Core fixed income exposure emphasizes short-term securities.
Provides exposure to bonds with more return potential than money market securities and less volatility than long-term bonds. An investment cannot be made directly into an index. If you're investing for current income, you may want to choose a more conservative bond fund that will have more share price stability and principal protection.
Investing in debt securities entails interest rate risk which is the risk that debt secrities will decrease in value with increases in market interest rates. If you love safety and can't stomach risk, Treasury securities are hard to top. Treasury Agency Index is an unmanaged index comprised of U. Beta shown is based on monthly returns over the last three years. Portfolio holdings are subject to change and may have changed since the date specified. In the past month, the yield on the 10-year Treasury has risen to 4.
To seek increased return, managers may employ aggressive sector rotation. Invests in investment-grade market sectors with tactical investments in non-investment grade sectors. Investment strategies that emphasize particular market segments or fewer securities tend to increase the total risk of an investment relative to the broader market.