Payden Strategic Income Fund (PYSGX)
$9.63
NAV ($)
$-0.03
NAV change ($) as of 3/12/2026
- Overview
- Portfolio Statistics
- Performance & Expenses
- Fund Commentary
Investment Strategy
The Payden Strategic Income Fund invests in a customized mix of fixed-income sectors across the entire bond universe and maturity curve. This strategy invests for the long term in a diversified mix of securities across multiple sectors, including emerging markets, high-yield and investment-grade corporates, and mortgage-backed and asset-backed securities.
Role In Portfolio
Appropriate for investors with a long-term investment time horizon who seek higher income and diversification across the full bond universe.
Fund Highlights
| Seeks income with a custom mix of investments across the yield curve. | |
| Focuses on “best ideas” to uncover relative value opportunities globally, with the ability to invest anywhere. | |
| Strategic investment time horizon encourages a flexible and creative approach to structuring the portfolio. |
Fund Snapshot - 02/28/2026
| Fund Inception Date | May 8, 2014 |
| Share Class Inception Date | May 8, 2014 |
| Ticker | PYSGX |
| CUSIP | 704329168 |
| Fund Total Net Assets | $189.3 million |
| Benchmark | Bloomberg U.S. Aggregate Bond Index |
| Net Expense Ratio | 0.66% |
| 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 |
| Payden Strategic Income Fund (PYSGX) | Morningstar average: Short-Term Bond |
|
|---|---|---|
| Net Expense Ratio | 0.66% | 0.84% |
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 Payden Funds 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 - 02/28/2026
| Fund Inception Date | May 8, 2014 |
| Share Class Inception Date | May 8, 2014 |
| Total Net Assets | $189.3 million |
| Average Duration | 3.9 years |
| Average Maturity | 5.6 years |
| 30-Day SEC Yield | 4.07% |
| 30-Day SEC Yield (unsubsidized) | 3.82% |
Duration Breakdown
| Years | Percent of Portfolio |
|---|---|
| 0-1 | 22% |
| 1-3 | 16% |
| 3-5 | 23% |
| 5-7 | 18% |
| 7-10 | 18% |
| 10+ | 3% |
| Total | 100% |
Credit Breakdown
| Credit Quality | Percent of Portfolio |
|---|---|
| AAA | 13% |
| AA | 38% |
| A | 7% |
| BBB | 24% |
| BB | 11% |
| B | 3% |
| Unrated | 4% |
| Total | 100% |
Sector Breakdown
| Sector | Percent of Portfolio |
|---|---|
| U.S. Government | 28% |
| Investment Grade Corporates | 25% |
| Securitized | 19% |
| High Yield | 9% |
| Emerging Market Debt | 7% |
| Agency MBS | 7% |
| Other | 5% |
| 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 Payden Funds 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 |  |
536 |
| 3 Year | |
536 | |
| Category: Short-Term Bond | 5 Year | |
506 |
| 10 Year | |
388 | |
Total Returns
| YTD | 1 Year | 3 Year | 5 Year | 10 Year | Since Inception | |
|---|---|---|---|---|---|---|
| Quarter-end (12/31/2025) | 6.85% | 6.85% | 6.56% | 2.83% | 3.58% | 3.27% |
| Month-end (2/28/2026) | 1.15% | 6.01% | 6.55% | 3.10% | 3.65% | 3.33% |
Yearly Returns
| 2025 | 6.85% |
| 2024 | 5.46% |
| 2023 | 7.42% |
| 2022 | -6.62% |
| 2021 | 1.72% |
| 2020 | 6.19% |
| 2019 | 8.33% |
| 2018 | -0.51% |
| 2017 | 4.24% |
| 2016 | 3.65% |
Expenses
| Total Annual Operating Expense | 0.95% |
| Net or Actual Operating Expense | 0.66% |
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 Payden Funds 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.
Morningstar rates funds from one to five stars based on how well their risk-adjusted performance compares to similar funds. Within each Morningstar Category, the top 10% of funds receive five stars, the next 22.5% four stars, the middle 35% three stars, the next 22.5% two stars, and the bottom 10% receive one star. Funds are rated for up to three time periods—three-, five-, and 10 years—and these ratings are combined to produce an
overall rating. Funds with less than three years of history are not rated. Ratings are objective, based entirely on a mathematical evaluation of past performance. They're a useful tool for identifying funds worthy of further research, but shouldn't be considered buy or sell recommendations. Morningstar does not adjust total returns for sales charges (such as front-end loads, deferred loads, and redemption fees). Total returns do account for the expense ratio, which includes management, administrative, 12b-1 Distribution fees, and other costs that are taken out of assets.
@ 2025 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
Fund Commentary - 02/28/2026
| MARKET | |
| February was characterized by shifting interest rate expectations and renewed volatility across global fixed-income bond markets. In the U.S., the policy debate remained centered on whether inflation had slowed enough for the Federal Reserve (Fed) to resume rate cuts. In Europe, the macroeconomic narrative was clearer: inflation continued to moderate and growth data proved steadier than expected. As a result, the European Central Bank (ECB) kept rates unchanged, though financial markets still anticipate rate cuts over the medium term. | |
| Fixed-income markets were driven by the tension between still-elevated inflation and evidence that economic activity is slowing. Consumer spending remained relatively strong, particularly in the services sectors, while manufacturing surveys continued to signal subdued conditions. The labor market showed further signs of cooling: layoffs remained low but hiring slowed and payroll growth moderated, consistent with a gradual rebalancing of labor demand. Inflation continued to ease overall, although progress varied across different categories, reinforcing the view that the return to the Fed's inflation target is unlikely to be smooth. Markets also paid attention to political developments, including discussion about the future leadership of the Fed ahead of the scheduled end of Chair Jerome Powell’s term in May 2026, which has kept investors focused on the longer-term direction policy. By the end of the month, The S&P 500 had fallen 0.87%, while the yield on the 10-year U.S. Treasury stood at 3.94%. | |
| OUTLOOK | |
| Our outlook remains cautiously optimistic, though risks are tilted to the downside. The U.S. economy remains central to our global outlook in 2026. We believe the current divergence between strong GDP growth and weakening labor markets in the U.S. is unusual and unlikely to persist. In our view, the economy faces a binary path: either reaccelerating as technology-driven productivity gains take hold or slipping into recession if labor market softness begins to weigh on economic activity. Regardless of the outcome, U.S. inflation is expected to continue moderating. This disinflationary trend, combined with labor-market weakness should allow the Fed to continue easing at least to neutral, and potentially beyond. Stickier inflation remains a risk to this central view. Outside the U.S., most developed economies appear relatively resilient, supported by moderate economic growth, declining inflation, and accommodating or easing monetary policy. Japan stands as an exception, where gradual policy tightening is expected to continue. | |
| Moderating inflation and range-bound inflation expectations have historically been associated with a negative correlation between interest rates and risk assets. With economic growth facing more downside risks, we believe portfolios with a balanced and diversified allocation between duration and credit risk should be better positioned to navigate the uncertainty and the wide range of potential outcomes in 2026. | |
| Despite the uncertain economic backdrop, credit valuations remain on the most expensive end of their historical ranges, even as corporate fundamentals appear relatively healthy. In this environment, we prefer to distribute risk in our portfolios in a more balanced manner across duration and credit. Consistent with our outlook, we maintain modest overweight positions in higher-quality credit sectors, including investment-grade corporate bonds and select high-quality securitized assets. | |
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 Payden Funds 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.