Payden USD Low Duration Credit Fund

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Payden USD Low Duration Credit Fund

PRULDUA

USD Accumulating

Fact Sheet Other Literature

NAV / Daily Prices

NAV ($)

14.01

NAV Change ($)

-0.04

Date as of

19 Mar 2026

Statistics

Yield to Maturity

4.39%

Effective Duration

2.88 Years

Average Maturity

3.10 Years

Average Fund Credit Rating

A-

Number of Issuers

274

Expenses

Management Fee

0.23%

Maximum Total Expense Ratio (TER) Capped at

0.30%

Initial Charge

NONE

Redemption Fee

NONE

¹

# of Funds

Overall

★★★★

146

Portfolio Characteristics

Data as of 28 Feb 2026

Duration Allocation

Duration

Percent of Portfolio

0-1 yr

15%

1-3 yrs

49%

3-5 yrs

32%

5-7 yrs

4%

Credit Allocation

Credit

Percent of Portfolio

AAA

13%

AA

4%

A

36%

BBB

41%

BB and Below

6%

Sector Allocation

Sector

Percent of Portfolio

Financials

43%

Industrials

35%

Utilities

6%

CMO

6%

ABS

3%

CMBS

3%

Other

4%

Fund Commentary

Data as of 28 Feb 2026

Market

In February, data showed that the US economy grew at a solid pace, the labour market stayed weak, and inflation moderated. All eyes were on artificial intelligence (AI) disruption, as investors scrutinised which sectors might benefit from the productivity surge and which could see margins, business models, and credit quality pressured by rapid technological change. US Treasury yields fell broadly on the month, with the 2-year yield falling 0.15% to 3.38%, whilst the 10-year yield fell by 0.30% to 3.94%.

Corporate yields over similar-maturity U.S. Treasuries rose 0.08% to 0.62% for the 1- to 5-year maturities. As a result, the overall yield on 1- to 5-year corporate bonds rose 0.09% to 4.09%.

February saw companies issuing $193 billion of new corporate bonds, bringing year-to-date totals to $411 billion, up 19% versus this same time last year.

Outlook

During the month, the Fund continued to selectively participate in newly issued bonds, across a broad range of sectors, including bonds from high-quality banks and large technology companies such as Oracle and Alphabet. At the same time, it reduced credits within insurance whilst also reducing exposure to longer-maturity utility bonds that have performed well. Duration remains modestly long relative to the benchmark.

Volatility picked up in corporate markets sparked by AI-related concerns that initially impacted software companies, before spreading more broadly. Within investment-grade corporates, business development companies were hit hardest amid worries about their underlying investments in technology. Pressure then extended to parts of the insurance sector over private credit holdings, which also weighed on the banking sector. The onset of the war in Iran has, so far, had a limited impact on USD credit markets.

Given expectations for another month of heavy supply, along with lower underlying US Treasury yields, we would not be surprised to see investors demand bigger new issue concessions. We still believe there is healthy demand for corporates, but investors are likely to be more discerning going forward. This environment is likely to present both increased risks and opportunities, making careful credit selection essential, as we expect to see greater dispersion across sectors and individual issuers in the year ahead.

1.

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 fund’s 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 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star. The Overall Morningstar Rating for a fund is derived from a weighted average of the performance figures associated with its three-, five- and 10-year (if applicable) Morningstar Rating metrics.

© 2026 Morningstar, Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (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. Overall rating out of 146 USD Corporate Bond - Short Term funds as of 28-02-26.

2.

Returns less than one year are not annualised. Performance does not take account of the commissions and costs incurred on the issue and redemption of shares. Future performance is subject to taxation which depends on the personal situation of each investor, and which may change in the future. Complete information on risks can be found in the prospectus.

Payden USD Low Duration Credit Fund is a sub-fund of Payden Global Funds plc, an open-ended investment company with variable capital incorporated under Ireland law and is authorised by FINMA for offering to non-qualified investors. The prospectus for Switzerland, the key investor information documents ("KIID"), the articles, the semi-annual and annual reports and other information can be obtained free of charge from the Fund’s representative and paying agent in Switzerland: Reyl & Cie SA., 4, rue de Rhône, 1204 Geneva, Switzerland.

Duration Allocation

Duration

Percent of Portfolio

0-1 yr

15%

1-3 yrs

49%

3-5 yrs

32%

5-7 yrs

4%

Credit Allocation

Credit

Percent of Portfolio

AAA

13%

AA

4%

A

36%

BBB

41%

BB and Below

6%

Sector Allocation

Sector

Percent of Portfolio

Financials

43%

Industrials

35%

Utilities

6%

CMO

6%

ABS

3%

CMBS

3%

Other

4%

Performance²

Payden USD Low Duration Credit Fund - USD Accumulating

Bloomberg US Corporate 1-5 Years Index USD Unhedged

Total Returns	Month-End (28 Feb 2026)	Bloomberg US Corporate 1-5 Years Index USD Unhedged
YTD	1.00%	0.99%
1 Year	6.05%	6.23%
3 Year	6.26%	6.20%
5 Year	2.69%	2.52%
10 Year	3.17%	3.04%
Since Inception	2.90%	2.78%

Returns less than one year are not annualized. All returns are net of fees.

