DoubleLine
Funds
Prospectus
|
Share
Classes |
|||||||||||||||||||||||||
Fixed Income | I | N | A | C | R6 | ||||||||||||||||||||
DoubleLine Total Return Bond Fund | DBLTX | DLTNX | – | – | DDTRX | ||||||||||||||||||||
DoubleLine Core Fixed Income Fund | DBLFX | DLFNX | – | – | DDCFX | ||||||||||||||||||||
DoubleLine Emerging Markets Fixed Income Fund | DBLEX | DLENX | – | – | – | ||||||||||||||||||||
DoubleLine Low Duration Bond Fund | DBLSX | DLSNX | – | – | DDLDX | ||||||||||||||||||||
DoubleLine Floating Rate Fund | DBFRX | DLFRX | – | – | – | ||||||||||||||||||||
DoubleLine Flexible Income Fund | DFLEX | DLINX | – | – | DFFLX | ||||||||||||||||||||
DoubleLine Low Duration Emerging Markets Fixed Income Fund | DBLLX | DELNX | – | – | – | ||||||||||||||||||||
DoubleLine Long Duration Total Return Bond Fund | DBLDX | DLLDX | – | – | – | ||||||||||||||||||||
DoubleLine Global Bond Fund | DBLGX | DLGBX | – | – | – | ||||||||||||||||||||
DoubleLine Ultra Short Bond Fund | DBULX | DLUSX | – | – | – | ||||||||||||||||||||
DoubleLine Infrastructure Income Fund | BILDX | BILTX | – | – | – | ||||||||||||||||||||
DoubleLine Income Fund | DBLIX | DBLNX | – | – | – | ||||||||||||||||||||
DoubleLine Emerging Markets Local Currency Bond Fund | DBELX | DLELX | – | – | – | ||||||||||||||||||||
Global Asset Allocation | |||||||||||||||||||||||||
DoubleLine Multi-Asset Growth Fund | DMLIX | DMLNX | DMLAX | DMLCX | – | ||||||||||||||||||||
DoubleLine Multi-Asset Trend Fund | DBMOX | DLMOX | – | – | – | ||||||||||||||||||||
Non-Traditional | |||||||||||||||||||||||||
DoubleLine Strategic Commodity Fund | DBCMX | DLCMX | – | – | – | ||||||||||||||||||||
Equities | |||||||||||||||||||||||||
DoubleLine Shiller Enhanced CAPE® | DSEEX | DSENX | – | – | DDCPX | ||||||||||||||||||||
DoubleLine Shiller Enhanced International CAPE® | DSEUX | DLEUX | – | – | – | ||||||||||||||||||||
DoubleLine Real Estate and Income Fund | DBRIX | DLREX | – | – | – |
Share Class | Class I | Class N | Class R6 | |||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | None | |||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | None | |||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | None | |||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | None | None | None | |||
Fee for Redemption by Wire | $15 | $15 | $15 | |||
Exchange Fee | None | None | None | |||
Account Fee | None | None | None |
Share Class | Class I | Class N | Class R6 | |||||||||
Management Fees | 0.40% | 0.40% | 0.40% | |||||||||
Distribution and/or Service (12b-1) Fees | None | 0.25% | None | |||||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | 0.09% | 0.09% | 0.04% | |||||||||
Acquired Fund Fees and Expenses1 | 0.01% | 0.01% | 0.01% | |||||||||
Total Annual Fund Operating Expenses | 0.50% | 0.75% | 0.45% |
1 |
“Acquired
Fund Fees and Expenses” are expenses indirectly incurred by the Fund as a
result of its investments in one or more underlying funds, including
exchange-traded funds (“ETFs”) and
money market funds. Because these costs are indirect, the Total Annual
Fund Operating Expenses in this fee table will not correlate to the
expense ratio in the Fund’s financial statements, since financial
statements only include direct costs of the Fund and not the indirect
costs of investing in the underlying funds. When the Fund invests in other
investment vehicles sponsored by the Adviser (defined below) or a related
party of the Adviser (“other DoubleLine
funds”), the Adviser will waive its advisory fee in an amount equal
to the advisory fees paid by the other DoubleLine funds in respect of Fund
assets so invested. The Adviser waived advisory fees in an amount less
than 0.01% pursuant to this waiver agreement in respect of investments
made in other DoubleLine funds during the Fund’s most recent fiscal year.
The effects of this waiver are reflected in the table above. This waiver
agreement may be terminated at any time with the consent of the Board of
Trustees. |
Class I | Class N | Class R6 | ||||
1 Year | $51 | $77 | $46 | |||
3 Years | $160 | $240 | $144 | |||
5 Years | $280 | $417 | $252 | |||
10 Years | $628 | $930 | $567 |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions related to, among other things, the
selection of investments, portfolio construction, risk assessments, and/or
the outlook on market trends and
opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying a security in
which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and
other |
instruments,
such as repurchase and reverse repurchase agreements, entered into by the
Fund; that the Fund’s counterparty will be unable or unwilling to perform
its obligations; that the Fund will be unable to enforce contractual
remedies if its counterparty defaults; that if a counterparty becomes
bankrupt, the Fund may experience significant delays in obtaining any
recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations, the Fund is not subject to
any limit with respect to the number or the value of transactions it can
enter into with a single counterparty. To the extent that the Fund enters
into multiple transactions with a single or a small set of counterparties,
it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the historical and prospective earnings of
the obligor and the value of its assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject to extension risk
generally have a greater potential for loss
when |
prevailing
interest rates rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. The value of instruments with a negative duration will
generally decline if interest rates decrease. Inverse floaters,
interest-only and principal-only securities are especially sensitive to
interest rate changes, which can affect not only their prices but can also
change the income flows and repayment assumptions about those investments.
In recent years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any replacement rate(s) may
adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the |
transition
away from LIBOR may adversely affect the Fund’s
performance. |
• |
defaulted
securities risk: the significant risk of the uncertainty of
repayment of defaulted securities (e.g., a security on which a principal or
interest payment is not made when due) and obligations of distressed
issuers (including insolvent issuers or issuers in payment or covenant
default, in workout or restructuring or in bankruptcy or similar
proceedings). Such investments entail high risk and have speculative
characteristics. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
financial
services risk: the risk that an investment in issuers in the
financial services sector or transactions with one or more counterparties
in the financial services sector may be adversely affected by, among other
things: (i) changes in governmental regulation, which may limit both
the amounts and the types of loans and other financial commitments
financial services companies can make, the interest rates and fees they
can charge, the scope of their activities, the prices they can charge and
the amount of capital they |
must
maintain; (ii) fluctuations, including as a result of interest rate
changes or increased competition, in the availability and cost of capital
funds on which the profitability of financial services companies is
largely dependent; (iii) deterioration of the credit markets;
(iv) credit losses resulting from financial difficulties of
borrowers, especially when financial services companies are exposed to
non-diversified or concentrated loan portfolios; (v) financial losses
associated with investment activities, especially when financial services
companies are exposed to financial leverage; (vi) the risk that any
financial services company experiences substantial declines in the
valuations of its assets, takes action to raise capital, or ceases
operations; (vii) the risk that a market shock or other unexpected
market, economic, political, regulatory, or other event might lead to a
sudden decline in the values of most or all companies in the financial
services sector; and (viii) the interconnectedness or interdependence
among financial services companies, including the risk that the financial
distress or failure of one financial services company may materially and
adversely affect a number of other financial services
companies. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
inflation-indexed bond risk: the
risk that such bonds will change in value in response to actual or
anticipated changes in inflation rates in a manner unanticipated by the
Fund’s portfolio management team or investors generally. Inflation-indexed
bonds are subject to debt securities
risks. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal
restrictions |
that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
loan
risk: the risk that (i) if the Fund holds a loan
through another financial intermediary, or relies on a financial
intermediary to administer the loan, its receipt of principal and interest
on the loan may be subject to the credit risk of that financial
intermediary; (ii) any collateral securing a loan may be insufficient
or unavailable to the Fund, because, for example, the value of the
collateral securing a loan can decline, be insufficient to meet the
obligations of the borrower, or be difficult to liquidate, and the Fund’s
rights to collateral may be limited by bankruptcy or insolvency laws;
(iii) investments in highly leveraged loans or loans of stressed,
distressed, or defaulted issuers may be subject to significant credit and
liquidity risk; (iv) a bankruptcy or other court proceeding could
delay or limit the ability of the Fund to collect the principal and
interest payments on that borrower’s loans or adversely affect the Fund’s
rights in collateral relating to a loan; (v) there may be limited
public information available regarding the loan and the relevant
borrower(s); (vi) the use of a particular interest rate benchmark,
such as LIBOR, may limit the Fund’s ability to achieve a net return to
shareholders that consistently approximates the average published Prime
Rate of U.S. banks; (vii) the prices of certain floating rate loans
that include a feature that prevents their interest rates from adjusting
if market interest rates are below a specified minimum level may
appreciate less than other instruments in response to changes in interest
rates should interest rates rise but remain below the applicable minimum
level; (viii) if a borrower fails to comply with various restrictive
covenants that may be found in loan agreements, the borrower may default
in payment of the loan; (ix) if the Fund invests in loans that
contain fewer or less restrictive constraints on the borrower than certain
other types of loans (“covenant-lite” loans), it may have fewer rights
against the borrowers of such loans, including fewer protections against
the possibility of default and fewer remedies in the event of default;
(x) the loan is unsecured; (xi) there is a limited secondary
market; (xii) transactions in loans may settle on a delayed basis,
and the Fund may not receive the proceeds from the sale of a loan for a
substantial period of time after the sale, which may result in sale
proceeds related to the sale of loans not being available to
make |
additional
investments or to meet the Fund’s redemption obligations until potentially
a substantial period after the sale of the loans; and (xiii) loans
may be difficult to value and may be illiquid, which may adversely affect
an investment in the Fund. The Fund may invest in loans directly or
indirectly by investing in shares of the DoubleLine Floating Rate Fund and
in either case will be subject to the risks described
above. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
These risks may be heightened for fixed income securities due to the
current low interest rate environment. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and that, during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the security. Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and principal-only securities, may
be extremely sensitive to changes in interest rates and prepayment rates.
The Fund may invest in mortgage-backed securities that are subordinate in
their right to receive payment of interest and repayment of principal to
other classes of the issuer’s securities. |
• |
real estate
risk: the risk that real estate-related investments may
decline in value as a result of factors affecting the real estate sector,
such as the supply of real property in certain markets, changes in zoning
laws, delays in completion of construction, changes in real estate values,
changes in property taxes, levels of occupancy, and local and regional
market conditions. Along with the risks common to different types of real
estate-related investments, real estate investment trusts (“REITs”), no matter the type, involve
additional risk factors, including poor performance by the REIT’s manager,
adverse changes to the tax laws, and the possible failure by the REIT to
qualify for the favorable tax treatment available to REITs under the
Internal Revenue Code of 1986, as amended (the “Code”), or the exemption from
registration under the Investment Company Act of 1940, as amended (the
“1940 Act”). REITs are not
diversified and are heavily dependent on cash flow earned on the property
interests they hold. |
• |
restricted
securities risk: the risk that the Fund may be prevented or
limited by law or the terms of an agreement from selling a security (a
“restricted security”). To the
extent that the Fund is permitted to sell a restricted security, there can
be no assurance that a trading market will exist at any particular time,
and the Fund may be unable to dispose of the security promptly at
reasonable prices or at all. The Fund may have to bear the expense of
registering the securities for resale and the risk of substantial delays
in effecting the registration. Also, restricted securities may be
difficult to value because market quotations may not be readily available,
and the values of restricted securities may have significant
volatility. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or related sectors. For example, the
values of securities of companies in the same or related sectors may be
negatively affected by the common characteristics they share, the common
business risks to which they are subject, common regulatory burdens, or
regulatory changes that affect them similarly. Such characteristics,
risks, burdens or changes include, but are not limited to, changes in
governmental regulation, inflation or deflation, rising or falling
interest rates, competition from |
new
entrants, and other economic, market, political or other developments
specific to that sector or related
sectors. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and sold, and thus, are not
registered under the securities laws and may be thinly traded or have a
limited trading market and may have the effect of increasing the Fund’s
illiquidity, reducing the Fund’s income and the value of the investment.
At a particular point in time, the Fund may be unable to find qualified
buyers for these securities. Investments in structured notes involve risks
including interest rate risk, credit risk and market
risk. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect |
the
underlying value of the Fund’s portfolio, resulting in the dilution of
shareholder interests. |
Highest: | 3.92% | Quarter ended 9/30/2011 | ||
Lowest: | (1.83)% | Quarter ended 12/31/2016 |
Total Return Bond Fund |
One Year | Five Years | Ten Years |
Since Inception
(April 6, 2010) |
||||||||||||
Class I | ||||||||||||||||
Return
Before Taxes |
4.12% | 3.52% | 4.50% | 5.68% | ||||||||||||
Return
After Taxes on Distributions |
2.70% | 1.97% | 2.58% | 3.66% | ||||||||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
2.43% | 2.00% | 2.63% | 3.56% | ||||||||||||
Class N | ||||||||||||||||
Return
Before Taxes |
3.86% | 3.26% | 4.24% | 5.42% | ||||||||||||
Class R6(1) | ||||||||||||||||
Return
Before Taxes |
4.18% | 3.55% | 4.51% | 5.69% | ||||||||||||
Bloomberg Barclays U.S. Aggregate Bond
Index (reflects no deduction for fees, expenses or taxes) |
7.51% | 4.44% | 3.84% | 4.07% |
(1) |
Class
R6 shares were not available for purchase until July 31, 2019. The
performance shown for Class R6 shares prior to that date is that of the
Class I shares of the Fund, another class of the Fund that is invested in
the same portfolio of securities as Class R6 shares. Annual returns of
Class R6 shares would have differed from that shown for the period prior
to July 31, 2019 only to the extent that Class R6 shares and Class I
shares have different expenses. |
Name |
Experience with
the
Fund |
Primary Title with the
Investment
Adviser | ||
Jeffrey E. Gundlach | Since the Fund’s inception in April 2010 | Chief Executive Officer | ||
Andrew Hsu | Since July 2019 | Portfolio Manager | ||
Ken Shinoda | Since July 2020 | Portfolio Manager |
Share Class | Class I | Class N | Class R6 | |||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | None | |||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | None | |||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | None | |||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | None | None | None | |||
Fee for Redemption by Wire | $15 | $15 | $15 | |||
Exchange Fee | None | None | None | |||
Account Fee | None | None | None |
Share Class | Class I | Class N | Class R6 | |||||||||
Management Fees | 0.40% | 0.40% | 0.40% | |||||||||
Distribution and/or Service (12b-1) Fees | None | 0.25% | None | |||||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | 0.07% | 0.07% | 0.04% | |||||||||
Acquired Fund Fees and Expenses1 | 0.01% | 0.01% | 0.01% | |||||||||
Total Annual Fund Operating Expenses | 0.48% | 0.73% | 0.45% |
1 |
“Acquired
Fund Fees and Expenses” are expenses indirectly incurred by the Fund as a
result of its investments in one or more underlying funds, including ETFs
and money market funds. Because these costs are indirect, the Total Annual
Fund Operating Expenses in this fee table will not correlate to the
expense ratio in the Fund’s financial statements, since financial
statements only include direct costs of the Fund and not the indirect
costs of investing in the underlying funds. When the Fund invests in other
DoubleLine funds, the Adviser will waive its advisory fee in an amount
equal to the advisory fees paid by the other DoubleLine funds in respect
of Fund assets so invested. The Adviser waived advisory fees in the amount
of 0.05% pursuant to this waiver agreement in respect of investments made
in other DoubleLine funds during the Fund’s most recent fiscal year. The
effects of this waiver are reflected in the table above. This waiver
agreement may be terminated at any time with the consent of the Board of
Trustees. |
Class I | Class N | Class R6 | ||||
1 Year | $49 | $75 | $46 | |||
3 Years | $154 | $233 | $144 | |||
5 Years | $269 | $406 | $252 | |||
10 Years | $604 | $906 | $567 |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions related to, among other things, the
selection of investments, portfolio construction, risk assessments, and/or
the outlook on market trends and
opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying a security in
which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be unable or unwilling
to perform its obligations; that the Fund will be unable to enforce
contractual remedies if its counterparty defaults; that if a counterparty
becomes bankrupt, the Fund may experience significant delays in obtaining
any recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations, the Fund is not subject to
any limit with respect to the number or the value of transactions it can
enter into with a single counterparty. To the extent that the Fund enters
into multiple transactions with a single or a small set of counterparties,
it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the historical and prospective earnings of
the obligor and the value of its assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject
to |
extension
risk generally have a greater potential for loss when prevailing interest
rates rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. The value of instruments with a negative duration will
generally decline if interest rates decrease. Inverse floaters,
interest-only and principal-only securities are especially sensitive to
interest rate changes, which can affect not only their prices but can also
change the income flows and repayment assumptions about those investments.
In recent years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any replacement rate(s) may
adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the |
transition
away from LIBOR may adversely affect the Fund’s
performance. |
• |
defaulted
securities risk: the significant risk of the uncertainty of
repayment of defaulted securities (e.g., a security on which a principal or
interest payment is not made when due) and obligations of distressed
issuers (including insolvent issuers or issuers in payment or covenant
default, in workout or restructuring or in bankruptcy or similar
proceedings). Such investments entail high risk and have speculative
characteristics. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
financial
services risk: the risk that an investment in issuers in the
financial services sector or transactions with one or more counterparties
in the financial services sector may be adversely affected by, among other
things: (i) changes in governmental regulation, which may limit both
the amounts and the types of loans and other financial commitments
financial services companies can make, the interest rates and fees they
can charge, the scope of their activities, the prices they can charge and
the amount of capital they must maintain; (ii) fluctuations,
including as a result of interest rate changes or increased competition,
in the availability and cost of capital funds on which the profitability
of financial services companies is largely dependent;
(iii) deterioration of the credit markets; (iv) credit losses
resulting from financial difficulties of borrowers, especially when
financial services companies are exposed to non-diversified or
concentrated loan portfolios; (v) financial losses associated with
investment activities, especially when financial services companies are
exposed to financial leverage; (vi) the risk that any financial
services company experiences substantial declines in the valuations of its
assets, takes action to raise capital, or ceases operations;
(vii) the risk that a market shock or other unexpected market,
economic, political, regulatory, or other event might lead to a sudden
decline in the values of most or all companies in the financial services
sector; and (viii) the interconnectedness or interdependence among
financial services companies, including the risk that the financial
distress or failure of one financial services company may materially and
adversely affect a number of other financial services
companies. |
• |
foreign
currency risk: the risk that fluctuations in exchange rates
may adversely affect the value of the Fund’s investments denominated in
foreign currencies. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of transparency,
inadequate regulatory and accounting standards, delayed or infrequent
settlement of transactions, and foreign taxes. If the Fund buys securities
denominated in a foreign currency, receives income in foreign currencies,
or holds foreign currencies from time to time, the value of the Fund’s
assets, as measured in U.S. dollars, can be affected unfavorably by
changes in exchange rates relative to the
U.S. |
dollar
or other foreign currencies. Foreign markets are also subject to the risk
that a foreign government could restrict foreign exchange transactions or
otherwise implement unfavorable currency regulations. In addition, foreign
securities may be subject to currency exchange rates or regulations, the
imposition of economic sanctions or other government restrictions, higher
transaction and other costs, reduced liquidity, and delays in
settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
inflation-indexed bond risk: the
risk that such bonds will change in value in response to actual or
anticipated changes in inflation rates in a manner unanticipated by the
Fund’s portfolio management team or investors generally. Inflation-indexed
bonds are subject to debt securities
risks. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to maintain such investments once made due to its own
financial interest in those products and other business
considerations. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed
on |
the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
loan
risk: the risk that (i) if the Fund holds a loan
through another financial intermediary, or relies on a financial
intermediary to administer the loan, its receipt of principal and interest
on the loan may be subject to the credit risk of that financial
intermediary; (ii) any collateral securing a loan may be insufficient
or unavailable to the Fund, because, for example, the value of the
collateral securing a loan can decline, be insufficient to meet the
obligations of the borrower, or be difficult to liquidate, and the Fund’s
rights to collateral may be limited by bankruptcy or insolvency laws;
(iii) investments in highly leveraged loans or loans of stressed,
distressed, or defaulted issuers may be subject to significant credit and
liquidity risk; (iv) a bankruptcy or other court proceeding could
delay or limit the ability of the Fund to collect the principal and
interest payments on that borrower’s loans or adversely affect the Fund’s
rights in collateral relating to a loan; (v) there may be limited
public information available regarding the loan and the relevant
borrower(s); (vi) the use of a particular interest rate benchmark,
such as LIBOR, may limit the Fund’s ability to achieve a net return to
shareholders that consistently approximates the average published Prime
Rate of U.S. banks; (vii) the prices of certain floating rate loans
that include a feature that prevents their interest rates from adjusting
if market interest rates are below a specified minimum level may
appreciate less than other instruments in response to changes in interest
rates should interest rates rise but remain below the applicable minimum
level; (viii) if a borrower fails to comply with various restrictive
covenants that may be found in loan agreements, the borrower may default
in payment of the loan; (ix) if the Fund invests in loans that
contain fewer or less restrictive constraints on the borrower than certain
other types of loans (“covenant-lite” loans), it may have fewer rights
against the borrowers of such loans, including fewer protections against
the possibility of default and fewer remedies in the event of default;
(x) the loan is unsecured; (xi) there is a limited secondary
market; (xii) transactions in loans may settle on a delayed basis,
and the Fund may not receive the proceeds from the sale of
a |
loan
for a substantial period of time after the sale, which may result in sale
proceeds related to the sale of loans not being available to make
additional investments or to meet the Fund’s redemption obligations until
potentially a substantial period after the sale of the loans; and
(xiii) loans may be difficult to value and may be illiquid, which may
adversely affect an investment in the Fund. The Fund may invest in loans
directly or indirectly by investing in shares of the DoubleLine Floating
Rate Fund and in either case will be subject to the risks described
above. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
These risks may be heightened for fixed income securities due to the
current low interest rate environment. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and that, during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the security. Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and principal-only securities, may
be extremely sensitive to changes in interest rates and prepayment rates.
The Fund may invest in mortgage-backed
securities |
that
are subordinate in their right to receive payment of interest and
repayment of principal to other classes of the issuer’s
securities. |
• |
real estate
risk: the risk that real estate-related investments may
decline in value as a result of factors affecting the real estate sector,
such as the supply of real property in certain markets, changes in zoning
laws, delays in completion of construction, changes in real estate values,
changes in property taxes, levels of occupancy, and local and regional
market conditions. Along with the risks common to different types of real
estate-related investments, real estate investment trusts (“REITs”), no matter the type, involve
additional risk factors, including poor performance by the REIT’s manager,
adverse changes to the tax laws, and the possible failure by the REIT to
qualify for the favorable tax treatment available to REITs under the
Internal Revenue Code of 1986, as amended (the “Code”), or the exemption from
registration under the Investment Company Act of 1940, as amended (the
“1940 Act”). REITs are not
diversified and are heavily dependent on cash flow earned on the property
interests they hold. |
• |
restricted
securities risk: the risk that the Fund may be prevented or
limited by law or the terms of an agreement from selling a security (a
“restricted security”). To the
extent that the Fund is permitted to sell a restricted security, there can
be no assurance that a trading market will exist at any particular time,
and the Fund may be unable to dispose of the security promptly at
reasonable prices or at all. The Fund may have to bear the expense of
registering the securities for resale and the risk of substantial delays
in effecting the registration. Also, restricted securities may be
difficult to value because market quotations may not be readily available,
and the values of restricted securities may have significant
volatility. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or related sectors. For example, the
values of securities of companies in the same or related sectors may be
negatively affected by the common characteristics they share, the common
business risks to which they are subject, common regulatory burdens, or
regulatory changes that affect them similarly. Such characteristics,
risks, burdens or changes |
include,
but are not limited to, changes in governmental regulation, inflation or
deflation, rising or falling interest rates, competition from new
entrants, and other economic, market, political or other developments
specific to that sector or related
sectors. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and sold, and thus, are not
registered under the securities laws and may be thinly traded or have a
limited trading market and may have the effect of increasing the Fund’s
illiquidity, reducing the Fund’s income and the value of the investment.
At a particular point in time, the Fund may be unable to find qualified
buyers for these securities. Investments in structured notes involve risks
including interest rate risk, credit risk and market
risk. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of |
the
Fund’s portfolio holdings could result in the Fund’s shareholder
transactions being effected at an NAV that does not accurately reflect the
underlying value of the Fund’s portfolio, resulting in the dilution of
shareholder interests. |
Highest: | 5.41% | Quarter ended 6/30/2020 | ||
Lowest: | (3.29)% | Quarter ended 3/31/2020 |
Core Fixed Income Fund |
One Year | Five Years | Ten Years |
Since Inception
(June 1, 2010) |
||||||||||||
Class I | ||||||||||||||||
Return
Before Taxes |
5.60% | 4.44% | 4.75% | 5.20% | ||||||||||||
Return
After Taxes on Distributions |
4.25% | 3.07% | 3.17% | 3.58% | ||||||||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
3.32% | 2.80% | 2.99% | 3.35% | ||||||||||||
Class N | ||||||||||||||||
Return
Before Taxes |
5.25% | 4.16% | 4.49% | 4.94% | ||||||||||||
Class R6(1) | ||||||||||||||||
Return
Before Taxes |
5.64% | 4.45% | 4.76% | 5.21% | ||||||||||||
Bloomberg Barclays U.S. Aggregate Bond
Index (reflects no deduction for fees, expenses or taxes) |
7.51% | 4.44% | 3.84% | 3.89% |
(1) |
Class
R6 shares were not available for purchase until July 31, 2019. The
performance shown for Class R6 shares prior to that date is that of the
Class I shares of the Fund, another class of the Fund that is invested in
the same portfolio of securities as Class R6 shares. Annual returns of
Class R6 shares would have differed from that shown for the period prior
to July 31, 2019 only to the extent that Class R6 shares and Class I
shares have different expenses. |
Name |
Experience
with
the
Fund |
Primary
Title with the
Investment
Adviser | ||
Jeffrey E. Gundlach | Since the Fund’s inception in June 2010 | Chief Executive Officer | ||
Jeffrey J. Sherman | Since September 2016 | Deputy Chief Investment Officer |
Share Class | Class I | Class N | ||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | ||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | ||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | ||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | None | None | ||
Fee for Redemption by Wire | $15 | $15 | ||
Exchange Fee | None | None | ||
Account Fee | None | None |
Share Class | Class I | Class N | ||||||
Management Fees | 0.75% | 0.75% | ||||||
Distribution and/or Service (12b-1) Fees | None | 0.25% | ||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses)1 | 0.14% | 0.14% | ||||||
Total Annual Fund Operating Expenses | 0.89% | 1.14% |
1 |
The
“Other Expenses” shown include Acquired Fund Fees and Expenses of 0.01% or
less. “Acquired Fund Fees and Expenses” are expenses indirectly incurred
by the Fund as a result of its investments in one or more underlying
funds, including ETFs and money market funds. Because these costs are
indirect, the Total Annual Fund Operating Expenses in this fee table will
not correlate to the expense ratio in the Fund’s financial statements,
since financial statements only include direct costs of the Fund and not
the indirect costs of investing in the underlying funds.
|
Class I | Class N | |||
1 Year | $91 | $116 | ||
3 Years | $284 | $362 | ||
5 Years | $493 | $628 | ||
10 Years | $1,096 | $1,386 |
• |
public
finances; |
• |
monetary
policy; |
• |
external
accounts; |
• |
financial
markets; |
• |
foreign
investment regulations; |
• |
stability
of exchange rate policy; and |
• |
labor
conditions. |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions |
related
to, among other things, the selection of investments, portfolio
construction, risk assessments, and/or the outlook on market trends and
opportunities. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be unable or unwilling
to perform its obligations; that the Fund will be unable to enforce
contractual remedies if its counterparty defaults; that if a counterparty
becomes bankrupt, the Fund may experience significant delays in obtaining
any recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations, the Fund is not subject to
any limit with respect to the number or the value of transactions it can
enter into with a single counterparty. To the extent that the Fund enters
into multiple transactions with a single or a small set of counterparties,
it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the historical and prospective earnings of
the obligor and the value of its assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited
to, |
floating
rate loans and mortgage-related securities, may occur at a slower rate
than expected and the expected maturity of those securities could lengthen
as a result. Securities that are subject to extension risk generally have
a greater potential for loss when prevailing interest rates rise, which
could cause their values to fall sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. The value of instruments with a negative duration will
generally decline if interest rates decrease. Inverse floaters,
interest-only and principal-only securities are especially sensitive to
interest rate changes, which can affect not only their prices but can also
change the income flows and repayment assumptions about those investments.
In recent years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any
replacement |
rate(s)
may adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the transition away from LIBOR may adversely
affect the Fund’s performance. |
• |
defaulted
securities risk: the significant risk of the uncertainty of
repayment of defaulted securities (e.g., a security on which a principal or
interest payment is not made when due) and obligations of distressed
issuers (including insolvent issuers or issuers in payment or covenant
default, in workout or restructuring or in bankruptcy or similar
proceedings). Such investments entail high risk and have speculative
characteristics. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the |
possibility
of currency blockages or transfer restrictions; an emerging market
country’s dependence on revenue from particular commodities or
international aid; and expropriation, nationalization or other adverse
political or economic developments. |
• |
financial
services risk: the risk that an investment in issuers in the
financial services sector or transactions with one or more counterparties
in the financial services sector may be adversely affected by, among other
things: (i) changes in governmental regulation, which may limit both
the amounts and the types of loans and other financial commitments
financial services companies can make, the interest rates and fees they
can charge, the scope of their activities, the prices they can charge and
the amount of capital they must maintain; (ii) fluctuations,
including as a result of interest rate changes or increased competition,
in the availability and cost of capital funds on which the profitability
of financial services companies is largely dependent;
(iii) deterioration of the credit markets; (iv) credit losses
resulting from financial difficulties of borrowers, especially when
financial services companies are exposed to non-diversified or
concentrated loan portfolios; (v) financial losses associated with
investment activities, especially when financial services companies are
exposed to financial leverage; (vi) the risk that any financial
services company experiences substantial declines in the valuations of its
assets, takes action to raise capital, or ceases operations;
(vii) the risk that a market shock or other unexpected market,
economic, political, regulatory, or other event might lead to a sudden
decline in the values of most or all companies in the financial services
sector; and (viii) the interconnectedness or interdependence among
financial services companies, including the risk that the financial
distress or failure of one financial services company may materially and
adversely affect a number of other financial services
companies. |
• |
foreign
currency risk: the risk that fluctuations in exchange rates
may adversely affect the value of the Fund’s investments denominated in
foreign currencies. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of transparency,
inadequate regulatory and accounting standards, delayed or
infrequent |
settlement
of transactions, and foreign taxes. If the Fund buys securities
denominated in a foreign currency, receives income in foreign currencies,
or holds foreign currencies from time to time, the value of the Fund’s
assets, as measured in U.S. dollars, can be affected unfavorably by
changes in exchange rates relative to the U.S. dollar or other foreign
currencies. Foreign markets are also subject to the risk that a foreign
government could restrict foreign exchange transactions or otherwise
implement unfavorable currency regulations. In addition, foreign
securities may be subject to currency exchange rates or regulations, the
imposition of economic sanctions or other government restrictions, higher
transaction and other costs, reduced liquidity, and delays in
settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental |
actions
or intervention, political, economic or market developments, or other
external factors, experience periods of high volatility and reduced
liquidity. During those periods, the Fund may experience high levels of
shareholder redemptions, and may have to sell securities at times when the
Fund would otherwise not do so, and potentially at unfavorable prices.
Certain securities may be difficult to value during such periods. Market
risk involves the risk that the value of the Fund’s investment portfolio
will change, potentially frequently and in large amounts, as the prices of
its investments go up or down. During periods of severe market stress, it
is possible that the market for some or all of a Fund’s investments may
become highly illiquid. These risks may be heightened for fixed income
securities due to the current low interest rate
environment. |
• |
portfolio
turnover risk: the risk that frequent purchases and sales of
portfolio securities may result in higher Fund expenses and may result in
larger distributions of taxable capital gains to investors as compared to
a fund that trades less frequently. |
• |
restricted
securities risk: the risk that the Fund may be prevented or
limited by law or the terms of an agreement from selling a security
(a “restricted security”). To
the extent that the Fund is permitted to sell a restricted security, there
can be no assurance that a trading market will exist at any particular
time, and the Fund may be unable to dispose of the security promptly at
reasonable prices or at all. The Fund may have to bear the expense of
registering the securities for resale and the risk of substantial delays
in effecting the registration. Also, restricted securities may be
difficult to value because market quotations may not be readily available,
and the values of restricted securities may have significant
volatility. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or related sectors. For example, the
values of securities of companies in the same or related sectors may be
negatively affected by the common characteristics they share, the common
business risks to which they are subject, common regulatory burdens, or
regulatory changes that affect them similarly. Such characteristics,
risks, burdens or changes |
include,
but are not limited to, changes in governmental regulation, inflation or
deflation, rising or falling interest rates, competition from new
entrants, and other economic, market, political or other developments
specific to that sector or related
sectors. |
• |
sovereign debt
obligations risk: the risk that investments in debt
obligations of sovereign governments may lose value due to the government
entity’s unwillingness or inability to repay principal and interest when
due in accordance with the terms of the debt or otherwise in a timely
manner. Sovereign governments may default on their debt obligations for a
number of reasons, including social, political, economic and diplomatic
changes in countries issuing sovereign debt. The Fund may have limited (or
no) recourse in the event of a default because bankruptcy, moratorium and
other similar laws applicable to issuers of sovereign debt obligations may
be substantially different from those applicable to private issuers, and
any recourse may be subject to the political climate in the relevant
country. In addition, foreign governmental entities may enjoy various
levels of sovereign immunity, and it may be difficult or impossible to
bring a legal action against a foreign governmental entity or to enforce a
judgment against such an entity. Holders of certain foreign government
debt securities may be requested to participate in the restructuring of
such obligations and to extend further loans to their issuers. There can
be no assurance that the foreign government debt securities in which the
Fund may invest will not be subject to similar restructuring arrangements
or to requests for new credit, which may adversely affect the Fund’s
holdings. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and
sold, |
and
thus, are not registered under the securities laws and may be thinly
traded or have a limited trading market and may have the effect of
increasing the Fund’s illiquidity, reducing the Fund’s income and the
value of the investment. At a particular point in time, the Fund may be
unable to find qualified buyers for these securities. Investments in
structured notes involve risks including interest rate risk, credit risk
and market risk. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect the underlying value of the Fund’s
portfolio, resulting in the dilution of shareholder
interests. |
Highest: | 14.80% | Quarter ended 6/30/2020 | ||
Lowest: | (15.79)% | Quarter ended 3/31/2020 |
Emerging Markets Fixed Income Fund |
One Year | Five Years | Ten Years |
Since Inception
(April 6, 2010) |
||||||||||||
Class I | ||||||||||||||||
Return
Before Taxes |
4.85% | 7.20% | 5.23% | 5.71% | ||||||||||||
Return
After Taxes on Distributions |
2.89% | 5.25% | 3.14% | 3.61% | ||||||||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
2.78% | 4.69% | 3.09% | 3.50% | ||||||||||||
Class N | ||||||||||||||||
Return
Before Taxes |
4.66% | 6.95% | 4.98% | 5.45% | ||||||||||||
J.P. Morgan Emerging Markets Bond (EMBI) Global
Diversified Index (reflects no deduction for fees, expenses or taxes) |
5.26% | 7.08% | 6.22% | 6.49% |
Name |
Experience
with
the
Fund |
Primary
Title with the
Investment
Adviser | ||
Luz M. Padilla | Since the Fund’s inception in April 2010 | Portfolio Manager | ||
Su Fei Koo | Since December 2015 | Portfolio Manager | ||
Mark W. Christensen | Since December 2015 | Portfolio Manager |
Share Class | Class I | Class N | Class R6 | |||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | None | |||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | None | |||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | None | |||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | None | None | None | |||
Fee for Redemption by Wire | $15 | $15 | $15 | |||
Exchange Fee | None | None | None | |||
Account Fee | None | None | None |
Share Class | Class I | Class N | Class R6 | |||||||||
Management Fees | 0.35% | 0.35% | 0.35% | |||||||||
Distribution and/or Service (12b-1) Fees | None | 0.25% | None | |||||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | 0.07% | 0.07% | 0.05% | |||||||||
Acquired Fund Fees and Expenses1 | 0.01% | 0.01% | 0.01% | |||||||||
Total Annual Fund Operating Expenses | 0.43% | 0.68% | 0.41% |
1 |
“Acquired
Fund Fees and Expenses” are expenses indirectly incurred by the Fund as a
result of its investments in one or more underlying funds, including ETFs
and money market funds. Because these costs are indirect, the Total Annual
Fund Operating Expenses in this fee table will not correlate to the
expense ratio in the Fund’s financial statements, since financial
statements only include direct costs of the Fund and not the indirect
costs of investing in the underlying funds. When the Fund invests in other
DoubleLine funds, the Adviser will waive its advisory fee in an amount
equal to the advisory fees paid by the other DoubleLine funds in respect
of Fund assets so invested. The Adviser waived advisory fees in an amount
less than 0.01% pursuant to this waiver agreement in respect of
investments made in other DoubleLine funds during the Fund’s most recent
fiscal year. The effects of this waiver are reflected in the table above.
This waiver agreement may be terminated at any time with the consent of
the Board of Trustees. |
Class I | Class N | Class R6 | ||||
1 Year | $44 | $69 | $42 | |||
3 Years | $138 | $218 | $132 | |||
5 Years | $241 | $379 | $230 | |||
10 Years | $542 | $847 | $518 |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions related to, among other things, the
selection of investments, portfolio construction, risk assessments, and/or
the outlook on market trends and
opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying a security in
which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
collateralized
debt obligations risk: the risks of an investment in a
collateralized debt obligation (“CDO”) depend largely on the quality and
type of the collateral and the tranche of the CDO in which the
Fund |
invests.
Normally, collateralized bond obligations (“CBOs”), CLOs and other CDOs are privately
offered and sold, and thus are not registered under the securities laws.
As a result, investments in CDOs may be illiquid. In addition to the risks
associated with debt instruments (e.g., interest rate risk and credit
risk), CDOs carry additional risks including, but not limited to:
(i) the possibility that distributions from collateral will not be
adequate to make interest or other payments; (ii) the quality of the
collateral may decline in value or default; (iii) the possibility
that the Fund may invest in CDOs that are subordinate to other classes of
the issuer’s securities; and (iv) the complex structure of the
security may not be fully understood at the time of investment and may
produce disputes with the issuer or unexpected investment
results. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be unable or unwilling
to perform its obligations; that the Fund will be unable to enforce
contractual remedies if its counterparty defaults; that if a counterparty
becomes bankrupt, the Fund may experience significant delays in obtaining
any recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations, the Fund is not subject to
any limit with respect to the number or the value of transactions it can
enter into with a single counterparty. To the extent that the Fund enters
into multiple transactions with a single or a small set of counterparties,
it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt |
securities
(commonly known as “junk bonds”), including floating rate loans, tend to
be particularly sensitive to these changes. The values of securities or
instruments also may decline for a number of other reasons that relate
directly to the obligor, such as management performance, financial
leverage, and reduced demand for the obligor’s goods and services, as well
as the historical and prospective earnings of the obligor and the value of
its assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject to extension risk
generally have a greater potential for loss when prevailing interest rates
rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. The value of instruments with a negative duration will
generally decline if interest rates decrease. Inverse floaters,
interest-only and principal-only securities are especially sensitive to
interest rate changes, which can affect not only their prices but can also
change the income flows and repayment assumptions about those investments.
