Payden High Income Fund

PYHRX

Investor

Fact Sheet Summary Prospectus Prospectus

NAV / Daily Prices

NAV ($)

12.69

NAV Change ($)

-0.03

Change %

-0.24%

MTD Return

-1.01%

YTD Return

Statistics

30-Day SEC Yield^A

5.72%

Average Maturity

5.97 Years

Effective Duration^B

2.94 Years

Date as of

02/28/2026

Expenses

Total Fund Operating Expenses

0.61%

^C

# of Funds

Overall

★★★★

583

3 Year

★★★★★

583

5 Year

★★★★

541

10 Year

★★★★

440

Portfolio Characteristics

Data as of 02/28/2026

Credit Allocation^F

Credit

Percent of Portfolio

AAA

5%

BBB

4%

BB

33%

B

51%

CCC

6%

Unrated

1%

Top-10 Holdings

Percent of Portfolio

Banpu PCL

0.6%

Phoenix Aviation Capital

0.6%

G Holdings

0.6%

FR BR Holdings LLC

0.6%

California Buyer/Atlantica

0.5%

KeHE Distributors

0.5%

Kraken Oil & Gas Partners LLC

0.5%

Marriott International

0.5%

Matador Resources

0.5%

MidCap Financial

0.5%

Sector Allocation

Sector

Percent of Portfolio

Consumer Cyclical

18%

Financials

15%

Communications

12%

Energy

12%

Consumer Non-Cyclical

11%

Industrials

6%

Utilities

6%

Basic Materials

5%

Cash

5%

Loans

5%

Other

5%

Fund Commentary

Data as of 02/28/2026

Market

High-yield bonds posted a positive return during the month thanks to falling rates. Spreads (i.e., the difference between yields and comparable maturity U.S. Treasuries) were wider on the month.

The ICE BofA BB-B U.S. Cash Pay High Yield Constrained Index returned +0.30% during the month. BB-rated bonds returned +0.50%, B-rated bonds returned -0.10%, and CCC-rated bonds returned -1.11%.

During the month, new issuance reached $29 billion, of which $11 billion represented net new borrowing. Year-to-date, new issuance stands at $59 billion ($18 billion net of refinancing).

High-yield mutual fund and exchange-traded fund (ETF) flows were -$0.7 billion during the month.

Outlook

In our view, high-yield issuers entered 2026 with sturdy fundamentals, which should help limit defaults overall. While idiosyncratic risks remain, systemic risk appears low.

Speculative issuance was limited in 2025 with CCC bonds making up only 3% of new deals. As a result, these bonds represent less than 10% of the overall high-yield market, which is the lowest level in 25 years, and should help reduce market volatility.

Current yields in the mid-6% range look attractive, but careful security selection and active management will continue to be important in 2026.

Performance

A.

The 30-day SEC yield represents the dividends and interest earned for a 30-day period, annualized, and divided by the net asset values per share at the end of the period. The SEC yield is computed under a standardized formula which assumes all portfolio securities are held to maturity. This value may differ from the actual distribution rate of the fund.

B.

Effective duration is a measure of the Fund’s price sensitivity to changes in interest rates.

C.

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.

© 2026 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.

D.

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, select this link or call 800 572-9336.

Credit Allocation^F

Credit

Percent of Portfolio

AAA

5%

BBB

4%

BB

33%

B

51%

CCC

6%

Unrated

1%

Top-10 Holdings

Percent of Portfolio

Banpu PCL

0.6%

Phoenix Aviation Capital

0.6%

G Holdings

0.6%

FR BR Holdings LLC

0.6%

California Buyer/Atlantica

0.5%

KeHE Distributors

0.5%

Kraken Oil & Gas Partners LLC

0.5%

Marriott International

0.5%

Matador Resources

0.5%

MidCap Financial

0.5%

Sector Allocation

Sector

Percent of Portfolio

Consumer Cyclical

18%

Financials

15%

Communications

12%

Energy

12%

Consumer Non-Cyclical

11%

Industrials

6%

Utilities

6%

Basic Materials

5%

Cash

5%

Loans

5%

Other

5%

Total Returns	Month-End (02/28/2026)	Quarter-End (12/31/2025)
YTD	1.10%	8.73%
1 Year	7.73%	8.73%
3 Year	9.99%	10.48%
5 Year	5.32%	5.35%
10 Year	6.47%	6.41%
Since Inception	5.65%	5.64%

