US Funds

Payden High Income Fund (PYHRX)

$5.98

NAV ($)

$0.05

NAV change ($) as of 12/1/2022

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

The Payden High Income Fund invests in corporate high-yield bonds, which provide a premium to U.S. Treasury bonds. The fund generally invests in the higher-quality segment of the market and looks for companies with good growth prospects, superior and defensible products and strong management teams.

Role In Portfolio

High-Yield Bond – Appropriate for investors who seek higher yields and diversification in the growing $2 trillion high-yield bond market.

Fund Highlights
Primary focus on the upper tier (BB or B rated) of the global high-yield bond market
Potential for both income and capital appreciation
The value of an investment will generally fall when interest rates rise

Fund Snapshot
Fund Inception Date Dec 30, 1997
Share Class Inception Date Dec 30, 1997
Ticker PYHRX
CUSIP 704329572
Fund Total Net Assets $582.0 million
Benchmark ICE BOFA BB-B US CASH PAY HIGH YIELD CONSTRAINED INDEX

Net Expense Ratio 0.60%
Sales Charge None
Investment Minimum
Investor Class - Regular Account $5,000
Investor Class - IRA Account $2,000
SI Class $10,000,000
Additional Investment - All Classes$250

A Low Cost leader
Payden High Income Fund (PYHRX) Morningstar average:
High Yield Bond
Net Expense Ratio 0.60% 1.11%

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 Dec 30, 1997
Share Class Inception Date Dec 30, 1997
Total Net Assets $582.0 million
Average Duration 4.2 years
Average Maturity 6.8 years
30-Day SEC Yield (11/30/22) 7.86%
30-Day SEC Yield (unsubsidized) 8.01%
Duration Breakdown
Years Percent of Portfolio
0-112%
1-311%
3-535%
5-737%
7+5%
Total 100%
Credit Breakdown
Credit Quality Percent of Portfolio
AAA2%
BBB5%
BB51%
B30%
CCC8%
Unrated4%
Total 100%
Security ratings are assigned using the lowest rating of Moody’s, S&P, and Fitch.
Sector Breakdown
Sector Percent of Portfolio
Energy17%
Consumer Cyclical16%
Communications14%
Consumer Non-Cyclical13%
Financials13%
Industrials8%
Technology5%
Loans4%
Basic Materials3%
Mortgage Securities3%
Other4%
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.

    Number of funds
Overall 633
3 Year 633
Category: High Yield Bond 5 Year 583
Criterion: Risk-Adjusted Return 10 Year 405

Total Returns
YTD 1 Year 3 Year 5 Year 10 Year Since Inception
Quarter-end (9/30/2022) -13.64% -12.97% 0.58% 2.43% 3.68% 4.94%
Month-end (10/31/2022) -11.18% -10.45% 1.41% 2.89% 3.89% 5.04%
Yearly Returns
20216.62%
20207.38%
201916.75%
2018-2.85%
20176.53%
201610.61%
2015-1.54%
20142.86%
20134.25%
201214.51%
Expenses
Total Annual Operating Expense 0.60%
Net or Actual Operating Expense 0.60%

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.

(A) An overall rating is based on a weighted average of the fund’s ratings for the three-, five- and ten-year periods, if applicable. For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating (based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a funds monthly performance (including the effects of sales charges, loads and redemption fees), placing more emphasis on downward variations and rewarding consistent performance. The top 10% of funds in each category receive five stars and the next 22.5% receive four stars. Highly rated funds are defined as those that have a four or five star Morningstar rating. Data provided by Morningstar, Inc. Although gathered from reliable sources, data completeness and accuracy cannot be guaranteed. Morningstar is a registered trademark of Morningstar, Inc. and is not affiliated with Paydenfunds

Fund Commentary

MARKET
High yield rallied in October as sentiment improved across risk assets. Spreads, or the difference between yields and comparable maturity U.S. Treasuries, rallied.
The ICE BofA BB-B US Cash Pay High Yield Constrained Index returned 3.0% during the month. BB-rated bonds returned 2.7%, B-rated bonds returned 3.4%, and CCC-rated bonds returned 2.0%.
Issuance remained low as only $5 billion ($1 billion net of refinancing) in new bonds priced in October. Year-to-date, gross new issuance of $95 billion ($47 billion net of refinancing) is down 78% (72% net), on pace for the lightest year in over a decade.
High-yield mutual funds and ETFs saw an inflow of $3 billion in October, reducing total outflows to $51 billion year-to-date as investors began putting more money to work in high yield.

OUTLOOK
Volatility remains elevated as market participants anticipate the Federal Reserve and other global central bankers to remain hawkish for longer. While the current level of macro volatility is justified, we believe the outlook at the micro level is much brighter as credit fundamentals in high yield remain sound.
The second quarter earnings season illustrated the relative health of the high-yield bond market. Leverage declined while interest coverage strengthened and reset new all-time highs. In addition to healthy balance sheets, high-yield issuers’ lengthy maturity runway persists – only 8% of bonds and loans mature before 2025.
Even in the event of a growth slowdown, the fiscal discipline of most high-yield issuers should buffer them from financial distress. We believe this will keep the default rate below historical averages for the foreseeable future. With yields in the 9% range, we view this as an attractive entry point for long-term investors.

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.