In recent years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an |
investment
with as great a yield. Prepayments can therefore result in lower yields to
shareholders of the Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any replacement rate(s) may
adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the transition away from LIBOR may adversely
affect the Fund’s performance. |
• |
defaulted
securities risk: the significant risk of the uncertainty of
repayment of defaulted securities (e.g., a security on which a principal or
interest payment is not made when due) and obligations of distressed
issuers (including insolvent issuers or issuers in payment or covenant
default, in workout or restructuring or in bankruptcy or similar
proceedings). Such investments entail high risk and have speculative
characteristics. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
financial
services risk: the risk that an investment in issuers in the
financial services sector or transactions with one or more counterparties
in the financial services sector may be adversely affected by, among other
things: (i) changes in governmental regulation, which may limit both
the amounts and the types of loans and other financial commitments
financial services companies can make, the interest rates and fees they
can charge, the scope of their activities, the prices they can charge and
the amount of capital they must maintain; (ii) fluctuations,
including as a result of interest rate changes or increased competition,
in the availability and cost of capital funds on which the profitability
of financial services companies is largely dependent;
(iii) deterioration of the credit markets; (iv) credit losses
resulting from financial difficulties of borrowers, especially when
financial services companies are exposed to non-diversified or
concentrated loan portfolios; (v) financial losses associated with
investment activities, especially when financial services companies are
exposed to financial leverage; (vi) the risk that any financial
services company experiences substantial declines in the valuations of its
assets, takes action to raise capital, or ceases operations;
(vii) the risk that a market shock or other unexpected market,
economic, political, regulatory, or other event might lead to a sudden
decline in the values of most or all companies in the financial services
sector; and (viii) the interconnectedness or interdependence among
financial services companies, including the risk that the financial
distress or failure of one financial services company may materially and
adversely affect a number of other financial services
companies. |
• |
foreign
currency risk: the risk that fluctuations in exchange rates
may adversely affect the value of the Fund’s investments denominated in
foreign currencies. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of transparency,
inadequate regulatory and accounting standards, delayed or infrequent
settlement of transactions, and foreign taxes. If the Fund buys securities
denominated in a foreign currency, receives income in foreign currencies,
or holds foreign currencies from time to time, the value of the Fund’s
assets, as measured in U.S. dollars, can be affected unfavorably by
changes in exchange rates relative to the U.S. dollar or other foreign
currencies. Foreign markets are also subject to the risk that a foreign
government could restrict foreign exchange transactions or otherwise
implement unfavorable currency regulations. In addition, foreign
securities may be subject to currency exchange rates or regulations, the
imposition of economic sanctions or other government restrictions, higher
transaction and other costs, reduced liquidity, and delays in
settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
inflation-indexed bond risk: the
risk that such bonds will change in value in response to actual or
anticipated changes in inflation rates in a manner unanticipated by the
Fund’s portfolio management team or investors generally. Inflation-indexed
bonds are subject to debt securities
risks. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will
not |
achieve
its investment objective or execute its investment strategies effectively
or that significant purchase or redemption activity by shareholders of
such an investment company might negatively affect the value of its
shares. The Fund must pay its pro rata portion of an investment company’s
fees and expenses. To the extent the Adviser determines to invest Fund
assets in other investment companies, the Adviser will have an incentive
to invest in other DoubleLine funds over investment companies sponsored or
managed by others and to maintain such investments once made due to its
own financial interest in those products and other business
considerations. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
loan
risk: the risk that (i) if the Fund holds a loan
through another financial intermediary, or relies on a financial
intermediary to administer the loan, its receipt of principal and interest
on the loan may be subject to the credit risk of that financial
intermediary; (ii) any collateral securing a loan may be insufficient
or unavailable to the Fund, because, for example, the value of the
collateral securing a loan can decline, be insufficient to meet the
obligations of the borrower, or be difficult to liquidate, and the Fund’s
rights to collateral may be limited by bankruptcy or insolvency laws;
(iii) investments in highly leveraged loans or loans of stressed,
distressed, or defaulted issuers may be subject to significant credit and
liquidity risk; (iv) a bankruptcy or other court proceeding could
delay or limit the ability of the Fund to collect the principal and
interest payments on that borrower’s loans or adversely affect the Fund’s
rights in collateral relating to a loan; (v) there may be limited
public information available regarding the loan and the relevant
borrower(s); (vi) the use of a particular interest
rate |
benchmark,
such as LIBOR, may limit the Fund’s ability to achieve a net return to
shareholders that consistently approximates the average published Prime
Rate of U.S. banks; (vii) the prices of certain floating rate loans
that include a feature that prevents their interest rates from adjusting
if market interest rates are below a specified minimum level may
appreciate less than other instruments in response to changes in interest
rates should interest rates rise but remain below the applicable minimum
level; (viii) if a borrower fails to comply with various restrictive
covenants that may be found in loan agreements, the borrower may default
in payment of the loan; (ix) if the Fund invests in loans that
contain fewer or less restrictive constraints on the borrower than certain
other types of loans (“covenant-lite” loans), it may have fewer rights
against the borrowers of such loans, including fewer protections against
the possibility of default and fewer remedies in the event of default;
(x) the loan is unsecured; (xi) there is a limited secondary
market; (xii) transactions in loans may settle on a delayed basis,
and the Fund may not receive the proceeds from the sale of a loan for a
substantial period of time after the sale, which may result in sale
proceeds related to the sale of loans not being available to make
additional investments or to meet the Fund’s redemption obligations until
potentially a substantial period after the sale of the loans; and
(xiii) loans may be difficult to value and may be illiquid, which may
adversely affect an investment in the Fund. The Fund may invest in loans
directly or indirectly by investing in shares of the DoubleLine Floating
Rate Fund and in either case will be subject to the risks described
above. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
These risks |
may
be heightened for fixed income securities due to the current low interest
rate environment. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and that, during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the security. Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and principal-only securities, may
be extremely sensitive to changes in interest rates and prepayment rates.
The Fund may invest in mortgage-backed securities that are subordinate in
their right to receive payment of interest and repayment of principal to
other classes of the issuer’s securities. |
• |
preferred
securities risk: the risk that: (i) the terms of
certain preferred stocks contain provisions that allow an issuer under
certain conditions to skip or defer distributions; (ii) preferred
stocks may be subject to redemption, including at the issuer’s call, and,
in the event of redemption, the Fund may not be able to reinvest the
proceeds at comparable or favorable rates of return; (iii) preferred
stocks are generally subordinated to bonds and other debt securities in an
issuer’s capital structure in terms of priority for corporate income and
liquidation payments; and (iv) preferred stocks may trade less
frequently and in a more limited volume and may be subject to more abrupt
or erratic price movements than many other
securities. |
• |
real estate
risk: the risk that real estate-related investments may
decline in value as a result of factors affecting the real estate sector,
such as the supply of real property in certain markets, changes in zoning
laws, delays in completion of construction, changes in real estate values,
changes in property taxes, levels of occupancy, and local and regional
market conditions. Along with the risks common to different types of real
estate-related investments, real estate investment trusts (“REITs”), no matter the type, involve
additional risk factors, including poor performance by the REIT’s manager,
adverse changes to the tax laws, and the possible failure by the REIT to
qualify |
for
the favorable tax treatment available to REITs under the Internal Revenue
Code of 1986, as amended (the “Code”), or the exemption from
registration under the Investment Company Act of 1940, as amended (the
“1940 Act”). REITs are not
diversified and are heavily dependent on cash flow earned on the property
interests they hold. |
• |
restricted
securities risk: the risk that the Fund may be prevented or
limited by law or the terms of an agreement from selling a security (a
“restricted security”). To the
extent that the Fund is permitted to sell a restricted security, there can
be no assurance that a trading market will exist at any particular time,
and the Fund may be unable to dispose of the security promptly at
reasonable prices or at all. The Fund may have to bear the expense of
registering the securities for resale and the risk of substantial delays
in effecting the registration. Also, restricted securities may be
difficult to value because market quotations may not be readily available,
and the values of restricted securities may have significant
volatility. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or related sectors. For example, the
values of securities of companies in the same or related sectors may be
negatively affected by the common characteristics they share, the common
business risks to which they are subject, common regulatory burdens, or
regulatory changes that affect them similarly. Such characteristics,
risks, burdens or changes include, but are not limited to, changes in
governmental regulation, inflation or deflation, rising or falling
interest rates, competition from new entrants, and other economic, market,
political or other developments specific to that sector or related
sectors. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), |
changes
in interest rates and movement of the reference measure may cause
significant price and cash flow fluctuations. Application of a multiplier
is comparable to the use of financial leverage, a speculative technique.
Holders of structured products indirectly bear risks associated with the
reference measure, are subject to counterparty risk and typically do not
have direct rights against the reference measure. Structured products are
generally privately offered and sold, and thus, are not registered under
the securities laws and may be thinly traded or have a limited trading
market and may have the effect of increasing the Fund’s illiquidity,
reducing the Fund’s income and the value of the investment. At a
particular point in time, the Fund may be unable to find qualified buyers
for these securities. Investments in structured notes involve risks
including interest rate risk, credit risk and market
risk. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect the underlying value of the Fund’s
portfolio, resulting in the dilution of shareholder
interests. |
Highest: | 4.33% | Quarter ended 6/30/2020 | ||
Lowest: | (4.40)% | Quarter ended 3/31/2020 |
Low Duration Bond Fund | One Year | Five Years |
Since Inception
(September 30, 2011) |
|||||||||
Class I | ||||||||||||
Return
Before Taxes |
2.02% | 2.70% | 2.43% | |||||||||
Return
After Taxes on Distributions |
1.03% | 1.56% | 1.41% | |||||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
1.18% | 1.56% | 1.42% | |||||||||
Class N | ||||||||||||
Return
Before Taxes |
1.76% | 2.45% | 2.17% | |||||||||
Class R6(1) | ||||||||||||
Return
Before Taxes |
2.05% | 2.71% | 2.43% | |||||||||
ICE
BofA 1-3 Year U.S. Treasury Index
(reflects no deduction for fees, expenses or
taxes) |
3.10% | 1.90% | 1.26% | |||||||||
Bloomberg Barclays U.S. Aggregate 1-3 Year Bond
Index
(reflects no deduction for fees, expenses or
taxes) |
3.08% | 2.17% | 1.57% |
(1) |
Class
R6 shares were not available for purchase until July 31, 2019. The
performance shown for Class R6 shares prior to that date is that of the
Class I shares of the Fund, another class of the Fund that is invested in
the same portfolio of securities as Class R6 shares. Annual returns of
Class R6 shares would have differed from that shown for the period prior
to July 31, 2019 only to the extent that Class R6 shares and Class I
shares have different expenses. |
Name |
Experience
with
the
Fund |
Primary
Title with the
Investment
Adviser | ||
Luz M. Padilla | Since the Fund’s inception in September 2011 | Portfolio Manager | ||
Robert Cohen | Since September 2016 | Portfolio Manager | ||
Jeffrey E. Gundlach | Since July 2019 | Chief Executive Officer | ||
Jeffrey J. Sherman | Since July 2019 |
Deputy
Chief
Investment
Officer |
Share Class | Class I | Class N | ||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | ||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | ||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | ||
Redemption Fee (as a percentage of amount redeemed on shares held for 90 days or less) | 1.00% | 1.00% | ||
Fee for Redemption by Wire | $15 | $15 | ||
Exchange Fee | None | None | ||
Account Fee | None | None |
Share Class | Class I | Class N | ||||||
Management Fees | 0.50% | 0.50% | ||||||
Distribution and/or Service (12b-1) Fees | None | 0.25% | ||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | 0.22% | 0.23% | ||||||
Acquired Fund Fees and Expenses1 | 0.01% | 0.01% | ||||||
Total Annual Fund Operating Expenses | 0.73% | 0.99% |
1 |
“Acquired
Fund Fees and Expenses” are expenses indirectly incurred by the Fund as a
result of its investments in one or more underlying funds, including ETFs
and money market funds. Because these costs are indirect, the Total Annual
Fund Operating Expenses in this fee table will not correlate to the
expense ratio in the Fund’s financial statements, since financial
statements only include direct costs of the Fund and not the indirect
costs of investing in the underlying funds. |
Class I | Class N | |||
1 Year | $75 | $101 | ||
3 Years | $233 | $315 | ||
5 Years | $406 | $547 | ||
10 Years | $906 | $1,213 |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions related to, among other things, the
selection of investments, portfolio construction, risk assessments, and/or
the outlook on market trends and
opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying a security in
which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
collateralized
debt obligations risk: the risks of an investment in a
collateralized debt obligation (“CDO”) depend largely on the quality and
type of the collateral and the tranche of the CDO in which the Fund
invests. Normally, collateralized bond obligations (“CBOs”), CLOs and other CDOs are privately
offered and sold, and thus are not registered under the securities laws.
As a result, investments in CDOs may be illiquid. In addition to the risks
associated with debt instruments (e.g., interest rate risk and credit
risk), CDOs carry additional risks including, but not limited to:
(i) the possibility that distributions from collateral will not be
adequate to make interest or other payments; (ii) the quality of the
collateral may decline in value or default;
(iii) the |
possibility
that the Fund may invest in CDOs that are subordinate to other classes of
the issuer’s securities; and (iv) the complex structure of the
security may not be fully understood at the time of investment and may
produce disputes with the issuer or unexpected investment
results. |
• |
confidential
information access risk: the risk that the intentional or
unintentional receipt of material, non-public information (“Confidential Information”) by the Adviser
could limit the Fund’s ability to sell certain investments held by the
Fund or pursue certain investment opportunities on behalf of the Fund,
potentially for a substantial period of time. Also, certain issuers of
floating rate loans or other investments may not have any publicly traded
securities (“Private Issuers”) and
may offer private information pursuant to confidentiality agreements or
similar arrangements. The Adviser may access such private information,
while recognizing that the receipt of that information could potentially
limit the Fund’s ability to trade in certain securities, including if the
Private Issuer later issues publicly traded securities. In addition, in
circumstances when the Adviser declines to receive Confidential
Information from issuers of floating rate loans or other investments, the
Fund may be disadvantaged in comparison to other investors, including with
respect to evaluating the issuer and the price the Fund would pay or
receive when it buys or sells those investments, and the Fund may not take
advantage of investment opportunities that it otherwise might have if it
had received such Confidential Information. In managing the Fund, the
Adviser may seek to avoid the receipt of Confidential Information about
the issuers of floating rate loans or other investments being considered
for acquisition by the Fund or held in the Fund’s portfolio if the receipt
of the Confidential Information would restrict one or more of the
Adviser’s clients, including, potentially, the Fund, from trading in
securities they hold or in which they may
invest. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be unable or unwilling
to perform its obligations; that the Fund will be unable to enforce
contractual remedies if its counterparty defaults; that if a counterparty
becomes bankrupt, the Fund may experience significant delays in obtaining
any recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations,
the |
Fund
is not subject to any limit with respect to the number or the value of
transactions it can enter into with a single counterparty. To the extent
that the Fund enters into multiple transactions with a single or a small
set of counterparties, it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the historical and prospective earnings of
the obligor and the value of its assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject to extension risk
generally have a greater potential for loss when prevailing interest rates
rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt |
instrument
with positive duration will generally decline if interest rates increase.
Certain other investments, such as inverse floaters and certain derivative
instruments, may have a negative duration. The value of instruments with a
negative duration will generally decline if interest rates decrease.
Inverse floaters, interest-only and principal-only securities are
especially sensitive to interest rate changes, which can affect not only
their prices but can also change the income flows and repayment
assumptions about those investments. In recent years, the U.S. has
experienced historically low interest rates, increasing the exposure of
bond investors to the risks associated with rising interest
rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any replacement rate(s) may
adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the transition away from LIBOR may adversely
affect the Fund’s performance. |
• |
defaulted
securities risk: the significant risk of the uncertainty of
repayment of defaulted securities (e.g., a security on which a principal or
interest payment is not made when due) and obligations of distressed
issuers (including insolvent issuers or issuers in payment or covenant
default, in workout or restructuring or in bankruptcy or similar
proceedings). Such investments entail high risk and have speculative
characteristics. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
financial
services risk: the risk that an investment in issuers in the
financial services sector or transactions with one or more counterparties
in the financial services sector may be adversely affected by, among other
things: (i) changes in governmental regulation, which may limit both
the amounts and the types of loans and other financial commitments
financial services companies can make, the interest rates and fees they
can charge, the scope of their activities, the prices they can charge and
the amount of capital they must maintain; (ii) fluctuations,
including as a result of interest rate |
changes
or increased competition, in the availability and cost of capital funds on
which the profitability of financial services companies is largely
dependent; (iii) deterioration of the credit markets;
(iv) credit losses resulting from financial difficulties of
borrowers, especially when financial services companies are exposed to
non-diversified or concentrated loan portfolios; (v) financial losses
associated with investment activities, especially when financial services
companies are exposed to financial leverage; (vi) the risk that any
financial services company experiences substantial declines in the
valuations of its assets, takes action to raise capital, or ceases
operations; (vii) the risk that a market shock or other unexpected
market, economic, political, regulatory, or other event might lead to a
sudden decline in the values of most or all companies in the financial
services sector; and (viii) the interconnectedness or interdependence
among financial services companies, including the risk that the financial
distress or failure of one financial services company may materially and
adversely affect a number of other financial services
companies. |
• |
focused
investment risk: the risk that a fund that invests a
substantial portion of its assets in a particular market, industry,
sector, group of industries or sectors, country, region, group of
countries or asset class is, relative to a fund that invests in a more
diverse investment portfolio, more susceptible to any single economic,
market, political, regulatory or other occurrence. This is because, for
example, issuers in a particular market, industry, region, sector or asset
class may react similarly to specific economic, market, regulatory,
political or other developments. The particular markets, industries,
regions, sectors or asset classes in which the Fund may focus its
investments may change over time and the Fund may alter its focus at
inopportune times. |
• |
foreign
currency risk: the risk that fluctuations in exchange rates
may adversely affect the value of the Fund’s investments denominated in
foreign currencies. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of transparency,
inadequate regulatory and accounting standards, delayed or infrequent
settlement of transactions, and foreign taxes. If the Fund buys securities
denominated in a foreign currency, receives income
in |
foreign
currencies, or holds foreign currencies from time to time, the value of
the Fund’s assets, as measured in U.S. dollars, can be affected
unfavorably by changes in exchange rates relative to the U.S. dollar or
other foreign currencies. Foreign markets are also subject to the risk
that a foreign government could restrict foreign exchange transactions or
otherwise implement unfavorable currency regulations. In addition, foreign
securities may be subject to currency exchange rates or regulations, the
imposition of economic sanctions or other government restrictions, higher
transaction and other costs, reduced liquidity, and delays in
settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
inflation-indexed bond risk: the
risk that such bonds will change in value in response to actual or
anticipated changes in inflation rates in a manner unanticipated by the
Fund’s portfolio management team or investors generally. Inflation-indexed
bonds are subject to debt securities
risks. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to maintain such investments once made due to its own
financial interest in those products and other business
considerations. |
• |
large
shareholder risk: the risk that certain account holders,
including the Adviser or funds or accounts over which the Adviser (or
related |
parties
of the Adviser) has investment discretion, may from time to time own or
control a significant percentage of the Fund’s shares. The Fund is subject
to the risk that a redemption by those shareholders of all or a portion of
their Fund shares, including as a result of an asset allocation decision
made by the Adviser (or related parties of the Adviser), will adversely
affect the Fund’s performance if it is forced to sell portfolio securities
or invest cash when the Adviser would not otherwise choose to do so.
Redemptions of a large number of shares may affect the liquidity of the
Fund’s portfolio, increase the Fund’s transaction costs, and accelerate
the realization of taxable income and/or gains to
shareholders. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
loan
risk: the risk that (i) if the Fund holds a loan
through another financial intermediary, or relies on a financial
intermediary to administer the loan, its receipt of principal and interest
on the loan may be subject to the credit risk of that financial
intermediary; (ii) any collateral securing a loan may be insufficient
or unavailable to the Fund, because, for example, the value of the
collateral securing a loan can decline, be insufficient to meet the
obligations of the borrower, or be difficult to liquidate, and the Fund’s
rights to collateral may be limited by bankruptcy or insolvency laws;
(iii) investments in highly leveraged loans or loans of stressed,
distressed, or defaulted issuers may be subject to significant credit and
liquidity risk; (iv) a bankruptcy or other court proceeding could
delay or limit the ability of the Fund to collect the principal and
interest payments on that borrower’s loans or adversely affect the Fund’s
rights in collateral relating to a loan; (v) there may be limited
public information available regarding the
loan |
and
the relevant borrower(s); (vi) the use of a particular interest rate
benchmark, such as LIBOR, may limit the Fund’s ability to achieve a net
return to shareholders that consistently approximates the average
published Prime Rate of U.S. banks; (vii) the prices of certain
floating rate loans that include a feature that prevents their interest
rates from adjusting if market interest rates are below a specified
minimum level may appreciate less than other instruments in response to
changes in interest rates should interest rates rise but remain below the
applicable minimum level; (viii) if a borrower fails to comply with
various restrictive covenants that may be found in loan agreements, the
borrower may default in payment of the loan; (ix) if the Fund invests
in loans that contain fewer or less restrictive constraints on the
borrower than certain other types of loans (“covenant-lite” loans), it may
have fewer rights against the borrowers of such loans, including fewer
protections against the possibility of default and fewer remedies in the
event of default; (x) the loan is unsecured; (xi) there is a
limited secondary market; (xii) transactions in loans may settle on a
delayed basis, and the Fund may not receive the proceeds from the sale of
a loan for a substantial period of time after the sale, which may result
in sale proceeds related to the sale of loans not being available to make
additional investments or to meet the Fund’s redemption obligations until
potentially a substantial period after the sale of the loans; and
(xiii) loans may be difficult to value and may be illiquid, which may
adversely affect an investment in the
Fund. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
In such an event, the Fund may find it difficult to sell loans it holds,
and, for loans it is able to sell in such circumstances, the trade
settlement period may be longer than anticipated. These risks may be
heightened for |
fixed
income securities due to the current low interest rate
environment. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and that, during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the security. Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and principal-only securities, may
be extremely sensitive to changes in interest rates and prepayment rates.
The Fund may invest in mortgage-backed securities that are subordinate in
their right to receive payment of interest and repayment of principal to
other classes of the issuer’s securities. |
• |
portfolio
turnover risk: the risk that frequent purchases and sales of
portfolio securities may result in higher Fund expenses and may result in
larger distributions of taxable capital gains to investors as compared to
a fund that trades less frequently. |
• |
preferred
securities risk: the risk that: (i) the terms of
certain preferred stocks contain provisions that allow an issuer under
certain conditions to skip or defer distributions; (ii) preferred
stocks may be subject to redemption, including at the issuer’s call, and,
in the event of redemption, the Fund may not be able to reinvest the
proceeds at comparable or favorable rates of return; (iii) preferred
stocks are generally subordinated to bonds and other debt securities in an
issuer’s capital structure in terms of priority for corporate income and
liquidation payments; and (iv) preferred stocks may trade less
frequently and in a more limited volume and may be subject to more abrupt
or erratic price movements than many other
securities. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in
a |
particular
sector or related sectors, the Fund will be more susceptible to events or
factors affecting companies in that sector or related sectors. For
example, the values of securities of companies in the same or related
sectors may be negatively affected by the common characteristics they
share, the common business risks to which they are subject, common
regulatory burdens, or regulatory changes that affect them similarly. Such
characteristics, risks, burdens or changes include, but are not limited
to, changes in governmental regulation, inflation or deflation, rising or
falling interest rates, competition from new entrants, and other economic,
market, political or other developments specific to that sector or related
sectors. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and sold, and thus, are not
registered under the securities laws and may be thinly traded or have a
limited trading market and may have the effect of increasing the Fund’s
illiquidity, reducing the Fund’s income and the value of the investment.
At a particular point in time, the Fund may be unable to find qualified
buyers for these securities. Investments in structured notes involve risks
including interest rate risk, credit risk and market
risk. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the
Fund |
will
not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect the underlying value of the Fund’s
portfolio, resulting in the dilution of shareholder
interests. |
Highest: | 7.88% | Quarter ended 6/30/2020 | ||
Lowest: | (10.91)% | Quarter ended 3/31/2020 |
Floating Rate Fund | One Year | Five Years |
Since Inception
(February 1, 2013) |
|||||||||
Class I | ||||||||||||
Return
Before Taxes |
2.74% | 3.68% | 3.13% | |||||||||
Return
After Taxes on Distributions |
1.01% | 1.85% | 1.49% | |||||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
1.57% | 2.01% | 1.66% | |||||||||
Class N | ||||||||||||
Return
Before Taxes |
2.45% | 3.41% | 2.89% | |||||||||
S&P/LSTA
Leveraged Loan Index
(reflects no deduction for fees, expenses or
taxes) |
3.12% | 5.24% | 3.93% |
Name | Experience with the Fund |
Primary Title with the Investment Adviser | ||
Robert Cohen | Since the Fund’s inception in February 2013 | Director of Global Developed Credit | ||
Philip Kenney | Since July 2018 | Director of Corporate Research |
Share Class | Class I | Class N | Class R6 | |||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | None | |||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | None | |||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | None | |||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | None | None | None | |||
Fee for Redemption by Wire | $15 | $15 | $15 | |||
Exchange Fee | None | None | None | |||
Account Fee | None | None | None |
Share Class | Class I | Class N | Class R6 | |||||||||
Management Fees | 0.62% | 0.62% | 0.62% | |||||||||
Distribution and/or Service (12b-1) Fees | None | 0.25% | None | |||||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | 0.14% | 0.14% | 0.10% | |||||||||
Acquired Fund Fees and Expenses1 | 0.01% | 0.01% | 0.01% | |||||||||
Total Annual Fund Operating Expenses | 0.77% | 1.02% | 0.73% |
1 |
“Acquired
Fund Fees and Expenses” are expenses indirectly incurred by the Fund as a
result of its investments in one or more underlying funds, including ETFs
and money market funds. Because these costs are indirect, the Total Annual
Fund Operating Expenses in this fee table will not correlate to the
expense ratio in the Fund’s financial statements, since financial
statements only include direct costs of the Fund and not the indirect
costs of investing in the underlying funds. When the Fund invests in other
DoubleLine funds, the Adviser will waive its advisory fee in an amount
equal to the advisory fees paid by the other DoubleLine funds in respect
of Fund assets so invested. The Adviser waived advisory fees in the amount
of 0.03% pursuant to this waiver agreement in respect of investments made
in other DoubleLine funds during the Fund’s most recent fiscal year. The
effects of this waiver are reflected in the table above. This waiver
agreement may be terminated at any time with the consent of the Board of
Trustees. |
Class I | Class N | Class R6 | ||||
1 Year | $79 | $104 | $75 | |||
3 Years | $246 | $325 | $233 | |||
5 Years | $428 | $563 | $406 | |||
10 Years | $954 | $1,248 | $906 |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions related to, among other things, the
selection of investments, portfolio construction, risk assessments, and/or
the outlook on market trends and
opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying a security in
which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
cash position
risk: the risk that to the extent that the Fund holds assets
in cash, cash equivalents, and other short-term investments, the ability
of the Fund to meet its objective may be
limited. |
• |
collateralized
debt obligations risk: the risks of an investment in a
collateralized debt obligation (“CDO”) depend largely on the quality and
type of the collateral and the tranche of the CDO in which the Fund
invests. Normally, collateralized bond obligations (“CBOs”), CLOs and other CDOs are privately
offered and sold, and thus are not registered under the securities laws.
As a result, investments in CDOs may be illiquid. In addition to the risks
associated with debt instruments (e.g., interest rate risk and credit
risk), CDOs carry additional risks including, but not limited to:
(i) the possibility that distributions
from |
collateral
will not be adequate to make interest or other payments; (ii) the
quality of the collateral may decline in value or default; (iii) the
possibility that the Fund may invest in CDOs that are subordinate to other
classes of the issuer’s securities; and (iv) the complex structure of
the security may not be fully understood at the time of investment and may
produce disputes with the issuer or unexpected investment
results. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be unable or unwilling
to perform its obligations; that the Fund will be unable to enforce
contractual remedies if its counterparty defaults; that if a counterparty
becomes bankrupt, the Fund may experience significant delays in obtaining
any recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations, the Fund is not subject to
any limit with respect to the number or the value of transactions it can
enter into with a single counterparty. To the extent that the Fund enters
into multiple transactions with a single or a small set of counterparties,
it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the |
historical
and prospective earnings of the obligor and the value of its
assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject to extension risk
generally have a greater potential for loss when prevailing interest rates
rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. The value of instruments with a negative duration will
generally decline if interest rates decrease. Inverse floaters,
interest-only and principal-only securities are especially sensitive to
interest rate changes, which can affect not only their prices but can also
change the income flows and repayment assumptions about those investments.
In recent years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been |
historically
tied to LIBOR. LIBOR may also be a significant factor in determining
payment obligations under a derivative investment and may be used in other
ways that affect the Fund’s investment performance. Plans are underway to
phase out the use of LIBOR. The transition from LIBOR and the terms of any
replacement rate(s) may adversely affect transactions that use LIBOR as a
reference rate, financial institutions that engage in such transactions,
and the financial markets generally. As such, the transition away from
LIBOR may adversely affect the Fund’s
performance. |
• |
defaulted
securities risk: the significant risk of the uncertainty of
repayment of defaulted securities (e.g., a security on which a principal or
interest payment is not made when due) and obligations of distressed
issuers (including insolvent issuers or issuers in payment or covenant
default, in workout or restructuring or in bankruptcy or similar
proceedings). Such investments entail high risk and have speculative
characteristics. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
financial
services risk: the risk that an investment in issuers in the
financial services sector or transactions with one or more counterparties
in the financial services sector may be adversely affected by, among other
things: (i) changes in governmental regulation, which may limit both
the amounts and the types of loans and other financial commitments
financial services companies can make, the interest rates and fees they
can charge, the scope of their activities, the prices they can charge and
the amount of capital they must maintain; (ii) fluctuations,
including as a result of interest rate changes or increased competition,
in the availability and cost of capital funds on which the profitability
of financial services companies is largely dependent;
(iii) deterioration of the credit markets; (iv) credit losses
resulting from financial difficulties of borrowers, especially when
financial services companies are exposed to non-diversified or
concentrated loan portfolios; (v) financial losses associated with
investment activities, especially when financial services companies are
exposed to financial leverage; (vi) the risk that any financial
services company experiences substantial declines in the valuations of its
assets, takes action to raise capital, or ceases operations;
(vii) the risk that a market shock or other unexpected market,
economic, political, regulatory, or other event might lead to a sudden
decline in the values of most or all companies in the financial services
sector; and (viii) the interconnectedness or interdependence among
financial services companies, including the risk that the financial
distress or failure of one financial services company may materially and
adversely affect a number of other financial services
companies. |
• |
focused
investment risk: the risk that a fund that invests a
substantial portion of its assets in a particular market, industry,
sector, group of industries or sectors, country, region, group of
countries or asset class is, relative to a fund that invests in a more
diverse investment portfolio, more susceptible to any single economic,
market, political, regulatory |
or
other occurrence. This is because, for example, issuers in a particular
market, industry, region, sector or asset class may react similarly to
specific economic, market, regulatory, political or other developments.
The particular markets, industries, regions, sectors or asset classes in
which the Fund may focus its investments may change over time and the Fund
may alter its focus at inopportune times. |
• |
foreign
currency risk: the risk that fluctuations in exchange rates
may adversely affect the value of the Fund’s investments denominated in
foreign currencies. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of transparency,
inadequate regulatory and accounting standards, delayed or infrequent
settlement of transactions, and foreign taxes. If the Fund buys securities
denominated in a foreign currency, receives income in foreign currencies,
or holds foreign currencies from time to time, the value of the Fund’s
assets, as measured in U.S. dollars, can be affected unfavorably by
changes in exchange rates relative to the U.S. dollar or other foreign
currencies. Foreign markets are also subject to the risk that a foreign
government could restrict foreign exchange transactions or otherwise
implement unfavorable currency regulations. In addition, foreign
securities may be subject to currency exchange rates or regulations, the
imposition of economic sanctions or other government restrictions, higher
transaction and other costs, reduced liquidity, and delays in
settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
inflation-indexed bond risk: the
risk that such bonds will change in value in response to actual or
anticipated changes in inflation rates in |
a
manner unanticipated by the Fund’s portfolio management team or investors
generally. Inflation-indexed bonds are subject to debt securities
risks. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to maintain such investments once made due to its own
financial interest in those products and other business
considerations. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
loan
risk: the risk that (i) if the Fund holds a loan
through another financial intermediary, or relies on a financial
intermediary to administer the loan, its receipt of principal and interest
on the loan may be subject to the credit risk of that financial
intermediary; (ii) any collateral securing a loan may be insufficient
or unavailable to the Fund, because, for example, the value of the
collateral securing a loan can decline, be insufficient to meet the
obligations of the borrower, or be difficult to liquidate, and the Fund’s
rights to collateral may be limited by bankruptcy or insolvency laws;
(iii) investments in highly |
leveraged
loans or loans of stressed, distressed, or defaulted issuers may be
subject to significant credit and liquidity risk; (iv) a bankruptcy
or other court proceeding could delay or limit the ability of the Fund to
collect the principal and interest payments on that borrower’s loans or
adversely affect the Fund’s rights in collateral relating to a loan;
(v) there may be limited public information available regarding the
loan and the relevant borrower(s); (vi) the use of a particular
interest rate benchmark, such as LIBOR, may limit the Fund’s ability to
achieve a net return to shareholders that consistently approximates the
average published Prime Rate of U.S. banks; (vii) the prices of
certain floating rate loans that include a feature that prevents their
interest rates from adjusting if market interest rates are below a
specified minimum level may appreciate less than other instruments in
response to changes in interest rates should interest rates rise but
remain below the applicable minimum level; (viii) if a borrower fails
to comply with various restrictive covenants that may be found in loan
agreements, the borrower may default in payment of the loan; (ix) if
the Fund invests in loans that contain fewer or less restrictive
constraints on the borrower than certain other types of loans
(“covenant-lite” loans), it may have fewer rights against the borrowers of
such loans, including fewer protections against the possibility of default
and fewer remedies in the event of default; (x) the loan is
unsecured; (xi) there is a limited secondary market;
(xii) transactions in loans may settle on a delayed basis, and the
Fund may not receive the proceeds from the sale of a loan for a
substantial period of time after the sale, which may result in sale
proceeds related to the sale of loans not being available to make
additional investments or to meet the Fund’s redemption obligations until
potentially a substantial period after the sale of the loans; and
(xiii) loans may be difficult to value and may be illiquid, which may
adversely affect an investment in the Fund. The Fund may invest in loans
directly or indirectly by investing in shares of the DoubleLine Floating
Rate Fund and in either case will be subject to the risks described
above. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at |
unfavorable
prices. Certain securities may be difficult to value during such periods.
Market risk involves the risk that the value of the Fund’s investment
portfolio will change, potentially frequently and in large amounts, as the
prices of its investments go up or down. During periods of severe market
stress, it is possible that the market for some or all of a Fund’s
investments may become highly illiquid. These risks may be heightened for
fixed income securities due to the current low interest rate
environment. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and that, during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the security. Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and principal-only securities, may
be extremely sensitive to changes in interest rates and prepayment rates.
The Fund may invest in mortgage-backed securities that are subordinate in
their right to receive payment of interest and repayment of principal to
other classes of the issuer’s securities. |
• |
portfolio
turnover risk: the risk that frequent purchases and sales of
portfolio securities may result in higher Fund expenses and may result in
larger distributions of taxable capital gains to investors as compared to
a fund that trades less frequently. |
• |
preferred
securities risk: the risk that: (i) the terms of
certain preferred stocks contain provisions that allow an issuer under
certain conditions to skip or defer distributions; (ii) preferred
stocks may be subject to redemption, including at the issuer’s call, and,
in the event of redemption, the Fund may not be able to reinvest the
proceeds at comparable or favorable rates of return; (iii) preferred
stocks are generally subordinated to bonds and other debt securities in an
issuer’s capital structure in terms of priority for corporate income and
liquidation payments; and (iv) preferred stocks may trade less
frequently and in a more limited volume and may be subject to more abrupt
or erratic price movements than many other
securities. |
• |
real estate
risk: the risk that real estate-related investments may
decline in value as a result of factors affecting the real estate sector,
such as the supply of real property in certain markets, changes in zoning
laws, delays in completion of construction, changes in real estate values,
changes in property taxes, levels of occupancy, and local and regional
market conditions. Equity real estate investment trusts (“REITs”), which invest primarily in direct
fee ownership or leasehold ownership of real property and derive most of
their income from rents, are generally affected by changes in the values
of and incomes from the properties they own. Mortgage REITs invest mostly
in mortgages on real estate, which may secure, for example, construction,
development or long-term loans, and the main source of their income is
mortgage interest payments. Mortgage REITs may be affected by the credit
quality of the mortgage loans they hold. A hybrid REIT combines the
characteristics of equity REITs and mortgage REITs, generally by holding
both ownership interests and mortgage interests in real estate, and thus
may be subject to risks associated with both real estate ownership and
mortgage-related investments. Along with the risks common to different
types of real estate-related investments, REITs, no matter the type,
involve additional risk factors, including poor performance by the REIT’s
manager, adverse changes to the tax laws, and the possible failure by the
REIT to qualify for the favorable tax treatment available to REITs under
the Internal Revenue Code of 1986, as amended (the “Code”), or the exemption from
registration under the Investment Company Act of 1940, as amended (the
“1940 Act”). REITs are not
diversified and are heavily dependent on cash flow earned on the property
interests they hold. |
• |
restricted
securities risk: the risk that the Fund may be prevented or
limited by law or the terms of an agreement from selling a security (a
“restricted security”). To the
extent that the Fund is permitted to sell a restricted security, there can
be no assurance that a trading market will exist at any particular time,
and the Fund may be unable to dispose of the security promptly at
reasonable prices or at all. The Fund may have to bear the expense of
registering the securities for resale and the risk of substantial delays
in effecting the registration. Also, restricted securities may be
difficult to value because market quotations may not be readily available,
and the values of restricted securities may have significant
volatility. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of
the |
portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or related sectors. For example, the
values of securities of companies in the same or related sectors may be
negatively affected by the common characteristics they share, the common
business risks to which they are subject, common regulatory burdens, or
regulatory changes that affect them similarly. Such characteristics,
risks, burdens or changes include, but are not limited to, changes in
governmental regulation, inflation or deflation, rising or falling
interest rates, competition from new entrants, and other economic, market,
political or other developments specific to that sector or related
sectors. |
• |
short position
risk: the risk that an increase in the value of an
instrument, index or interest rate with respect to which the Fund has
established a short position will result in a loss to the
Fund. |
• |
sovereign debt
obligations risk: the risk that investments in debt
obligations of sovereign governments may lose value due to the government
entity’s unwillingness or inability to repay principal and interest when
due in accordance with the terms of the debt or otherwise in a timely
manner. Sovereign governments may default on their debt obligations for a
number of reasons, including social, political, economic and diplomatic
changes in countries issuing sovereign debt. The Fund may have limited (or
no) recourse in the event of a default because bankruptcy, moratorium and
other similar laws applicable to issuers of sovereign debt obligations may
be substantially different from those applicable to private issuers, and
any recourse may be subject to the political climate in the relevant
country. In addition, foreign governmental entities may enjoy various
levels of sovereign immunity, and it may be difficult or impossible to
bring a legal action against a foreign governmental entity or to enforce a
judgment against such an entity. Holders of certain foreign government
debt securities may be requested to participate in the restructuring of
such obligations and to extend further loans to their issuers. There can
be no assurance that the foreign government debt securities in which the
Fund may invest will not be subject to similar restructuring arrangements
or to requests for new credit, which may adversely affect the Fund’s
holdings. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among
other |
things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and sold, and thus, are not
registered under the securities laws and may be thinly traded or have a
limited trading market and may have the effect of increasing the Fund’s
illiquidity, reducing the Fund’s income and the value of the investment.