Yearly Returns

2025

6.63%

6.81%

2024

4.98%

4.95%

2023

6.40%

6.20%

2022

-5.34%

-5.62%

2021

Overview

Fund Snapshot

Fund Inception Date

5 Dec 2013

Fund Share Class Inception Date

5 Dec 2013

Portfolio Characteristics

Data as of 28 Feb 2026

Duration Allocation

Duration

Percent of Portfolio

0-1 yr

15%

1-3 yrs

49%

3-5 yrs

32%

5-7 yrs

4%

Credit Allocation

Credit

Percent of Portfolio

AAA

13%

AA

4%

A

36%

BBB

41%

BB and Below

6%

Sector Allocation

Sector

Percent of Portfolio

Financials

43%

Industrials

35%

Utilities

6%

CMO

6%

ABS

3%

CMBS

3%

Other

4%

Fund Commentary

Data as of 28 Feb 2026

Market

In February, data showed that the US economy grew at a solid pace, the labour market stayed weak, and inflation moderated. All eyes were on artificial intelligence (AI) disruption, as investors scrutinised which sectors might benefit from the productivity surge and which could see margins, business models, and credit quality pressured by rapid technological change. US Treasury yields fell broadly on the month, with the 2-year yield falling 0.15% to 3.38%, whilst the 10-year yield fell by 0.30% to 3.94%.

Corporate yields over similar-maturity U.S. Treasuries rose 0.08% to 0.62% for the 1- to 5-year maturities. As a result, the overall yield on 1- to 5-year corporate bonds rose 0.09% to 4.09%.

February saw companies issuing $193 billion of new corporate bonds, bringing year-to-date totals to $411 billion, up 19% versus this same time last year.

Outlook

During the month, the Fund continued to selectively participate in newly issued bonds, across a broad range of sectors, including bonds from high-quality banks and large technology companies such as Oracle and Alphabet. At the same time, it reduced credits within insurance whilst also reducing exposure to longer-maturity utility bonds that have performed well. Duration remains modestly long relative to the benchmark.

Volatility picked up in corporate markets sparked by AI-related concerns that initially impacted software companies, before spreading more broadly. Within investment-grade corporates, business development companies were hit hardest amid worries about their underlying investments in technology. Pressure then extended to parts of the insurance sector over private credit holdings, which also weighed on the banking sector. The onset of the war in Iran has, so far, had a limited impact on USD credit markets.

Given expectations for another month of heavy supply, along with lower underlying US Treasury yields, we would not be surprised to see investors demand bigger new issue concessions. We still believe there is healthy demand for corporates, but investors are likely to be more discerning going forward. This environment is likely to present both increased risks and opportunities, making careful credit selection essential, as we expect to see greater dispersion across sectors and individual issuers in the year ahead.

The Fund is actively managed with reference to the Bloomberg US Corporate 1-5 Years Index USD Unhedged (the "Index"). The Index is used (i) as a universe from which to select or hold securities; and (ii) to measure performance of the Fund. The investment manager has discretion over the composition of the portfolio of the Fund and may select securities not included in the Index. However, in normal market circumstances, it is expected that a significant portion of the Fund’s constituents will also be Index constituents and deviations from the Index may be limited. Whilst the investment manager does not employ a defined strategy to align with a benchmark during periods of volatility, it will take account of market environment and perceived risks at any given time and will employ its investment discretion as described in the investment policy accordingly.

This is a marketing communication. Please refer to the prospectus of Payden Global Funds plc and to the PRIIPs KID or KIID before making any final investment decision. This material has been prepared by Payden & Rygel Global Limited, a company authorised and regulated by the Financial Conduct Authority of the United Kingdom, and by Payden Global SIM S.p.A., an investment firm authorised and regulated by Italy’s CONSOB with passporting to provide services in certain EU jurisdictions. It is directed exclusively at professional investors or eligible parties and counterparties as defined by the rules of the Financial Conduct Authority or, for EU jurisdictions, by the rules of the Markets in Financial Instruments Directive (“MiFID”), as transposed in the relevant EU jurisdictions, and is not intended for use by retail investors. Suitability/appropriateness of the investment is the responsibility of the investor, no assurance can be given that the stated investment objectives will be achieved, and the value of investments may fall as well as rise. This information does not constitute an invitation or offer to subscribe for or purchase any of the products mentioned which will only be accepted on the basis of the relevant prospectus. The law may restrict distribution of this information in certain jurisdictions, therefore, persons into whose possession this message comes should inform themselves about and observe any such restrictions. Waystone Management Company (IE) Limited, the Manager, is authorised in Ireland and regulated by the Central Bank of Ireland.

