Related21%
Asset-Backed6%
Municipal Bonds5%
Other3%
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 (12/31/2022) -13.72% -13.72% -3.12% -0.50% 1.04% 2.18%
Month-end (12/31/2022) -13.72% -13.72% -3.12% -0.50% 1.04% 2.18%
Yearly Returns
2022-13.72%
2021-1.24%
20206.69%
20198.93%
2018-1.50%
20175.01%
20163.41%
20150.58%
20145.89%
2013-1.69%
Expenses
Total Annual Operating Expense 0.78%
Net or Actual Operating Expense 0.78%

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

MARKET
Despite early signs of inflation cooling, market sentiment weakened, with risk assets generally selling off in December. Much of the sell-off can be attributed to hawkish central bank rhetoric, the Bank of Japan's change in yield control limits, and a resurgence in COVID cases in China. Equities decreased over the month while global government bond yields rose.
In the U.S., the month began with economic prints that continued to illustrate a robust economy and left investors fearing persistently high inflation. The Nonfarm Payroll report showed that the U.S. economy added 263,000 jobs in November; additionally, the report showed sharp revisions upward of October's figures. This print left the market questioning if the Federal Reserve (Fed) would slow rate hikes anytime soon. Soon after, the Producers Purchasing Index printed higher than expected at 7.40% (estimated: 7.20%).
Despite this, the Consumer Price Index (CPI) report surprised to the downside for the second month in a row, which briefly increased market resiliency mid-month as markets hoped "peak inflation" was behind us. Soon after the CPI report was released, the Fed raised interest rates by 0.50% as expected, downshifting from four consecutive 0.75% hikes.
However, the optimism brought on by lower-than-expected CPI and the downshift in rate hikes were quickly quelled by hawkish comments made by Jerome Powell and other officials following the rate announcement. The S&P 500 lost 5.90% in December while 10-year U.S. Treasury yields closed the month up by 0.27%.

OUTLOOK
While the probability of some extreme risk events has arguably lessened recently, we believe 2023 will be a challenging balancing act for policymakers and the global economy. We see the global economy entering a phase of slower growth and still elevated inflation with risks biased to the downside for growth and to the upside for inflation. Central to our expectations is the questions of how rapidly inflation is going to slow and at what level inflation will settle. As we enter 2023, the direction of travel of inflation is expected to be lower, as some aspects of inflation normalize (energy and food-related). However, stickier parts of inflation are still posing a threat to a timely return of inflation toward central banks’ targets.
We expect policy rate increases to slow going forward but see a need for monetary policy settings to stay in restrictive territory for potentially a longer period of time than is currently priced in. As major central banks maintain their focus on returning inflation to target and guarding inflation expectations against becoming unanchored, we see risks biased toward an overtightening of monetary conditions, the magnitude of which will influence the depth and length of the upcoming slowdown.

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.