At a particular point in time, the Fund may be unable to find qualified
buyers for these securities. Investments in structured notes involve risks
including interest rate risk, credit risk and market
risk. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect the underlying value of the Fund’s
portfolio, resulting in the dilution of shareholder
interests. |
Highest: | 9.85% | Quarter ended 6/30/2020 | ||
Lowest: | (12.56)% | Quarter ended 3/31/2020 |
Flexible Income Fund | One Year | Five Years |
Since Inception
(April
7, 2014) |
|||||||||
Class I | ||||||||||||
Return
Before Taxes |
2.92% | 4.17% | 3.51% | |||||||||
Return
After Taxes on Distributions |
1.21% | 2.40% | 1.75% | |||||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
1.67% | 2.40% | 1.88% | |||||||||
Class N | ||||||||||||
Return
Before Taxes |
2.65% | 3.91% | 3.24% | |||||||||
Class R6(1) | ||||||||||||
Return
Before Taxes |
2.98% | 4.18% | 3.52% | |||||||||
ICE BofA 1-3 Year Eurodollar
Index (reflects no deduction for fees, expenses or taxes) |
3.85% | 2.83% | 2.31% | |||||||||
LIBOR
USD 3 Month
(reflects no deduction for fees, expenses or
taxes) |
0.75% | 1.48% | 1.18% |
(1) |
Class
R6 shares were not available for purchase until July 31, 2019. The
performance shown for Class R6 shares prior to that date is that of the
Class I shares of the Fund, another class of the Fund that is invested in
the same portfolio of securities as Class R6 shares. Annual returns of
Class R6 shares would have differed from that shown for the period prior
to July 31, 2019 only to the extent that Class R6 shares and Class I
shares have different expenses. |
Name | Experience with the Fund |
Primary Title with the Investment Adviser | ||
Jeffrey E. Gundlach | Since the Fund’s inception in April 2014 | Chief Executive Officer | ||
Jeffrey J. Sherman | Since September 2016 | Deputy Chief Investment Officer |
Share Class | Class I | Class N | ||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | ||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | ||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | ||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | None | None | ||
Fee for Redemption by Wire | $15 | $15 | ||
Exchange Fee | None | None | ||
Account Fee | None | None |
Share Class | Class I | Class N | ||||||
Management Fees | 0.50% | 0.50% | ||||||
Distribution and/or Service (12b-1) Fees | None | 0.25% | ||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | 0.16% | 0.16% | ||||||
Acquired Fund Fees and Expenses1 | 0.01% | 0.01% | ||||||
Total Annual Fund Operating Expenses | 0.67% | 0.92% | ||||||
Fee
Waiver and/or Expense Reimbursement2 |
(0.07% | ) | (0.07% | ) | ||||
Total
Annual Fund Operating Expenses After Fee Waiver and/or Expense
Reimbursement |
0.60% | 0.85% |
1 |
“Acquired
Fund Fees and Expenses” are expenses indirectly incurred by the Fund as a
result of its investments in one or more underlying funds, including ETFs
and money market funds. Because these costs are indirect, the Total Annual
Fund Operating Expenses in this fee table will not correlate to the
expense ratio in the Fund’s financial statements, since financial
statements only include direct costs of the Fund and not the indirect
costs of investing in the underlying funds. |
2 |
The
Adviser has contractually agreed to waive its investment advisory fee and
to reimburse the Fund for other ordinary operating expenses to the extent
necessary to limit ordinary operating expenses to an amount not to exceed
0.59% for Class I shares and 0.84% for Class N shares. Ordinary operating
expenses exclude taxes, commissions, mark-ups, litigation expenses,
indemnification expenses, interest expenses, Acquired Fund Fees and
Expenses, and any extraordinary expenses. These expense limitations will
apply until at least July 31, 2022, except that they may be
terminated by the Board of Trustees at any time. To the extent that the
Adviser waives its investment advisory fee and/or reimburses the Fund for
other ordinary operating expenses, it may seek reimbursement of a portion
or all of such amounts at any time within three fiscal years after the
fiscal year in which such amounts were waived or reimbursed. Any such
recoupment may not cause the Fund’s ordinary operating expenses to exceed
the expense limitation that was in place when the fees were waived or
expenses reimbursed. Additionally, the Adviser would generally seek
recoupment only in accordance with the terms of any expense limitation
that is in place at the time of recoupment. |
Class I | Class N | |||
1 Year | $61 | $87 | ||
3 Years | $207 | $286 | ||
5 Years | $366 | $502 | ||
10 Years | $828 | $1,125 |
• |
public
finances; |
• |
monetary
policy; |
• |
external
accounts; |
• |
financial
markets; |
• |
foreign
investment regulations; |
• |
stability
of exchange rate policy; and |
• |
labor
conditions. |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions related to, among other things, the
selection of investments, portfolio construction, risk assessments, and/or
the outlook on market trends and
opportunities. |
• |
cash position
risk: the risk that to the extent that the Fund holds assets
in cash, cash equivalents, and other short-term investments, the ability
of the Fund to meet its objective may be
limited. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be
unable |
or
unwilling to perform its obligations; that the Fund will be unable to
enforce contractual remedies if its counterparty defaults; that if a
counterparty becomes bankrupt, the Fund may experience significant delays
in obtaining any recovery under the derivative contract or may obtain
limited or no recovery in a bankruptcy or other insolvency proceeding.
Subject to certain U.S. federal income tax limitations, the Fund is not
subject to any limit with respect to the number or the value of
transactions it can enter into with a single counterparty. To the extent
that the Fund enters into multiple transactions with a single or a small
set of counterparties, it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the historical and prospective earnings of
the obligor and the value of its assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject to extension risk
generally have a greater potential for loss when prevailing interest rates
rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. The value of instruments with a negative duration will
generally decline if interest rates decrease. Inverse floaters,
interest-only and principal-only securities are especially sensitive to
interest rate changes, which can affect not only their prices but can also
change the income flows and repayment assumptions about those investments.
In recent years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any replacement rate(s) may
adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the transition away from LIBOR may adversely
affect the Fund’s performance. |
• |
defaulted
securities risk: the significant risk of the uncertainty of
repayment of defaulted securities (e.g., a security on which a principal or
interest payment is not made when due) and obligations of distressed
issuers (including insolvent issuers or issuers in payment or covenant
default, in workout or restructuring or in bankruptcy or similar
proceedings). Such investments entail high risk and have speculative
characteristics. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
financial
services risk: the risk that an investment in issuers in the
financial services sector or transactions with one or more counterparties
in the financial services sector may be adversely affected by, among other
things: (i) changes in governmental regulation, which may limit both
the amounts and the types of loans and other financial commitments
financial services companies can make, the interest rates and fees they
can charge, the scope of their activities, the prices they can charge and
the amount of capital they must maintain; (ii) fluctuations,
including as a result of interest rate changes or increased competition,
in the availability and cost of capital funds on which the profitability
of financial services companies is largely dependent;
(iii) deterioration of the credit markets; (iv) credit losses
resulting from financial difficulties of borrowers, especially when
financial services companies are exposed to non-diversified or
concentrated loan portfolios; (v) financial losses associated with
investment activities, especially when financial services companies are
exposed to financial leverage; (vi) the risk that any financial
services company experiences substantial declines in the valuations of its
assets, takes action to raise capital, or ceases operations;
(vii) the risk that a market shock or other unexpected market,
economic, political, regulatory, or other event might lead to a sudden
decline in the values of most or all companies in the financial services
sector; and (viii) the interconnectedness or interdependence among
financial services companies, including the risk that the financial
distress or failure of one financial services company may materially and
adversely affect a number of other financial services
companies. |
• |
foreign
currency risk: the risk that fluctuations in exchange rates
may adversely affect the value of the Fund’s investments denominated in
foreign currencies. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of transparency,
inadequate regulatory and accounting standards, delayed or infrequent
settlement of transactions, and foreign taxes. If the Fund buys securities
denominated in a foreign currency, receives income in foreign currencies,
or holds foreign currencies from time to time, the value of the Fund’s
assets, as measured in U.S. dollars, can be affected unfavorably by
changes in exchange rates relative to the U.S. dollar or other foreign
currencies. |
Foreign
markets are also subject to the risk that a foreign government could
restrict foreign exchange transactions or otherwise implement unfavorable
currency regulations. In addition, foreign securities may be subject to
currency exchange rates or regulations, the imposition of economic
sanctions or other government restrictions, higher transaction and other
costs, reduced liquidity, and delays in
settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
inflation-indexed bond risk: the
risk that such bonds will change in value in response to actual or
anticipated changes in inflation rates in a manner unanticipated by the
Fund’s portfolio management team or investors generally. Inflation-indexed
bonds are subject to debt securities
risks. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to maintain such investments once made due to its own
financial interest in those products and other business
considerations. |
• |
large
shareholder risk: the risk that certain account holders,
including the Adviser or funds or accounts over which the Adviser (or
related parties of the Adviser) has investment discretion, may from time
to time own or control a significant percentage of the Fund’s shares. The
Fund is subject to the risk that a redemption by those shareholders of all
or a portion of their Fund shares, including as a result of an
asset |
allocation
decision made by the Adviser (or related parties of the Adviser), will
adversely affect the Fund’s performance if it is forced to sell portfolio
securities or invest cash when the Adviser would not otherwise choose to
do so. Redemptions of a large number of shares may affect the liquidity of
the Fund’s portfolio, increase the Fund’s transaction costs, and
accelerate the realization of taxable income and/or gains to
shareholders. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
These risks may be heightened for fixed income securities due to the
current low interest rate environment. |
• |
portfolio
turnover risk: the risk that frequent purchases and sales of
portfolio securities may result in higher Fund expenses and may result in
larger distributions of taxable capital gains to investors as compared to
a fund that trades less frequently. |
• |
restricted
securities risk: the risk that the Fund may be prevented or
limited by law or the terms of an agreement from selling a security (a
“restricted security”). To the
extent that the Fund is permitted to sell a restricted security, there can
be no assurance that a trading market will exist at any particular time,
and the Fund may be unable to dispose of the security promptly at
reasonable prices or at all. The Fund may have to bear the expense of
registering the securities for resale and the risk of substantial delays
in effecting the registration. Also, restricted securities may be
difficult to value because market quotations may not be readily available,
and the values of restricted securities may have significant
volatility. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or related sectors. For example, the
values of securities of companies in the same or related sectors may be
negatively affected by the common characteristics they share, the common
business risks to which they are subject, common regulatory burdens, or
regulatory changes that affect them similarly. Such characteristics,
risks, burdens or changes include, but are not limited to, changes in
governmental regulation, inflation or deflation, rising or falling
interest rates, competition from new entrants, and other economic, market,
political or other developments specific to that sector or related
sectors. |
• |
sovereign debt
obligations risk: the risk that investments in debt
obligations of sovereign governments may lose value due to the government
entity’s unwillingness or inability to repay principal and interest when
due in accordance with the terms of the debt or otherwise in a timely
manner. Sovereign governments may default on their debt obligations for a
number of reasons, including social, political, economic and diplomatic
changes in countries issuing sovereign debt. The Fund may have limited (or
no) recourse in the event of a default because bankruptcy, moratorium and
other similar laws applicable to issuers of sovereign debt obligations may
be substantially different from those applicable to private issuers, and
any recourse may be subject to the political climate in the relevant
country. In addition, foreign governmental entities may enjoy various
levels of sovereign immunity, and it may be difficult or impossible to
bring a legal action against a |
foreign
governmental entity or to enforce a judgment against such an entity.
Holders of certain foreign government debt securities may be requested to
participate in the restructuring of such obligations and to extend further
loans to their issuers. There can be no assurance that the foreign
government debt securities in which the Fund may invest will not be
subject to similar restructuring arrangements or to requests for new
credit, which may adversely affect the Fund’s
holdings. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and sold, and thus, are not
registered under the securities laws and may be thinly traded or have a
limited trading market and may have the effect of increasing the Fund’s
illiquidity, reducing the Fund’s income and the value of the investment.
At a particular point in time, the Fund may be unable to find qualified
buyers for these securities. Investments in structured notes involve risks
including interest rate risk, credit risk and market
risk. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect the underlying value of the Fund’s
portfolio, resulting in the dilution of shareholder
interests. |
Highest: | 5.13% | Quarter ended 6/30/2020 | ||
Lowest: | (4.71)% | Quarter ended 3/31/2020 |
Low
Duration Emerging
Markets
Fixed Income Fund |
One Year | Five Years |
Since Inception
(April
7, 2014) |
|||||||||
Class I | ||||||||||||
Return
Before Taxes |
3.52% | 4.45% | 3.31% | |||||||||
Return
After Taxes on Distributions |
2.41% | 3.08% | 1.88% | |||||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
2.07% | 2.81% | 1.88% | |||||||||
Class N |
| |||||||||||
Return
Before Taxes |
3.27% | 4.20% | 3.06% | |||||||||
J.P. Morgan CEMBI Broad Diversified
1‑3 Year Index (reflects no deduction for fees, expenses or taxes) |
5.12% | 4.71% | 3.99% |
Name |
Experience with
the Fund |
Primary Title with the
Investment
Adviser | ||
Mark W. Christensen | Since the Fund’s inception in April 2014 | Portfolio Manager | ||
Su Fei Koo | Since the Fund’s inception in April 2014 | Portfolio Manager | ||
Luz M. Padilla | Since the Fund’s inception in April 2014 | Portfolio Manager |
Share Class | Class I | Class N | ||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | ||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | ||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | ||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | None | None | ||
Fee for Redemption by Wire | $15 | $15 | ||
Exchange Fee | None | None | ||
Account Fee | None | None |
Share Class | Class I | Class N | ||||||
Management Fees1 | 0.35% | 0.35% | ||||||
Distribution and/or Service (12b-1) Fees | None | 0.25% | ||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses)2 | 0.20% | 0.20% | ||||||
Total Annual Fund Operating Expenses | 0.55% | 0.80% | ||||||
Fee
Waiver and/or Expense Reimbursement3 |
(0.04% | ) | (0.04% | ) | ||||
Total
Annual Fund Operating Expenses After Fee Waiver and/or Expense
Reimbursement |
0.51% | 0.76% |
1 |
The
management fee has been restated to reflect current fees. Prior to
April 30, 2020, the contractual annual management fee rate for
DoubleLine Long Duration Total Return Bond Fund was 0.50%.
|
2 |
The
“Other Expenses” shown include Acquired Fund Fees and Expenses of 0.01% or
less. “Acquired Fund Fees and Expenses” are expenses indirectly
incurred by the Fund as a result of its investments in one or more
underlying funds, including ETFs and money market funds. Because these
costs are indirect, the Total Annual Fund Operating Expenses in this fee
table will not correlate to the expense ratio in the Fund’s financial
statements, since financial statements only include direct costs of the
Fund and not the indirect costs of investing in the underlying funds.
|
3 |
The
Adviser has contractually agreed to waive its investment advisory fee and
to reimburse the Fund for other ordinary operating expenses to the extent
necessary to limit ordinary operating expenses to an amount not to exceed
0.50% for Class I shares and 0.75% for Class N shares. Ordinary operating
expenses exclude taxes, commissions, mark-ups, litigation expenses,
indemnification expenses, interest expenses, Acquired Fund Fees and
Expenses, and any extraordinary expenses. These expense limitations will
apply until at least July 31, 2022, except that they may be
terminated by the Board of Trustees at any time. To the extent that the
Adviser waives its investment advisory fee and/or reimburses the Fund for
other ordinary operating expenses, it may seek reimbursement of a portion
or all of such amounts at any time within three fiscal years after the
fiscal year in which such amounts were waived or reimbursed. Any such
recoupment may not cause the Fund’s ordinary operating expenses to exceed
the expense limitation that was in place when the fees were waived or
expenses reimbursed. Additionally, the Adviser |
would generally seek recoupment only in accordance with the terms of any expense limitation that is in place at the time of recoupment. |
Class I | Class N | |||
1 Year | $52 | $78 | ||
3 Years | $172 | $251 | ||
5 Years | $303 | $440 | ||
10 Years | $685 | $986 |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions related to, among other things, the
selection of investments, portfolio construction, risk assessments, and/or
the outlook on market trends and
opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying a security in
which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
cash position
risk: the risk that to the extent that the Fund holds assets
in cash, cash equivalents, and other short-term investments, the ability
of the Fund to meet its objective may be
limited. |
• |
collateralized
debt obligations risk: the risks of an investment in a
collateralized debt obligation (“CDO”) depend largely on the quality and
type of the collateral and the tranche of the CDO in which the Fund
invests. Normally, collateralized bond obligations (“CBOs”), CLOs and other CDOs are privately
offered and sold, and thus are not registered under the securities laws.
As a result, investments in CDOs may be illiquid. In addition to the risks
associated with debt instruments (e.g., interest rate risk and credit
risk), CDOs carry additional risks including, but not limited to:
(i) the possibility that distributions
from |
collateral
will not be adequate to make interest or other payments; (ii) the
quality of the collateral may decline in value or default; (iii) the
possibility that the Fund may invest in CDOs that are subordinate to other
classes of the issuer’s securities; and (iv) the complex structure of
the security may not be fully understood at the time of investment and may
produce disputes with the issuer or unexpected investment
results. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be unable or unwilling
to perform its obligations; that the Fund will be unable to enforce
contractual remedies if its counterparty defaults; that if a counterparty
becomes bankrupt, the Fund may experience significant delays in obtaining
any recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations, the Fund is not subject to
any limit with respect to the number or the value of transactions it can
enter into with a single counterparty. To the extent that the Fund enters
into multiple transactions with a single or a small set of counterparties,
it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the |
historical
and prospective earnings of the obligor and the value of its
assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject to extension risk
generally have a greater potential for loss when prevailing interest rates
rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. The value of instruments with a negative duration will
generally decline if interest rates decrease. Inverse floaters,
interest-only and principal-only securities are especially sensitive to
interest rate changes, which can affect not only their prices but can also
change the income flows and repayment assumptions about those investments.
In recent years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been |
historically
tied to LIBOR. LIBOR may also be a significant factor in determining
payment obligations under a derivative investment and may be used in other
ways that affect the Fund’s investment performance. Plans are underway to
phase out the use of LIBOR. The transition from LIBOR and the terms of any
replacement rate(s) may adversely affect transactions that use LIBOR as a
reference rate, financial institutions that engage in such transactions,
and the financial markets generally. As such, the transition away from
LIBOR may adversely affect the Fund’s
performance. |
• |
defaulted
securities risk: the significant risk of the uncertainty of
repayment of defaulted securities (e.g., a security on which a principal or
interest payment is not made when due) and obligations of distressed
issuers (including insolvent issuers or issuers in payment or covenant
default, in workout or restructuring or in bankruptcy or similar
proceedings). Such investments entail high risk and have speculative
characteristics. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases
the |
likelihood
that the Fund will lose money, due to more limited information about the
issuer and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
financial
services risk: the risk that an investment in issuers in the
financial services sector or transactions with one or more counterparties
in the financial services sector may be adversely affected by, among other
things: (i) changes in governmental regulation, which may limit both
the amounts and the types of loans and other financial commitments
financial services companies can make, the interest rates and fees they
can charge, the scope of their activities, the prices they can charge and
the amount of capital they must maintain; (ii) fluctuations,
including as a result of interest rate changes or increased competition,
in the availability and cost of capital funds on which the profitability
of financial services companies is largely dependent;
(iii) deterioration of the credit markets; (iv) credit losses
resulting from financial difficulties of borrowers, especially when
financial services companies are exposed to non-diversified or
concentrated loan portfolios; (v) financial losses associated with
investment activities, especially when financial services companies are
exposed to financial leverage; (vi) the risk that any financial
services company experiences substantial declines in the valuations of its
assets, takes action to raise capital, or ceases operations;
(vii) the risk that a market shock or other unexpected market,
economic, political, regulatory, or other event might lead to a sudden
decline in the values of most or all companies in the financial services
sector; and (viii) the interconnectedness or interdependence among
financial services companies, including the risk that the financial
distress or failure of one financial services company may materially and
adversely affect a number of other financial services
companies. |
• |
focused
investment risk: the risk that a fund that invests a
substantial portion of its assets in a particular market, industry,
sector, group of industries or sectors, country, region, group of
countries or asset class is, relative to a fund that invests in a more
diverse investment portfolio, more susceptible to any single economic,
market, political, regulatory or other occurrence. This is because, for
example, issuers in a particular market, industry, region, sector or asset
class may react |
similarly
to specific economic, market, regulatory, political or other developments.
The particular markets, industries, regions, sectors or asset classes in
which the Fund may focus its investments may change over time and the Fund
may alter its focus at inopportune times. |
• |
foreign
currency risk: the risk that fluctuations in exchange rates
may adversely affect the value of the Fund’s investments denominated in
foreign currencies. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of transparency,
inadequate regulatory and accounting standards, delayed or infrequent
settlement of transactions, and foreign taxes. If the Fund buys securities
denominated in a foreign currency, receives income in foreign currencies,
or holds foreign currencies from time to time, the value of the Fund’s
assets, as measured in U.S. dollars, can be affected unfavorably by
changes in exchange rates relative to the U.S. dollar or other foreign
currencies. Foreign markets are also subject to the risk that a foreign
government could restrict foreign exchange transactions or otherwise
implement unfavorable currency regulations. In addition, foreign
securities may be subject to currency exchange rates or regulations, the
imposition of economic sanctions or other government restrictions, higher
transaction and other costs, reduced liquidity, and delays in
settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
inflation-indexed bond risk: the
risk that such bonds will change in value in response to actual or
anticipated changes in inflation rates in a manner unanticipated by the
Fund’s portfolio management team or investors generally. Inflation-indexed
bonds are subject to debt securities
risks. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to maintain such investments once made due to its own
financial interest in those products and other business
considerations. |
• |
large
shareholder risk: the risk that certain account holders,
including the Adviser or funds or accounts over which the Adviser (or
related parties of the Adviser) has investment discretion, may from time
to time own or control a significant percentage of the Fund’s shares. The
Fund is subject to the risk that a redemption by those shareholders of all
or a portion of their Fund shares, including as a result of an asset
allocation decision made by the Adviser (or related parties of the
Adviser), will adversely affect the Fund’s performance if it is forced to
sell portfolio securities or invest cash when the Adviser would not
otherwise choose to do so. Redemptions of a large number of shares may
affect the liquidity of the Fund’s portfolio, increase the Fund’s
transaction costs, and accelerate the realization of taxable income and/or
gains to shareholders. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
loan
risk: the risk that (i) if the Fund holds a loan
through another financial intermediary, or relies on a financial
intermediary to administer the loan, its receipt of principal and interest
on the loan may be subject to the credit risk of that financial
intermediary; (ii) any collateral securing a loan may be insufficient
or unavailable to the Fund, because, for example, the value of the
collateral securing a loan can decline, be insufficient to meet the
obligations of the borrower, or be difficult to liquidate, and the Fund’s
rights to collateral may be limited by bankruptcy or insolvency laws;
(iii) investments in highly leveraged loans or loans of stressed,
distressed, or defaulted issuers may be subject to significant credit and
liquidity risk; (iv) a bankruptcy or other court proceeding could
delay or limit the ability of the Fund to collect the principal and
interest payments on that borrower’s loans or adversely affect the Fund’s
rights in collateral relating to a loan; (v) there may be limited
public information available regarding the loan and the relevant
borrower(s); (vi) the use of a particular interest rate benchmark,
such as LIBOR, may limit the Fund’s ability to achieve a net return to
shareholders that consistently approximates the average published Prime
Rate of U.S. banks; (vii) the prices of certain floating rate loans
that include a feature that prevents their interest rates from adjusting
if market interest rates are below a specified minimum level may
appreciate less than other instruments in response to changes in interest
rates should interest rates rise but remain below the applicable minimum
level; (viii) if a borrower fails to comply with various restrictive
covenants that may be found in loan agreements, the borrower may default
in payment of the loan; (ix) if the Fund invests in loans that
contain fewer or less restrictive constraints on the borrower than certain
other types of loans (“covenant-lite” loans), it may have fewer rights
against the borrowers of such loans, including fewer protections against
the possibility of default and fewer remedies in the event of default;
(x) the loan is unsecured; (xi) there is a limited secondary
market; (xii) transactions in loans may settle on a delayed basis,
and the Fund may not receive the proceeds from the sale of a loan for a
substantial period of time after the sale, which may result in sale
proceeds related to the sale of loans not being available to make
additional investments or to meet the Fund’s redemption obligations until
potentially a substantial period after the sale of the loans; and
(xiii) loans may be difficult to value and may be illiquid, which may
adversely affect an investment in the
Fund. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or
other |
types
of investments. Markets may, in response to governmental actions or
intervention, political, economic or market developments, or other
external factors, experience periods of high volatility and reduced
liquidity. During those periods, the Fund may experience high levels of
shareholder redemptions, and may have to sell securities at times when the
Fund would otherwise not do so, and potentially at unfavorable prices.
Certain securities may be difficult to value during such periods. Market
risk involves the risk that the value of the Fund’s investment portfolio
will change, potentially frequently and in large amounts, as the prices of
its investments go up or down. During periods of severe market stress, it
is possible that the market for some or all of a Fund’s investments may
become highly illiquid. These risks may be heightened for fixed income
securities due to the current low interest rate
environment. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and that, during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the security. Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and principal-only securities, may
be extremely sensitive to changes in interest rates and prepayment rates.
The Fund may invest in mortgage-backed securities that are subordinate in
their right to receive payment of interest and repayment of principal to
other classes of the issuer’s securities. |
• |
portfolio
turnover risk: the risk that frequent purchases and sales of
portfolio securities may result in higher Fund expenses and may result in
larger distributions of taxable capital gains to investors as compared to
a fund that trades less frequently. |
• |
preferred
securities risk: the risk that: (i) the terms of
certain preferred stocks contain provisions that allow an issuer under
certain conditions to skip or defer distributions; (ii) preferred
stocks may be subject to redemption, including at the issuer’s call, and,
in the event of redemption, the Fund may not be able to reinvest the
proceeds at |
comparable
or favorable rates of return; (iii) preferred stocks are generally
subordinated to bonds and other debt securities in an issuer’s capital
structure in terms of priority for corporate income and liquidation
payments; and (iv) preferred stocks may trade less frequently and in
a more limited volume and may be subject to more abrupt or erratic price
movements than many other securities. |
• |
real estate
risk: the risk that real estate-related investments may
decline in value as a result of factors affecting the real estate sector,
such as the supply of real property in certain markets, changes in zoning
laws, delays in completion of construction, changes in real estate values,
changes in property taxes, levels of occupancy, and local and regional
market conditions. Along with the risks common to different types of real
estate-related investments, real estate investment trusts (“REITs”), no matter the type, involve
additional risk factors, including poor performance by the REIT’s manager,
adverse changes to the tax laws, and the possible failure by the REIT to
qualify for the favorable tax treatment available to REITs under the
Internal Revenue Code of 1986, as amended (the “Code”), or the exemption from
registration under the Investment Company Act of 1940, as amended (the
“1940 Act”). REITs are not
diversified and are heavily dependent on cash flow earned on the property
interests they hold. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or related sectors. For example, the
values of securities of companies in the same or related sectors may be
negatively affected by the common characteristics they share, the common
business risks to which they are subject, common regulatory burdens, or
regulatory changes that affect them similarly. Such characteristics,
risks, burdens or changes include, but are not limited to, changes in
governmental regulation, inflation or deflation, rising or falling
interest rates, competition from new entrants, and other economic, market,
political or other developments specific to that sector or related
sectors. |
• |
short position
risk: the risk that an increase in the value of an
instrument, index or interest rate with respect to which the Fund has
established a short position will result in a loss to the
Fund. |
• |
sovereign debt
obligations risk: the risk that investments in debt
obligations of sovereign governments may lose value due to the government
entity’s unwillingness or inability to repay principal and interest when
due in accordance with the terms of the debt or otherwise in a timely
manner. Sovereign governments may default on their debt obligations for a
number of reasons, including social, political, economic and diplomatic
changes in countries issuing sovereign debt. The Fund may have limited (or
no) recourse in the event of a default because bankruptcy, moratorium and
other similar laws applicable to issuers of sovereign debt obligations may
be substantially different from those applicable to private issuers, and
any recourse may be subject to the political climate in the relevant
country. In addition, foreign governmental entities may enjoy various
levels of sovereign immunity, and it may be difficult or impossible to
bring a legal action against a foreign governmental entity or to enforce a
judgment against such an entity. Holders of certain foreign government
debt securities may be requested to participate in the restructuring of
such obligations and to extend further loans to their issuers. There can
be no assurance that the foreign government debt securities in which the
Fund may invest will not be subject to similar restructuring arrangements
or to requests for new credit, which may adversely affect the Fund’s
holdings. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and sold, and thus, are not
registered under the securities laws and may be thinly traded or have a
limited trading market and may have the effect of increasing the Fund’s
illiquidity, reducing the Fund’s income and the value of the investment.
At a particular point in time, the Fund may be unable to find qualified
buyers for these securities. Investments
in |
structured
notes involve risks including interest rate risk, credit risk and market
risk. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect the underlying value of the Fund’s
portfolio, resulting in the dilution of shareholder
interests. |
Highest: | 15.82% | Quarter ended 3/31/2020 | ||
Lowest: | (10.10)% | Quarter ended 12/31/2016 |
Long
Duration Total
Return
Bond Fund |
One Year | Five Years |
Since Inception
(December 15, 2014) |
|||||||||
Class I | ||||||||||||
Return
Before Taxes |
14.11% | 6.51% | 5.60% | |||||||||
Return
After Taxes on Distributions |
10.35% | 4.60% | 3.79% | |||||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
8.79% | 4.27% | 3.58% | |||||||||
Class N |
| |||||||||||
Return
Before Taxes |
13.72% | 6.23% | 5.33% | |||||||||
Bloomberg Barclays U.S. Long Government/Credit
Index (reflects no deduction for fees, expenses or taxes) |
16.12% | 9.35% | 7.15% |
Name | Experience with the Fund |
Primary Title with the Investment Adviser | ||
Jeffrey E. Gundlach | Since the Fund’s inception in December 2014 | Chief Executive Officer | ||
Vitaliy Liberman | Since the Fund’s inception in December 2014 | Portfolio Manager |
Share Class | Class I | Class N | ||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | ||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | ||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | ||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | None | None | ||
Fee for Redemption by Wire | $15 | $15 | ||
Exchange Fee | None | None | ||
Account Fee | None | None |
Share Class | Class I | Class N | ||||||
Management Fees | 0.50% | 0.50% | ||||||
Distribution and/or Service (12b-1) Fees | None | 0.25% | ||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | 0.05% | 0.05% | ||||||
Acquired Fund Fees and Expenses1 | 0.01% | 0.01% | ||||||
Total Annual Fund Operating Expenses | 0.56% | 0.81% |
1 |
“Acquired
Fund Fees and Expenses” are expenses indirectly incurred by the Fund as a
result of its investments in one or more underlying funds, including ETFs
and money market funds. Because these costs are indirect, the Total Annual
Fund Operating Expenses in this fee table will not correlate to the
expense ratio in the Fund’s financial statements, since financial
statements only include direct costs of the Fund and not the indirect
costs of investing in the underlying funds. |
Class I | Class N | |||
1 Year | $57 | $83 | ||
3 Years | $179 | $259 | ||
5 Years | $313 | $450 | ||
10 Years | $701 | $1,002 |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions related to, among other things, the
selection of investments, portfolio construction, risk assessments, and/or
the outlook on market trends and
opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying a security in
which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
cash position
risk: the risk that to the extent that the Fund holds assets
in cash, cash equivalents, and other short-term investments, the ability
of the Fund to meet its objective may be
limited. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be unable or unwilling
to perform its obligations; that the Fund will be unable to enforce
contractual remedies if its counterparty defaults; that if
a |
counterparty
becomes bankrupt, the Fund may experience significant delays in obtaining
any recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations, the Fund is not subject to
any limit with respect to the number or the value of transactions it can
enter into with a single counterparty. To the extent that the Fund enters
into multiple transactions with a single or a small set of counterparties,
it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the historical and prospective earnings of
the obligor and the value of its assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject to extension risk
generally have a greater potential for loss when prevailing interest rates
rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of
an |
instrument
with a longer duration (whether positive or negative) will be more
sensitive to changes in interest rates than a similar instrument with a
shorter duration. Bonds and other debt instruments typically have a
positive duration. The value of a debt instrument with positive duration
will generally decline if interest rates increase. Certain other
investments, such as inverse floaters and certain derivative instruments,
may have a negative duration. The value of instruments with a negative
duration will generally decline if interest rates decrease. Inverse
floaters, interest-only and principal-only securities are especially
sensitive to interest rate changes, which can affect not only their prices
but can also change the income flows and repayment assumptions about those
investments. In recent years, the U.S. has experienced historically low
interest rates, increasing the exposure of bond investors to the risks
associated with rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any replacement rate(s) may
adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the transition away from LIBOR may adversely
affect the Fund’s performance. |
• |
defaulted
securities risk: the significant risk of the uncertainty of
repayment of defaulted securities (e.g., a security on which a principal or
interest payment is not made when due) and obligations
of |
distressed
issuers (including insolvent issuers or issuers in payment or covenant
default, in workout or restructuring or in bankruptcy or similar
proceedings). Such investments entail high risk and have speculative
characteristics. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
focused
investment risk: the risk that a fund that invests a
substantial portion of its assets in a particular market, industry,
sector, group of industries or sectors, country, region, group of
countries or asset class is, relative to a fund that invests in a more
diverse investment portfolio, |
more
susceptible to any single economic, market, political, regulatory or other
occurrence. This is because, for example, issuers in a particular market,
industry, region, sector or asset class may react similarly to specific
economic, market, regulatory, political or other developments. The
particular markets, industries, regions, sectors or asset classes in which
the Fund may focus its investments may change over time and the Fund may
alter its focus at inopportune times. |
• |
foreign
currency risk: the risk that fluctuations in exchange rates
may adversely affect the value of the Fund’s investments denominated in
foreign currencies. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of transparency,
inadequate regulatory and accounting standards, delayed or infrequent
settlement of transactions, and foreign taxes. If the Fund buys securities
denominated in a foreign currency, receives income in foreign currencies,
or holds foreign currencies from time to time, the value of the Fund’s
assets, as measured in U.S. dollars, can be affected unfavorably by
changes in exchange rates relative to the U.S. dollar or other foreign
currencies. Foreign markets are also subject to the risk that a foreign
government could restrict foreign exchange transactions or otherwise
implement unfavorable currency regulations. In addition, foreign
securities may be subject to currency exchange rates or regulations, the
imposition of economic sanctions or other government restrictions, higher
transaction and other costs, reduced liquidity, and delays in
settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
inflation-indexed bond risk: the
risk that such bonds will change in value in response to actual or
anticipated changes in inflation rates in |
a
manner unanticipated by the Fund’s portfolio management team or investors
generally. Inflation-indexed bonds are subject to debt securities
risks. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to maintain such investments once made due to its own
financial interest in those products and other business
considerations. |
• |
large
shareholder risk: the risk that certain account holders,
including the Adviser or funds or accounts over which the Adviser (or
related parties of the Adviser) has investment discretion, may from time
to time own or control a significant percentage of the Fund’s shares. The
Fund is subject to the risk that a redemption by those shareholders of all
or a portion of their Fund shares, including as a result of an asset
allocation decision made by the Adviser (or related parties of the
Adviser), will adversely affect the Fund’s performance if it is forced to
sell portfolio securities or invest cash when the Adviser would not
otherwise choose to do so. Redemptions of a large number of shares may
affect the liquidity of the Fund’s portfolio, increase the Fund’s
transaction costs, and accelerate the realization of taxable income and/or
gains to shareholders. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially
experience |
significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
loan
risk: the risk that (i) if the Fund holds a loan
through another financial intermediary, or relies on a financial
intermediary to administer the loan, its receipt of principal and interest
on the loan may be subject to the credit risk of that financial
intermediary; (ii) any collateral securing a loan may be insufficient
or unavailable to the Fund, because, for example, the value of the
collateral securing a loan can decline, be insufficient to meet the
obligations of the borrower, or be difficult to liquidate, and the Fund’s
rights to collateral may be limited by bankruptcy or insolvency laws;
(iii) investments in highly leveraged loans or loans of stressed,
distressed, or defaulted issuers may be subject to significant credit and
liquidity risk; (iv) a bankruptcy or other court proceeding could
delay or limit the ability of the Fund to collect the principal and
interest payments on that borrower’s loans or adversely affect the Fund’s
rights in collateral relating to a loan; (v) there may be limited
public information available regarding the loan and the relevant
borrower(s); (vi) the use of a particular interest rate benchmark,
such as LIBOR, may limit the Fund’s ability to achieve a net return to
shareholders that consistently approximates the average published Prime
Rate of U.S. banks; (vii) the prices of certain floating rate loans
that include a feature that prevents their interest rates from adjusting
if market interest rates are below a specified minimum level may
appreciate less than other instruments in response to changes in interest
rates should interest rates rise but remain below the applicable minimum
level; (viii) if a borrower fails to comply with various restrictive
covenants that may be found in loan agreements, the borrower may default
in payment of the loan; (ix) if the Fund invests in loans that
contain fewer or less restrictive constraints on the borrower than certain
other types of loans (“covenant-lite” loans), it may have fewer rights
against the borrowers of such loans, including fewer protections against
the possibility of default and fewer remedies in the event of default;
(x) the loan is unsecured; (xi) there is a limited secondary
market; (xii) transactions in loans may settle on a delayed basis,
and the Fund may not receive the proceeds from the sale of a loan for a
substantial period of time after the sale, which may result in sale
proceeds related to the sale of loans not being available to make
additional investments or to meet the Fund’s redemption obligations until
potentially a substantial period after the sale of the loans;
and |
(xiii) loans
may be difficult to value and may be illiquid, which may adversely affect
an investment in the Fund. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
These risks may be heightened for fixed income securities due to the
current low interest rate environment. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and that, during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the security. Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and principal-only securities, may
be extremely sensitive to changes in interest rates and prepayment rates.
