US Funds

Payden California Municipal Income Fund (PYCRX)

$10.09

NAV ($)

$0.00

NAV change ($) as of 2/23/2018

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

The Payden California Municipal Income Fund generally invests in intermediate-maturity municipal bonds that are exempt from Federal, state, and local taxes for California residents. The fund seeks to provide attractive current income while preserving capital. Holdings are diversified across sectors and issuers.

Role In Portfolio

Appropriate for California taxpayers who would like to shelter income from state and Federal taxes.

Fund Highlights
Most income is exempt from Federal and California State taxes
Portfolio diversification tool
No loads or 12b-1 fees
The value of an investment will generally fall when interest rates rise

Fund Snapshot
Fund Inception Date Dec 17, 1998
Ticker PYCRX
CUSIP 704329515
Fund Total Net Assets $56.1 million
Benchmark Bloomberg Barclays Capital 7-Year Municipal Index
Net Expense Ratio 0.53%
Sales Charge None
Investment Minimum
Investor Class - Regular Account $5,000
Investor Class - IRA $2,000
Additional Investment$250

A Low Cost leader
Payden California Municipal Income Fund (PYCRX) Morningstar average:
Muni California Intermediate
Net Expense Ratio: 0.53% 0.80%

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.

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: Dec 17, 1998
Total Net Assets: $56.1 million
Average Duration: 4.9 years
Average Maturity: 12.3 years
30-Day SEC Yield (02/16/18) 1.94%
30-Day SEC Yield (unsubsidized) 1.67%
Duration Breakdown
Years Percent of Portfolio
0-117%
1-38%
3-515%
5-730%
7-1030%
Total 100%
Credit Breakdown
Credit Quality Percent of Portfolio
AAA3%
AA55%
A27%
BBB15%
Total 100%
Credit breakdown represents the lower of the ratings provided by Standard & Poor's and Moody's
Sector Breakdown
Sector Percent of Portfolio
Revenue78%
General Obligation20%
Money Markets2%
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.

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 (12/31/2017) 6.03% 6.03% 2.64% 2.61% 3.72% 3.85%
Month-end (1/31/2018) -1.27% 4.10% 1.62% 2.28% 3.41% 3.77%
Yearly Returns
20176.03%
2016-0.38%
20152.38%
20146.05%
2013-0.83%
20124.66%
20119.56%
20101.72%
20097.36%
20081.21%
Expenses
Total Annual Operating Expense 0.71%
Net or Actual Operating Expense 0.53%

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.

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
California Municipals delivered another quarter of positive performance as front-end rates increased and long-end rates dropped, resulting in a dramatic flattening of the yield curve. Over the course of the quarter, 2-year rates rose 0.56% while 30-year U.S. Treasury rates dropped by 0.29%, thereby flattening the slope of the municipal curve from 1.84% to 0.99%. The Bloomberg Barclays California Municipal Index returned 0.93% during the quarter, bringing year-to-date returns to 5.63%.
Interestingly, 2- and 5-year municipals became relatively less expensive, while 10- and 30-year bonds became more expensive. The Municipal-Treasury yield ratio, the harbinger of relative value, increased notably on the front-end of the curve, while the ratio dropped marginally for longer maturity bonds.
The quarter finished with a flurry of issuance as municipalities raced to take advantage of current financing opportunities before the passing of the tax overhaul potentially eliminated advanced refundings. As a result, December saw its largest month of issuance on record at $60 billion. Still, issuance for all of 2017 fell slightly short of the record issuance in 2016.
The quarter finished with 4 weeks of outflows and 9 weeks of inflows to municipal bond funds, with investors adding a cumulative $1.16 billion.

OUTLOOK
The Payden California Municipal Income Fund benefitted from its barbell positioning as the curve flattened. The fund expects to maintain the barbell structure, seeking enhanced yield from the long-end of the curve while anchoring duration with an overweight to floating-rate securities on the short-end. The allocation to floating-rate structures is anticipated to offer enhanced liquidity and defensive exposure should the Federal Reserve continue its tightening cycle, pushing short rates higher.
The newly passed tax reform package is anticipated to positively impact the municipal market. The supply-demand imbalance is expected to increase with roughly 20% less supply due to the elimination of advanced refundings. California municipals are expected to outperform the broader market, as investors in high-tax states will have added incentive to allocate to municipals.

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.

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.