NAV change ($) as of 9/17/2019
The fund invests primarily in large-capitalization common stocks with above-average dividend yields and other income-producing securities such as preferred stocks, master limited partnerships and real estate investment trusts. The fund focuses on companies that have strong fundamentals and are expected to achieve positive earnings and dividend growth.
Large-Capitalization Value – Appropriate for conservative equity investors who seek current income and moderate exposure to equity markets.
|Seeks to provide current income and equity market participation through a variety of stocks, sectors and security types such as common and preferred stocks, master limited partnerships (MLPs) and real estate investment trusts (REITs)|
|Expects a large component of the total return to come from dividends|
|Seeks to achieve lower volatility and better risk-adjusted returns than competitors and the broad market|
|Fund price may fall when the U.S. stock market declines|
|Fund Inception Date||Nov 1, 1996|
|Share Class Inception Date||Nov 1, 1996|
|Fund Total Net Assets||$1,342.6 million|
|Benchmark||Russell 1000 Value Index|
|Net Expense Ratio||0.74%|
|Investor Class - Regular Account||$100,000|
|Investor Class - IRA Account||$100,000|
|Adviser Class - Regular Account||$5,000|
|Adviser Class - IRA Account||$2,000|
|Additional Investment - All Classes||$250|
|Payden Equity Income Fund (PYVLX)||Morningstar average:
|Net Expense Ratio||0.74%||1.12%|
|Fund Inception Date||Nov 1, 1996|
|Share Class Inception Date||Nov 1, 1996|
|Total Net Assets||$1,342.6 million|
|30-Day SEC Yield (09/06/19)||2.37%|
|30-Day SEC Yield (unsubsidized)||2.38%|
|Merck & Co||Health Care|
|Verizon Communications||Communication Services|
|Enterprise Products Partners||Energy|
|American Electric Power||Utilities|
|CVS Health||Health Care|
|Costco Wholesale||Consumer Staples|
|Sector||Percent of Portfolio|
|Number of funds|
|Category: Large Value||5 Year||950|
|Criterion: Risk-Adjusted Return||10 Year||694|
|YTD||1 Year||3 Year||5 Year||10 Year||Since Inception|
|Total Annual Operating Expense||0.74%|
|Net or Actual Operating Expense||0.74%|
(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
|U.S. large-cap equities (S&P 500 Index) posted a gain of +4.3% for Q2 2019, which capped off the best first half return (+18.5%) for the index since 1997.|
|Despite volatility picking up during the quarter due to elevated U.S.-China trade tension and weaker global economic data, investor risk sentiment was supported by the Federal Reserve's shift back to an accommodative policy.|
|Nearly all sectors posted positive returns for the quarter, with financials (+8.0%) and materials (+6.3%) leading markets higher. Energy (-2.8%) was the only sector that posted losses.|
|Dividend stocks participated in the rally but lagged the broad equity market, despite the significant decline in interest rates. Preferred stocks (+2.3%) and REITs (+1.3%) were the best performers.|
|We maintain a positive outlook, albeit less bullish due to equity valuations, for the next 12 months as corporate earnings growth is expected to reaccelerate higher.|
|However, volatility is likely to remain elevated as macro factors such as fears of a global slowdown, U.S.-China trade, and rising geopolitical tension (Brexit, Iran) continue to weigh on investor risk sentiment.|
|Positive corporate earnings growth and record amounts of cash on balance sheets support higher dividend payouts.|
|We expect midstream energy and technology stocks with above-average dividend yields and dividend growth to perform well.|
For more information about our funds, please contact us at:
Advisors and Institutions
Payden Mutual Funds
PO Box 1611
Milwaukee, WI 53201-1611
Payden Mutual Funds
235 W Galena St
Milwaukee, WI 53212-3948
Payden & Rygel provides superior solutions by employing a staff whose education, experience and vision have made the firm a leader in the field. We welcome the opportunity to speak with talented and motivated individuals who wish to meet this challenge.
If you are interested in a career with Payden & Rygel, please submit your resume to the firm's human resources department at email@example.com.
Payden & Rygel has developed a Business Continuity Plan to ensure that all critical functions continue in the event of a disruption in normal operations.
The firm has configured data replication servers and related infrastructure in its Boston, Massachusetts office. Data on critical Los Angeles servers is replicated to corresponding servers in the Boston location on a live basis throughout each day. In addition, other servers and databases are backed up, sent electronically to Boston, and restored at the end of each day. The firm has established a dedicated high-speed connection between the Los Angeles and Boston offices to facilitate the secure transmission of data backups.