The Fund may invest in mortgage-backed securities that are subordinate in
their right to receive payment of interest and repayment of principal to
other classes of the issuer’s securities. |
• |
non-diversification risk: the
risk that, because a relatively higher percentage of the Fund’s assets may
be invested in a limited number of issuers, the Fund may be more
susceptible to any single economic, political, or regulatory occurrence
than a diversified fund investing in a |
broader
range of issuers. A decline in the market value of one of the Fund’s
investments may affect the Fund’s value more than if the Fund were a
diversified fund. |
• |
portfolio
turnover risk: the risk that frequent purchases and sales of
portfolio securities may result in higher Fund expenses and may result in
larger distributions of taxable capital gains to investors as compared to
a fund that trades less frequently. |
• |
restricted
securities risk: the risk that the Fund may be prevented or
limited by law or the terms of an agreement from selling a security (a
“restricted security”). To the
extent that the Fund is permitted to sell a restricted security, there can
be no assurance that a trading market will exist at any particular time,
and the Fund may be unable to dispose of the security promptly at
reasonable prices or at all. The Fund may have to bear the expense of
registering the securities for resale and the risk of substantial delays
in effecting the registration. Also, restricted securities may be
difficult to value because market quotations may not be readily available,
and the values of restricted securities may have significant
volatility. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or related sectors. For example, the
values of securities of companies in the same or related sectors may be
negatively affected by the common characteristics they share, the common
business risks to which they are subject, common regulatory burdens, or
regulatory changes that affect them similarly. Such characteristics,
risks, burdens or changes include, but are not limited to, changes in
governmental regulation, inflation or deflation, rising or falling
interest rates, competition from new entrants, and other economic, market,
political or other developments specific to that sector or related
sectors. |
• |
short position
risk: the risk that an increase in the value of an
instrument, index or interest rate with respect to which the Fund has
established a short position will result in a loss to the
Fund. |
• |
sovereign debt
obligations risk: the risk that investments in debt
obligations of sovereign governments may lose value due to
the |
government
entity’s unwillingness or inability to repay principal and interest when
due in accordance with the terms of the debt or otherwise in a timely
manner. Sovereign governments may default on their debt obligations for a
number of reasons, including social, political, economic and diplomatic
changes in countries issuing sovereign debt. The Fund may have limited (or
no) recourse in the event of a default because bankruptcy, moratorium and
other similar laws applicable to issuers of sovereign debt obligations may
be substantially different from those applicable to private issuers, and
any recourse may be subject to the political climate in the relevant
country. In addition, foreign governmental entities may enjoy various
levels of sovereign immunity, and it may be difficult or impossible to
bring a legal action against a foreign governmental entity or to enforce a
judgment against such an entity. Holders of certain foreign government
debt securities may be requested to participate in the restructuring of
such obligations and to extend further loans to their issuers. There can
be no assurance that the foreign government debt securities in which the
Fund may invest will not be subject to similar restructuring arrangements
or to requests for new credit, which may adversely affect the Fund’s
holdings. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and sold, and thus, are not
registered under the securities laws and may be thinly traded or have a
limited trading market and may have the effect of increasing the Fund’s
illiquidity, reducing the Fund’s income and the value of the investment.
At a particular point in time, the Fund may be unable to find qualified
buyers for these securities. Investments in structured notes involve risks
including interest rate risk, credit risk and market
risk. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect the underlying value of the Fund’s
portfolio, resulting in the dilution of shareholder
interests. |
Highest: | 5.63% | Quarter ended 3/31/2016 | ||
Lowest: | (7.87)% | Quarter ended 12/31/2016 |
Global Bond Fund | One Year | Five Year |
Since Inception
(December 17, 2015) |
|||||||||
Class I | ||||||||||||
Return
Before Taxes |
4.80% | 2.79% | 2.67% | |||||||||
Return
After Taxes on Distributions |
4.41% | 2.37% | 2.25% | |||||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
3.12% | 1.99% | 1.90% | |||||||||
Class N |
| |||||||||||
Return
Before Taxes |
4.51% | 2.52% | 2.40% | |||||||||
FTSE World Government Bond Index
(WGBI) (reflects no deduction for fees, expenses or taxes) |
10.11% | 4.78% | 4.82% |
Name | Experience with the Fund |
Primary Title with the Investment Adviser | ||
Jeffrey E. Gundlach | Since the Fund’s inception in December 2015 | Chief Executive Officer | ||
William Campbell | Since July 2016 | Portfolio Manager | ||
Valerie Ho | Since July 2016 | Portfolio Manager |
Share Class | Class I | Class N | ||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | ||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | ||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | ||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | None | None | ||
Fee for Redemption by Wire | $15 | $15 | ||
Exchange Fee | None | None | ||
Account Fee | None | None |
Share Class | Class I | Class N | ||||||
Management Fees | 0.15% | 0.15% | ||||||
Distribution and/or Service (12b-1) Fees | None | 0.25% | ||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | 0.10% | 0.10% | ||||||
Acquired Fund Fees and Expenses1 | 0.01% | 0.01% | ||||||
Total Annual Fund Operating Expenses | 0.26% | 0.51% |
1 |
“Acquired
Fund Fees and Expenses” are expenses indirectly incurred by the Fund as a
result of its investments in one or more underlying funds, including ETFs
and money market funds. Because these costs are indirect, the Total Annual
Fund Operating Expenses in this fee table will not correlate to the
expense ratio in the Fund’s financial statements, since financial
statements only include direct costs of the Fund and not the indirect
costs of investing in the underlying funds. |
Class I | Class N | |||
1 Year | $27 | $52 | ||
3 Years | $84 | $164 | ||
5 Years | $146 | $285 | ||
10 Years | $331 | $640 |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions related to, among other things, the
selection of investments, portfolio construction, risk assessments, and/or
the outlook on market trends and
opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying
a |
security
in which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
commercial
paper risk: the risk that the issuer of commercial paper
cannot issue enough new commercial paper to satisfy its obligations with
respect to its outstanding commercial paper, also known as rollover risk.
Commercial paper is generally unsecured, which increases the credit risk
associated with this type of investment. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be unable or unwilling
to perform its obligations; that the Fund will be unable to enforce
contractual remedies if its counterparty defaults; that if a counterparty
becomes bankrupt, the Fund may experience significant delays in obtaining
any recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations, the Fund is not subject to
any limit with respect to the number or the value of transactions it can
enter into with a single counterparty. To the extent that the Fund enters
into multiple transactions with a single or a small set of counterparties,
it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and
reduced |
demand
for the obligor’s goods and services, as well as the historical and
prospective earnings of the obligor and the value of its
assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject to extension risk
generally have a greater potential for loss when prevailing interest rates
rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. The value of instruments with a negative duration will
generally decline if interest rates decrease. Inverse floaters,
interest-only and principal-only securities are especially sensitive to
interest rate changes, which can affect not only their prices but can also
change the income flows and repayment assumptions about those investments.
In recent years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or |
other
transactions to which the Fund may be a party have been historically tied
to LIBOR. LIBOR may also be a significant factor in determining payment
obligations under a derivative investment and may be used in other ways
that affect the Fund’s investment performance. Plans are underway to phase
out the use of LIBOR. The transition from LIBOR and the terms of any
replacement rate(s) may adversely affect transactions that use LIBOR as a
reference rate, financial institutions that engage in such transactions,
and the financial markets generally. As such, the transition away from
LIBOR may adversely affect the Fund’s
performance. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
financial
services risk: the risk that an investment in issuers in the
financial services sector or transactions with one or more counterparties
in the financial services sector may be adversely affected by, among other
things: (i) changes in governmental regulation, which may limit both
the amounts and the types of loans and other financial commitments
financial services companies can make, the interest rates and fees they
can charge, the scope of their activities, the prices they can charge and
the amount of capital they |
must
maintain; (ii) fluctuations, including as a result of interest rate
changes or increased competition, in the availability and cost of capital
funds on which the profitability of financial services companies is
largely dependent; (iii) deterioration of the credit markets;
(iv) credit losses resulting from financial difficulties of
borrowers, especially when financial services companies are exposed to
non-diversified or concentrated loan portfolios; (v) financial losses
associated with investment activities, especially when financial services
companies are exposed to financial leverage; (vi) the risk that any
financial services company experiences substantial declines in the
valuations of its assets, takes action to raise capital, or ceases
operations; (vii) the risk that a market shock or other unexpected
market, economic, political, regulatory, or other event might lead to a
sudden decline in the values of most or all companies in the financial
services sector; and (viii) the interconnectedness or interdependence
among financial services companies, including the risk that the financial
distress or failure of one financial services company may materially and
adversely affect a number of other financial services
companies. |
• |
inflation-indexed bond risk: the
risk that such bonds will change in value in response to actual or
anticipated changes in inflation rates in a manner unanticipated by the
Fund’s portfolio management team or investors generally. Inflation-indexed
bonds are subject to debt securities
risks. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to maintain such investments once made due to its own
financial interest in those products and other business
considerations. |
• |
large
shareholder risk: the risk that certain account holders,
including the Adviser or funds or accounts over which the Adviser (or
related parties of the Adviser) has investment discretion, may from time
to time own or control a significant percentage of the Fund’s shares.
The |
Fund
is subject to the risk that a redemption by those shareholders of all or a
portion of their Fund shares, including as a result of an asset allocation
decision made by the Adviser (or related parties of the Adviser), will
adversely affect the Fund’s performance if it is forced to sell portfolio
securities or invest cash when the Adviser would not otherwise choose to
do so. Redemptions of a large number of shares may affect the liquidity of
the Fund’s portfolio, increase the Fund’s transaction costs, and
accelerate the realization of taxable income and/or gains to
shareholders. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
These risks may be heightened for fixed income securities due to the
current low interest rate environment. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and
that, |
during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the security. Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and principal-only securities, may
be extremely sensitive to changes in interest rates and prepayment rates.
The Fund may invest in mortgage-backed securities that are subordinate in
their right to receive payment of interest and repayment of principal to
other classes of the issuer’s securities. |
• |
preferred
securities risk: the risk that: (i) the terms of
certain preferred stocks contain provisions that allow an issuer under
certain conditions to skip or defer distributions; (ii) preferred
stocks may be subject to redemption, including at the issuer’s call, and,
in the event of redemption, the Fund may not be able to reinvest the
proceeds at comparable or favorable rates of return; (iii) preferred
stocks are generally subordinated to bonds and other debt securities in an
issuer’s capital structure in terms of priority for corporate income and
liquidation payments; and (iv) preferred stocks may trade less
frequently and in a more limited volume and may be subject to more abrupt
or erratic price movements than many other
securities. |
• |
real estate
risk: the risk that real estate-related investments may
decline in value as a result of factors affecting the real estate sector,
such as the supply of real property in certain markets, changes in zoning
laws, delays in completion of construction, changes in real estate values,
changes in property taxes, levels of occupancy, and local and regional
market conditions. Along with the risks common to different types of real
estate-related investments, real estate investment trusts (“REITs”), no matter the type, involve
additional risk factors, including poor performance by the REIT’s manager,
adverse changes to the tax laws, and the possible failure by the REIT to
qualify for the favorable tax treatment available to REITs under the
Internal Revenue Code of 1986, as amended (the “Code”), or the exemption from
registration under the Investment Company Act of 1940, as amended (the
“1940 Act”). REITs are not
diversified and are heavily dependent on cash flow earned on the property
interests they hold. |
• |
restricted
securities risk: the risk that the Fund may be prevented or
limited by law or the terms of an agreement from selling a security (a
“restricted security”). To the
extent that the Fund is permitted to sell a restricted security, there can
be no assurance that a trading market will exist at any particular time,
and the Fund may be unable to dispose of the security promptly at
reasonable prices or at all. The Fund may have to bear the expense of
registering the securities for resale and the risk of substantial delays
in effecting the registration. Also, restricted securities may be
difficult to value because market quotations may not be readily available,
and the values of restricted securities may have significant
volatility. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or related sectors. For example, the
values of securities of companies in the same or related sectors may be
negatively affected by the common characteristics they share, the common
business risks to which they are subject, common regulatory burdens, or
regulatory changes that affect them similarly. Such characteristics,
risks, burdens or changes include, but are not limited to, changes in
governmental regulation, inflation or deflation, rising or falling
interest rates, competition from new entrants, and other economic, market,
political or other developments specific to that sector or related
sectors. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the
reference |
measure.
Structured products are generally privately offered and sold, and thus,
are not registered under the securities laws and may be thinly traded or
have a limited trading market and may have the effect of increasing the
Fund’s illiquidity, reducing the Fund’s income and the value of the
investment. At a particular point in time, the Fund may be unable to find
qualified buyers for these securities. Investments in structured notes
involve risks including interest rate risk, credit risk and market
risk. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect the underlying value of the Fund’s
portfolio, resulting in the dilution of shareholder
interests. |
Highest: | 2.36% | Quarter ended 6/30/2020 | ||
Lowest: | (1.93)% | Quarter ended 3/31/2020 |
Ultra Short Bond Fund | One Year |
Since Inception
(June
30, 2016) |
||||||
Class I | ||||||||
Return
Before Taxes |
0.86% | 1.50% | ||||||
Return
After Taxes on Distributions |
0.51% | 0.93% | ||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
0.51% | 0.90% | ||||||
Class N | ||||||||
Return
Before Taxes |
0.60% | 1.28% | ||||||
ICE BofA 3-Month U.S. Treasury Bill
Index (reflects no deduction for fees, expenses or taxes) |
0.67% | 1.30% |
Name |
Experience
with
the
Fund |
Primary Title with the Investment Adviser | ||
Jeffrey Lee | Since the Fund’s inception in June 2016 | Portfolio Manager | ||
Monica Erickson | Since September 2016 | Portfolio Manager |
Share Class | Class I | Class N | ||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | ||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | ||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | ||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | None | None | ||
Fee for Redemption by Wire | $15 | $15 | ||
Exchange Fee | None | None | ||
Account Fee | None | None |
Share Class | Class I | Class N | ||||||
Management Fees | 0.50% | 0.50% | ||||||
Distribution and/or Service (12b-1) Fees | None | 0.25% | ||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | 0.06% | 0.06% | ||||||
Acquired Fund Fees and Expenses1 | 0.01% | 0.01% | ||||||
Total Annual Fund Operating Expenses | 0.57% | 0.82% |
1 |
“Acquired
Fund Fees and Expenses” are expenses indirectly incurred by the Fund as a
result of its investments in one or more underlying funds, including ETFs
and money market funds. Because these costs are indirect, the Total Annual
Fund Operating Expenses in this fee table will not correlate to the
expense ratio in the Fund’s financial statements, since financial
statements only include direct costs of the Fund and not the indirect
costs of investing in the underlying funds. |
Class I | Class N | |||
1 Year | $58 | $84 | ||
3 Years | $183 | $262 | ||
5 Years | $318 | $455 | ||
10 Years | $714 | $1,014 |
• |
by
companies or other issuers to finance (or re-finance) the ownership,
development, construction, maintenance, renovation, enhancement, or
operation of infrastructure assets; |
• |
by
companies or other issuers that invest in, own, lease or hold
infrastructure assets; and |
• |
by
companies or other issuers that operate infrastructure assets or provide
services, products or raw materials related to the development,
construction, maintenance, renovation, enhancement or operation of
infrastructure assets. |
• |
transportation
(e.g., airports, metro systems,
subways, railroads, ports, toll roads); |
• |
transportation
equipment (e.g., shipping,
aircraft, railcars, containers); |
• |
electric
utilities and power (e.g., power
generation, transmission and
distribution); |
• |
energy
(e.g., exploration and production,
pipeline, storage, refining and distribution of energy), including
renewable energies (e.g., wind,
solar, hydro, geothermal); |
• |
communication
networks and equipment; |
• |
water
and sewage treatment; |
• |
social
infrastructure (e.g., health care
facilities, government buildings and other public service facilities);
and |
• |
metals,
mining, and other resources and services related to infrastructure assets
(e.g., cement, chemical
companies). |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to |
produce
the intended results, and Fund’s portfolio may underperform other
comparable funds because of portfolio management decisions related to,
among other things, the selection of investments, portfolio construction,
risk assessments, and/or the outlook on market trends and
opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying a security in
which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
cash position
risk: the risk that to the extent that the Fund holds assets
in cash, cash equivalents, and other short-term investments, the ability
of the Fund to meet its objective may be
limited. |
• |
confidential
information access risk: the risk that the intentional or
unintentional receipt of material, non-public information (“Confidential Information”) by the Adviser
could limit the Fund’s ability to sell certain investments held by the
Fund or pursue certain investment opportunities on behalf of the Fund,
potentially for a substantial period of time. Also, certain issuers of
floating rate loans or other investments may not have any publicly traded
securities (“Private Issuers”) and
may offer private information pursuant to confidentiality agreements or
similar arrangements. The Adviser may access such private information,
while recognizing that the receipt of that information could potentially
limit the Fund’s ability to trade in certain securities, including if the
Private Issuer later issues publicly traded securities. In addition, in
circumstances when the Adviser declines to receive Confidential
Information from issuers of floating rate loans or other investments, the
Fund may be disadvantaged in comparison to other investors, including with
respect to evaluating the issuer and the price the Fund would pay or
receive when it buys or sells those investments, and the Fund may not take
advantage of investment opportunities that it otherwise might have if it
had received such Confidential Information. In managing the Fund, the
Adviser may seek to avoid the receipt of Confidential Information about
the issuers of floating rate loans or other investments being considered
for acquisition by the Fund or held in the Fund’s portfolio if the receipt
of the Confidential Information would restrict one or more of
the |
Adviser’s
clients, including, potentially, the Fund, from trading in securities they
hold or in which they may invest. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be unable or unwilling
to perform its obligations; that the Fund will be unable to enforce
contractual remedies if its counterparty defaults; that if a counterparty
becomes bankrupt, the Fund may experience significant delays in obtaining
any recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations, the Fund is not subject to
any limit with respect to the number or the value of transactions it can
enter into with a single counterparty. To the extent that the Fund enters
into multiple transactions with a single or a small set of counterparties,
it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the historical and prospective earnings of
the obligor and the value of its assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited
to, |
floating
rate loans and mortgage-related securities, may occur at a slower rate
than expected and the expected maturity of those securities could lengthen
as a result. Securities that are subject to extension risk generally have
a greater potential for loss when prevailing interest rates rise, which
could cause their values to fall sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. The value of instruments with a negative duration will
generally decline if interest rates decrease. Inverse floaters,
interest-only and principal-only securities are especially sensitive to
interest rate changes, which can affect not only their prices but can also
change the income flows and repayment assumptions about those investments.
In recent years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any
replacement |
rate(s)
may adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the transition away from LIBOR may adversely
affect the Fund’s performance. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
focused
investment risk: the risk that a fund that invests a
substantial portion of its assets in a particular market, industry,
sector, group of industries or sectors, country, region, group of
countries or asset class |
is,
relative to a fund that invests in a more diverse investment portfolio,
more susceptible to any single economic, market, political, regulatory or
other occurrence. This is because, for example, issuers in a particular
market, industry, region, sector or asset class may react similarly to
specific economic, market, regulatory, political or other developments.
The particular markets, industries, regions, sectors or asset classes in
which the Fund may focus its investments may change over time and the Fund
may alter its focus at inopportune times. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of transparency,
inadequate regulatory and accounting standards, delayed or infrequent
settlement of transactions, and foreign taxes. If the Fund buys securities
denominated in a foreign currency, receives income in foreign currencies,
or holds foreign currencies from time to time, the value of the Fund’s
assets, as measured in U.S. dollars, can be affected unfavorably by
changes in exchange rates relative to the U.S. dollar or other foreign
currencies. Foreign markets are also subject to the risk that a foreign
government could restrict foreign exchange transactions or otherwise
implement unfavorable currency regulations. In addition, foreign
securities may be subject to currency exchange rates or regulations, the
imposition of economic sanctions or other government restrictions, higher
transaction and other costs, reduced liquidity, and delays in
settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
infrastructure
sector risk: The values of the Fund’s Infrastructure
Investments may be entirely dependent upon the successful development,
construction, maintenance, renovation, enhancement or operation of
infrastructure assets or infrastructure-related
projects. |
Accordingly,
the Fund has significant exposure to adverse economic, regulatory,
political, legal, demographic, environmental, and other developments
affecting the success of the Infrastructure Investments in which it
directly or indirectly invests. In addition to the risks described above,
sector-specific risks may adversely affect the values of the Fund’s
investments. A summary of some of the principal sector-specific risks is
included below. The inclusion of a specific risk below with respect to a
specific sector does not mean that that risk does not also apply in
respect of the Fund’s other investments: |
• |
transportation:
transportation-related infrastructure assets may be
adversely affected by, among other things, economic and market changes,
fuel prices, labor relations, geo-political concerns and insurance costs.
Transportation-related infrastructure assets and related businesses may
also be subject to significant government regulation and oversight, which
may adversely affect their businesses. |
• |
electric
utilities and power: utility- and power-related
infrastructure assets may have difficulty obtaining financing during
periods of inflation or unsettled capital markets; may be subject to
greater competition as a result of deregulation; face changes in climate
or environmental policy; face restrictions on operations and increased
cost and delays attributable to environmental considerations and
regulation; find that existing plants, equipment or products have been
rendered obsolete by technological innovations; or be subject to increased
costs because of the scarcity of certain fuels or the effects of man-made
or natural disasters. |
• |
energy:
energy-related infrastructure assets may be adversely
affected by one or more of the following: the levels and volatility of
global energy prices, energy supply and demand, capital expenditures on
exploration and production of energy sources, energy conservation efforts,
exchange rates, interest rates, economic conditions, tax treatment,
increased competition, government regulation, technological advances, risk
of liability from accidents resulting in injury or loss of life or
property, supply of products and services, and world
events. |
• |
renewable
energy: renewable-energy related infrastructure assets may
be adversely affected by changes in
government |
policy
relating to incentives and subsidies for renewable energy assets,
technological developments (or the application thereof), unforeseen
technical deficiencies with installations, and the reliance of any
renewable energy project, or group of projects, on variable
resources. |
• |
communication
networks and equipment: infrastructure assets in the
telecommunications sector may be adversely affected by increased
competition, regulation by various regulatory authorities, distressed cash
flows due to the need to commit substantial capital to meet increasing
competition, technological advances, limited availability of franchise and
licensing rights, and high barriers to market entry. Various forms of
cyber attack threaten communication networks and could severely hamper any
infrastructure project dependent upon communication networks and
equipment. |
• |
public and
social infrastructure: public and social infrastructure
assets, such as hospitals, schools, government accommodations, and other
public service facilities projects, may be subject to risks that include,
but are not limited to, costs associated with governmental, environmental
and other regulations, the effects of economic slowdowns, increased
competition from other providers of such services, uncertainties
concerning costs, adverse political developments, and the level of
government spending on infrastructure
projects. |
• |
metals and
mining: investments in metals and mining related
infrastructure assets may be speculative and subject to greater price
volatility than investments in other types of companies. The performance
of assets in this sector is related to, among other things, worldwide
metal prices, and extraction and production
costs. |
• |
industrial:
industrial-related infrastructure assets may be adversely
affected by supply and demand both for their specific product or service
and for industrial sector products in general. Government regulation,
world events, exchange rates and economic conditions, changes or trends in
commodity prices, technological developments and liabilities for
environmental damage and general civil liabilities
will |
likewise
affect the performance of these assets and their ability to repay their
debts. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to maintain such investments once made due to its own
financial interest in those products and other business
considerations. |
• |
large
shareholder risk: the risk that certain account holders,
including the Adviser or funds or accounts over which the Adviser (or
related parties of the Adviser) has investment discretion, may from time
to time own or control a significant percentage of the Fund’s shares. The
Fund is subject to the risk that a redemption by those shareholders of all
or a portion of their Fund shares, including as a result of an asset
allocation decision made by the Adviser (or related parties of the
Adviser), will adversely affect the Fund’s performance if it is forced to
sell portfolio securities or invest cash when the Adviser would not
otherwise choose to do so. Redemptions of a large number of shares may
affect the liquidity of the Fund’s portfolio, increase the Fund’s
transaction costs, and accelerate the realization of taxable income and/or
gains to shareholders. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments
are |
often
more volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
loan
risk: the risk that (i) if the Fund holds a loan
through another financial intermediary, or relies on a financial
intermediary to administer the loan, its receipt of principal and interest
on the loan may be subject to the credit risk of that financial
intermediary; (ii) any collateral securing a loan may be insufficient
or unavailable to the Fund, because, for example, the value of the
collateral securing a loan can decline, be insufficient to meet the
obligations of the borrower, or be difficult to liquidate, and the Fund’s
rights to collateral may be limited by bankruptcy or insolvency laws;
(iii) investments in highly leveraged loans or loans of stressed,
distressed, or defaulted issuers may be subject to significant credit and
liquidity risk; (iv) a bankruptcy or other court proceeding could
delay or limit the ability of the Fund to collect the principal and
interest payments on that borrower’s loans or adversely affect the Fund’s
rights in collateral relating to a loan; (v) there may be limited
public information available regarding the loan and the relevant
borrower(s); (vi) the use of a particular interest rate benchmark,
such as LIBOR, may limit the Fund’s ability to achieve a net return to
shareholders that consistently approximates the average published Prime
Rate of U.S. banks; (vii) the prices of certain floating rate loans
that include a feature that prevents their interest rates from adjusting
if market interest rates are below a specified minimum level may
appreciate less than other instruments in response to changes in interest
rates should interest rates rise but remain below the applicable minimum
level; (viii) if a borrower fails to comply with various restrictive
covenants that may be found in loan agreements, the borrower may default
in payment of the loan; (ix) if the Fund invests in loans that
contain fewer or less restrictive constraints on the borrower than certain
other types of loans (“covenant-lite” loans), it may have fewer rights
against the borrowers of such loans, including fewer protections against
the possibility of default and fewer remedies in the event of default;
(x) the loan is unsecured; (xi) there is a limited secondary
market; (xii) transactions in loans may settle on a delayed basis,
and the Fund may not receive the proceeds from the sale of a loan for a
substantial period of time after the sale, which may result in sale
proceeds related to the sale of loans not being available to make
additional investments or to meet the Fund’s redemption obligations until
potentially a substantial period after the sale of the loans; and
(xiii) loans may be difficult to value and may be illiquid, which may
adversely affect an investment in the
Fund. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
These risks may be heightened for fixed income securities due to the
current low interest rate environment. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and that, during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the security. Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and principal-only securities, may
be extremely sensitive to changes in interest rates and prepayment rates.
The Fund may invest in mortgage-backed securities that are subordinate in
their right to receive payment of interest and repayment of principal to
other classes of the issuer’s securities. |
• |
municipal bond
risk: the risk that investing in the municipal bond market
involves the risks of investing in debt securities generally and certain
other risks. The amount of public information available about the
municipal bonds in which the Fund may invest is generally less than that
for corporate equities or bonds, and the investment performance of the
Fund’s investments in municipal bonds may therefore be more dependent on
the analytical abilities of the Adviser |
than
its investments in other types of bonds. The secondary market for
municipal bonds also tends to be less well developed or liquid than many
other securities markets, which may adversely affect the Fund’s ability to
sell municipal bonds at attractive prices. The ability of municipal
issuers to make timely payments of interest and principal may be
diminished during general economic downturns, by litigation, legislation
or political events, or by the bankruptcy of the issuer. The Fund may
invest in revenue bonds, which are typically issued to fund a wide variety
of capital projects including electric, gas, water and sewer systems;
highways, bridges and tunnels; port and airport facilities; colleges and
universities; and hospitals. Because the principal security for a revenue
bond is generally the net revenues derived from a particular facility or
group of facilities or, in some cases, from the proceeds of a special
excise or other specific revenue source, there is no guarantee that the
particular project will generate enough revenue to pay its obligations, in
which case the Fund’s performance may be adversely affected. Taxable
municipal bonds involve similar risks as tax-exempt municipal bonds,
including credit and market risk. |
• |
portfolio
turnover risk: the risk that frequent purchases and sales of
portfolio securities may result in higher Fund expenses and may result in
larger distributions of taxable capital gains to investors as compared to
a fund that trades less frequently. |
• |
restricted
securities risk: the risk that the Fund may be prevented or
limited by law or the terms of an agreement from selling a security (a
“restricted security”). To the
extent that the Fund is permitted to sell a restricted security, there can
be no assurance that a trading market will exist at any particular time,
and the Fund may be unable to dispose of the security promptly at
reasonable prices or at all. The Fund may have to bear the expense of
registering the securities for resale and the risk of substantial delays
in effecting the registration. Also, restricted securities may be
difficult to value because market quotations may not be readily available,
and the values of restricted securities may have significant
volatility. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or
related |
sectors.
For example, the values of securities of companies in the same or related
sectors may be negatively affected by the common characteristics they
share, the common business risks to which they are subject, common
regulatory burdens, or regulatory changes that affect them similarly. Such
characteristics, risks, burdens or changes include, but are not limited
to, changes in governmental regulation, inflation or deflation, rising or
falling interest rates, competition from new entrants, and other economic,
market, political or other developments specific to that sector or related
sectors. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and sold, and thus, are not
registered under the securities laws and may be thinly traded or have a
limited trading market and may have the effect of increasing the Fund’s
illiquidity, reducing the Fund’s income and the value of the investment.
At a particular point in time, the Fund may be unable to find qualified
buyers for these securities. Investments in structured notes involve risks
including interest rate risk, credit risk and market
risk. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the
valuation |
ascribed
to that investment for purposes of calculating the Fund’s net asset value
(“NAV”). The valuation of the
Fund’s investments involves subjective judgment. Certain securities in
which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect the underlying value of the Fund’s
portfolio, resulting in the dilution of shareholder
interests. |
Highest: | 8.70% | Quarter ended 6/30/2020 | ||
Lowest: | (7.21)% | Quarter ended 3/31/2020 |
Infrastructure Income Fund | One Year |
Since Inception
(April
1, 2016) |
||||||
Class I | ||||||||
Return
Before Taxes |
5.48% | 4.42% | ||||||
Return
After Taxes on Distributions |
4.22% | 3.10% | ||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
3.22% | 2.80% | ||||||
Class N | ||||||||
Return
Before Taxes |
5.21% | 4.16% | ||||||
Bloomberg Barclays U.S. Aggregate Bond
Index (reflects no deduction for fees, expenses or taxes) |
7.51% | 4.03% |
Name | Experience with the Fund |
Primary Title with the Investment Adviser | ||
Damien Contes | Since the Fund’s inception in April 2016 | Portfolio Manager | ||
Andrew Hsu | Since the Fund’s inception in April 2016 | Portfolio Manager |
Share Class | Class I | Class N | ||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | ||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | ||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | ||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | None | None | ||
Fee for Redemption by Wire | $15 | $15 | ||
Exchange Fee | None | None | ||
Account Fee | None | None |
Share Class | Class I | Class N | ||||||
Management Fees | 0.50% | 0.50% | ||||||
Distribution and/or Service (12b-1) Fees | None | 0.25% | ||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | 0.24% | 0.24% | ||||||
Acquired Fund Fees and Expenses1 | 0.01% | 0.01% | ||||||
Total Annual Fund Operating Expenses | 0.75% | 1.00% | ||||||
Fee
Waiver and/or Expense Reimbursement2 |
(0.09% | ) | (0.09% | ) | ||||
Total
Annual Fund Operating Expenses After Fee Waiver and/or Expense
Reimbursement |
0.66% | 0.91% |
1 |
“Acquired
Fund Fees and Expenses” are expenses indirectly incurred by the Fund as a
result of its investments in one or more underlying funds, including ETFs
and money market funds. Because these costs are indirect, the Total Annual
Fund Operating Expenses in this fee table will not correlate to the
expense ratio in the Fund’s financial statements, since financial
statements only include direct costs of the Fund and not the indirect
costs of investing in the underlying funds. |
2 |
DoubleLine
Capital has contractually agreed to waive its investment advisory fee and
to reimburse the Fund for other ordinary operating expenses to the extent
necessary to limit ordinary operating expenses to an amount not to exceed
0.65% for Class I shares and 0.90% for Class N shares. Ordinary
operating expenses exclude taxes,
commissions, mark-ups, litigation expenses, indemnification
expenses, interest expenses, Acquired Fund Fees and Expenses, and any
extraordinary expenses. These expense limitations will apply until at
least July 31, 2022 except that they may be terminated by the Board
of Trustees at any time. To the extent that DoubleLine Capital waives its
investment advisory fee and/or reimburses the Fund for other ordinary
operating expenses, it may seek reimbursement of a portion or all of such
amounts at any time within three fiscal years after the fiscal year in
which such amounts were waived or reimbursed. Any such recoupment may not
cause the Fund’s ordinary operating expenses to exceed the expense
limitation that was in place when the fees were waived or expenses
reimbursed. Additionally, the Adviser would generally seek recoupment only
in accordance with the terms of any expense limitation that is in place at
the time of recoupment. |
Class I | Class N | |||
1 Year | $67 | $93 | ||
3 Years | $231 | $309 | ||
5 Years | $408 | $544 | ||
10 Years | $922 | $1,216 |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions related to, among other things, the
selection of investments, portfolio construction, risk assessments, and/or
the outlook on market trends and
opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying a security in
which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
cash position
risk: the risk that to the extent that the Fund holds assets
in cash, cash equivalents, and other short-term investments, the ability
of the Fund to meet its objective may be
limited. |
• |
collateralized
debt obligations risk: the risks of an investment in a
collateralized debt obligation (“CDO”) depend largely on the quality
and |
type
of the collateral and the tranche of the CDO in which the Fund invests.
Normally, collateralized bond obligations (“CBOs”), CLOs and other CDOs are privately
offered and sold, and thus are not registered under the securities laws.
As a result, investments in CDOs may be illiquid. In addition to the risks
associated with debt instruments (e.g., interest rate risk and credit
risk), CDOs carry additional risks including, but not limited to:
(i) the possibility that distributions from collateral will not be
adequate to make interest or other payments; (ii) the quality of the
collateral may decline in value or default; (iii) the possibility
that the Fund may invest in CDOs that are subordinate to other classes of
the issuer’s securities; and (iv) the complex structure of the
security may not be fully understood at the time of investment and may
produce disputes with the issuer or unexpected investment
results. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be unable or unwilling
to perform its obligations; that the Fund will be unable to enforce
contractual remedies if its counterparty defaults; that if a counterparty
becomes bankrupt, the Fund may experience significant delays in obtaining
any recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations, the Fund is not subject to
any limit with respect to the number or the value of transactions it can
enter into with a single counterparty. To the extent that the Fund enters
into multiple transactions with a single or a small set of counterparties,
it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to |
honor
its obligations when due. The values of lower-quality debt securities
(commonly known as “junk bonds”), including floating rate loans, tend to
be particularly sensitive to these changes. The values of securities or
instruments also may decline for a number of other reasons that relate
directly to the obligor, such as management performance, financial
leverage, and reduced demand for the obligor’s goods and services, as well
as the historical and prospective earnings of the obligor and the value of
its assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject to extension risk
generally have a greater potential for loss when prevailing interest rates
rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. The value of instruments with a negative duration will
generally decline if interest rates decrease. Inverse floaters,
interest-only and principal-only securities are especially sensitive to
interest rate changes, which can affect not only their prices but can also
change the income flows and repayment assumptions about those investments.