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

Yearly Returns

2025

8.73%

2024

8.14%

2023

14.71%

2022

-9.76%

2021

6.62%

2020

7.38%

2019

16.75%

2018

-2.85%

2017

6.53%

Dividends^G

Dividend

$0.0616

Dividend Reinvest NAV

$12.84

Record Date

02/25/2026

Ex Date

02/26/2026

Payable Date

02/26/2026

Dividends Paid

Monthly

Capital Gains^G

Short Term

None

Long Term

None

Reinvest NAV

None

Record Date

N/A

Ex Date

N/A

Payable Date

N/A

Investment Minimum

Investor Class - Regular Account

$100,000

Adviser Class - Regular Account

$5,000

SI Class

$10,000,000

Investor Class - IRA Account

$100,000

Adviser Class - IRA Account

$2,000

Overview

Fund Snapshot

Fund Inception Date

12/30/1997

Share Class Inception Date

12/30/1997

Share Class

Investor Class

Ticker

PYHRX

CUSIP

704329572

Fund Total Net Assets
As of 02/28/2026

$1.1 Billion

Sales Charge

None

Benchmark

ICE BofA BB-B U.S. Cash Pay High Yield Constrained Index

Role in Portfolio

High-Yield Bond – Appropriate for investors who seek higher yields and diversification in the growing $1.5 trillion high-yield bond market.

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.

Fund Highlights

Primary focus on the upper tier (BB or B rated) of the global high-yield bond market.^F
Potential for both income and capital appreciation.

Portfolio Characteristics

Data as of 02/28/2026

Credit Allocation^F

Credit

Percent of Portfolio

AAA

5%

BBB

4%

BB

33%

B

51%

CCC

6%

Unrated

1%

Top-10 Holdings

Percent of Portfolio

Banpu PCL

0.6%

Phoenix Aviation Capital

0.6%

G Holdings

0.6%

FR BR Holdings LLC

0.6%

California Buyer/Atlantica

0.5%

KeHE Distributors

0.5%

Kraken Oil & Gas Partners LLC

0.5%

Sector Allocation

Sector

Percent of Portfolio

Consumer Cyclical

18%

Financials

15%

Communications

12%

Energy

12%

Consumer Non-Cyclical

11%

Industrials

6%

Utilities

6%

Fund Commentary

Data as of 02/28/2026

Market

High-yield bonds posted a positive return during the month thanks to falling rates. Spreads (i.e., the difference between yields and comparable maturity U.S. Treasuries) were wider on the month.

The ICE BofA BB-B U.S. Cash Pay High Yield Constrained Index returned +0.30% during the month. BB-rated bonds returned +0.50%, B-rated bonds returned -0.10%, and CCC-rated bonds returned -1.11%.

During the month, new issuance reached $29 billion, of which $11 billion represented net new borrowing. Year-to-date, new issuance stands at $59 billion ($18 billion net of refinancing).

High-yield mutual fund and exchange-traded fund (ETF) flows were -$0.7 billion during the month.

Outlook

In our view, high-yield issuers entered 2026 with sturdy fundamentals, which should help limit defaults overall. While idiosyncratic risks remain, systemic risk appears low.

Speculative issuance was limited in 2025 with CCC bonds making up only 3% of new deals. As a result, these bonds represent less than 10% of the overall high-yield market, which is the lowest level in 25 years, and should help reduce market volatility.

Current yields in the mid-6% range look attractive, but careful security selection and active management will continue to be important in 2026.

E.

Returns less than one year are not annualized.

F.

Ratings are measured on a scale that generally ranges from AAA (highest) to D (lowest) and are subject to change. Security ratings are assigned using the lowest rating of Moody’s, S&P, and Fitch.

G.

Mutual funds are required by the IRS to distribute substantially all realized profits they earn to shareholders on at least an annual basis. If a fund has net gains from the sale of securities, or if it earns dividends or interest from securities, the fund must distribute those earnings to its shareholders. All distributions are taxable, unless an investor's shares are held in a tax-deferred or tax-exempt account such as an IRA. Payden shareholders have the option to receive their distributions in cash or to automatically reinvest the distribution back into the Fund. This information is not intended to provide tax advice. Please consult a qualified tax professional for advice specific to your circumstances. Dividends shown are historical and not guaranteed. Amounts may vary and do not predict future income.

H.