A number of individuals from the Trading, Portfolio Operations, Information Technology, Compliance and Portfolio Management departments have been selected to connect remotely to the Boston office to complete their daily responsibilities, in the event of a disruption to normal business operations. The firm has implemented a VMWare virtual environment for each of these individuals so that they each have their own remote desktop in Boston to which they securely connect using a laptop or desktop computer with an Internet connection. Our expectation is that routine business operations will resume within 24 hours of a business continuity event. In addition, the Boston office has capacity to accommodate additional employees if a physical relocation of selected Los Angeles employees is necessary.
The firm uses a third-party hosted mass notification system to quickly communicate with all employees in the event of a disruption in operations. The system allows management to compose a text or voice message notifying employees of the event, which is then sent automatically to employees' mobile phones, home phones, and e-mail addresses. Employees indicate their receipt of the message from their phone or mobile device, which allows management to immediately review summary reports of the employees who are aware of the disruption. Additional instructions and updates can then be sent to all staff, as necessary under the circumstances.
In the event that our Business Continuity Plan is activated and Los Angeles office phone lines are down, the Los Angeles phone numbers are re-directed to the Boston office. Boston-based staff will direct callers to the mobile phones of key portfolio professionals, as necessary. All key investment personnel have access to firm e-mail on mobile devices. E-mail delivery to Payden & Rygel addresses is not dependent on the availability of either Los Angeles or Boston servers. Finally, Boston-based staff has access to portfolio management and reporting information independent of Los Angeles technology availability.
The transfer agent for the Paydenfunds is not located in Payden & Rygel's offices. The transfer agent for all of the funds maintains all shareholder records and will continue to receive all shareholder calls related to their accounts.
On at least a quarterly basis, several employees from the departments specified above will remotely connect to the Boston office to test the infrastructure by conducting their daily job responsibilities, including the execution, ticketing, settlement and processing of securities trades.
The Business Continuity Plan was developed and is monitored by a committee of senior managers, including the heads of the Trading, Portfolio Operations, Compliance and Information Technology departments. The committee meets regularly to discuss any necessary updates to the Plan and coordinates ongoing tests of the Boston location by a team of employees from various departments. The committee also solicits feedback from personnel based on the ongoing tests and promptly makes adjustments to the Plan and the Boston office resources, as necessary.
Updates to the Business Continuity Plan will be posted on this website page and a copy of the Plan may also be obtained by written request.
Since 2013, Payden & Rygel has been a signatory of the United Nations Principles for Responsible Investment.
As such, from environmental, social, and governance (ESG) considerations or strict exclusionary guidelines, to sustainable corporate practices and extensive community outreach, Payden & Rygel has a long history of responsible investing. As a firm, we embed ESG considerations in all aspects of our investment process. Whether in the sovereign, quasi-sovereign, or corporate research process, evaluating environmental, social and governance issues is part of sound fundamental analysis.
We also have a history of working closely with clients to ensure their portfolios are customized to meet specific social or ethical exclusions. In fact, a significant portion of our client accounts have some ethical or social exclusions which are monitored by our dedicated Compliance Group and proprietary information technology systems.
At the corporate level, Payden & Rygel is conscious of the sustainability and environmental impact of its operations. Payden & Rygel continually works on growing our business while minimizing its impact on the environment.
Please Click here for Payden & Rygel’s ESG policy document.
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To meet those expectations, we must collect and maintain certain personal information which is required by state and federal agencies such as name, address and tax ID. We may collect or capture personal information about you from the following sources:
We do not make personal information available on line. To change your personal information, call Paydenfund Shareholder Services at 800-572-9366 and request forms needed to make any corrections.
We limit access to your personal and account information to those employees who need to know that information so that we can provide products and services to you. We also maintain physical, electronic and procedural safeguards to protect your nonpublic personal and account information.
We do not disclose any nonpublic personal and account information about our customers, or former customers, to anyone, except as permitted by law.
In this regard, we may disclose such information to our affiliates, in the event some or all of your assets may be invested in the Paydenfunds, and to unaffiliated third parties (such as broker-dealers, transfer agents or custodians), all as permitted by law and only as needed for us to provide agreed-upon services to you. Finally, we may also disclose information to appropriate government agencies, and to others, as required by law or to prevent fraud..
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