In recent years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an |
investment
with as great a yield. Prepayments can therefore result in lower yields to
shareholders of the Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any replacement rate(s) may
adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the transition away from LIBOR may adversely
affect the Fund’s performance. |
• |
defaulted
securities risk: the significant risk of the uncertainty of
repayment of defaulted securities (e.g., a security on which a principal or
interest payment is not made when due) and obligations of distressed
issuers (including insolvent issuers or issuers in payment or covenant
default, in workout or restructuring or in bankruptcy or similar
proceedings). Such investments entail high risk and have speculative
characteristics. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
financial
services risk: the risk that an investment in issuers in the
financial services sector or transactions with one or more counterparties
in the financial services sector may be adversely affected by, among other
things: (i) changes in governmental regulation, which may limit both
the amounts and the types of loans and other financial commitments
financial services companies can make, the interest rates and fees they
can charge, the scope of their activities, the prices they can charge and
the amount of capital they must maintain; (ii) fluctuations,
including as a result of interest rate changes or increased competition,
in the availability and cost of capital funds on which the profitability
of financial services companies is largely dependent;
(iii) deterioration of the credit markets; (iv) credit losses
resulting from financial difficulties of borrowers, especially when
financial services companies are exposed to non-diversified or
concentrated loan portfolios; (v) financial losses associated with
investment activities, especially when financial services companies are
exposed to financial leverage; (vi) the risk that any financial
services company experiences substantial declines in the valuations of its
assets, takes action to raise capital, or ceases operations;
(vii) the risk that a market shock or other unexpected market,
economic, political, regulatory, or other event might lead to a sudden
decline in the values of most or all companies in the financial services
sector; and (viii) the interconnectedness or interdependence among
financial services companies, including the risk that the financial
distress or failure of one financial services company may materially and
adversely affect a number of other financial services
companies. |
• |
focused
investment risk: the risk that a fund that invests a
substantial portion of its assets in a particular market, industry,
sector, group of industries or sectors, country, region, group of
countries or asset class is, relative to a fund that invests in a more
diverse investment portfolio, more susceptible to any single economic,
market, political, regulatory or other occurrence. This is because, for
example, issuers in a particular market, industry, region, sector or asset
class may react similarly to specific economic, market, regulatory,
political or other developments. The particular markets, industries,
regions, sectors or asset classes in which the Fund may focus its
investments may change over time and the Fund may alter its focus at
inopportune times. |
• |
foreign
currency risk: the risk that fluctuations in exchange rates
may adversely affect the value of the Fund’s investments denominated in
foreign currencies. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of transparency,
inadequate regulatory and accounting standards, delayed or infrequent
settlement of transactions, and foreign taxes. If the Fund buys securities
denominated in a foreign currency, receives income in foreign currencies,
or holds foreign currencies from time to time, the value of the Fund’s
assets, as measured in U.S. dollars, can be affected unfavorably by
changes in exchange rates relative to the U.S. dollar or other foreign
currencies. Foreign markets are also subject to the risk that a foreign
government could restrict foreign exchange transactions or otherwise
implement unfavorable currency regulations. In addition, foreign
securities may be subject to currency exchange rates or regulations, the
imposition of economic sanctions or other government restrictions, higher
transaction and other costs, reduced liquidity, and delays in
settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative
perceptions |
of
high yield investments generally, and less secondary market
liquidity. |
• |
inflation-indexed bond risk: the
risk that such bonds will change in value in response to actual or
anticipated changes in inflation rates in a manner unanticipated by the
Fund’s portfolio management team or investors generally. Inflation-indexed
bonds are subject to debt securities
risks. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to maintain such investments once made due to its own
financial interest in those products and other business
considerations. |
• |
large
shareholder risk: the risk that certain account holders,
including the Adviser or funds or accounts over which the Adviser (or
related parties of the Adviser) has investment discretion, may from time
to time own or control a significant percentage of the Fund’s shares. The
Fund is subject to the risk that a redemption by those shareholders of all
or a portion of their Fund shares, including as a result of an asset
allocation decision made by the Adviser (or related parties of the
Adviser), will adversely affect the Fund’s performance if it is forced to
sell portfolio securities or invest cash when the Adviser would not
otherwise choose to do so. Redemptions of a large number of shares may
affect the liquidity of the Fund’s portfolio, increase the Fund’s
transaction costs, and accelerate the realization of taxable income and/or
gains to shareholders. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
limited
operating history risk: the risk that a recently formed fund
has a limited operating history to evaluate and may not attract sufficient
assets to achieve or maximize investment and operational
efficiencies. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
loan
risk: the risk that (i) if the Fund holds a loan
through another financial intermediary, or relies on a financial
intermediary to administer the loan, its receipt of principal and interest
on the loan may be subject to the credit risk of that financial
intermediary; (ii) any collateral securing a loan may be insufficient
or unavailable to the Fund, because, for example, the value of the
collateral securing a loan can decline, be insufficient to meet the
obligations of the borrower, or be difficult to liquidate, and the Fund’s
rights to collateral may be limited by bankruptcy or insolvency laws;
(iii) investments in highly leveraged loans or loans of stressed,
distressed, or defaulted issuers may be subject to significant credit and
liquidity risk; (iv) a bankruptcy or other court proceeding could
delay or limit the ability of the Fund to collect the principal and
interest payments on that borrower’s loans or adversely affect the Fund’s
rights in collateral relating to a loan; (v) there may be limited
public information available regarding the loan and the relevant
borrower(s); (vi) the use of a particular interest rate benchmark,
such as LIBOR, may limit the Fund’s ability to achieve a net return to
shareholders that consistently approximates the average published Prime
Rate of U.S. banks; (vii) the prices of certain floating rate loans
that include a feature that prevents their interest rates from adjusting
if market interest rates are below a specified minimum level may
appreciate less than other instruments in response to changes in interest
rates should interest rates rise but remain below the applicable minimum
level; (viii) if a borrower fails to comply with various restrictive
covenants that may be found in loan agreements, the borrower may default
in payment of the loan; (ix) if the Fund invests in loans that
contain fewer or less restrictive constraints on the borrower than certain
other types of loans (“covenant-lite” loans), it may have fewer rights
against the borrowers of such loans, including fewer protections against
the possibility of default and fewer remedies in the event of default;
(x) the loan is unsecured; (xi) there is a
limited |
secondary
market; (xii) transactions in loans may settle on a delayed basis,
and the Fund may not receive the proceeds from the sale of a loan for a
substantial period of time after the sale, which may result in sale
proceeds related to the sale of loans not being available to make
additional investments or to meet the Fund’s redemption obligations until
potentially a substantial period after the sale of the loans; and
(xiii) loans may be difficult to value and may be illiquid, which may
adversely affect an investment in the Fund. The Fund may invest in loans
directly or indirectly by investing in shares of the DoubleLine Floating
Rate Fund and in either case will be subject to the risks described
above. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
These risks may be heightened for fixed income securities due to the
current low interest rate environment. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and that, during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the security. Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and
principal-only |
securities,
may be extremely sensitive to changes in interest rates and prepayment
rates. The Fund may invest in mortgage-backed securities that are
subordinate in their right to receive payment of interest and repayment of
principal to other classes of the issuer’s
securities. |
• |
non-diversification risk: the
risk that, because a relatively higher percentage of the Fund’s assets may
be invested in a limited number of issuers, the Fund may be more
susceptible to any single economic, political, or regulatory occurrence
than a diversified fund investing in a broader range of issuers. A decline
in the market value of one of the Fund’s investments may affect the Fund’s
value more than if the Fund were a diversified
fund. |
• |
portfolio
turnover risk: the risk that frequent purchases and sales of
portfolio securities may result in higher Fund expenses and may result in
larger distributions of taxable capital gains to investors as compared to
a fund that trades less frequently. |
• |
real estate
risk: the risk that real estate-related investments may
decline in value as a result of factors affecting the real estate sector,
such as the supply of real property in certain markets, changes in zoning
laws, delays in completion of construction, changes in real estate values,
changes in property taxes, levels of occupancy, and local and regional
market conditions. Equity real estate investment trusts (“REITs”), which invest primarily in direct
fee ownership or leasehold ownership of real property and derive most of
their income from rents, are generally affected by changes in the values
of and incomes from the properties they own. Mortgage REITs invest mostly
in mortgages on real estate, which may secure, for example, construction,
development or long-term loans, and the main source of their income is
mortgage interest payments. Mortgage REITs may be affected by the credit
quality of the mortgage loans they hold. A hybrid REIT combines the
characteristics of equity REITs and mortgage REITs, generally by holding
both ownership interests and mortgage interests in real estate, and thus
may be subject to risks associated with both real estate ownership and
mortgage-related investments. Along with the risks common to different
types of real estate-related investments, REITs, no matter the type,
involve additional risk factors, including poor performance by the REIT’s
manager, adverse changes to the tax laws, and the possible failure by the
REIT to qualify for the favorable tax treatment available to REITs under
the Internal Revenue Code of 1986, as amended (the “Code”), or the exemption from
registration under the Investment Company Act of 1940, as amended (the
“1940 Act”).
REITs |
are
not diversified and are heavily dependent on cash flow earned on the
property interests they hold. |
• |
restricted
securities risk: the risk that the Fund may be prevented or
limited by law or the terms of an agreement from selling a security (a
“restricted security”). To the
extent that the Fund is permitted to sell a restricted security, there can
be no assurance that a trading market will exist at any particular time,
and the Fund may be unable to dispose of the security promptly at
reasonable prices or at all. The Fund may have to bear the expense of
registering the securities for resale and the risk of substantial delays
in effecting the registration. Also, restricted securities may be
difficult to value because market quotations may not be readily available,
and the values of restricted securities may have significant
volatility. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or related sectors. For example, the
values of securities of companies in the same or related sectors may be
negatively affected by the common characteristics they share, the common
business risks to which they are subject, common regulatory burdens, or
regulatory changes that affect them similarly. Such characteristics,
risks, burdens or changes include, but are not limited to, changes in
governmental regulation, inflation or deflation, rising or falling
interest rates, competition from new entrants, and other economic, market,
political or other developments specific to that sector or related
sectors. |
• |
short position
risk: the risk that an increase in the value of an
instrument, index or interest rate with respect to which the Fund has
established a short position will result in a loss to the
Fund. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the |
reference
measure used and the use of multipliers or deflators (if any), changes in
interest rates and movement of the reference measure may cause significant
price and cash flow fluctuations. Application of a multiplier is
comparable to the use of financial leverage, a speculative technique.
Holders of structured products indirectly bear risks associated with the
reference measure, are subject to counterparty risk and typically do not
have direct rights against the reference measure. Structured products are
generally privately offered and sold, and thus, are not registered under
the securities laws and may be thinly traded or have a limited trading
market and may have the effect of increasing the Fund’s illiquidity,
reducing the Fund’s income and the value of the investment. At a
particular point in time, the Fund may be unable to find qualified buyers
for these securities. Investments in structured notes involve risks
including interest rate risk, credit risk and market
risk. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect the underlying value of the Fund’s
portfolio, resulting in the dilution of shareholder
interests. |
Highest: | 7.53% | Quarter ended 6/30/2020 | ||
Lowest: | (17.76)% | Quarter ended 3/31/2020 |
Income Fund | One Year |
Since Inception
(September 3, 2019) |
||||||
Class I | ||||||||
Return
Before Taxes |
(5.09)% | (3.51)% | ||||||
Return
After Taxes on Distributions |
(6.69)% | (5.12)% | ||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
(3.05)% | (3.35)% | ||||||
Class N | ||||||||
Return
Before Taxes |
(5.12)% | (3.57)% | ||||||
Bloomberg Barclays U.S. Aggregate Bond
Index (reflects no deduction for fees, expenses or taxes) |
7.51% | 5.18% |
Name | Experience with the Fund |
Primary Title with the Investment Adviser | ||
Morris Chen | Since the Fund’s inception in September 2019 | Portfolio Manager | ||
Andrew Hsu | Since the Fund’s inception in September 2019 | Portfolio Manager | ||
Ken Shinoda | Since the Fund’s inception in September 2019 | Portfolio Manager |
Share Class | Class I | Class N | ||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | ||||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | ||||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | ||||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | ||||
Fee for Redemption by Wire | $ |
$ | ||
Exchange Fee | ||||
Account Fee |
Share Class | Class I | Class N | ||||||
Management Fees | ||||||||
Distribution and/or Service (12b-1) Fees | ||||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | ||||||||
Acquired Fund Fees and Expenses1 | ||||||||
Total Annual Fund Operating Expenses | ||||||||
Fee
Waiver and/or Expense Reimbursement2 |
( |
) | ( |
) | ||||
Total
Annual Fund Operating Expenses After Fee Waiver and/or Expense
Reimbursement |
1 |
2 | DoubleLine
Capital has contractually agreed to waive its investment advisory fee and
to reimburse the Fund for other ordinary operating expenses to the extent
necessary to limit ordinary operating expenses to an amount not to exceed
0.90% for Class I shares and 1.15% for Class N shares. Ordinary operating
expenses exclude taxes, commissions, mark-ups, litigation expenses,
indemnification expenses, interest expenses, Acquired Fund Fees and
Expenses, and any extraordinary expenses. These expense limitations will
apply until at least |
Class I | Class N | |||
1 Year | $ |
$ | ||
3 Years | $ |
$ | ||
5 Years | $ |
$ | ||
10 Years | $ |
$ |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions related to, among other things, the
selection of investments, portfolio construction, risk assessments, and/or
the outlook on market trends and
opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying a security in
which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
cash position
risk: the risk that to the extent that the Fund holds assets
in cash, cash equivalents, and other short-term investments, the ability
of the Fund to meet its objective may be
limited. |
• |
collateralized
debt obligations risk: the risks of an investment in a
collateralized debt obligation (“CDO”) depend largely on the quality and
type of the collateral and the tranche of the CDO in which the Fund
invests. Normally, collateralized bond obligations (“CBOs”), CLOs and other CDOs are privately
offered and sold, and thus are not registered under the securities laws.
As a result, investments in CDOs may be illiquid. In addition to the risks
associated with debt instruments (e.g., interest rate risk and credit
risk), CDOs carry additional risks including, but not limited to:
(i) the possibility that distributions from collateral will not be
adequate to make interest or other payments; (ii) the quality of the
collateral may decline in value or default; (iii) the possibility
that the Fund may invest in CDOs that are subordinate to other classes of
the issuer’s securities; and (iv) the complex structure of the
security may not be fully understood at the time of investment and may
produce disputes with the issuer or unexpected investment
results. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be unable or unwilling
to perform its obligations; that the Fund will be unable to enforce
contractual remedies if its counterparty defaults; that if a counterparty
becomes bankrupt, the Fund may experience significant delays in obtaining
any recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations, the Fund is not subject to
any limit with respect to the number or the value of transactions it can
enter into with a single counterparty. To the extent that the Fund enters
into multiple transactions with a single or a small set of counterparties,
it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or
perceived |
changes
in the financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the historical and prospective earnings of
the obligor and the value of its
assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject to extension risk
generally have a greater potential for loss when prevailing interest rates
rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. The value of instruments with a negative duration will
generally decline if interest rates decrease. Inverse floaters,
interest-only and principal-only securities are especially sensitive to
interest rate changes, which can affect not only their prices but can also
change the income flows and repayment assumptions about those investments.
In recent years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any replacement rate(s) may
adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the transition away from LIBOR may adversely
affect the Fund’s
performance. |
• |
defaulted
securities risk: the significant risk of the uncertainty of
repayment of defaulted securities (e.g., a security on which a principal or
interest payment is not made when due) and obligations of distressed
issuers (including insolvent issuers or issuers in payment or covenant
default, in workout or restructuring or in bankruptcy or similar
proceedings). Such investments entail high risk and have speculative
characteristics. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide
the |
anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
financial
services risk: the risk that an investment in issuers in the
financial services sector or transactions with one or more counterparties
in the financial services sector may be adversely affected by, among other
things: (i) changes in governmental regulation, which may limit both
the amounts and the types of loans and other financial commitments
financial services companies can make, the interest rates and fees they
can charge, the scope of their activities, the prices they can charge and
the amount of capital they must maintain; (ii) fluctuations,
including as a result of interest rate changes or increased competition,
in the availability and cost of capital funds on which the profitability
of financial services companies is largely dependent;
(iii) deterioration of the credit markets; (iv) credit losses
resulting from financial difficulties of borrowers, especially when
financial services companies are exposed to non-diversified or
concentrated loan portfolios; (v) financial losses associated with
investment activities, especially when financial services companies are
exposed to financial leverage; (vi) the risk that any financial
services company experiences substantial declines in the valuations of its
assets, takes action to raise capital, or ceases operations;
(vii) the risk that a market shock or other unexpected market,
economic, political, |
regulatory,
or other event might lead to a sudden decline in the values of most or all
companies in the financial services sector; and (viii) the
interconnectedness or interdependence among financial services companies,
including the risk that the financial distress or failure of one financial
services company may materially and adversely affect a number of other
financial services
companies. |
• |
focused
investment risk: the risk that a fund that invests a
substantial portion of its assets in a particular market, industry,
sector, group of industries or sectors, country, region, group of
countries or asset class is, relative to a fund that invests in a more
diverse investment portfolio, more susceptible to any single economic,
market, political, regulatory or other occurrence. This is because, for
example, issuers in a particular market, industry, region, sector or asset
class may react similarly to specific economic, market, regulatory,
political or other developments. The particular markets, industries,
regions, sectors or asset classes in which the Fund may focus its
investments may change over time and the Fund may alter its focus at
inopportune times. |
• |
foreign
currency risk: the risk that fluctuations in exchange rates
may adversely affect the value of the Fund’s investments denominated in
foreign currencies. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of transparency,
inadequate regulatory and accounting standards, delayed or infrequent
settlement of transactions, and foreign taxes. If the Fund buys securities
denominated in a foreign currency, receives income in foreign currencies,
or holds foreign currencies from time to time, the value of the Fund’s
assets, as measured in U.S. dollars, can be affected unfavorably by
changes in exchange rates relative to the U.S. dollar or other foreign
currencies. Foreign markets are also subject to the risk that a foreign
government could restrict foreign exchange transactions or otherwise
implement unfavorable currency regulations. In addition, foreign
securities may be subject to currency exchange rates or regulations, the
imposition of economic sanctions or other government restrictions, higher
transaction and other costs, reduced liquidity, and delays in
settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
inflation-indexed bond risk: the
risk that such bonds will change in value in response to actual or
anticipated changes in inflation rates in a manner unanticipated by the
Fund’s portfolio management team or investors generally. Inflation-indexed
bonds are subject to debt securities
risks. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to maintain such investments once made due to its own
financial interest in those products and other business
considerations. |
• |
large
shareholder risk: the risk that certain account holders,
including the Adviser or funds or accounts over which the Adviser (or
related parties of the Adviser) has investment discretion, may from time
to time own or control a significant percentage of the Fund’s shares. The
Fund is subject to the risk that a redemption by those shareholders of all
or a portion of their Fund shares, including as a result of an asset
allocation decision made by the Adviser (or related parties of the
Adviser), will adversely affect the Fund’s performance if it is forced to
sell portfolio securities or invest cash when the Adviser would not
otherwise choose to do so. Redemptions of a large number of shares may
affect the liquidity of the Fund’s portfolio, increase the Fund’s
transaction costs, and accelerate the realization of taxable income and/or
gains to shareholders. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
limited
operating history risk: the risk that a recently formed fund
has a limited operating history to evaluate and may not attract sufficient
assets to achieve or maximize investment and operational
efficiencies. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
loan
risk: the risk that (i) if the Fund holds a loan
through another financial intermediary, or relies on a financial
intermediary to administer the loan, its receipt of principal and interest
on the loan may be subject to the credit risk of that financial
intermediary; (ii) any collateral securing a loan may be insufficient
or unavailable to the Fund, because, for example, the value of the
collateral securing a loan can decline, be insufficient to meet the
obligations of the borrower, or be difficult to liquidate, and the Fund’s
rights to collateral may be limited by bankruptcy or insolvency laws;
(iii) investments in highly leveraged loans or loans of stressed,
distressed, or defaulted issuers may be subject to significant credit and
liquidity risk; (iv) a bankruptcy or other court proceeding could
delay or limit the ability of the Fund to collect the principal and
interest payments on that borrower’s loans or adversely affect the Fund’s
rights in collateral relating to a loan; (v) there may be limited
public information available regarding the loan and the relevant
borrower(s); (vi) the use of a particular interest rate benchmark,
such as LIBOR, may limit the Fund’s ability to achieve a net return to
shareholders that consistently approximates the average published Prime
Rate of U.S. banks; (vii) the prices of certain floating rate loans
that include a feature that prevents their interest rates from adjusting
if market interest rates are below a specified minimum level may
appreciate less than other instruments in response to changes in interest
rates should interest rates rise but remain below
the |
applicable
minimum level; (viii) if a borrower fails to comply with various
restrictive covenants that may be found in loan agreements, the borrower
may default in payment of the loan; (ix) if the Fund invests in loans
that contain fewer or less restrictive constraints on the borrower than
certain other types of loans (“covenant-lite” loans), it may have fewer
rights against the borrowers of such loans, including fewer protections
against the possibility of default and fewer remedies in the event of
default; (x) the loan is unsecured; (xi) there is a limited
secondary market; (xii) transactions in loans may settle on a delayed
basis, and the Fund may not receive the proceeds from the sale of a loan
for a substantial period of time after the sale, which may result in sale
proceeds related to the sale of loans not being available to make
additional investments or to meet the Fund’s redemption obligations until
potentially a substantial period after the sale of the loans; and
(xiii) loans may be difficult to value and may be illiquid, which may
adversely affect an investment in the Fund. The Fund may invest in loans
directly or indirectly by investing in shares of the DoubleLine Floating
Rate Fund and in either case will be subject to the risks described
above. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
These risks may be heightened for fixed income securities due to the
current low interest rate
environment. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and that, during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having
to |
reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the security. Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and principal-only securities, may
be extremely sensitive to changes in interest rates and prepayment rates.
The Fund may invest in mortgage-backed securities that are subordinate in
their right to receive payment of interest and repayment of principal to
other classes of the issuer’s
securities. |
• |
|
• |
portfolio
turnover risk: the risk that frequent purchases and sales of
portfolio securities may result in higher Fund expenses and may result in
larger distributions of taxable capital gains to investors as compared to
a fund that trades less
frequently. |
• |
restricted
securities risk: the risk that the Fund may be prevented or
limited by law or the terms of an agreement from selling a security (a
“restricted security”). To the
extent that the Fund is permitted to sell a restricted security, there can
be no assurance that a trading market will exist at any particular time,
and the Fund may be unable to dispose of the security promptly at
reasonable prices or at all. The Fund may have to bear the expense of
registering the securities for resale and the risk of substantial delays
in effecting the registration. Also, restricted securities may be
difficult to value because market quotations may not be readily available,
and the values of restricted securities may have significant
volatility. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in
a |
particular
sector or related sectors, the Fund will be more susceptible to events or
factors affecting companies in that sector or related sectors. For
example, the values of securities of companies in the same or related
sectors may be negatively affected by the common characteristics they
share, the common business risks to which they are subject, common
regulatory burdens, or regulatory changes that affect them similarly. Such
characteristics, risks, burdens or changes include, but are not limited
to, changes in governmental regulation, inflation or deflation, rising or
falling interest rates, competition from new entrants, and other economic,
market, political or other developments specific to that sector or related
sectors. |
• |
short position
risk: the risk that an increase in the value of an
instrument, index or interest rate with respect to which the Fund has
established a short position will result in a loss to the
Fund. |
• |
sovereign debt
obligations risk: the risk that investments in debt
obligations of sovereign governments may lose value due to the government
entity’s unwillingness or inability to repay principal and interest when
due in accordance with the terms of the debt or otherwise in a timely
manner. Sovereign governments may default on their debt obligations for a
number of reasons, including social, political, economic and diplomatic
changes in countries issuing sovereign debt. The Fund may have limited (or
no) recourse in the event of a default because bankruptcy, moratorium and
other similar laws applicable to issuers of sovereign debt obligations may
be substantially different from those applicable to private issuers, and
any recourse may be subject to the political climate in the relevant
country. In addition, foreign governmental entities may enjoy various
levels of sovereign immunity, and it may be difficult or impossible to
bring a legal action against a foreign governmental entity or to enforce a
judgment against such an entity. Holders of certain foreign government
debt securities may be requested to participate in the restructuring of
such obligations and to extend further loans to their issuers. There can
be no assurance that the foreign government debt securities in which the
Fund may invest will not be subject to similar restructuring arrangements
or to requests for new credit, which may adversely affect the Fund’s
holdings. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types
of |
structured
notes, may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and sold, and thus, are not
registered under the securities laws and may be thinly traded or have a
limited trading market and may have the effect of increasing the Fund’s
illiquidity, reducing the Fund’s income and the value of the investment.
At a particular point in time, the Fund may be unable to find qualified
buyers for these securities. Investments in structured notes involve risks
including interest rate risk, credit risk and market
risk. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government
securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect the underlying value of the Fund’s
portfolio, resulting in the dilution of shareholder
interests. |
|
Quarter
ended | |||
( |
Quarter
ended |
Fund |
One Year |
Since Inception
( |
||||||
Class I | ||||||||
Return
Before Taxes |
||||||||
Return
After Taxes on Distributions |
||||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
||||||||
Class N | ||||||||
Return
Before Taxes |
||||||||
J.P. Morgan GBI-EM Global Diversified
Index (reflects no deduction for fees, expenses or taxes) |
Name | Experience with the Fund |
Primary Title with the Investment Adviser | ||
William Campbell | Since the Fund’s inception in June 2019 | Portfolio Manager | ||
Mark W. Christensen | Since the Fund’s inception in June 2019 | Portfolio Manager | ||
Valerie Ho | Since the Fund’s inception in June 2019 | Portfolio Manager | ||
Su Fei Koo | Since the Fund’s inception in June 2019 | Portfolio Manager |
Share Class | Class A | Class C | Class I | Class N | ||||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | 4.25% | None | None | None | ||||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | 0.75%1 | 1.00%2 | None | None | ||||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | None | None | ||||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | None | None | None | None | ||||
Fee for Redemption by Wire | $15 | $15 | $15 | $15 | ||||
Exchange Fee | None | None | None | None | ||||
Account Fee | None | None | None | None |
Share Class | Class A | Class C | Class I | Class N | ||||||||||||
Management Fees | 0.95% | 0.95% | 0.95% | 0.95% | ||||||||||||
Distribution and/or Service (12b-1) Fees | 0.25% | 1.00% | None | 0.25% | ||||||||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | 0.65% | 0.65% | 0.72% | 0.65% | ||||||||||||
Acquired Fund Fees and Expenses3 | 0.04% | 0.04% | 0.06% | 0.04% | ||||||||||||
Total Annual Fund Operating Expenses | 1.89% | 2.64% | 1.73% | 1.89% | ||||||||||||
Fee
Waiver and/or Expense Reimbursement4 |
(0.43% | ) | (0.43% | ) | (0.52% | ) | (0.43% | ) | ||||||||
Total
Annual Fund Operating Expenses After Fee Waiver and/or Expense
Reimbursement |
1.46% | 2.21% | 1.21% | 1.46% |
1 |
A
contingent deferred sales charge (load) of 0.75% applies only to purchases
of $1 million or more of Class A shares if the shares are redeemed
within 18 months of purchase. |
2 |
A
contingent deferred sales charge (load) of 1.00% applies for Class C
shares sold within 12 months of purchase. |
3 |
“Acquired
Fund Fees and Expenses” are expenses indirectly incurred by the Fund as a
result of its investments in one or more underlying funds, including ETFs
and money market funds. Because these costs are indirect, the Total Annual
Fund Operating Expenses in this fee table will not correlate to the
expense ratio in the Fund’s financial statements, since financial
statements only include direct costs of the Fund and not the indirect
costs of investing in the underlying funds. When the Fund invests in other
DoubleLine funds, the Adviser will waive its advisory fee in an amount
equal to the advisory fees paid by the other DoubleLine funds in respect
of Fund assets so invested. The Adviser waived advisory fees in the amount
of 0.12% and 0.10% for Class A shares and Class I shares
pursuant to this waiver agreement in respect of investments made in other
DoubleLine funds during the Fund’s most recent fiscal year. The effects of
this waiver are reflected in the table above. This waiver agreement may be
terminated at any time with the consent of the Board of Trustees.
|
4 |
The
Adviser has contractually agreed to waive its investment advisory fee and
to reimburse the Fund for other ordinary operating expenses to the extent
necessary to limit ordinary operating expenses to an amount not to exceed
1.40% for Class A shares, 2.15% for Class C shares, 1.15% for Class I
shares, and 1.40% for Class N shares. Ordinary operating expenses exclude
taxes, commissions, mark-ups, litigation expenses, indemnification
expenses, interest expenses, Acquired Fund Fees and Expenses, and any
extraordinary expenses. These expense limitations will apply until at
least July 31, 2022, except that they may be terminated by the Board
of Trustees at any time. To the extent that the Adviser waives its
investment advisory fee and/or reimburses the Fund for other ordinary
operating expenses, it may seek reimbursement of a portion or all of such
amounts at any time within three fiscal years after the fiscal year in
which such amounts were waived or reimbursed, subject to the expense
limitation in place at the time such amounts were waived or reimbursed.
|
Class A | Class C | Class I | Class N | |||||
1 Year | $567 | $324 | $123 | $149 | ||||
3 Years | $954 | $780 | $494 | $552 | ||||
5 Years | $1,365 | $1,362 | $890 | $981 | ||||
10 Years | $2,509 | $2,942 | $1,998 | $2,177 |
Class A | Class C | Class I | Class N | |||||
1 Year | $567 | $224 | $123 | $149 | ||||
3 Years | $954 | $780 | $494 | $552 | ||||
5 Years | $1,365 | $1,362 | $890 | $981 | ||||
10 Years | $2,509 | $2,942 | $1,998 | $2,177 |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions related to, among other things, the
selection of investments, portfolio construction, risk assessments, and/or
the outlook on market trends and
opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying a security in
which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
commodities
risk: the risk that the value of the Fund’s shares may be
affected by changes in the values of the Fund’s investment exposures to
commodities or commodity-related instruments, which may be extremely
volatile and difficult to value. The value of commodities and
commodity-related instruments may be affected by market movements,
commodity index volatility, changes in interest rates, or factors
affecting supply, demand and/or other market fundamentals with respect to
a particular sector, industry or commodity, such as drought, floods,
weather, livestock disease, embargoes, tariffs and international economic,
political and regulatory developments. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into directly by the Fund or held by special purpose or structured
vehicles in which the Fund invests; that the Fund’s counterparty will be
unable or unwilling to perform its obligations; that the Fund will be
unable to enforce contractual remedies if its counterparty defaults; that
if a counterparty becomes bankrupt, the Fund may experience significant
delays in obtaining any recovery under the derivative contract or may
obtain limited or no recovery in a bankruptcy or other insolvency
proceeding. Subject to certain U.S. federal income tax limitations, the
Fund is not subject to any limit with respect to the number or the value
of transactions it can enter into with a single counterparty. To the
extent that the Fund enters into multiple transactions with a single or a
small set of counterparties, it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The |
values
of securities or instruments also may decline for a number of other
reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the historical and prospective earnings of
the obligor and the value of its assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject to extension risk
generally have a greater potential for loss when prevailing interest rates
rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. The value of instruments with a negative duration will
generally decline if interest rates decrease. Inverse floaters,
interest-only and principal-only securities are especially sensitive to
interest rate changes, which can affect not only their prices but can also
change the income flows and repayment assumptions about those investments.
In recent years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any replacement rate(s) may
adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the transition away from LIBOR may adversely
affect the Fund’s performance. |
• |
defaulted
securities risk: the significant risk of the uncertainty of
repayment of defaulted securities (e.g., a security on which a principal or
interest payment is not made when due) and obligations of distressed
issuers (including insolvent issuers or issuers in payment or covenant
default, in workout or restructuring or in bankruptcy or similar
proceedings). Such investments entail high risk and have speculative
characteristics. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
equity issuer
risk: the risk that the market price of common stocks and
other equity securities may go up or down, sometimes rapidly or
unpredictably, including due to factors affecting equity securities
markets generally, particular industries represented in those markets, or
the issuer itself. |
• |
financial
services risk: the risk that an investment in issuers in the
financial services sector or transactions with one or more counterparties
in the financial services sector may be adversely affected by, among other
things: (i) changes in governmental regulation, which may limit both
the amounts and the types of loans and other financial commitments
financial services companies can make, the interest rates and fees they
can charge, the scope of their activities, the prices they can charge and
the amount of capital they must maintain; (ii) fluctuations,
including as a result of interest rate changes or increased competition,
in the availability and cost of capital funds on which the profitability
of financial services companies is largely dependent;
(iii) deterioration of the credit markets; (iv) credit losses
resulting from financial difficulties of borrowers, especially when
financial services companies are exposed to non-diversified or
concentrated loan portfolios; (v) financial losses associated with
investment activities, especially when financial services companies are
exposed to financial leverage; (vi) the risk that any financial
services company experiences substantial declines in the valuations of its
assets, takes action to raise capital, or ceases operations;
(vii) the risk that a market shock or other unexpected market,
economic, political, regulatory, or other event might lead to a sudden
decline in the values of most or all companies in the financial services
sector; and (viii) the interconnectedness or interdependence among
financial services |
companies,
including the risk that the financial distress or failure of one financial
services company may materially and adversely affect a number of other
financial services companies. |
• |
foreign
currency risk: the risk that fluctuations in exchange rates
may adversely affect the value of the Fund’s investments denominated in
foreign currencies. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of transparency,
inadequate regulatory and accounting standards, delayed or infrequent
settlement of transactions, and foreign taxes. If the Fund buys securities
denominated in a foreign currency, receives income in foreign currencies,
or holds foreign currencies from time to time, the value of the Fund’s
assets, as measured in U.S. dollars, can be affected unfavorably by
changes in exchange rates relative to the U.S. dollar or other foreign
currencies. Foreign markets are also subject to the risk that a foreign
government could restrict foreign exchange transactions or otherwise
implement unfavorable currency regulations. In addition, foreign
securities may be subject to currency exchange rates or regulations, the
imposition of economic sanctions or other government restrictions, higher
transaction and other costs, reduced liquidity, and delays in
settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
inflation-indexed bond risk: the
risk that such bonds will change in value in response to actual or
anticipated changes in inflation rates in a manner unanticipated by the
Fund’s portfolio management team or investors generally. Inflation-indexed
bonds are subject to debt securities
risks. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to maintain such investments once made due to its own
financial interest in those products and other business
considerations. |
• |
large
shareholder risk: the risk that certain account holders,
including the Adviser or funds or accounts over which the Adviser (or
related parties of the Adviser) has investment discretion, may from time
to time own or control a significant percentage of the Fund’s shares. The
Fund is subject to the risk that a redemption by those shareholders of all
or a portion of their Fund shares, including as a result of an asset
allocation decision made by the Adviser (or related parties of the
Adviser), will adversely affect the Fund’s performance if it is forced to
sell portfolio securities or invest cash when the Adviser would not
otherwise choose to do so. Redemptions of a large number of shares may
affect the liquidity of the Fund’s portfolio, increase the Fund’s
transaction costs, and accelerate the realization of taxable income and/or
gains to shareholders. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
loan
risk: the risk that (i) if the Fund holds a loan
through another financial intermediary, or relies on a financial
intermediary to administer the loan, its receipt of principal and interest
on the loan may be subject to the credit risk of that financial
intermediary; (ii) any collateral securing a loan may be insufficient
or unavailable to the Fund, because, for example, the value of the
collateral securing a loan can decline, be insufficient to meet the
obligations of the borrower, or be difficult to liquidate, and the Fund’s
rights to collateral may be limited by bankruptcy or insolvency laws;
(iii) investments in highly leveraged loans or loans of stressed,
distressed, or defaulted issuers may be subject to significant credit and
liquidity risk; (iv) a bankruptcy or other court proceeding could
delay or limit the ability of the Fund to collect the principal and
interest payments on that borrower’s loans or adversely affect the Fund’s
rights in collateral relating to a loan; (v) there may be limited
public information available regarding the loan and the relevant
borrower(s); (vi) the use of a particular interest rate benchmark,
such as LIBOR, may limit the Fund’s ability to achieve a net return to
shareholders that consistently approximates the average published Prime
Rate of U.S. banks; (vii) the prices of certain floating rate loans
that include a feature that prevents their interest rates from adjusting
if market interest rates are below a specified minimum level may
appreciate less than other instruments in response to changes in interest
rates should interest rates rise but remain below the applicable minimum
level; (viii) if a borrower fails to comply with various restrictive
covenants that may be found in loan agreements, the borrower may default
in payment of the loan; (ix) if the Fund invests in loans that
contain fewer or less restrictive constraints on the borrower than certain
other types of loans (“covenant-lite” loans), it may have fewer rights
against the borrowers of such loans, including fewer protections against
the possibility of default and fewer remedies in the event of default;
(x) the loan is unsecured; (xi) there is a limited secondary
market; (xii) transactions in loans may settle on a delayed basis,
and the Fund may not receive the proceeds from the sale of a loan for a
substantial period of time after the sale, which may result in sale
proceeds related to the sale of loans not being available to make
additional investments or to meet the Fund’s redemption obligations until
potentially a substantial period after the sale of the loans; and
(xiii) loans may be difficult to value and may be illiquid, which may
adversely affect an investment in the Fund. The Fund may invest in loans
directly or indirectly by investing in shares of the DoubleLine Floating
Rate Fund and in either case will be subject to the risks described
above. |
• |
market
capitalization risk: the risk that investing substantially
in issuers in one market capitalization category (large, medium or small)
may adversely affect the Fund because of unfavorable market conditions
particular to that category of issuers, such as larger, more established
companies being unable to respond quickly to new competitive challenges or
attain the high growth rates of successful smaller companies, or,
conversely, stocks of smaller companies being more volatile than those of
larger companies due to, among other things, narrower product lines, more
limited financial resources, fewer experienced managers and there
typically being less publicly available information about small
capitalization companies. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
These risks may be heightened for fixed income securities due to the
current low interest rate environment. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and that, during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the security. Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and
principal-only |
securities,
may be extremely sensitive to changes in interest rates and prepayment
rates. The Fund may invest in mortgage-backed securities that are
subordinate in their right to receive payment of interest and repayment of
principal to other classes of the issuer’s
securities. |
• |
portfolio
turnover risk: the risk that frequent purchases and sales of
portfolio securities may result in higher Fund expenses and may result in
larger distributions of taxable capital gains to investors as compared to
a fund that trades less frequently. |
• |
preferred
securities risk: the risk that: (i) the terms of
certain preferred stocks contain provisions that allow an issuer under
certain conditions to skip or defer distributions; (ii) preferred
stocks may be subject to redemption, including at the issuer’s call, and,
in the event of redemption, the Fund may not be able to reinvest the
proceeds at comparable or favorable rates of return; (iii) preferred
stocks are generally subordinated to bonds and other debt securities in an
issuer’s capital structure in terms of priority for corporate income and
liquidation payments; and (iv) preferred stocks may trade less
frequently and in a more limited volume and may be subject to more abrupt
or erratic price movements than many other
securities. |
• |
real estate
risk: the risk that real estate-related investments may
decline in value as a result of factors affecting the real estate sector,
such as the supply of real property in certain markets, changes in zoning
laws, delays in completion of construction, changes in real estate values,
changes in property taxes, levels of occupancy, and local and regional
market conditions. Equity real estate investment trusts (“REITs”), which invest primarily in direct
fee ownership or leasehold ownership of real property and derive most of
their income from rents, are generally affected by changes in the values
of and incomes from the properties they own. Mortgage REITs invest mostly
in mortgages on real estate, which may secure, for example, construction,
development or long-term loans, and the main source of their income is
mortgage interest payments. Mortgage REITs may be affected by the credit
quality of the mortgage loans they hold. A hybrid REIT combines the
characteristics of equity REITs and mortgage REITs, generally by holding
both ownership interests and mortgage interests in real estate, and thus
may be subject to risks associated with both real estate ownership and
mortgage-related investments. Along with the risks common to different
types of real estate-related investments, REITs, no matter the type,
involve additional risk factors, including poor performance by the REIT’s
manager, adverse changes to the tax laws, |
and
the possible failure by the REIT to qualify for the favorable tax
treatment available to REITs under the Internal Revenue Code of 1986, as
amended (the “Code”), or the
exemption from registration under the Investment Company Act of 1940, as
amended (the “1940 Act”). REITs are
not diversified and are heavily dependent on cash flow earned on the
property interests they hold. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or related sectors. For example, the
values of securities of companies in the same or related sectors may be
negatively affected by the common characteristics they share, the common
business risks to which they are subject, common regulatory burdens, or
regulatory changes that affect them similarly. Such characteristics,
risks, burdens or changes include, but are not limited to, changes in
governmental regulation, inflation or deflation, rising or falling
interest rates, competition from new entrants, and other economic, market,
political or other developments specific to that sector or related
sectors. |
• |
short position
risk: the risk that an increase in the value of an
instrument, index or interest rate with respect to which the Fund has
established a short position will result in a loss to the
Fund. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and
sold, |
and
thus, are not registered under the securities laws and may be thinly
traded or have a limited trading market and may have the effect of
increasing the Fund’s illiquidity, reducing the Fund’s income and the
value of the investment. At a particular point in time, the Fund may be
unable to find qualified buyers for these securities. Investments in
structured notes involve risks including interest rate risk, credit risk
and market risk. |
• |
tax risk:
in order to qualify as a regulated investment company under
the Code, the Fund must meet requirements regarding, among other things,
the source of its income. Certain investments in commodity-linked
derivatives do not give rise to qualifying income for this purpose, and it
is possible that certain investments in other commodity-linked
instruments, ETFs and other investment pools will not give rise to
qualifying income. Any income the Fund derives from investments in
instruments that do not generate qualifying income must be limited to a
maximum of 10% of the Fund’s annual gross income. If the Fund were to earn
non-qualifying income in excess of 10% of its annual gross income, it
could fail to qualify as a regulated investment company for that year. If
the Fund were to fail to qualify as a regulated investment company, the
Fund would be subject to tax and shareholders of the Fund would be subject
to the risk of diminished returns. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect the underlying value of the Fund’s
portfolio, resulting in the dilution of shareholder
interests. |
Highest: | 10.56% | Quarter ended 6/30/2020 | ||
Lowest: | (17.97)% | Quarter ended 3/31/2020 |
Multi-Asset Growth Fund | One Year |
Five Years |
Ten Years |
Since Inception
(December 20, 2010) |
||||||||||||
Class I | ||||||||||||||||
Return
Before Taxes |
2.38% | 6.23% | 4.19% | 4.20% | ||||||||||||
Return
After Taxes on Distributions |
0.78% | 4.37% | 2.39% | 2.40% | ||||||||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
1.33% | 4.09% | 2.50% | 2.51% | ||||||||||||
Class A | ||||||||||||||||
Return
Before Taxes |
(2.08% | ) | 5.04% | 3.47% | 3.48% | |||||||||||
S&P 500® Index (reflects no deduction for fees, expenses or taxes) |
18.40% | 15.22% | 13.88% | 13.94% | ||||||||||||
Blended Benchmark: MSCI ACWI (60%)/Bloomberg
Barclays Global Aggregate Bond Index (40%)1 (reflects no deduction for fees, expenses or taxes) |
14.05% | 9.48% | 6.79% | 6.97% | ||||||||||||
Blended
Benchmark:
MSCI
ACWI (60%)/Bloomberg Barclays Global Aggregate Bond Index Hedged to USD
(40%)1
(reflects no deduction for fees, expenses or
taxes) |
12.65% | 9.39% | 7.39% | 7.50% |
1 |
The
blended benchmarks have been included to provide investors with additional
means of evaluating the Fund’s performance. |
Name | Experience with the Fund |
Primary Title with the Investment Adviser | ||
Jeffrey E. Gundlach | Since the Fund’s inception in December 2010 | Chief Executive Officer | ||
Samuel Garza | Since the Fund’s inception in December 2010 | Portfolio Manager | ||
Jeffrey J. Sherman | Since the Fund’s inception in December 2010 | Deputy Chief Investment Officer |
Share Class | Class I | Class N | ||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | ||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | ||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | ||
Redemption
Fee (as a percentage of shares redeemed within
90
days of purchase) |
None | None | ||
Fee for Redemption by Wire | $15 | $15 | ||
Exchange Fee | None | None | ||
Account Fee | None | None |
Share Class | Class I | Class N | ||||||
Management Fees | 0.50% | 0.50% | ||||||
Distribution and/or Service (12b-1) Fees | None | 0.25% | ||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses)2 | 0.21% | 0.21% | ||||||
Acquired Fund Fees and Expenses3 | 0.09% | 0.09% | ||||||
Total Annual Fund Operating Expenses | 0.80% | 1.05% | ||||||
Fee
Waiver and/or Expense Reimbursement4 |
(0.06% | ) | (0.06% | ) | ||||
Total
Annual Fund Operating Expenses After Fee Waiver and/or Expense
Reimbursement |
0.74% | 0.99% |
1 |
The
Fund expects to enter into index-related swap transactions. The level of
the index itself will be reduced by a number of assumed expenses or
charges; in addition, the Fund may incur additional fees payable to its
swap counterparties. Since the inception of the Fund’s operations the
annualized rate of those expenses and charges are estimated to be 2.25% of
the Fund’s net asset value. The actual amounts may be higher or lower than
that amount and those amounts will change over time based on, among other
things, changes in the composition of the index. Swap returns may also be
reduced by amounts based on short-term interest rates (applied against the
notional amounts of the swaps) and potentially by other amounts. Assumed
expenses or charges embedded in the index calculation and swap fees and
expenses are not reflected in the table above or in the example below. See
“Index Risk – Note regarding Index-Based Swaps” for more information
regarding such fees and costs. |
2 |
Based
on estimated amounts for the current fiscal year.