The minimum initial investment may be modified for certain financial intermediaries that submit trades on behalf of underlying investors. Payden Funds’ distributor may lower or waive the minimum initial investment for certain categories of investors at their discretion.

For more information and to obtain a prospectus or summary prospectus, click on the respective link below the Fund name at the top of this page, or call 800 572-9336. Before investing, investors should carefully read and consider investment objectives, risks, charges, expenses, and other important information about the Fund, which is contained in these documents. The Payden Funds are distributed through Payden & Rygel Distributors, member FINRA.

Interest Rate Risk: As with most funds that invest in debt securities, the income on and value of your shares in the Fund will fluctuate along with interest rates. When interest rates rise, the market prices of the debt securities the Fund owns usually decline. When interest rates fall, the prices of these securities usually increase.

Foreign Securities Risk: Investment in foreign securities entails certain risks from investing in domestic securities, including changes in exchange rates, political changes, differences in reporting standards, and, for emerging-market securities, higher volatility.

0.07%

Date as of

03/19/2026

Performance^D

Total Returns^E

	YTD	1 Year	3 Years	5 Years	10 Years	Since Inception
Month-End (02/28/2026)	1.10%	7.73%	9.99%	5.32%	6.47%	5.65%
Quarter-End (12/31/2025)	8.73%	8.73%	10.48%	5.35%	6.41%	5.64%

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

Yearly Returns

2025

8.73%

2024

8.14%

2023

14.71%

2022

-9.76%

2021

6.62%

2020

7.38%

2019

16.75%

2018

-2.85%

2017

6.53%

2016

10.61%

Dividends^G

Dividend

$0.0616

Dividend Reinvest NAV

$12.84

Record Date

02/25/2026

Ex Date

02/26/2026

Payable Date

02/26/2026

Dividends Paid

Monthly

Capital Gains^G

Short Term

None

Long Term

None

Reinvest NAV

None

Record Date

N/A

Ex Date

N/A

Payable Date

N/A

Overview

Fund Snapshot

Fund Inception Date

12/30/1997

Share Class Inception Date

12/30/1997

Share Class

Investor Class

Ticker

PYHRX

CUSIP

704329572

Fund Total Net Assets
As of 02/28/2026

$1.1 Billion

Sales Charge

None

Benchmark

ICE BofA BB-B U.S. Cash Pay High Yield Constrained Index

Role In Portfolio

High-Yield Bond – Appropriate for investors who seek higher yields and diversification in the growing $1.5 trillion high-yield bond market.

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.

Fund Highlights

Primary focus on the upper tier (BB or B rated) of the global high-yield bond market.^F
Potential for both income and capital appreciation.

Top-10 Holdings

Percent of Portfolio

Banpu PCL

0.6%

Phoenix Aviation Capital

0.6%

G Holdings

0.6%

FR BR Holdings LLC

0.6%

California Buyer/Atlantica

0.5%

KeHE Distributors

0.5%

Kraken Oil & Gas Partners LLC

0.5%

Sector Allocation

Sector

Percent of Portfolio

Consumer Cyclical

18%

Financials

15%

Communications

12%

Energy

12%

Consumer Non-Cyclical

11%

Industrials

6%

Utilities

6%

Marriott International

0.5%

Matador Resources

0.5%

MidCap Financial

0.5%

Basic Materials

5%

Cash

5%

Loans

5%

Other

5%

2016

10.61%

Additional Investment - All Classes

$250

Investment Minimum^H

Investor Class - Regular Account

$100,000

Adviser Class - Regular Account

$5,000

SI Class

$10,000,000

Investor Class - IRA Account

$100,000

Adviser Class - IRA Account

$2,000

Additional Investment - All Classes

$250

Payden High Income Fund

PYHRX

Portfolio Characteristics

Credit AllocationF

Top-10 Holdings

Sector Allocation

Fund Commentary

Market

Outlook

Credit AllocationF

Top-10 Holdings

Sector Allocation

Yearly Returns

Investment Minimum

Fund Snapshot

Role in Portfolio

Investment Strategy

Fund Highlights

Credit AllocationF

Top-10 Holdings

Sector Allocation

Market

Outlook

Yearly Returns

Overview

Fund Snapshot

Role In Portfolio

Investment Strategy

Fund Highlights

Top-10 Holdings

Sector Allocation

Credit Allocation^F

Credit Allocation^F

Credit Allocation^F