Date as of

28 Feb 2026

Performance²

Payden USD Low Duration Credit Fund - USD Accumulating

Bloomberg US Corporate 1-5 Years Index USD Unhedged

Total Returns

	YTD	1 Year	3 Years	5 Years	10 Years	Since Inception
Month-End (28 Feb 2026)	1.00%	6.05%	6.26%	2.69%	3.17%	2.90%
Bloomberg US Corporate 1-5 Years Index USD Unhedged	0.99%	6.23%	6.20%	2.52%	3.04%	2.78%

Returns less than one year are not annualized. All returns are net of fees.

Yearly Returns

2025

6.63%

6.81%

2024

4.98%

4.95%

2023

6.40%

6.20%

2022

-5.34%

-5.62%

2021

-0.08%

-0.47%

2020

4.62%

5.41%

2019

7.53%

6.99%

2018

0.70%

0.95%

2017

3.28%

2.56%

2016

3.30%

2.87%

Overview

Fund Snapshot

Fund Inception Date

5 Dec 2013

Fund Share Class Inception Date

5 Dec 2013

Fund Share Class

USD Accumulating

Hedged

N/A

ISIN Number

IE00BD1NVL60

Ticker

PRULDUA

Irish Stock Exchange Listed

Yes

UCITS Compliant

Yes

Liquidity

Daily

Investment Minimum*

$1,000,000 Initial

Overall Fund AUM
As of 28 Feb 2026

$856.4 Million

Total Payden Low Duration Strategy AUM
As of 31 Dec 2025

$31.3 Billion

Benchmark

Bloomberg US Corporate 1-5 Years Index USD Unhedged

* The minimum initial investment can be reduced at the Directors' discretion.

Role In Portfolio

Appropriate for investors who seek the income and potential for capital appreciation offered by corporate bonds, whilst minimising exposure to interest rate movements.

Investment Features

The Fund primarily invests in a diversified portfolio of USD investment-grade corporate bonds.

It may also invest in high-yield, emerging-market, sovereign, securitised, and floating-rate securities.

The Fund has been classified as a financial product subject to Article 8 of the Sustainable Finance Disclosure Regulation (EU) 2019/2088.

Fund Highlights

Actively managed by Payden & Rygel with more than 40 years' experience managing institutional low duration fixed-income accounts.
Fund inception date 5 Dec 2013.
Global markets experience.
KIID SRRI: 3/PRIIPs KID SRI: 2.

-0.08%

-0.47%

2020

4.62%

5.41%

2019

7.53%

6.99%

2018

0.70%

0.95%

2017

3.28%

2.56%

2016

3.30%

2.87%

Fund Share Class

USD Accumulating

Hedged

N/A

ISIN Number

IE00BD1NVL60

Ticker

PRULDUA

Irish Stock Exchange Listed

Yes

UCITS Compliant

Yes

Liquidity

Daily

Investment Minimum*

$1,000,000 Initial

Overall Fund AUM
As of 28 Feb 2026

$856.4 Million

Total Payden Low Duration Strategy AUM
As of 31 Dec 2025

$31.3 Billion

Benchmark

Bloomberg US Corporate 1-5 Years Index USD Unhedged

* The minimum initial investment can be reduced at the Directors' discretion.

Role in Portfolio

Appropriate for investors who seek the income and potential for capital appreciation offered by corporate bonds, whilst minimising exposure to interest rate movements.

Investment Strategy

The Payden USD Low Duration Credit Fund invests in a diversified portfolio of investment-grade corporate bonds. In an environment of heightened sensitivity to rising interest rates, the Fund invests primarily in short-maturity (1-5 year) bonds and floating-rate notes to limit the impact of interest rate movements whilst still capturing the upside of compressing credit spreads. The Fund employs tactical allocations to emerging-market debt and high-yield bonds as opportunities present themselves, but the focus remains on US investment-grade companies.

Fund Highlights

Actively managed by Payden & Rygel with more than 40 years' experience managing institutional low duration fixed-income accounts.
Fund inception date 5 Dec 2013.
Global markets experience.
KIID SRRI: 3/PRIIPs KID SRI: 2.

Duration Allocation

Duration

Percent of Portfolio

0-1 yr

15%

1-3 yrs

49%

3-5 yrs

32%

5-7 yrs

4%

Credit Allocation

Credit

Percent of Portfolio

AAA

13%

AA

4%

A

36%

BBB

41%

BB and Below

6%

Sector Allocation

Sector

Percent of Portfolio

Financials

43%

Industrials

35%

Utilities

6%

CMO

6%

ABS

3%

CMBS

3%

Other

4%

Payden USD Low Duration Credit Fund

Reports and Forms SFDR Policies Purchase Payden Funds