|
3 |
“Acquired
Fund Fees and Expenses” are expenses indirectly incurred by the Fund as a
result of its investments in one or more underlying funds, including ETFs
and money market funds. Because these costs are indirect, the Total Annual
Fund Operating Expenses in this fee table will not correlate to the
expense ratio in the Fund’s financial statements, since financial
statements only include direct costs of the Fund and not the indirect
costs of investing in the underlying funds. When the Fund invests in other
DoubleLine funds, the Adviser will waive its advisory fee in an amount
equal to the advisory fees paid by the other DoubleLine funds in respect
of Fund assets so invested. The Adviser waived advisory fees in the amount
of 0.31% pursuant to this waiver agreement in respect of investments made
in other DoubleLine funds during |
the Fund’s most recent fiscal year. The effects of this waiver are reflected in the table above. This waiver agreement may be terminated at any time with the consent of the Board of Trustees. |
4 |
DoubleLine
Alternatives LP (“DoubleLine
Alternatives” or the “Adviser”) has contractually agreed to
waive its investment advisory fee and to reimburse the Fund for other
ordinary operating expenses to the extent necessary to limit ordinary
operating expenses to an amount not to exceed 0.65% for Class I shares and
0.90% for Class N shares. Ordinary operating expenses exclude taxes,
commissions, mark-ups, litigation expenses, indemnification expenses,
interest expenses, Acquired Fund Fees and Expenses, and any extraordinary
expenses. These expense limitations will apply until at least
February 26, 2023, except that they may be terminated by the Board of
Trustees at any time. To the extent that the Adviser waives its investment
advisory fee and/or reimburses the Fund for other ordinary operating
expenses, it may seek reimbursement of a portion or all of such amounts at
any time within three fiscal years after the fiscal year in which such
amounts were waived or reimbursed. The Adviser will seek recoupment in
accordance with the terms of any expense limitation that is in place at
the time of recoupment, and any such recoupment may not cause the Fund’s
ordinary operating expenses to exceed the expense limitation that was in
place when the fees were waived or expenses reimbursed.
|
Class I | Class N | |||
1 Year | $76 | $101 | ||
3 Years | $249 | $328 | ||
5 Years | $438 | $574 | ||
10 Years | $984 | $1,277 |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions related to, among other things, the
selection of investments, portfolio construction, risk assessments, and/or
the outlook on market trends and
opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying a security in
which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
collateralized
debt obligations risk: the risks of an investment in a
collateralized debt obligation (“CDO”) depend largely on the quality and
type of the collateral and the tranche of the CDO in which the
Fund |
invests.
Normally, collateralized bond obligations (“CBOs”), CLOs and other CDOs are privately
offered and sold, and thus are not registered under the securities laws.
As a result, investments in CDOs may be illiquid. In addition to the risks
associated with debt instruments (e.g., interest rate risk and credit
risk), CDOs carry additional risks including, but not limited to:
(i) the possibility that distributions from collateral will not be
adequate to make interest or other payments; (ii) the quality of the
collateral may decline in value or default; (iii) the possibility
that the Fund may invest in CDOs that are subordinate to other classes of
the issuer’s securities; and (iv) the complex structure of the
security may not be fully understood at the time of investment and may
produce disputes with the issuer or unexpected investment
results. |
• |
commodities
risk: the risk that the value of the Fund’s shares may be
affected by changes in the values of the Fund’s investment exposures to
commodities or commodity-related instruments, which may be extremely
volatile and difficult to value. The value of commodities and
commodity-related instruments may be affected by market movements,
commodity index volatility, changes in interest rates, or factors
affecting supply, demand and/or other market fundamentals with respect to
a particular sector, industry or commodity, such as embargoes, tariffs and
international economic, political and regulatory developments. The Fund
will likely at times have significant exposure to particular sectors
through its commodities-related investments, including, for example, the
energy sector, industrial metals, and precious metals and may be exposed
to greater risk associated with events affecting those
sectors. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be unable or unwilling
to perform its obligations; that the Fund will be unable to enforce
contractual remedies if its counterparty defaults; that if a counterparty
becomes bankrupt, the Fund may experience significant delays in obtaining
any recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations, the Fund is not subject to
any limit with respect to the number or the value of transactions it can
enter into with a single counterparty. To the extent that the Fund enters
into multiple transactions with a single or a small set of counterparties,
it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the historical and prospective earnings of
the obligor and the value of its assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject to extension risk
generally have a greater potential for loss when prevailing interest rates
rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. |
The
value of instruments with a negative duration will generally decline if
interest rates decrease. Inverse floaters, interest-only and
principal-only securities are especially sensitive to interest rate
changes, which can affect not only their prices but can also change the
income flows and repayment assumptions about those investments. In recent
years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any replacement rate(s) may
adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the transition away from LIBOR may adversely
affect the Fund’s performance. |
• |
defaulted
securities risk: the significant risk of the uncertainty of
repayment of defaulted securities (e.g., a security on which a principal or
interest payment is not made when due) and obligations of distressed
issuers (including insolvent issuers or issuers in payment or covenant
default, in workout or restructuring or in bankruptcy or similar
proceedings). Such investments entail high risk and have speculative
characteristics. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the
time |
or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
equity issuer
risk: the risk that the market price of common stocks and
other equity securities may go up or down, sometimes rapidly or
unpredictably, including due to factors affecting equity securities
markets generally, particular industries represented in those markets, or
the issuer itself. |
• |
foreign
currency risk: the risk that fluctuations in exchange rates
may adversely affect the value of the Fund’s investments denominated in
foreign currencies. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to |
investments
in U.S. securities or in issuers with predominantly domestic market
exposure, may be more vulnerable to economic, political, and social
instability and subject to less government supervision, less protective
custody practices, lack of transparency, inadequate regulatory and
accounting standards, delayed or infrequent settlement of transactions,
and foreign taxes. If the Fund buys securities denominated in a foreign
currency, receives income in foreign currencies, or holds foreign
currencies from time to time, the values of the Fund’s assets, as measured
in U.S. dollars, can be affected unfavorably by changes in exchange rates
relative to the U.S. dollar or other foreign currencies. Foreign markets
are also subject to the risk that a foreign government could restrict
foreign exchange transactions or otherwise implement unfavorable currency
regulations. In addition, foreign securities may be subject to currency
exchange rates or regulations, the imposition of economic sanctions or
other government restrictions, higher transaction and other costs, reduced
liquidity, and delays in settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
index risk:
the risk that the Fund’s investments in derivatives based on
the Index or that use the Index as the reference asset, or other
substitute investment exposure to the Index, may underperform the return
of the Index or other trend following indices, including the Fund’s
benchmark index, for a number of reasons, including, for example,
(i) the performance of derivatives related to the Index may not
correlate with the Index and/or may underperform the Index due to
transaction costs, fees, or other aspects of the transaction’s pricing;
(ii) the Fund may not be able to find counterparties willing to enter
into derivative instruments whose returns are based on the return of the
Index or find parties who are willing to do so at an acceptable cost or
level of risk to the Fund; (iii) the design of the Index, including
related costs or embedded assumed expenses that reduce, potentially
significantly, the level of the Index (and the returns of derivative
instruments that have the Index as a reference asset); and
(iv) errors |
may
arise in carrying out the Index’s methodology, or the Index provider may
incorrectly report information concerning the Index. Although the Adviser
has licensed from the Index’s sponsor the right to use the Index as part
of implementing the Fund’s principal investment strategies, there can be
no guarantee that the Index will be maintained indefinitely or that the
Fund will be able to continue to utilize the Index to implement the Fund’s
principal investment strategies indefinitely. If the sponsor of the Index
ceases to maintain the Index, the Fund no longer has the ability to
utilize the Index to implement its principal investment strategies, or
other circumstances exist that the Adviser or the Fund’s Board of Trustees
concludes substantially limit the Fund’s ability to create cost-effective
synthetic investment exposure to the Index, the Adviser or the Fund’s
Board of Trustees may substitute the Index with another index that it
chooses in its sole discretion and without advance notice to shareholders.
There can be no assurance that any substitute index so selected will be
similar to the Index or will perform in a manner similar to the Index.
Unavailability of the Index could affect adversely the ability of the Fund
to achieve its investment objective. There can be no assurance that the
Index will provide a better measure of momentum or trend investing across
the different asset classes represented in the Index than other measures,
over any period or over the long term. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to maintain such investments once made due to its own
financial interest in those products and other business
considerations. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
limited
operating history risk: the risk that a newly formed fund
has a limited operating history to evaluate and may not attract sufficient
assets to achieve or maximize investment and operational
efficiencies. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
loan
risk: the risk that (i) if the Fund holds a loan
through another financial intermediary, or relies on a financial
intermediary to administer the loan, its receipt of principal and interest
on the loan may be subject to the credit risk of that financial
intermediary; (ii) any collateral securing a loan may be insufficient
or unavailable to the Fund, because, for example, the value of the
collateral securing a loan can decline, be insufficient to meet the
obligations of the borrower, or be difficult to liquidate, and the Fund’s
rights to collateral may be limited by bankruptcy or insolvency laws;
(iii) investments in highly leveraged loans or loans of stressed,
distressed, or defaulted issuers may be subject to significant credit and
liquidity risk; (iv) a bankruptcy or other court proceeding could
delay or limit the ability of the Fund to collect the principal and
interest payments on that borrower’s loans or adversely affect the Fund’s
rights in collateral relating to a loan; (v) there may be limited
public information available regarding the loan and the relevant
borrower(s); (vi) the use of a particular interest rate benchmark,
such as LIBOR, may limit the Fund’s ability to achieve a net return to
shareholders that consistently approximates the average published Prime
Rate of U.S. banks; (vii) the prices of certain floating rate loans
that include a feature that prevents their interest rates from adjusting
if market interest rates are below a specified minimum level may
appreciate less than other instruments in response to changes in interest
rates should interest rates rise but remain below the applicable minimum
level; (viii) if a borrower fails to comply with various restrictive
covenants that may be found in loan agreements, the borrower may default
in payment of the loan; (ix) if the Fund invests in loans that
contain fewer or less restrictive constraints on
the |
borrower
than certain other types of loans (“covenant-lite” loans), it may have
fewer rights against the borrowers of such loans, including fewer
protections against the possibility of default and fewer remedies in the
event of default; (x) the loan is unsecured; (xi) there is a
limited secondary market; (xii) transactions in loans may settle on a
delayed basis, and the Fund may not receive the proceeds from the sale of
a loan for a substantial period of time after the sale, which may result
in sale proceeds related to the sale of loans not being available to make
additional investments or to meet the Fund’s redemption obligations until
potentially a substantial period after the sale of the loans; and
(xiii) loans may be difficult to value and may be illiquid, which may
adversely affect an investment in the
Fund. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
These risks may be heightened for fixed income securities due to the
current low interest rate environment. |
• |
models and data
risk: the risk that the quantitative models or related data
used in managing the Fund fail to identify profitable opportunities. In
addition, failures to properly gather, organize, and analyze large amounts
of data or errors in a model or data, or in the application of such
models, may result in, among other things, execution and investment
allocation failures and investment losses. For example, the models may
incorrectly identify opportunities or data used in the construction and
application of models may prove to be inaccurate or stale, which may
result in misidentified opportunities that may lead to substantial losses
for the Fund. A given model may be more effective with certain instruments
or strategies than others, and there can be
no |
assurance
that any model can identify and incorporate all factors that will affect
an investment’s price or performance. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and that, during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the security. Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and principal-only securities, may
be extremely sensitive to changes in interest rates and prepayment rates.
The Fund may invest in mortgage-backed securities that are subordinate in
their right to receive payment of interest and repayment of principal to
other classes of the issuer’s securities. |
• |
portfolio
turnover risk: the risk that frequent purchases and sales of
portfolio securities may result in higher Fund expenses and may result in
larger distributions of taxable capital gains to investors as compared to
a fund that trades less frequently. |
• |
restricted
securities risk: the risk that the Fund may be prevented or
limited by law or the terms of an agreement from selling a security (a
“restricted security”). To the
extent that the Fund is permitted to sell a restricted security, there can
be no assurance that a trading market will exist at any particular time,
and the Fund may be unable to dispose of the security promptly at
reasonable prices or at all. The Fund may have to bear the expense of
registering the securities for resale and the risk of substantial delays
in effecting the registration. Also, restricted securities may be
difficult to value because market quotations may not be readily available,
and the values of restricted securities may have significant
volatility. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in
a |
particular
sector or related sectors, the Fund will be more susceptible to events or
factors affecting companies in that sector or related sectors. For
example, the values of securities of companies in the same or related
sectors may be negatively affected by the common characteristics they
share, the common business risks to which they are subject, common
regulatory burdens, or regulatory changes that affect them similarly. Such
characteristics, risks, burdens or changes include, but are not limited
to, changes in governmental regulation, inflation or deflation, rising or
falling interest rates, competition from new entrants, and other economic,
market, political or other developments specific to that sector or related
sectors. |
• |
short position
risk: the risk that an increase in the value of an
instrument, index or interest rate with respect to which the Fund has
established a short position will result in a loss to the
Fund. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and sold, and thus, are not
registered under the securities laws and may be thinly traded or have a
limited trading market and may have the effect of increasing the Fund’s
illiquidity, reducing the Fund’s income and the value of the investment.
At a particular point in time, the Fund may be unable to find qualified
buyers for these securities. Investments in structured notes involve risks
including interest rate risk, credit risk and market
risk. |
• |
tax risk:
in order to qualify as a regulated investment company under
the Code, the Fund must meet requirements regarding, among other things,
the source of its income. Certain investments in commodity-linked
derivatives do not give rise to qualifying income for this
purpose, |
and
it is possible that certain investments in other commodity-linked
instruments, ETFs and other investment pools will not give rise to
qualifying income. Any income the Fund derives from investments in
instruments that do not generate qualifying income must be limited to a
maximum of 10% of the Fund’s annual gross income. If the Fund were to earn
non-qualifying income in excess of 10% of its annual gross income, it
could fail to qualify as a regulated investment company for that year. If
the Fund were to fail to qualify as a regulated investment company, the
Fund would be subject to tax and shareholders of the Fund would be subject
to the risk of diminished returns. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect the underlying value of the Fund’s
portfolio, resulting in the dilution of shareholder
interests. |
Name | Experience with the Fund |
Primary Title with the Investment Adviser | ||
Jeffrey E. Gundlach | Since the Fund’s inception in February 2021 | Chief Executive Officer – DoubleLine Capital | ||
Jeffrey J. Sherman | Since the Fund’s inception in February 2021 | Deputy Chief Investment Officer – DoubleLine Capital; President – DoubleLine Alternatives |
Share Class | Class I | Class N | ||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | ||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | ||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | ||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | None | None | ||
Fee for Redemption by Wire | $15 | $15 | ||
Exchange Fee | None | None | ||
Account Fee | None | None |
Share Class | Class I | Class N | ||||||
Management Fees | 0.90% | 0.90% | ||||||
Distribution and/or Service (12b-1) Fees | None | 0.25% | ||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | 0.24% | 0.24% | ||||||
Acquired Fund Fees and Expenses2 | 0.01% | 0.01% | ||||||
Total Annual Fund Operating Expenses | 1.15% | 1.40% | ||||||
Fee
Waiver and/or Expense Reimbursement3 |
(0.04% | ) | (0.05% | ) | ||||
Total
Annual Fund Operating Expenses After Fee Waiver and/or Expense
Reimbursement |
1.11% | 1.35% |
1 |
The
Fund enters into index-related swap transactions, under which the Fund
incurs fees payable to its counterparties and other costs. Those fees and
costs reduce the index-based returns to the Fund under the swaps. During
the Fund’s most recent fiscal year, under its swap transactions, the Fund
incurred fees payable to its swap counterparties of up to 0.23% (expressed
as an annualized percentage of the notional amounts of the swaps). Swap
returns are typically also reduced by amounts based on short-term interest
rates (applied against the notional amounts of the swaps) and potentially
by other amounts. Such fees and costs are not reflected in the table above
or in the example below. See “Index Risk – Note regarding Index-Based
Swaps” for more information regarding such fees and costs.
|
2 |
“Acquired
Fund Fees and Expenses” are expenses indirectly incurred by the Fund as a
result of its investments in one or more underlying funds, including ETFs
and money market funds. Because these costs are indirect, the Total Annual
Fund Operating Expenses in this fee table will not correlate to the
expense ratio in the Fund’s financial statements, since financial
statements only include direct costs of the Fund and not the indirect
costs of investing in the underlying funds. |
3 |
The
Adviser has contractually agreed to waive its investment advisory fee and
to reimburse the Fund for other ordinary operating expenses to the extent
necessary to limit ordinary operating expenses to an amount not to exceed
1.10% for Class I shares and 1.35% for Class N shares. Ordinary operating
expenses exclude taxes, commissions, mark-ups, litigation expenses,
indemnification expenses, interest expenses, Acquired Fund Fees and
Expenses, and any extraordinary expenses. These expense limitations will
apply until at least July 31, 2022, except that they may be
terminated by the Board of Trustees at any time. To the extent that the
Adviser waives its investment |
advisory fee and/or reimburses the Fund for other ordinary operating expenses, it may seek reimbursement of a portion or all of such amounts at any time within three fiscal years after the fiscal year in which such amounts were waived or reimbursed. Any such recoupment may not cause the Fund’s ordinary operating expenses to exceed the expense limitation that was in place when the fees were waived or expenses reimbursed. Additionally, the Adviser would generally seek recoupment only in accordance with the terms of any expense limitation that is in place at the time of recoupment. |
Class I | Class N | |||||||
1 Year | $113 | $137 | ||||||
3 Years | $361 | $438 | ||||||
5 Years | $629 | $761 | ||||||
10 Years | $ | 1,394 | $ | 1,675 |
• |
Long Basket or Index-Related Exposure.
The Adviser may create one or more long commodity-related positions
in the Fund’s portfolio, representing what the Adviser considers from time
to time to be efficient, broad-based exposure to a number of commodities.
For example, the Adviser may identify one or more baskets or indexes of
commodities, which will typically be administered and maintained by
a |
third
party, although the Adviser may provide recommendations to the basket or
index sponsor during the construction of the basket or index or from time
to time thereafter as to the exposures to be reflected in the basket or
index. In pursuit of this strategy, the Adviser will normally attempt to
replicate within the Fund’s portfolio the commodity exposures of the
basket or index. These basket- or index-based exposures will typically
comprise at least 50% of the Fund’s commodity exposures, and may
constitute as much as 100% of the Fund’s commodity exposures. The Adviser,
in its discretion, may add to or replace the baskets or indexes, or may
determine to implement the Fund’s investment program without relying on
any baskets or indexes. In the latter case, the Adviser would rely
principally on the investment techniques described under “Tactical
Commodity Exposure,” below. |
• |
As
of the date of this Prospectus, the Adviser has licensed the right to use
the Morgan Stanley Backwardation-Focused Multi-Commodity Index (“BFMCISM”) (described
below) (the “Morgan Stanley Index”), and the Fund invests in derivative
instruments intended to provide exposure to the Morgan Stanley Index in
implementing this aspect of the Fund’s principal investment strategies.
However, the Adviser at any time may discontinue the use of the Morgan
Stanley Index or may use other commodities-related indices at any time and
without notice or may work with another index sponsor to create a custom
commodities-related index. There can be no assurance that the Fund will
continue to use the Morgan Stanley Index in implementing its principal
investment strategies. For more information regarding the Morgan Stanley
Index, see “The Morgan Stanley Index”
below. |
• |
Tactical Commodity Exposure. The Adviser
may seek to generate additional returns or modify the Fund’s broad-based
commodities exposures by taking long and/or short positions in individual
commodities or in other baskets of commodities or commodity indexes. These
investments may be made in commodities, such as precious metals, that are
not represented in the basket or index of commodities through which the
Fund may be obtaining broad-based commodities exposures. The Adviser will
determine whether to take such positions based on the Adviser’s
quantitative models as well as the Adviser’s views of changing market,
economic and political factors, market fundamentals, macroeconomic trends,
and global or local events. The Adviser may also seek to pursue “market
neutral” returns by creating roughly equal “long” and “short” exposures on
different commodities of any kind. The Fund’s tactical commodity exposures
will |
be
actively managed, and the allocation of the Fund’s assets to various
commodities will change over time, sometimes
rapidly. |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions related to, among other things, the
selection of investments, portfolio construction, risk assessments, and/or
the outlook on market trends and
opportunities. |
• |
cash position
risk: the risk that to the extent that the Fund holds assets
in cash, cash equivalents, and other short-term investments, the ability
of the Fund to meet its objective may be
limited. |
• |
commodities
risk: the risk that the value of the Fund’s shares may be
affected by changes in the values of the Fund’s investment exposures to
commodities or commodity-related instruments, which may be extremely
volatile and difficult to value. The value of commodities and
commodity-related instruments may be affected by market movements,
commodity index volatility, changes in interest rates, or factors
affecting supply, demand and/or other market fundamentals with respect to
a particular sector, industry or commodity, such as drought, floods,
weather, livestock disease, embargoes, tariffs and international economic,
political and regulatory developments. The Fund will likely at times have
significant exposure to particular sectors through its commodities-related
investments, including, for example, the energy, industrial metals, and
agricultural and livestock sectors and may be exposed to greater risk
associated with events affecting those
sectors. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into directly by the Fund or held by special purpose or structured
vehicles in which the Fund invests; that the Fund’s counterparty will be
unable or unwilling to perform its obligations; that the Fund will be
unable to enforce contractual remedies if its counterparty defaults; that
if a counterparty becomes bankrupt, the Fund may experience significant
delays in obtaining any recovery under the derivative contract or may
obtain limited or no recovery in a bankruptcy or other insolvency
proceeding. Subject to certain U.S. federal income tax limitations, the
Fund is not subject to any limit with respect to the number or the value
of transactions it can enter into with a single counterparty. The Fund has
historically obtained exposure to the Morgan Stanley Index through swap
transactions with a limited number of counterparties, and will likely
enter into swap transactions related to the Morgan Stanley Index with a
limited number of counterparties for the foreseeable future. To the extent
that the Fund enters into multiple transactions with a small set of
counterparties, it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or
perceived |
changes
in the financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the historical and prospective earnings of
the obligor and the value of its assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject to extension risk
generally have a greater potential for loss when prevailing interest rates
rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. The value of instruments with a negative duration will
generally decline if interest rates decrease. Inverse floaters,
interest-only and principal-only securities are especially sensitive to
interest rate changes, which can affect not only their prices but can also
change the income flows and repayment assumptions about those investments.
In recent years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any replacement rate(s) may
adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the transition away from LIBOR may adversely
affect the Fund’s performance. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
financial
instruments in which the Fund invests cannot yet be determined. Please see
“Debt Securities Risks — LIBOR Risk” above for more
information. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
focused
investment risk: the risk that a fund that invests a
substantial portion of its assets in a particular market, industry,
sector, group of industries or sectors, country, region, group of
countries or asset class is, relative to a fund that invests in a more
diverse investment portfolio, more susceptible to any single economic,
market, political, regulatory or other occurrence. This is because, for
example, issuers in a particular market, industry, region, sector or asset
class may react similarly to specific economic, market, regulatory,
political or other developments. The particular markets, industries,
regions, sectors or asset classes in which the Fund may focus its
investments may change over time and the Fund may alter its focus at
inopportune times. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of transparency,
inadequate regulatory and accounting standards, delayed or infrequent
settlement of transactions, and foreign taxes. If the Fund buys securities
denominated in a foreign currency, receives income in foreign currencies,
or holds foreign currencies from time to time, the value of the Fund’s
assets, as measured in U.S. dollars, can be affected unfavorably by
changes in exchange rates relative to the U.S. dollar or other foreign
currencies. Foreign markets are also subject to the risk that a foreign
government could restrict foreign exchange transactions or otherwise
implement unfavorable currency regulations. In addition, foreign
securities may be subject to currency |
exchange
rates or regulations, the imposition of economic sanctions or other
government restrictions, higher transaction and other costs, reduced
liquidity, and delays in settlement. |
• |
index risk:
the risk that the portion of the Fund invested in
instruments based on an index or basket of commodities or that use an
index or basket of commodities as the reference asset may not match or may
underperform the return of the index or basket for a number of reasons,
including, for example, (i) the performance of derivatives related to
an index or basket in which the Fund invests may not correlate with the
performance of the index or basket and/or may underperform the index or
basket due to transaction costs, fees, or other aspects of the
transaction’s pricing; (ii) the Fund may not be able to find
counterparties willing to enter into derivative instruments whose returns
are based on the return of the index or basket, or the Fund may be unable
to find parties who are willing to do so at an acceptable cost or level of
risk to the Fund; and (iii) errors may arise in carrying out an
index’s methodology, or an index provider may incorrectly report
information concerning the index. There can be no guarantee that any
index, including the Morgan Stanley Index, will be maintained indefinitely
or that the Fund will be able to continue to utilize a specific index to
implement the Fund’s principal investment strategies
indefinitely. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to maintain such investments once made due to its own
financial interest in those products and other business
considerations. |
• |
large
shareholder risk: the risk that certain account holders,
including the Adviser or funds or accounts over which the Adviser (or
related parties of the Adviser) has investment discretion, may from time
to time own or control a significant percentage of the Fund’s shares. The
Fund is subject to the risk that a redemption by those shareholders of all
or a portion of their Fund shares, including as a result of an asset
allocation decision made by the Adviser (or related parties of the
Adviser), will adversely affect the Fund’s performance if it is forced to
sell portfolio securities or invest cash when the Adviser would not
otherwise choose to do so. Redemptions of a large number of shares may
affect the liquidity of the Fund’s portfolio, increase the Fund’s
transaction costs, and accelerate the realization of taxable income and/or
gains to shareholders. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal
restrictions |
that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
These risks may be heightened for fixed income securities due to the
current low interest rate environment. |
• |
models and data
risk: the risk that the quantitative models or related data
used in managing the Fund fail to identify profitable opportunities. In
addition, failures to properly gather, organize, and analyze large amounts
of data or errors in a model or data, or in the application of such
models, may result in, among other things, execution and investment
allocation failures and investment losses. For example, the models may
incorrectly identify opportunities or data used in the construction and
application of models may prove to be inaccurate or stale, which may
result in misidentified opportunities that may lead to substantial losses
for the Fund. A given model may be more effective with certain instruments
or strategies than others, and there can be no assurance that any model
can identify and incorporate all factors that will affect an investment’s
price or performance. |
• |
portfolio
turnover risk: the risk that frequent purchases and sales of
portfolio securities may result in higher Fund expenses and may result in
larger distributions of taxable capital gains to investors as compared to
a fund that trades less frequently. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or related sectors. For example, the
values of securities of companies in the same or related sectors may be
negatively affected by the common characteristics they share, the common
business risks to which they are subject, common regulatory burdens, or
regulatory changes that affect them similarly. Such characteristics,
risks, burdens or changes include, but are not limited to, changes in
governmental regulation, inflation or deflation, rising or falling
interest rates, competition from new entrants, and other economic, market,
political or other developments specific to that sector or related
sectors. |
• |
short position
risk: the risk that an increase in the value of an
instrument, index or interest rate with respect to which the Fund has
established a short position will result in a loss to the
Fund. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and sold, and thus, are not
registered under the securities laws and may be thinly traded or have a
limited trading market and may have the effect of increasing the Fund’s
illiquidity, reducing the Fund’s income and the value of the investment.
At a particular point in time, the Fund may be unable to find qualified
buyers for these securities. Investments in structured notes involve risks
including interest rate risk, credit risk and market
risk. |
• |
tax risk:
in order to qualify as a regulated investment company under
the Code, the Fund must meet requirements regarding, among other things,
the source of its income. Certain investments in commodity-linked
derivatives do not give rise to qualifying income for this purpose, and it
is possible that certain investments in other commodity-linked
instruments, ETFs and other investment pools will not give rise to
qualifying income. Any income the Fund derives from investments in
instruments that do not generate qualifying income must be limited to a
maximum of 10% of the Fund’s annual gross income. If the Fund were to earn
non-qualifying income in excess of 10% of its annual gross income, it
could fail to qualify as a regulated investment company for that year. If
the Fund were to fail to qualify as a regulated investment company, the
Fund would be subject to tax and shareholders of the Fund would be subject
to the risk of diminished returns. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect the underlying value of the Fund’s
portfolio, resulting in the dilution of shareholder
interests. |
Highest: | 17.82% | Quarter ended 12/31/2020 | ||
Lowest: | (25.05)% | Quarter ended 3/31/2020 |
Strategic Commodity Fund | One Year | Five Years |
Since Inception
(May
18, 2015) |
|||||||||
Class I | ||||||||||||
Return
Before Taxes |
(6.07 | )% | 1.75% | (1.15 | )% | |||||||
Return
After Taxes on Distributions |
(6.07 | )% | 1.08% | (1.73 | )% | |||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
(3.60 | )% | 1.07% | (1.10 | )% | |||||||
Class N | ||||||||||||
Return
Before Taxes |
(6.33 | )% | 1.45% | (1.42 | )% | |||||||
Bloomberg
Commodity Index Total Return
(reflects no deduction for fees, expenses or
taxes) |
(3.12 | )% | 1.03% | (4.17 | )% |
Name | Experience with the Fund |
Primary Title with the Investment Adviser | ||
Jeffrey J. Sherman | Since the Fund’s inception in May 2015 | Deputy Chief Investment Officer | ||
Samuel Lau | Since July 2018 | Portfolio Manager | ||
Jeffrey Mayberry | Since July 2018 | Portfolio Manager |
Share Class | Class I | Class N | Class R6 | |||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | None | |||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | None | |||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | None | |||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | None | None | None | |||
Fee for Redemption by Wire | $15 | $15 | $15 | |||
Exchange Fee | None | None | None | |||
Account Fee | None | None | None |
Share Class | Class I | Class N | Class R6 | |||
Management Fees | 0.45% | 0.45% | 0.45% | |||
Distribution and/or Service (12b-1) Fees | None | 0.25% | None | |||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | 0.10% | 0.10% | 0.06% | |||
Acquired Fund Fees and Expenses2 | 0.01% | 0.01% | 0.01% | |||
Total Annual Fund Operating Expenses | 0.56% | 0.81% | 0.52% |
1 |
The
Fund enters into index-related swap transactions, under which the Fund
incurs fees payable to its counterparties and other costs. Those fees and
costs reduce the index-based returns to the Fund under the swaps. During
the Fund’s most recent fiscal year, under its index-related swap
transactions, the Fund incurred fees payable to its swap counterparties
ranging from 0.38% to 0.40% (expressed as an annualized percentage of the
notional amounts of the swaps). Swap returns are typically also reduced by
amounts based on short-term interest rates (applied against the notional
amounts of the swaps) and potentially by other amounts. Such fees and
costs are not reflected in the table above or in the example below. See
“Index Risk – Note regarding Index-Based Swaps” for more information
regarding such fees and costs. |
2 |
“Acquired
Fund Fees and Expenses” are expenses indirectly incurred by the Fund as a
result of its investments in one or more underlying funds, including ETFs
and money market funds. Because these costs are indirect, the Total Annual
Fund Operating Expenses in this fee table will not correlate to the
expense ratio in the Fund’s financial statements, since financial
statements only include direct costs of the Fund and not the indirect
costs of investing in the underlying funds. When the Fund invests in other
DoubleLine funds, the Adviser will waive its advisory fee in an amount
equal to the advisory fees paid by the other DoubleLine funds in respect
of Fund assets so invested. The Adviser waived advisory fees in an amount
less than 0.01% pursuant to this waiver agreement in respect of
investments made in other DoubleLine funds during the Fund’s most recent
fiscal year. The effects of this waiver are reflected in the table above.
This waiver agreement may be terminated at any time with the consent of
the Board of Trustees. |
Class I | Class N | Class R6 | ||||
1 Year | $57 | $83 | $53 | |||
3 Years | $179 | $259 | $167 | |||
5 Years | $313 | $450 | $291 | |||
10 Years | $701 | $1,002 | $653 |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance
will |
depend,
at least in part, on how its assets are allocated and reallocated among
asset classes, sectors, underlying funds and/or investments and that such
allocation will focus on asset classes, sectors, underlying funds, and/or
investments that perform poorly or underperform other asset classes,
sectors, underlying funds, and/or available investments. Any given
investment strategy may fail to produce the intended results, and Fund’s
portfolio may underperform other comparable funds because of portfolio
management decisions related to, among other things, the selection of
investments, portfolio construction, risk assessments, and/or the outlook
on market trends and opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying a security in
which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
collateralized
debt obligations risk: the risks of an investment in a
collateralized debt obligation (“CDO”) depend largely on the quality and
type of the collateral and the tranche of the CDO in which the Fund
invests. Normally, collateralized bond obligations (“CBOs”), CLOs and other CDOs are privately
offered and sold, and thus are not registered under the securities laws.
As a result, investments in CDOs may be illiquid. In addition to the risks
associated with debt instruments (e.g., interest rate risk and credit
risk), CDOs carry additional risks including, but not limited to:
(i) the possibility that distributions from collateral will not be
adequate to make interest or other payments; (ii) the quality of the
collateral may decline in value or default; (iii) the possibility
that the Fund may invest in CDOs that are subordinate to other classes of
the issuer’s securities; and (iv) the complex structure of the
security may not be fully understood at the time of investment and may
produce disputes with the issuer or unexpected investment
results. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be unable or unwilling
to perform its obligations; that the Fund will be unable
to |
enforce
contractual remedies if its counterparty defaults; that if a counterparty
becomes bankrupt, the Fund may experience significant delays in obtaining
any recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations, the Fund is not subject to
any limit with respect to the number or the value of transactions it can
enter into with a single counterparty. The Fund has historically obtained
exposure to the Index through swap transactions with a limited number of
counterparties and will likely enter into swap transactions related to the
Index with a limited number of counterparties for the foreseeable future.
To the extent that the Fund enters into multiple transactions with a small
set of counterparties, it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the historical and prospective earnings of
the obligor and the value of its assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject to extension risk
generally have a greater potential for loss when prevailing interest rates
rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. The value of instruments with a negative duration will
generally decline if interest rates decrease. Inverse floaters,
interest-only and principal-only securities are especially sensitive to
interest rate changes, which can affect not only their prices but can also
change the income flows and repayment assumptions about those investments.
In recent years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any replacement rate(s) may
adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the transition away from LIBOR may adversely
affect the Fund’s performance. |
• |
defaulted
securities risk: the significant risk of the uncertainty of
repayment of defaulted securities (e.g., a security on which a principal or
interest payment is not made when due) and obligations of distressed
issuers (including insolvent issuers or issuers in payment or covenant
default, in workout or restructuring or in bankruptcy or similar
proceedings). Such investments entail high risk and have speculative
characteristics. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
equity issuer
risk: the risk that the market price of common stocks and
other equity securities may go up or down, sometimes rapidly or
unpredictably, including due to factors affecting equity securities
markets generally, particular industries represented in those markets, or
the issuer itself. |
• |
financial
services risk: the risk that an investment in issuers in the
financial services sector or transactions with one or more counterparties
in the financial services sector may be adversely affected by, among other
things: (i) changes in governmental regulation, which may limit both
the amounts and the types of loans and other financial commitments
financial services companies can make, the interest rates and fees they
can charge, the scope of their activities, the prices they can charge and
the amount of capital they must maintain; (ii) fluctuations,
including as a result of interest rate changes or increased competition,
in the availability and cost of capital funds on which the profitability
of financial services companies is largely dependent;
(iii) deterioration of the credit markets; (iv) credit losses
resulting from financial difficulties of borrowers, especially when
financial services companies are exposed to non-diversified or
concentrated loan portfolios; (v) financial losses associated with
investment activities, especially when financial services companies are
exposed to financial leverage; (vi) the risk that any financial
services company experiences substantial declines in the valuations of its
assets, takes action to raise capital, or ceases operations;
(vii) the risk that a market shock or other unexpected market,
economic, political, regulatory, or other event might lead to a sudden
decline in the values of most or all companies in the financial services
sector; and (viii) the interconnectedness or interdependence among
financial services companies, including the risk that the financial
distress or failure of one financial services company may materially and
adversely affect a number of other financial services
companies. |
• |
foreign
currency risk: the risk that fluctuations in exchange rates
may adversely affect the value of the Fund’s investments denominated in
foreign currencies. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of
transparency, |
inadequate
regulatory and accounting standards, delayed or infrequent settlement of
transactions, and foreign taxes. If the Fund buys securities denominated
in a foreign currency, receives income in foreign currencies, or holds
foreign currencies from time to time, the value of the Fund’s assets, as
measured in U.S. dollars, can be affected unfavorably by changes in
exchange rates relative to the U.S. dollar or other foreign currencies.
Foreign markets are also subject to the risk that a foreign government
could restrict foreign exchange transactions or otherwise implement
unfavorable currency regulations. In addition, foreign securities may be
subject to currency exchange rates or regulations, the imposition of
economic sanctions or other government restrictions, higher transaction
and other costs, reduced liquidity, and delays in
settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
index risk:
the risk that the Fund’s investments in derivatives based on
the Index or that use the Index as the reference asset, or other
substitute investment exposure to the Index, may underperform the return
of the Index for a number of reasons, including, for example, (i) the
performance of derivatives related to the Index may not correlate with the
Index and/or may underperform the Index due to transaction costs, fees, or
other aspects of the transaction’s pricing; (ii) the Fund may not be
able to find counterparties willing to enter into derivative instruments
whose returns are based on the return of the Index or find parties who are
willing to do so at an acceptable cost or level of risk to the Fund; and
(iii) errors may arise in carrying out the Index’s methodology, or
the Index provider may incorrectly report information concerning the
Index. Although the Adviser has licensed from the Index’s sponsor the
right to use the Index as part of implementing the Fund’s principal
investment strategies, there can be no guarantee that the Index will be
maintained indefinitely or that the Fund will be able to continue to
utilize the Index to implement the Fund’s principal investment strategies
indefinitely. If the sponsor of the Index ceases to maintain the Index,
the Fund no longer has the ability to utilize
the |
Index
to implement its principal investment strategies, or other circumstances
exist that the Adviser or the Fund’s Board of Trustees concludes
substantially limit the Fund’s ability to create cost-effective synthetic
investment exposure to the Index, the Adviser or the Fund’s Board of
Trustees may substitute the Index with another index that it chooses in
its sole discretion and without advance notice to shareholders. There can
be no assurance that any substitute index so selected will be similar to
the Index or will perform in a manner similar to the Index. Unavailability
of the Index could affect adversely the ability of the Fund to achieve its
investment objective. |
• |
inflation-indexed bond risk: the
risk that such bonds will change in value in response to actual or
anticipated changes in inflation rates in a manner unanticipated by the
Fund’s portfolio management team or investors generally. Inflation-indexed
bonds are subject to debt securities
risks. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to maintain such investments once made due to its own
financial interest in those products and other business
considerations. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments
are |
often
more volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
loan
risk: the risk that (i) if the Fund holds a loan
through another financial intermediary, or relies on a financial
intermediary to administer the loan, its receipt of principal and interest
on the loan may be subject to the credit risk of that financial
intermediary; (ii) any collateral securing a loan may be insufficient
or unavailable to the Fund, because, for example, the value of the
collateral securing a loan can decline, be insufficient to meet the
obligations of the borrower, or be difficult to liquidate, and the Fund’s
rights to collateral may be limited by bankruptcy or insolvency laws;
(iii) investments in highly leveraged loans or loans of stressed,
distressed, or defaulted issuers may be subject to significant credit and
liquidity risk; (iv) a bankruptcy or other court proceeding could
delay or limit the ability of the Fund to collect the principal and
interest payments on that borrower’s loans or adversely affect the Fund’s
rights in collateral relating to a loan; (v) there may be limited
public information available regarding the loan and the relevant
borrower(s); (vi) the use of a particular interest rate benchmark,
such as LIBOR, may limit the Fund’s ability to achieve a net return to
shareholders that consistently approximates the average published Prime
Rate of U.S. banks; (vii) the prices of certain floating rate loans
that include a feature that prevents their interest rates from adjusting
if market interest rates are below a specified minimum level may
appreciate less than other instruments in response to changes in interest
rates should interest rates rise but remain below the applicable minimum
level; (viii) if a borrower fails to comply with various restrictive
covenants that may be found in loan agreements, the borrower may default
in payment of the loan; (ix) if the Fund invests in loans that
contain fewer or less restrictive constraints on the borrower than certain
other types of loans (“covenant-lite” loans), it may have fewer rights
against the borrowers of such loans, including fewer protections against
the possibility of default and fewer remedies in the event of default;
(x) the loan is unsecured; (xi) there is a limited secondary
market; (xii) transactions in loans may settle on a delayed basis,
and the Fund may not receive the proceeds from the sale of a loan for a
substantial period of time after the sale, which may result in sale
proceeds related to the sale of loans not being available to make
additional investments or to meet the Fund’s redemption obligations until
potentially a substantial period after the sale of the loans; and
(xiii) loans may be difficult to value and may be illiquid, which may
adversely affect an investment in the Fund. The Fund may invest
in |
loans
directly or indirectly by investing in shares of the DoubleLine Floating
Rate Fund and in either case will be subject to the risks described
above. |
• |
market
capitalization risk: the risk that investing substantially
in issuers in one market capitalization category (large, medium or small)
may adversely affect the Fund because of unfavorable market conditions
particular to that category of issuers, such as larger, more established
companies being unable to respond quickly to new competitive challenges or
attain the high growth rates of successful smaller companies, or,
conversely, stocks of smaller companies being more volatile than those of
larger companies due to, among other things, narrower product lines, more
limited financial resources, fewer experienced managers and there
typically being less publicly available information about small
capitalization companies. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
These risks may be heightened for fixed income securities due to the
current low interest rate environment. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and that, during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the
security. |
Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and principal-only securities, may
be extremely sensitive to changes in interest rates and prepayment rates.
The Fund may invest in mortgage-backed securities that are subordinate in
their right to receive payment of interest and repayment of principal to
other classes of the issuer’s securities. |
• |
real estate
risk: the risk that real estate-related investments may
decline in value as a result of factors affecting the real estate sector,
such as the supply of real property in certain markets, changes in zoning
laws, delays in completion of construction, changes in real estate values,
changes in property taxes, levels of occupancy, and local and regional
market conditions. Along with the risks common to different types of real
estate-related investments, real estate investment trusts (“REITs”), no matter the type, involve
additional risk factors, including poor performance by the REIT’s manager,
adverse changes to the tax laws, and the possible failure by the REIT to
qualify for the favorable tax treatment available to REITs under the
Internal Revenue Code of 1986, as amended (the “Code”), or the exemption from
registration under the Investment Company Act of 1940, as amended (the
“1940 Act”). REITs are not
diversified and are heavily dependent on cash flow earned on the property
interests they hold. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or related sectors. For example, the
values of securities of companies in the same or related sectors may be
negatively affected by the common characteristics they share, the common
business risks to which they are subject, common regulatory burdens, or
regulatory changes that affect them similarly. Such characteristics,
risks, burdens or changes include, but are not limited to, changes in
governmental regulation, inflation or deflation, rising or falling
interest rates, competition from new entrants, and other economic, market,
political or other developments specific to that sector or related
sectors. |
• |
short position
risk: the risk that an increase in the value of an
instrument, index or interest rate with respect to which the Fund has
established a short position will result in a loss to the
Fund. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and sold, and thus, are not
registered under the securities laws and may be thinly traded or have a
limited trading market and may have the effect of increasing the Fund’s
illiquidity, reducing the Fund’s income and the value of the investment.
At a particular point in time, the Fund may be unable to find qualified
buyers for these securities. Investments in structured notes involve risks
including interest rate risk, credit risk and market
risk. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder |
transactions
being effected at an NAV that does not accurately reflect the underlying
value of the Fund’s portfolio, resulting in the dilution of shareholder
interests. |
Highest: | 25.46% | Quarter ended 6/30/2020 | ||
Lowest: | (27.69)% | Quarter ended 3/31/2020 |
Shiller Enhanced CAPE® | One Year | Five Years |
Since Inception
(October 31, 2013) |
|||||||||
Class I | ||||||||||||
Return
Before Taxes |
16.27% | 16.91% | 15.49% | |||||||||
Return
After Taxes on Distributions |
15.27% | 14.53% | 13.37% | |||||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
9.52% | 12.68% | 11.77% | |||||||||
Class N | ||||||||||||
Return
Before Taxes |
16.03% | 16.63% | 15.20% | |||||||||
Class R6(1) | ||||||||||||
Return
Before Taxes |
16.27% | 16.93% | 15.50% | |||||||||
S&P
500®
Index
(reflects no deduction for fees, expenses or
taxes) |
18.40% | 15.22% | 13.46% | |||||||||
Shiller
Barclays CAPE® US
Sector TR USD Index
(reflects no deduction for fees, expenses or
taxes) |
18.36% | 16.84% | 15.08% |
(1) |
Class
R6 shares were not available for purchase until July 31, 2019. The
performance shown for Class R6 shares prior to that date is that of the
Class I shares of the Fund, another class of the Fund that is invested in
the same portfolio of securities as Class R6 shares. Annual returns of
Class R6 shares would have differed from that shown for the period prior
to July 31, 2019 only to the extent that Class R6 shares and Class I
shares have different expenses. |
Name | Experience with the Fund |
Primary Title with the Investment Adviser | ||
Jeffrey E. Gundlach | Since the Fund’s inception in October 2013 | Chief Executive Officer | ||
Jeffrey J. Sherman | Since the Fund’s inception in October 2013 | Deputy Chief Investment Officer |
Share Class | Class I | Class N | ||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | None | None | ||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | None | None | ||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | None | None | ||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | None | None | ||
Fee for Redemption by Wire | $15 | $15 | ||
Exchange Fee | None | None | ||
Account Fee | None | None |
Share Class | Class I | Class N | ||||||
Management Fees | 0.50% | 0.50% | ||||||
Distribution and/or Service (12b-1) Fees | None | 0.25% | ||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | 0.43% | 0.43% | ||||||
Acquired Fund Fees and Expenses2 | 0.02% | 0.02% | ||||||
Total Annual Fund Operating Expenses | 0.95% | 1.20% | ||||||
Fee
Waiver and/or Expense Reimbursement3 |
(0.29% | ) | (0.29% | ) | ||||
Total
Annual Fund Operating Expenses After Fee Waiver and/or Expense
Reimbursement |
0.66% | 0.91% |
1 |
The
Fund enters into index-related swap transactions, under which the Fund
incurs fees payable to its counterparties and other costs. Those fees and
costs reduce the index-based returns to the Fund under the swaps. During
the Fund’s most recent fiscal year, the Fund incurred fees payable to its
swap counterparties of up to 0.20% (expressed as an annualized percentage
of the notional amounts of the swaps). Swap returns are typically also
reduced by amounts based on short-term interest rates (applied against the
notional amounts of the swaps) and by other amounts. Such fees and costs
are not reflected in the table above or in the example below. See “Index
Risk — Note regarding Index-Based Swaps” for more information regarding
such fees and costs. |
2 |
“Acquired
Fund Fees and Expenses” are expenses indirectly incurred by the Fund as a
result of its investments in one or more underlying funds, including ETFs
and money market funds. Because these costs are indirect, the Total Annual
Fund Operating Expenses in this fee table will not correlate to the
expense ratio in the Fund’s financial statements, since financial
statements only include direct costs of the Fund and not the indirect
costs of investing in the underlying funds. When the Fund invests in other
DoubleLine funds, the Adviser will waive its advisory fee in an amount
equal to the advisory fees paid by the other DoubleLine funds in respect
of Fund assets so invested. The Adviser waived advisory fees in the amount
of 0.02% pursuant to this waiver agreement in respect of investments made
in other DoubleLine funds during the Fund’s most recent fiscal year. The
effects of this waiver are reflected in the table above. This waiver
agreement may be terminated at any time with the consent of the Board of
Trustees. |
3 |
The
Adviser has contractually agreed to waive its investment advisory fee and
to reimburse the Fund for other ordinary operating expenses to the extent
necessary to limit ordinary operating expenses to an amount not to exceed
0.65% for Class I shares and 0.90% for Class N shares. Ordinary operating
expenses exclude taxes, commissions, mark-ups, litigation expenses,
indemnification expenses, interest expenses, Acquired Fund Fees and
Expenses, and any extraordinary expenses. These expense limitations will
apply until at least July 31, 2022, except that they may be
terminated by the Board of Trustees at any time. To the extent that the
Adviser waives its investment advisory fee and/or reimburses the Fund for
other ordinary operating expenses, it may seek reimbursement of a portion
or all of such amounts at any time within three fiscal years after the
fiscal year in which such amounts were waived or reimbursed. Any such
recoupment may not cause the Fund’s ordinary operating expenses to exceed
the expense limitation that was in place when the fees were waived or
expenses reimbursed. Additionally, the Adviser would generally seek
recoupment only in accordance with the terms of any expense limitation
that is in place at the time of recoupment. |
Class I | Class N | |||
1 Year | $67 | $93 | ||
3 Years | $274 | $352 | ||
5 Years | $497 | $632 | ||
10 Years | $1,140 | $1,429 |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions |
related
to, among other things, the selection of investments, portfolio
construction, risk assessments, and/or the outlook on market trends and
opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying a security in
which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
collateralized
debt obligations risk: the risks of an investment in a
collateralized debt obligation (“CDO”) depend largely on the quality and
type of the collateral and the tranche of the CDO in which the Fund
invests. Normally, collateralized bond obligations (“CBOs”), CLOs and other CDOs are privately
offered and sold, and thus are not registered under the securities laws.
As a result, investments in CDOs may be illiquid. In addition to the risks
associated with debt instruments (e.g., interest rate risk and credit
risk), CDOs carry additional risks including, but not limited to:
(i) the possibility that distributions from collateral will not be
adequate to make interest or other payments; (ii) the quality of the
collateral may decline in value or default; (iii) the possibility
that the Fund may invest in CDOs that are subordinate to other classes of
the issuer’s securities; and (iv) the complex structure of the
security may not be fully understood at the time of investment and may
produce disputes with the issuer or unexpected investment
results. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be unable or unwilling
to perform its obligations; that the Fund will be unable to enforce
contractual remedies if its counterparty defaults; that if a counterparty
becomes bankrupt, the Fund may experience significant delays in obtaining
any recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations, the Fund is not subject to
any limit with respect to the number or the value of transactions it can
enter into with a single counterparty. The Fund has historically obtained
exposure to the Index through swap |
transactions
with a single or a limited number of counterparties and will likely enter
into swap transactions related to the Index with a single or a limited
number of counterparties for the foreseeable future. To the extent that
the Fund enters into multiple transactions with a single or a small set of
counterparties, it will be subject to increased counterparty
risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the historical and prospective earnings of
the obligor and the value of its assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited to,
floating rate loans and mortgage-related securities, may occur at a slower
rate than expected and the expected maturity of those securities could
lengthen as a result. Securities that are subject to extension risk
generally have a greater potential for loss when prevailing interest rates
rise, which could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt |
instruments
typically have a positive duration. The value of a debt instrument with
positive duration will generally decline if interest rates increase.
Certain other investments, such as inverse floaters and certain derivative
instruments, may have a negative duration. The value of instruments with a
negative duration will generally decline if interest rates decrease.
Inverse floaters, interest-only and principal-only securities are
especially sensitive to interest rate changes, which can affect not only
their prices but can also change the income flows and repayment
assumptions about those investments. In recent years, the U.S. has
experienced historically low interest rates, increasing the exposure of
bond investors to the risks associated with rising interest
rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any replacement rate(s) may
adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the transition away from LIBOR may adversely
affect the Fund’s performance. |
• |
defaulted
securities risk: the significant risk of the uncertainty of
repayment of defaulted securities (e.g., a security on which a principal or
interest payment is not made when due) and obligations of distressed
issuers (including insolvent issuers or issuers in payment or covenant
default, in workout or restructuring or in bankruptcy or similar
proceedings). Such investments entail high risk and have speculative
characteristics. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
equity issuer
risk: the risk that the market price of common stocks and
other equity securities may go up or down, sometimes rapidly or
unpredictably, including due to factors affecting equity securities
markets generally, particular industries represented in those markets, or
the issuer itself. |
• |
financial
services risk: the risk that an investment in issuers in the
financial services sector or transactions with one or more counterparties
in the financial services sector may be
adversely |
affected
by, among other things: (i) changes in governmental regulation, which
may limit both the amounts and the types of loans and other financial
commitments financial services companies can make, the interest rates and
fees they can charge, the scope of their activities, the prices they can
charge and the amount of capital they must maintain;
(ii) fluctuations, including as a result of interest rate changes or
increased competition, in the availability and cost of capital funds on
which the profitability of financial services companies is largely
dependent; (iii) deterioration of the credit markets;
(iv) credit losses resulting from financial difficulties of
borrowers, especially when financial services companies are exposed to
non-diversified or concentrated loan portfolios; (v) financial losses
associated with investment activities, especially when financial services
companies are exposed to financial leverage; (vi) the risk that any
financial services company experiences substantial declines in the
valuations of its assets, takes action to raise capital, or ceases
operations; (vii) the risk that a market shock or other unexpected
market, economic, political, regulatory, or other event might lead to a
sudden decline in the values of most or all companies in the financial
services sector; and (viii) the interconnectedness or interdependence
among financial services companies, including the risk that the financial
distress or failure of one financial services company may materially and
adversely affect a number of other financial services
companies. |
• |
foreign
currency risk: the risk that fluctuations in exchange rates
may adversely affect the value of the Fund’s investments denominated in
foreign currencies. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of transparency,
inadequate regulatory and accounting standards, delayed or infrequent
settlement of transactions, and foreign taxes. If the Fund buys securities
denominated in a foreign currency, receives income in foreign currencies,
or holds foreign currencies from time to time, the value of the Fund’s
assets, as measured in U.S. dollars, can be affected unfavorably by
changes in exchange rates relative to the U.S. dollar or other foreign
currencies. Foreign markets are also subject to the risk that a foreign
government could restrict foreign exchange transactions or otherwise
implement unfavorable currency |
regulations.
In addition, foreign securities may be subject to currency exchange rates
or regulations, the imposition of economic sanctions or other government
restrictions, higher transaction and other costs, reduced liquidity, and
delays in settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
index risk:
the risk that the Fund’s investments in derivatives based on
the Index or that use the Index as the reference asset, or other
substitute investment exposure to the Index, may underperform the return
of the Index for a number of reasons, including, for example, (i) the
performance of derivatives related to the Index may not correlate with the
Index and/or may underperform the Index due to transaction costs, fees, or
other aspects of the transaction’s pricing; (ii) the Fund may not be
able to find counterparties willing to enter into derivative instruments
whose returns are based on the return of the Index or find parties who are
willing to do so at an acceptable cost or level of risk to the Fund; and
(iii) errors may arise in carrying out the Index’s methodology, or
the Index provider may incorrectly report information concerning the
Index. Although the Adviser has licensed from the Index’s sponsor the
right to use the Index as part of implementing the Fund’s principal
investment strategies, there can be no guarantee that the Index will be
maintained indefinitely or that the Fund will be able to continue to
utilize the Index to implement the Fund’s principal investment strategies
indefinitely. If the sponsor of the Index ceases to maintain the Index,
the Fund no longer has the ability to utilize the Index to implement its
principal investment strategies, or other circumstances exist that the
Adviser or the Fund’s Board of Trustees concludes substantially limit the
Fund’s ability to create cost-effective synthetic investment exposure to
the Index, the Adviser or the Fund’s Board of Trustees may substitute the
Index with another index that it chooses in its sole discretion and
without advance notice to shareholders. There can be no assurance that any
substitute index so selected will be similar to the Index or will perform
in a manner similar to the Index. Unavailability of the Index could affect
adversely the ability of the Fund to achieve its investment
objective. |
• |
inflation-indexed bond risk: the
risk that such bonds will change in value in response to actual or
anticipated changes in inflation rates in a manner unanticipated by the
Fund’s portfolio management team or investors generally. Inflation-indexed
bonds are subject to debt securities
risks. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to maintain such investments once made due to its own
financial interest in those products and other business
considerations. |
• |
large
shareholder risk: the risk that certain account holders,
including the Adviser or funds or accounts over which the Adviser (or
related parties of the Adviser) has investment discretion, may from time
to time own or control a significant percentage of the Fund’s shares. The
Fund is subject to the risk that a redemption by those shareholders of all
or a portion of their Fund shares, including as a result of an asset
allocation decision made by the Adviser (or related parties of the
Adviser), will adversely affect the Fund’s performance if it is forced to
sell portfolio securities or invest cash when the Adviser would not
otherwise choose to do so. Redemptions of a large number of shares may
affect the liquidity of the Fund’s portfolio, increase the Fund’s
transaction costs, and accelerate the realization of taxable income and/or
gains to shareholders. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
limited
operating history risk: the risk that a recently formed fund
has a limited operating history to evaluate and may not attract sufficient
assets to achieve or maximize investment and operational
efficiencies. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
loan
risk: the risk that (i) if the Fund holds a loan
through another financial intermediary, or relies on a financial
intermediary to administer the loan, its receipt of principal and interest
on the loan may be subject to the credit risk of that financial
intermediary; (ii) any collateral securing a loan may be insufficient
or unavailable to the Fund, because, for example, the value of the
collateral securing a loan can decline, be insufficient to meet the
obligations of the borrower, or be difficult to liquidate, and the Fund’s
rights to collateral may be limited by bankruptcy or insolvency laws;
(iii) investments in highly leveraged loans or loans of stressed,
distressed, or defaulted issuers may be subject to significant credit and
liquidity risk; (iv) a bankruptcy or other court proceeding could
delay or limit the ability of the Fund to collect the principal and
interest payments on that borrower’s loans or adversely affect the Fund’s
rights in collateral relating to a loan; (v) there may be limited
public information available regarding the loan and the relevant
borrower(s); (vi) the use of a particular interest rate benchmark,
such as LIBOR, may limit the Fund’s ability to achieve a net return to
shareholders that consistently approximates the average published Prime
Rate of U.S. banks; (vii) the prices of certain floating rate loans
that include a feature that prevents their interest rates from adjusting
if market interest rates are below a specified minimum level may
appreciate less than other instruments in response to changes in interest
rates should interest rates rise but remain below the applicable minimum
level; (viii) if a borrower fails to comply with various restrictive
covenants that may be found in loan agreements, the borrower may default
in payment of the loan; (ix) if the Fund invests in loans that
contain fewer or less restrictive constraints on the borrower than certain
other types of loans (“covenant-lite” loans), it may have fewer rights
against the borrowers of such loans, including fewer protections against
the possibility of default and fewer remedies in the event of default;
(x) the loan is unsecured; (xi) there is a
limited |
secondary
market; (xii) transactions in loans may settle on a delayed basis,
and the Fund may not receive the proceeds from the sale of a loan for a
substantial period of time after the sale, which may result in sale
proceeds related to the sale of loans not being available to make
additional investments or to meet the Fund’s redemption obligations until
potentially a substantial period after the sale of the loans; and
(xiii) loans may be difficult to value and may be illiquid, which may
adversely affect an investment in the Fund. The Fund may invest in loans
directly or indirectly by investing in shares of the DoubleLine Floating
Rate Fund and in either case will be subject to the risks described
above. |
• |
market
capitalization risk: the risk that investing substantially
in issuers in one market capitalization category (large, medium or small)
may adversely affect the Fund because of unfavorable market conditions
particular to that category of issuers, such as larger, more established
companies being unable to respond quickly to new competitive challenges or
attain the high growth rates of successful smaller companies, or,
conversely, stocks of smaller companies being more volatile than those of
larger companies due to, among other things, narrower product lines, more
limited financial resources, fewer experienced managers and there
typically being less publicly available information about small
capitalization companies. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
These risks may be heightened for fixed income securities due to the
current low interest rate environment. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and that, during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the security. Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and principal-only securities, may
be extremely sensitive to changes in interest rates and prepayment rates.
The Fund may invest in mortgage-backed securities that are subordinate in
their right to receive payment of interest and repayment of principal to
other classes of the issuer’s securities. |
• |
real estate
risk: the risk that real estate-related investments may
decline in value as a result of factors affecting the real estate sector,
such as the supply of real property in certain markets, changes in zoning
laws, delays in completion of construction, changes in real estate values,
changes in property taxes, levels of occupancy, and local and regional
market conditions. Equity real estate investment trusts (“REITs”), which invest primarily in direct
fee ownership or leasehold ownership of real property and derive most of
their income from rents, are generally affected by changes in the values
of and incomes from the properties they own. Mortgage REITs invest mostly
in mortgages on real estate, which may secure, for example, construction,
development or long-term loans, and the main source of their income is
mortgage interest payments. Mortgage REITs may be affected by the credit
quality of the mortgage loans they hold. A hybrid REIT combines the
characteristics of equity REITs and mortgage REITs, generally by holding
both ownership interests and mortgage interests in real estate, and thus
may be subject to risks associated with both real estate ownership and
mortgage-related investments. Along with the risks common to different
types of real estate-related investments, REITs, no matter the type,
involve additional risk factors, including poor performance by the REIT’s
manager, adverse changes to the tax laws, and the possible failure by the
REIT to qualify for the favorable tax treatment available to REITs under
the Internal Revenue Code of 1986, as amended (the “Code”), or the exemption from
registration under the |
Investment
Company Act of 1940, as amended (the “1940
Act”). REITs are not diversified and are heavily dependent on cash
flow earned on the property interests they
hold. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or related sectors. For example, the
values of securities of companies in the same or related sectors may be
negatively affected by the common characteristics they share, the common
business risks to which they are subject, common regulatory burdens, or
regulatory changes that affect them similarly. Such characteristics,
risks, burdens or changes include, but are not limited to, changes in
governmental regulation, inflation or deflation, rising or falling
interest rates, competition from new entrants, and other economic, market,
political or other developments specific to that sector or related
sectors. |
• |
short position
risk: the risk that an increase in the value of an
instrument, index or interest rate with respect to which the Fund has
established a short position will result in a loss to the
Fund. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and sold, and thus, are not
registered under the securities laws and may be thinly traded or have a
limited trading market and may have the effect of increasing the Fund’s
illiquidity, reducing the Fund’s income and
the |
value
of the investment. At a particular point in time, the Fund may be unable
to find qualified buyers for these securities. Investments in structured
notes involve risks including interest rate risk, credit risk and market
risk. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may invest may be more difficult to value accurately,
especially during periods of market disruptions or extreme market
volatility. Incorrect valuations of the Fund’s portfolio holdings could
result in the Fund’s shareholder transactions being effected at an NAV
that does not accurately reflect the underlying value of the Fund’s
portfolio, resulting in the dilution of shareholder
interests. |
Highest: | 24.77% | Quarter ended 6/30/2020 | ||
Lowest: | (28.64)% | Quarter ended 3/31/2020 |
Shiller Enhanced International CAPE® |
One Year |
Since Inception
(December 23, 2016) |
||||||
Class I | ||||||||
Return
Before Taxes |
10.75% | 9.91% | ||||||
Return
After Taxes on Distributions |
9.74% | 8.00% | ||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
6.26% | 6.93% | ||||||
Class N | ||||||||
Return
Before Taxes |
10.53% | 9.66% | ||||||
MSCI Europe Index (reflects no deduction for fees, expenses or taxes) |
5.38% | 8.94% |
Name | Experience with the Fund |
Primary Title with the Investment Adviser | ||
Jeffrey E. Gundlach | Since the Fund’s inception in December 2016 | Chief Executive Officer | ||
Jeffrey J. Sherman | Since the Fund’s inception in December 2016 | Deputy Chief Investment Officer |
Share Class | Class I | Class N | ||
Maximum Sales Charge (Load) Imposed on Purchases (as a percentage of the offering price) | ||||
Maximum Deferred Sales Charge (Load) (as a percentage of the original purchase price) | ||||
Maximum Sales Charge (Load) Imposed on Reinvested Dividends | ||||
Redemption Fee (as a percentage of shares redeemed within 90 days of purchase) | ||||
Fee for Redemption by Wire | $ |
$ | ||
Exchange Fee | ||||
Account Fee |
Share Class | Class I | Class N | ||||||
Management Fees | ||||||||
Distribution and/or Service (12b-1) Fees | ||||||||
Other Expenses (includes sub-transfer agent accounting or administrative services expenses) | ||||||||
Acquired Fund Fees and Expenses2 | ||||||||
Total Annual Fund Operating Expenses | ||||||||
Fee
Waiver and/or Expense Reimbursement3 |
( |
) | ( |
) | ||||
Total
Annual Fund Operating Expenses After Fee Waiver and/or Expense
Reimbursement |
1 | The
Fund enters into index-related swap transactions, under which the Fund
incurs fees payable to its counterparties and other costs. Those fees and
costs reduce the index-based returns to the Fund under the swaps. During
the Fund’s most recent fiscal year, the Fund incurred fees payable to its
swap counterparty of 0.45% (expressed as an annualized percentage of the
notional amounts of the swaps). Swap returns are typically also reduced by
amounts based on short-term interest rates (applied against the notional
amounts of the swaps) and by other amounts. Such fees and costs are not
reflected in the table above or in the example below. See “Index Risk —
Note regarding Index-Based Swaps” for more information regarding such fees
and costs. |
2 |
3 |
|
Class I | Class N | |||
1 Year | $ |
$ | ||
3 Years | $ |
$ | ||
5 Years | $ |
$ | ||
10 Years | $ |
$ |
• |
active
management risk: the risk that the Fund will fail to meet
its investment objective and that the Fund’s investment performance will
depend, at least in part, on how its assets are allocated and reallocated
among asset classes, sectors, underlying funds and/or investments and that
such allocation will focus on asset classes, sectors, underlying funds,
and/or investments that perform poorly or underperform other asset
classes, sectors, underlying funds, and/or available investments. Any
given investment strategy may fail to produce the intended results, and
Fund’s portfolio may underperform other comparable funds because of
portfolio management decisions related to, among other things, the
selection of investments, portfolio construction, risk assessments, and/or
the outlook on market trends and
opportunities. |
• |
asset-backed
securities investment risk: the risk that borrowers may
default on the obligations that underlie the asset-backed security and
that, during periods of falling interest rates, asset-backed securities
may be called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate, and the risk that
the impairment of the value of the collateral underlying a security in
which the Fund invests (due, for example, to non-payment of loans) will
result in a reduction in the value of the
security. |
• |
collateralized
debt obligations risk: the risks of an investment in a
collateralized debt obligation (“CDO”) depend largely on the quality and
type of the collateral and the tranche of the CDO in which the Fund
invests. Normally, collateralized bond obligations (“CBOs”), CLOs and other CDOs are privately
offered and sold, and thus are not registered under the securities laws.
As a result, investments in CDOs may be illiquid. In addition to the risks
associated with debt instruments (e.g., interest rate risk and credit
risk), CDOs carry additional risks including, but not limited to:
(i) the possibility that distributions from collateral will not be
adequate to make interest or other payments; (ii) the quality of the
collateral may decline in value or default; (iii) the possibility
that the Fund may invest in CDOs that are subordinate to other classes of
the issuer’s securities; and (iv) the complex structure of the
security may not be fully understood at the time of investment and may
produce disputes with the issuer or unexpected investment
results. |
• |
confidential
information access risk: the risk that the intentional or
unintentional receipt of material, non-public information (“Confidential Information”) by the Adviser
could limit the Fund’s ability to sell certain investments held by the
Fund or pursue certain investment opportunities on behalf of the Fund,
potentially for a substantial period of time. Also, certain issuers of
floating rate loans or other investments may not have any publicly traded
securities (“Private Issuers”) and
may offer private information pursuant to confidentiality agreements or
similar arrangements. The Adviser may access such private information,
while recognizing that the receipt of that information could potentially
limit the Fund’s ability to trade in certain securities, including if the
Private Issuer later issues publicly traded securities. In addition, in
circumstances when the Adviser declines to receive Confidential
Information from issuers of floating rate loans or other investments, the
Fund may be disadvantaged in comparison to other investors, including with
respect to evaluating the issuer and the price the Fund would pay or
receive when it buys or sells those investments, and the Fund may not take
advantage of investment opportunities that it otherwise might have if it
had received such Confidential Information. In managing the Fund, the
Adviser may seek to avoid the receipt of Confidential Information about
the issuers of floating rate loans or other investments being considered
for acquisition by the Fund or held in the Fund’s portfolio if the receipt
of the Confidential Information would restrict one or more of the
Adviser’s clients, including, potentially, the Fund, from trading in
securities they hold or in which they may
invest. |
• |
counterparty
risk: the risk that the Fund will be subject to credit risk
with respect to the counterparties to the derivative contracts and other
instruments, such as repurchase and reverse repurchase agreements, entered
into by the Fund; that the Fund’s counterparty will be unable or unwilling
to perform its obligations; that the Fund will be unable to enforce
contractual remedies if its counterparty defaults; that if a counterparty
becomes bankrupt, the Fund may experience significant delays in obtaining
any recovery under the derivative contract or may obtain limited or no
recovery in a bankruptcy or other insolvency proceeding. Subject to
certain U.S. federal income tax limitations, the Fund is not subject to
any limit with respect to the number or the value of transactions it can
enter into with a single counterparty. The Fund has historically obtained
exposure to the Index through swap transactions with a single counterparty
and will likely enter into swap transactions related to the Index with a
single or a limited number of counterparties for the foreseeable future.
To the extent that the Fund enters into multiple transactions with a
single or a small set of counterparties, it will be subject to increased
counterparty risk. |
• |
debt securities
risks: |
¡ |
credit risk:
the risk that an issuer, counterparty or other obligor to
the Fund will fail to pay its obligations to the Fund when they are due,
which may reduce the Fund’s income and/or reduce, in whole or in part, the
value of the Fund’s investment. Actual or perceived changes in the
financial condition of an obligor, changes in economic, social or
political conditions that affect a particular type of security,
instrument, or obligor, and changes in economic, social or political
conditions generally can increase the risk of default by an obligor, which
can affect a security’s or other instrument’s credit quality or value and
an obligor’s ability to honor its obligations when due. The values of
lower-quality debt securities (commonly known as “junk bonds”), including
floating rate loans, tend to be particularly sensitive to these changes.
The values of securities or instruments also may decline for a number of
other reasons that relate directly to the obligor, such as management
performance, financial leverage, and reduced demand for the obligor’s
goods and services, as well as the historical and prospective earnings of
the obligor and the value of its
assets. |
¡ |
extension risk:
the risk that if interest rates rise, repayments of
principal on certain debt securities, including, but not limited
to, |
floating
rate loans and mortgage-related securities, may occur at a slower rate
than expected and the expected maturity of those securities could lengthen
as a result. Securities that are subject to extension risk generally have
a greater potential for loss when prevailing interest rates rise, which
could cause their values to fall
sharply. |
¡ |
interest rate
risk: the risk that debt instruments will change in value
because of changes in interest rates. The value of an instrument with a
longer duration (whether positive or negative) will be more sensitive to
changes in interest rates than a similar instrument with a shorter
duration. Bonds and other debt instruments typically have a positive
duration. The value of a debt instrument with positive duration will
generally decline if interest rates increase. Certain other investments,
such as inverse floaters and certain derivative instruments, may have a
negative duration. The value of instruments with a negative duration will
generally decline if interest rates decrease. Inverse floaters,
interest-only and principal-only securities are especially sensitive to
interest rate changes, which can affect not only their prices but can also
change the income flows and repayment assumptions about those investments.
In recent years, the U.S. has experienced historically low interest rates,
increasing the exposure of bond investors to the risks associated with
rising interest rates. |
¡ |
prepayment
risk: the risk that the issuer of a debt security, including
floating rate loans and mortgage-related securities, repays all or a
portion of the principal prior to the security’s maturity. In times of
declining interest rates, there is a greater likelihood that the Fund’s
higher yielding securities will be pre-paid with the Fund being unable to
reinvest the proceeds in an investment with as great a yield. Prepayments
can therefore result in lower yields to shareholders of the
Fund. |
¡ |
LIBOR
risk: the London Interbank Offered Rate (“LIBOR”) is the offered rate for
wholesale, unsecured funding available to major international banks. The
terms of many investments, financings or other transactions to which the
Fund may be a party have been historically tied to LIBOR. LIBOR may also
be a significant factor in determining payment obligations under a
derivative investment and may be used in other ways that affect the Fund’s
investment performance. Plans are underway to phase out the use of LIBOR.
The transition from LIBOR and the terms of any
replacement |
rate(s)
may adversely affect transactions that use LIBOR as a reference rate,
financial institutions that engage in such transactions, and the financial
markets generally. As such, the transition away from LIBOR may adversely
affect the Fund’s
performance. |
• |
derivatives
risk: the risk that an investment in derivatives will not
perform as anticipated by the Adviser, may not be available at the time or
price desired, cannot be closed out at a favorable time or price, will
increase the Fund’s transaction costs, or will increase the Fund’s
volatility; that derivatives may create investment leverage; that, when a
derivative is used as a substitute for or alternative to a direct cash
investment, the transaction may not provide a return that corresponds
precisely or at all with that of the cash investment; that the positions
may be improperly executed or constructed; that the Fund’s counterparty
will be unable or unwilling to perform its obligations; or that, when used
for hedging purposes, derivatives will not provide the anticipated
protection, causing the Fund to lose money on both the derivatives
transaction and the exposure the Fund sought to
hedge. |
• |
emerging market
country risk: the risk that investing in emerging markets,
as compared to foreign developed markets, increases the likelihood that
the Fund will lose money, due to more limited information about the issuer
and/or the security; higher brokerage costs; different accounting,
auditing and financial reporting standards; less developed legal systems
and thinner trading markets; the possibility of currency blockages or
transfer restrictions; an emerging market country’s dependence on revenue
from particular commodities or international aid; and expropriation,
nationalization or other adverse political or economic
developments. |
• |
equity issuer
risk: the risk that the market price of common stocks and
other equity securities may go up or down, sometimes rapidly or
unpredictably, including due to factors affecting equity
securities |
markets
generally, particular industries represented in those markets, or the
issuer itself. Through the Fund’s investments related to the Index, the
Fund will have significant exposure to REITs and the risks of investing in
real estate assets. As a result, the Fund’s net asset value will be
affected by factors affecting the real estate sector and/or REIT
securities to a greater degree than a fund that invests more
broadly. |
• |
financial
services risk: the risk that an investment in issuers in the
financial services sector or transactions with one or more counterparties
in the financial services sector may be adversely affected by, among other
things: (i) changes in governmental regulation, which may limit both
the amounts and the types of loans and other financial commitments
financial services companies can make, the interest rates and fees they
can charge, the scope of their activities, the prices they can charge and
the amount of capital they must maintain; (ii) fluctuations,
including as a result of interest rate changes or increased competition,
in the availability and cost of capital funds on which the profitability
of financial services companies is largely dependent;
(iii) deterioration of the credit markets; (iv) credit losses
resulting from financial difficulties of borrowers, especially when
financial services companies are exposed to non-diversified or
concentrated loan portfolios; (v) financial losses associated with
investment activities, especially when financial services companies are
exposed to financial leverage; (vi) the risk that any financial
services company experiences substantial declines in the valuations of its
assets, takes action to raise capital, or ceases operations;
(vii) the risk that a market shock or other unexpected market,
economic, political, regulatory, or other event might lead to a sudden
decline in the values of most or all companies in the financial services
sector; and (viii) the interconnectedness or interdependence among
financial services companies, including the risk that the financial
distress or failure of one financial services company may materially and
adversely affect a number of other financial services
companies. |
• |
focused
investment risk: the risk that a fund that invests a
substantial portion of its assets in a particular market, industry,
sector, group of industries or sectors, country, region, group of
countries or asset class is, relative to a fund that invests in a more
diverse investment portfolio, more susceptible to any single economic,
market, political, regulatory or other occurrence. This is because, for
example, issuers in a particular market, industry, region, sector or asset
class may react similarly to specific economic, market, regulatory,
political or other developments. The particular markets, industries,
regions, sectors or |
asset
classes in which the Fund may focus its investments may change over time
and the Fund may alter its focus at inopportune
times. |
• |
foreign
currency risk: the risk that fluctuations in exchange rates
may adversely affect the value of the Fund’s investments denominated in
foreign currencies. |
• |
foreign
investing risk: the risk that investments in foreign
securities or in issuers with significant exposure to foreign markets, as
compared to investments in U.S. securities or in issuers with
predominantly domestic market exposure, may be more vulnerable to
economic, political, and social instability and subject to less government
supervision, less protective custody practices, lack of transparency,
inadequate regulatory and accounting standards, delayed or infrequent
settlement of transactions, and foreign taxes. If the Fund buys securities
denominated in a foreign currency, receives income in foreign currencies,
or holds foreign currencies from time to time, the value of the Fund’s
assets, as measured in U.S. dollars, can be affected unfavorably by
changes in exchange rates relative to the U.S. dollar or other foreign
currencies. Foreign markets are also subject to the risk that a foreign
government could restrict foreign exchange transactions or otherwise
implement unfavorable currency regulations. In addition, foreign
securities may be subject to currency exchange rates or regulations, the
imposition of economic sanctions or other government restrictions, higher
transaction and other costs, reduced liquidity, and delays in
settlement. |
• |
high yield
risk: the risk that debt instruments rated below investment
grade or debt instruments that are unrated and of comparable or lesser
quality are predominantly speculative. These instruments, commonly known
as “junk bonds,” have a higher degree of default risk and may be less
liquid than higher-rated bonds. These instruments may be subject to
greater price volatility due to such factors as specific corporate
developments, interest rate sensitivity, negative perceptions of high
yield investments generally, and less secondary market
liquidity. |
• |
index risk:
the risk that the Fund’s investments in derivatives based on
the Index or that use the Index as the reference asset, or other
substitute investment exposure to the Index, may underperform the return
of the Index for a number of reasons, including, for example, (i) the
performance of derivatives related to the Index may not correlate with the
Index and/or may underperform the Index due to
transaction |
costs,
fees, or other aspects of the transaction’s pricing; (ii) the Fund
may not be able to find counterparties willing to enter into derivative
instruments whose returns are based on the return of the Index or find
parties who are willing to do so at an acceptable cost or level of risk to
the Fund; and (iii) errors may arise in carrying out the Index’s
methodology, or the Index provider may incorrectly report information
concerning the Index. Although DoubleLine Alternatives has licensed from
the Index’s sponsor the right to use the Index as part of implementing the
Fund’s principal investment strategies, there can be no guarantee that the
Index will be maintained indefinitely or that the Fund will be able to
continue to utilize the Index to implement the Fund’s principal investment
strategies indefinitely. If the sponsor of the Index ceases to maintain
the Index, the Fund no longer has the ability to utilize the Index to
implement its principal investment strategies, or other circumstances
exist that DoubleLine Alternatives or the Fund’s Board of Trustees
concludes substantially limit the Fund’s ability to create cost-effective
synthetic investment exposure to the Index, DoubleLine Alternatives or the
Fund’s Board of Trustees may substitute the Index with another index that
it chooses in its sole discretion and without advance notice to
shareholders. There can be no assurance that any substitute index so
selected will be similar to the Index or will perform in a manner similar
to the Index. Unavailability of the Index could affect adversely the
ability of the Fund to achieve its investment
objective. |
• |
inflation-indexed bond risk: the
risk that such bonds will change in value in response to actual or
anticipated changes in inflation rates in a manner unanticipated by the
Fund’s portfolio management team or investors generally. Inflation-indexed
bonds are subject to debt securities
risks. |
• |
investment
company and exchange-traded fund risk: the risk that an
investment company or other pooled investment vehicle, including any ETFs
or money market funds, in which the Fund invests will not achieve its
investment objective or execute its investment strategies effectively or
that significant purchase or redemption activity by shareholders of such
an investment company might negatively affect the value of its shares. The
Fund must pay its pro rata portion of an investment company’s fees and
expenses. To the extent the Adviser determines to invest Fund assets in
other investment companies, the Adviser will have an incentive to invest
in other DoubleLine funds over investment companies sponsored or managed
by others and to |
maintain
such investments once made due to its own financial interest in those
products and other business
considerations. |
• |
large
shareholder risk: the risk that certain account holders,
including the Adviser or funds or accounts over which the Adviser (or
related parties of the Adviser) has investment discretion, may from time
to time own or control a significant percentage of the Fund’s shares. The
Fund is subject to the risk that a redemption by those shareholders of all
or a portion of their Fund shares, including as a result of an asset
allocation decision made by the Adviser (or related parties of the
Adviser), will adversely affect the Fund’s performance if it is forced to
sell portfolio securities or invest cash when the Adviser would not
otherwise choose to do so. Redemptions of a large number of shares may
affect the liquidity of the Fund’s portfolio, increase the Fund’s
transaction costs, and accelerate the realization of taxable income and/or
gains to shareholders. |
• |
leveraging
risk: the risk that certain investments by the Fund
involving leverage may have the effect of increasing the volatility of the
value of the Fund’s portfolio, and the risk of loss in excess of invested
capital. |
• |
limited
operating history risk: the risk that a recently formed fund
has a limited operating history to evaluate and may not attract sufficient
assets to achieve or maximize investment and operational
efficiencies. |
• |
liquidity risk:
the risk that the Fund may be unable to sell a portfolio
investment at a desirable time or at the value the Fund has placed on the
investment. Illiquidity may be the result of, for example, low trading
volume, lack of a market maker, or contractual or legal restrictions that
limit or prevent the Fund from selling securities or closing derivative
positions. During periods of substantial market disruption, a large
portion of the Fund’s assets could potentially experience significant
levels of illiquidity. The values of illiquid investments are often more
volatile than the values of more liquid investments. It may be more
difficult for the Fund to determine a fair value of an illiquid investment
than that of a more liquid comparable
investment. |
• |
loan
risk: the risk that (i) if the Fund holds a loan
through another financial intermediary, or relies on a financial
intermediary to administer the loan, its receipt of principal and interest
on the loan may be subject to the credit risk of that financial
intermediary; (ii) any collateral securing a loan may be insufficient
or unavailable to the Fund, because, for example, the value of the
collateral securing a
loan |
can
decline, be insufficient to meet the obligations of the borrower, or be
difficult to liquidate, and the Fund’s rights to collateral may be limited
by bankruptcy or insolvency laws; (iii) investments in highly
leveraged loans or loans of stressed, distressed, or defaulted issuers may
be subject to significant credit and liquidity risk; (iv) a
bankruptcy or other court proceeding could delay or limit the ability of
the Fund to collect the principal and interest payments on that borrower’s
loans or adversely affect the Fund’s rights in collateral relating to a
loan; (v) there may be limited public information available regarding
the loan and the relevant borrower(s); (vi) the use of a particular
interest rate benchmark, such as LIBOR, may limit the Fund’s ability to
achieve a net return to shareholders that consistently approximates the
average published Prime Rate of U.S. banks; (vii) the prices of
certain floating rate loans that include a feature that prevents their
interest rates from adjusting if market interest rates are below a
specified minimum level may appreciate less than other instruments in
response to changes in interest rates should interest rates rise but
remain below the applicable minimum level; (viii) if a borrower fails
to comply with various restrictive covenants that may be found in loan
agreements, the borrower may default in payment of the loan; (ix) if
the Fund invests in loans that contain fewer or less restrictive
constraints on the borrower than certain other types of loans
(“covenant-lite” loans), it may have fewer rights against the borrowers of
such loans, including fewer protections against the possibility of default
and fewer remedies in the event of default; (x) the loan is
unsecured; (xi) there is a limited secondary market;
(xii) transactions in loans may settle on a delayed basis, and the
Fund may not receive the proceeds from the sale of a loan for a
substantial period of time after the sale, which may result in sale
proceeds related to the sale of loans not being available to make
additional investments or to meet the Fund’s redemption obligations until
potentially a substantial period after the sale of the loans; and
(xiii) loans may be difficult to value and may be illiquid, which may
adversely affect an investment in the Fund. The Fund may invest in loans
directly or indirectly by investing in shares of the DoubleLine Floating
Rate Fund and in either case will be subject to the risks described
above. |
• |
market
capitalization risk: the risk that investing substantially
in issuers in one market capitalization category (large, medium or small)
may adversely affect the Fund because of unfavorable market conditions
particular to that category of issuers. REITs tend to be smaller and
medium capitalization issuers in relation to the equity markets as a
whole. Investing in smaller and medium
capitalization |
issuers
may involve special risks because those companies may have a narrower
focus, more limited financial resources, fewer experienced managers,
dependence on a few key employees, and a more limited trading market for
their stocks, as compared with larger companies. In addition, securities
of these companies are subject to the risk that, during certain periods,
the liquidity of particular issuers or an industry will shrink or
disappear with little forewarning as a result of adverse economic or
market conditions, or adverse investor perceptions, whether or not
accurate. Securities of smaller and medium capitalization issuers may
therefore be subject to greater price volatility and may decline more
significantly in market downturns than securities of larger companies.
Smaller and medium capitalization issuers may also require substantial
additional capital to support their operations, to finance expansion or to
maintain their competitive position; and may have substantial borrowings
or may otherwise have a weak financial condition, and may be susceptible
to bankruptcy. Transaction costs for these investments are often higher
than those of larger capitalization companies. There is typically less
publicly available information about smaller and medium capitalization
issuers. Accordingly, shares in REITs can, and at times will, perform
differently than large company
stocks. |
• |
market risk:
the risk that markets will perform poorly or that the
returns from the securities in which the Fund invests will underperform
returns from the general securities markets or other types of investments.
Markets may, in response to governmental actions or intervention,
political, economic or market developments, or other external factors,
experience periods of high volatility and reduced liquidity. During those
periods, the Fund may experience high levels of shareholder redemptions,
and may have to sell securities at times when the Fund would otherwise not
do so, and potentially at unfavorable prices. Certain securities may be
difficult to value during such periods. Market risk involves the risk that
the value of the Fund’s investment portfolio will change, potentially
frequently and in large amounts, as the prices of its investments go up or
down. During periods of severe market stress, it is possible that the
market for some or all of a Fund’s investments may become highly illiquid.
These risks may be heightened for fixed income securities due to the
current low interest rate
environment. |
• |
mortgage-backed
securities risk: the risk that borrowers may default on
their mortgage obligations or the guarantees underlying the
mortgage-backed securities will default or otherwise fail and
that, |
during
periods of falling interest rates, mortgage-backed securities will be
called or prepaid, which may result in the Fund having to reinvest
proceeds in other investments at a lower interest rate. During periods of
rising interest rates, the average life of a mortgage-backed security may
extend, which may lock in a below-market interest rate, increase the
security’s duration, and reduce the value of the security. Enforcing
rights against the underlying assets or collateral may be difficult, or
the underlying assets or collateral may be insufficient if the issuer
defaults. The values of certain types of mortgage-backed securities, such
as inverse floaters and interest-only and principal-only securities, may
be extremely sensitive to changes in interest rates and prepayment rates.
The Fund may invest in mortgage-backed securities that are subordinate in
their right to receive payment of interest and repayment of principal to
other classes of the issuer’s
securities. |
• |
portfolio
turnover risk: the risk that frequent purchases and sales of
portfolio securities may result in higher Fund expenses and may result in
larger distributions of taxable capital gains to investors as compared to
a fund that trades less
frequently. |
• |
preferred
securities risk: the risk that: (i) the terms of
certain preferred stocks contain provisions that allow an issuer under
certain conditions to skip or defer distributions; (ii) preferred
stocks may be subject to redemption, including at the issuer’s call, and,
in the event of redemption, the Fund may not be able to reinvest the
proceeds at comparable or favorable rates of return; (iii) preferred
stocks are generally subordinated to bonds and other debt securities in an
issuer’s capital structure in terms of priority for corporate income and
liquidation payments; and (iv) preferred stocks may trade less
frequently and in a more limited volume and may be subject to more abrupt
or erratic price movements than many other
securities. |
• |
real estate
risk: the risk that real estate-related investments may
decline in value as a result of factors affecting the real estate sector,
such as the supply of real property in certain markets, changes in zoning
laws, delays in completion of construction, changes in real estate values,
changes in property taxes, levels of occupancy, and local and regional
market conditions. Equity real estate investment trusts (“REITs”), which invest primarily in direct
fee ownership or leasehold ownership of real property and derive most of
their income from rents, are generally affected by changes in the values
of and incomes from the properties they own. Mortgage REITs invest mostly
in mortgages on real estate, which may secure, for example,
construction, |
development
or long-term loans, and the main source of their income is mortgage
interest payments. Mortgage REITs may be affected by the credit quality of
the mortgage loans they hold. A hybrid REIT combines the characteristics
of equity REITs and mortgage REITs, generally by holding both ownership
interests and mortgage interests in real estate, and thus may be subject
to risks associated with both real estate ownership and mortgage-related
investments. Along with the risks common to different types of real
estate-related investments, REITs, no matter the type, involve additional
risk factors, including poor performance by the REIT’s manager, adverse
changes to the tax laws, and the possible failure by the REIT to qualify
for the favorable tax treatment available to REITs under the Internal
Revenue Code of 1986, as amended (the “Code”), or the exemption from
registration under the Investment Company Act of 1940, as amended (the
“1940 Act”). REITs are not
diversified and are heavily dependent on cash flow earned on the property
interests they hold. |
• |
restricted
securities risk: the risk that the Fund may be prevented or
limited by law or the terms of an agreement from selling a security (a
“restricted security”). To the
extent that the Fund is permitted to sell a restricted security, there can
be no assurance that a trading market will exist at any particular time,
and the Fund may be unable to dispose of the security promptly at
reasonable prices or at all. The Fund may have to bear the expense of
registering the securities for resale and the risk of substantial delays
in effecting the registration. Also, restricted securities may be
difficult to value because market quotations may not be readily available,
and the values of restricted securities may have significant
volatility. |
• |
securities or
sector selection risk: the risk that the securities held by
the Fund will underperform securities held in other funds investing in
similar asset classes or comparable benchmarks because of the portfolio
managers’ choice of securities or sectors for investment. To the extent
the Fund focuses or concentrates its investments in a particular sector or
related sectors, the Fund will be more susceptible to events or factors
affecting companies in that sector or related sectors. For example, the
values of securities of companies in the same or related sectors may be
negatively affected by the common characteristics they share, the common
business risks to which they are subject, common regulatory burdens, or
regulatory changes that affect them similarly. Such characteristics,
risks, burdens or changes include, but are not limited to, changes in
governmental regulation, inflation or deflation, rising or falling
interest rates, competition
from |
new
entrants, and other economic, market, political or other developments
specific to that sector or related
sectors. |
• |
short position
risk: the risk that an increase in the value of an
instrument, index or interest rate with respect to which the Fund has
established a short position will result in a loss to the
Fund. |
• |
structured
products and structured notes risk: the risk that an
investment in a structured product, which includes, among other things,
collateralized debt obligations (“CDOs”), mortgage-backed securities, other
types of asset-backed securities and certain types of structured notes,
may decline in value due to changes in the underlying instruments,
indexes, interest rates or other factors on which the product is based
(“reference measure”). Depending on
the reference measure used and the use of multipliers or deflators (if
any), changes in interest rates and movement of the reference measure may
cause significant price and cash flow fluctuations. Application of a
multiplier is comparable to the use of financial leverage, a speculative
technique. Holders of structured products indirectly bear risks associated
with the reference measure, are subject to counterparty risk and typically
do not have direct rights against the reference measure. Structured
products are generally privately offered and sold, and thus, are not
registered under the securities laws and may be thinly traded or have a
limited trading market and may have the effect of increasing the Fund’s
illiquidity, reducing the Fund’s income and the value of the investment.
At a particular point in time, the Fund may be unable to find qualified
buyers for these securities. Investments in structured notes involve risks
including interest rate risk, credit risk and market
risk. |
• |
U.S. Government
securities risk: the risk that debt securities issued or
guaranteed by certain U.S. Government agencies, instrumentalities, and
sponsored enterprises are not supported by the full faith and credit of
the U.S. Government, and so investments in their securities or obligations
issued by them involve credit risk greater than investments in other types
of U.S. Government
securities. |
• |
valuation
risk: the risk that the Fund will not value its investments
in a manner that accurately reflects their market values or that the Fund
will not be able to sell any investment at a price equal to the valuation
ascribed to that investment for purposes of calculating the Fund’s net
asset value (“NAV”). The valuation
of the Fund’s investments involves subjective judgment. Certain securities
in which the Fund may
invest |
may
be more difficult to value accurately, especially during periods of market
disruptions or extreme market volatility. Incorrect valuations of the
Fund’s portfolio holdings could result in the Fund’s shareholder
transactions being effected at an NAV that does not accurately reflect the
underlying value of the Fund’s portfolio, resulting in the dilution of
shareholder
interests. |
|
Quarter
ended | |||
( |
Quarter
ended |
Fund |
One Year |
Since Inception
( |
||||||
Class I | ||||||||
Return
Before Taxes |
( |
)% | ||||||
Return
After Taxes on Distributions |
( |
)% | ||||||
Return
After Taxes on Distributions and Sale of Fund Shares |
( |
)% | ||||||
Class N | ||||||||
Return
Before Taxes |
( |
)% | ||||||
Dow Jones U.S. Select REIT Total Return
Index (reflects no deduction for fees, expenses or taxes) |
( |
)% |
Name | Experience with the Fund |
Primary Title with the Investment Adviser | ||
Jeffrey E. Gundlach |
Since
the Fund’s inception in
December
2018 |
Chief Executive Officer — DoubleLine Capital | ||
Jeffrey J. Sherman |
Since
the Fund’s inception in
December
2018 |
Deputy
Chief Investment Officer — DoubleLine Capital;
President — DoubleLine
Alternatives |
Minimum Initial Investment: | Subsequent Investment: |
|||||||||||
Regular Accounts | IRAs/HSAs | All Accounts and Automatic Investment Plans |
||||||||||
Class A Shares | $ | 2,000 | $ | 500 | $ | 100 | ||||||
Class C Shares | $ | 2,000 | $ | 500 | $ | 100 | ||||||
Class I Shares | $ | 100,000 | $ | 5,000 | $ | 100 | ||||||
Class N Shares | $ | 2,000 | $ | 500 | $ | 100 | ||||||
Class R6 Shares | None* | N/A | N/A |
* |
See
eligibility limitations below. |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Counterparty
Risk
• Debt
Securities Risks
• Defaulted
Securities Risk
• Derivatives
Risk
• Financial
Services Risk
• High
Yield Risk |
• Inflation-Indexed
Bond Risk
• Leveraging
Risk
• Liquidity
Risk
• Loan
Risk
• Market
Risk
• Mortgage-Backed
Securities Risk
• Operational
and Information Security Risks |
• Real
Estate Risk
• Restricted
Securities Risk
• Securities
or Sector Selection Risk
• Structured
Products and Structured Notes Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Counterparty
Risk
• Debt
Securities Risks
• Defaulted
Securities Risk
• Derivatives
Risk
• Emerging
Market Country Risk
• Financial
Services Risk
• Foreign
Currency Risk
• Foreign
Investing Risk |
• High
Yield Risk
• Inflation-Indexed
Bond Risk
• Investment
Company and Exchange-Traded Fund Risk
• Leveraging
Risk
• Liquidity
Risk
• Loan
Risk
• Market
Risk
• Mortgage-Backed
Securities Risk |
• Operational
and Information Security Risks
• Real
Estate Risk
• Restricted
Securities Risk
• Securities
or Sector Selection Risk
• Structured
Products and Structured Notes Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• |
public
finances; |
• |
monetary
policy; |
• |
external
accounts; |
• |
financial
markets; |
• |
foreign
investment regulations; |
• |
stability
of exchange rate policy; and |
• |
labor
conditions. |
• Active
Management Risk
• Counterparty
Risk
• Debt
Securities Risks
• Defaulted
Securities Risk
• Derivatives
Risk
• Emerging
Market Country Risk
• Financial
Services Risk |
• Foreign
Currency Risk
• Foreign
Investing Risk
• High
Yield Risk
• Leveraging
Risk
• Liquidity
Risk
• Market
Risk
• Operational
and Information Security Risks |
• Portfolio
Turnover Risk
• Restricted
Securities Risk
• Securities
or Sector Selection Risk
• Sovereign
Debt Obligations Risk
• Structured
Products and Structured Notes Risk
• Valuation
Risk |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Collateralized
Debt Obligations Risk
• Counterparty
Risk
• Debt
Securities Risks
• Defaulted
Securities Risk
• Derivatives
Risk
• Emerging
Market Country Risk
• Financial
Services Risk
• Foreign
Currency Risk |
• Foreign
Investing Risk
• High
Yield Risk
• Inflation-Indexed
Bond Risk
• Investment
Company and Exchange-Traded Fund Risk
• Leveraging
Risk
• Liquidity
Risk
• Loan
Risk
• Market
Risk
• Mortgage-Backed
Securities Risk |
• Operational
and Information Security Risks
• Preferred
Securities Risk
• Real
Estate Risk
• Restricted
Securities Risk
• Securities
or Sector Selection Risk
• Structured
Products and Structured Notes Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Collateralized
Debt Obligations Risk
• Confidential
Information Access Risk
• Counterparty
Risk
• Debt
Securities Risks
• Defaulted
Securities Risk
• Derivatives
Risk
• Emerging
Market Country Risk
• Financial
Services Risk |
• Foreign
Currency Risk
• Foreign
Investing Risk
• High
Yield Risk
• Inflation-Indexed
Bond Risk
• Investment
Company and Exchange-Traded Fund Risk
• Large
Shareholder Risk
• Leveraging
Risk
• Liquidity
Risk
• Loan
Risk |
• Market
Risk
• Operational
and Information Security Risks
• Portfolio
Turnover Risk
• Preferred
Securities Risk
• Securities
or Sector Selection Risk
• Structured
Products and Structured Notes Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Cash
Position Risk
• Collateralized
Debt Obligations Risk
• Counterparty
Risk
• Debt
Securities Risks
• Defaulted
Securities Risk
• Derivatives
Risk
• Emerging
Market Country Risk
• Financial
Services Risk
• Focused
Investment Risk |
• Foreign
Currency Risk
• Foreign
Investing Risk
• High
Yield Risk
• Inflation-Indexed
Bond Risk
• Investment
Company and Exchange-Traded Fund Risk
• Leveraging
Risk
• Liquidity
Risk
• Loan
Risk
• Market
Risk
• Mortgage-Backed
Securities Risk |
• Operational
and Information Security Risks
• Preferred
Securities Risk
• Real
Estate Risk
• Restricted
Securities Risk
• Securities
or Sector Selection Risk
• Short
Position Risk
• Sovereign
Debt Obligations Risk
• Structured
Products and Structured Notes Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• |
public
finances; |
• |
monetary
policy; |
• |
external
accounts; |
• |
financial
markets; |
• |
foreign
investment regulations; |
• |
stability
of exchange rate policy; and |
• |
labor
conditions. |
• Active
Management Risk
• Cash
Position Risk
• Counterparty
Risk
• Debt
Securities Risks
• Defaulted
Securities Risk
• Derivatives
Risk
• Emerging
Market Country Risk
• Financial
Services Risk
• Foreign
Currency Risk |
• Foreign
Investing Risk
• High
Yield Risk
• Inflation-Indexed
Bond Risk
• Investment
Company and Exchange-Traded Fund Risk
• Large
Shareholder Risk
• Liquidity
Risk
• Market
Risk
• Operational
and Information Security Risks |
• Portfolio
Turnover Risk
• Restricted
Securities Risk
• Securities
or Sector Selection Risk
• Sovereign
Debt Obligations Risk
• Structured
Products and Structured Notes Risk
• Valuation
Risk |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Cash
Position Risk
• Collateralized
Debt Obligations Risk
• Counterparty
Risk
• Debt
Securities Risks
• Defaulted
Securities Risk
• Derivatives
Risk
• Emerging
Market Country Risk
• Financial
Services Risk
• Focused
Investment Risk
• Foreign
Currency Risk |
• Foreign
Investing Risk
• High
Yield Risk
• Inflation-Indexed
Bond Risk
• Investment
Company and Exchange-Traded Fund Risk
• Large
Shareholder Risk
• Leveraging
Risk
• Liquidity
Risk
• Loan
Risk
• Market
Risk
• Mortgage-Backed
Securities Risk |
• Operational
and Information Security Risks
• Portfolio
Turnover Risk
• Preferred
Securities Risk
• Real
Estate Risk
• Securities
or Sector Selection Risk
• Short
Position Risk
• Sovereign
Debt Obligations Risk
• Structured
Products and Structured Notes Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Cash
Position Risk
• Counterparty
Risk
• Debt
Securities Risks
• Defaulted
Securities Risk
• Derivatives
Risk
• Emerging
Market Country Risk
• Focused
Investment Risk
• Foreign
Currency Risk |
• Foreign
Investing Risk
• High
Yield Risk
• Inflation-Indexed
Bond Risk
• Investment
Company and Exchange-Traded Fund Risk
• Large
Shareholder Risk
• Leveraging
Risk
• Liquidity
Risk
• Loan
Risk
• Market
Risk
• Mortgage-Backed
Securities Risk |
• Non-diversification
Risk
• Operational
and Information Security Risks
• Portfolio
Turnover Risk
• Restricted
Securities Risk
• Securities
or Sector Selection Risk
• Short
Position Risk
• Sovereign
Debt Obligations Risk
• Structured
Products and Structured Notes Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Commercial
Paper Risk
• Counterparty
Risk
• Debt
Securities Risks
• Derivatives
Risk
• Financial
Services Risk
• Inflation-Indexed
Bond Risk |
• Investment
Company and Exchange-Traded Fund Risk
• Large
Shareholder Risk
• Liquidity
Risk
• Market
Risk
• Mortgage-Backed
Securities Risk
• Operational
and Information Security Risks
• Preferred
Securities Risk |
• Real
Estate Risk
• Restricted
Securities Risk
• Securities
or Sector Selection Risk
• Structured
Products and Structured Notes Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• |
by
companies or other issuers to finance (or re-finance) the ownership,
development, construction, maintenance, renovation, enhancement, or
operation of infrastructure assets; |
• |
by
companies or other issuers that invest in, own, lease or hold
infrastructure assets; and |
• |
by
companies or other issuers that operate infrastructure assets or provide
services, products or raw materials related to the development,
construction, maintenance, renovation, enhancement or operation of
infrastructure assets. |
• |
transportation
(e.g., airports, metro systems,
subways, railroads, ports, toll roads); |
• |
transportation
equipment (e.g., shipping,
aircraft, railcars, containers); |
• |
electric
utilities and power (e.g., power
generation, transmission and distribution); |
• |
energy
(e.g., exploration and production,
pipeline, storage, refining and distribution of energy), including
renewable energies (e.g., wind,
solar, hydro, geothermal); |
• |
communication
networks and equipment; |
• |
water
and sewage treatment; |
• |
social
infrastructure (e.g., health care
facilities, government buildings and other public service facilities);
and |
• |
metals,
mining, and other resources and services related to infrastructure assets
(e.g., cement, chemical
companies). |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Cash
Position Risk
• Confidential
Information Access Risk
• Counterparty
Risk
• Debt
Securities Risks
• Derivatives
Risk
• Emerging
Market Country Risk
• Focused
Investment Risk
• Foreign
Investing Risk |
• High
Yield Risk
• Infrastructure
Sector Risk
• Investment
Company and Exchange-Traded Fund Risk
• Large
Shareholder Risk
• Leveraging
Risk
• Liquidity
Risk
• Loan
Risk
• Market
Risk
• Mortgage-Backed
Securities Risk
• Municipal
Bond Risk |
• Operational
and Information Security Risks
• Portfolio
Turnover Risk
• Restricted
Securities Risk
• Securities
or Sector Selection Risk
• Structured
Products and Structured Notes Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Cash
Position Risk
• Collateralized
Debt Obligations Risk
• Counterparty
Risk
• Debt
Securities Risks
• Derivatives
Risk
• Emerging
Market Country Risk
• Financial
Services Risk
• Focused
Investment Risk |
• Foreign
Investing Risk
• High
Yield Risk
• Inflation-Indexed
Bond Risk
• Investment
Company and Exchange-Traded Fund Risk
• Large
Shareholder Risk
• Leveraging
Risk
• Limited
Operating History Risk
• Liquidity
Risk
• Loan
Risk
• Market
Risk |
• Mortgage-Backed
Securities Risk
• Operational
and Information Security Risks
• Portfolio
Turnover Risk
• Real
Estate Risk
• Restricted
Securities Risk
• Securities
or Sector Selection Risk
• Short
Position Risk
• Structured
Products and Structured Notes Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Cash
Position Risk
• Collateralized
Debt Obligations Risk
• Counterparty
Risk
• Debt
Securities Risks
• Defaulted
Securities Risk
• Derivatives
Risk
• Emerging
Market Country Risk
• Financial
Services Risk
• Focused
Investment Risk |
• Foreign
Currency Risk
• Foreign
Investing Risk
• High
Yield Risk
• Inflation-Indexed
Bond Risk
• Investment
Company and Exchange-Traded Fund Risk
• Large
Shareholder Risk
• Leveraging
Risk
• Limited
Operating History Risk
• Liquidity
Risk
• Loan
Risk
• Market
Risk |
• Mortgage-Backed
Securities Risk
• Non-Diversification
Risk
• Operational
and Information Security Risks
• Portfolio
Turnover Risk
• Restricted
Securities Risk
• Securities
or Sector Selection Risk
• Short
Position Risk
• Sovereign
Debt Obligations Risk
• Structured
Products and Structured Notes Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Commodities
Risk
• Counterparty
Risk
• Debt
Securities Risks
• Defaulted
Securities Risk
• Derivatives
Risk
• Emerging
Market Country Risk
• Equity
Issuer Risk
• Financial
Services Risk
• Foreign
Currency Risk |
• Foreign
Investing Risk
• High
Yield Risk
• Inflation-Indexed
Bond Risk
• Investment
Company and Exchange-Traded Fund Risk
• Large
Shareholder Risk
• Leveraging
Risk
• Liquidity
Risk
• Loan
Risk
• Market
Capitalization Risk
• Market
Risk
• Mortgage-Backed
Securities Risk |
• Operational
and Information Security Risks
• Portfolio
Turnover Risk
• Preferred
Securities Risk
• Real
Estate Risk
• Securities
or Sector Selection Risk
• Short
Position Risk
• Structured
Products and Structured Notes Risk
• Tax
Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
BNP Paribas Index Components | Futures Contract | |
BNP Paribas Eurozone Equity Futures Index | Eurostoxx 50 | |
BNP Paribas US Equity Futures Index | S&P 500 | |
BNP Paribas Japan Equity Futures Index | Nikkei | |
BNP Paribas China Equity Futures Index | HSCEI | |
BNP Paribas France Equity Futures Index | CAC 40 |
BNP Paribas Index Components | Futures Contract | |
BNP Paribas Germany Equity Futures Index | Dax | |
BNP Paribas UK Equity Futures Index | FTSE 100 | |
BNP Paribas Swiss Equity Futures Index | SMI | |
BNP Paribas Korea Equity Futures Index | Kospi | |
BNP Paribas US Small Caps Equity Futures Index | Russell 2000 | |
BNP Paribas Australia Equity Futures Index | ASX SPI 200 | |
BNP Paribas Honk Kong Equity Futures Index | HSI | |
BNP Paribas Taiwan Equity Futures Index | MSCI Taiwan | |
BNP Paribas Italy Equity Futures Index | FTSE MIB | |
BNP Paribas Sweden Equity Futures Index | OMX | |
BNP Paribas Netherlands Equity Futures Index | AEX | |
BNP Paribas Canada Equity Futures Index | TSX 60 | |
BNP Paribas Emerging Equity Futures Index | MSCI Emerging | |
BNP Paribas BNP Paribas Japan Tokyo Futures Index | TOPIX | |
BNP Paribas Bond Futures Germany 10Y (Bund) ER Index | Bund | |
BNP Paribas Bond Futures Germany 2Y (Schatz) ER Index | Schatz | |
BNP Paribas Bond Futures Germany 5Y (Bobl) ER Index | Bobl | |
BNP Paribas Bond Futures Germany 30Y (Long Bund) ER Index | Buxl | |
BNP Paribas Bond Futures Japan JGB 10Y ER Index | 10‑Year Japanese Government Bond |
BNP Paribas Index Components | Futures Contract | |
BNP Paribas Bond Futures US Tsy 10Y ER Index | 10-Year US Treasury Note | |
BNP Paribas Bond Futures US Tsy 2Y ER Index | 2-Year US Treasury Note | |
BNP Paribas Bond Futures US Tsy 30Y ER Index | US Treasury Bond Futures | |
BNP Paribas Bond Futures US Tsy 5Y ER Index | 5-Year US Treasury Note | |
BNP Paribas AUD 10Y Futures Index | 10-Year Australian Treasury Bond | |
BNP Paribas AUD 3Y Futures Index | 3-Year Australian Treasury Bond | |
BNP Paribas Bond Futures Italy BTP 10Y ER Index | 10-Year BTP | |
BNP Paribas Bond France OAT 10Y ER Index | 10-Year OAT | |
BNP Paribas Bond Futures UK Long Gilt ER Index | Long Gilt | |
BNP Paribas Bond Futures Canada 10Y ER Index | Ten Year Government of Canada Bond |
BNP Paribas Index Component | Currency | |
BNP Paribas EUR FX Spot Index | European Euro (EUR) | |
BNP Paribas GBP FX Spot Index | British Pound (GBP) | |
BNP Paribas CHF FX Spot Index | Swiss Franc (CHF) | |
BNP Paribas JPY FX Spot Index | Japanese Yen (JPY) | |
BNP Paribas AUD FX Spot Index | Australian Dollar (AUD) | |
BNP Paribas NZD FX Spot Index | New Zealand Dollar (NZD) | |
BNP Paribas CAD FX Spot Index | Canadian Dollar (CAD) |
BNP Paribas Index Component – Commodities |
BNP Paribas Rolling Futures G0 CL Index (futures contract for West Texas Intermediate Crude Oil) |
BNP Paribas Rolling Futures G0 HO Index (futures contract for Heating Oil) |
BNP Paribas Rolling Futures G0 QS Index (futures contract for Gas Oil) |
BNP Paribas Rolling Futures G0 CO Index (futures contract for Brent Crude Oil) |
BNP Paribas Index Component – Commodities |
BNP Paribas Rolling Futures G0 XB Index (futures contract for Unleaded Gasoline) |
BNP Paribas Rolling Futures G0 NG Index (futures contract for Natural Gas) |
BNP Paribas Rolling Futures G0 LA Index (futures contract for London Metal Exchange – Aluminium) |
BNP Paribas Rolling Futures G0 HG Index (futures contract for U.S. High Grade Copper) |
BNP Paribas Rolling Futures G0 LX Index (futures contract for London Metal Exchange – Zinc) |
BNP Paribas Rolling Futures G0 LN Index (futures contract for London Metal Exchange – Nickel) |
BNP Paribas Rolling Futures G0 LL Index (futures contract for London Metal Exchange – Lead) |
BNP Paribas Rolling Futures G0 GC Index (futures contract for Gold) |
BNP Paribas Rolling Futures G0 SI Index (futures contract for Silver) |
BNP Paribas Index Component | Credit Index Tracked | |
BNP Paribas Investment Grade Europe 5Y Credit Index | Markit iTraxx Europe Main Index | |
BNP Paribas High Yield Europe 5Y Credit Index | Markit iTraxx Europe
Crossover Index | |
BNP Paribas Investment Grade US 5Y Credit Index | Markit CDX North America Investment Grade Index | |
BNP Paribas High Yield US 5Y Credit Index | Markit
CDX North America High Yield Index |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Collateralized
Debt Obligations Risk
• Commodities
Risk
• Confidential
Information Access Risk
• Counterparty
Risk
• Debt
Securities Risks
• Defaulted
Securities Risk
• Derivatives
Risk
• Emerging
Market Country Risk
• Equity
Issuer Risk
• Foreign
Currency Risk |
• Foreign
Investing Risk
• High
Yield Risk
• Index
Risk
• Investment
Company and Exchange-Traded Fund Risk
• Large
Shareholder Risk
• Leveraging
Risk
• Limited
Operating History Risk
• Liquidity
Risk
• Loan
Risk
• Market
Risk
• Models
and Data Risk
• Mortgage-Backed
Securities Risk |
• Operational
and Information Security Risks
• Portfolio
Turnover Risk
• Restricted
Securities Risk
• Securities
or Sector Selection Risk
• Short
Position Risk
• Structured
Products and Structured Notes Risk
• Tax
Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• |
Long Basket or Index-Related Exposure.
The Adviser may create one or more long commodity-related positions in the
Fund’s portfolio, representing what the Adviser considers from time to
time to be efficient, broad-based exposure to a number of commodities. For
example, the Adviser may identify one or more baskets or indexes of
commodities, which will typically be administered and maintained by a
third party, although the Adviser may provide recommendations to the
basket or index sponsor during the construction of the basket or index or
from time to time thereafter as to the exposures to be reflected in the
basket or index. In pursuit of this strategy, the Adviser will normally
attempt to replicate within the Fund’s portfolio the commodity exposures
of the basket or index. These basket- or index-based exposures will
typically comprise at least 50% of the Fund’s commodity exposures, and may
constitute as much as 100% of the Fund’s commodity exposures. The Adviser,
in its discretion, may add to or replace the baskets or indexes, or may
determine to implement the Fund’s investment program without relying on
any baskets or indexes. In the latter case, the Adviser would rely
principally on the investment techniques described under “Tactical
Commodity Exposure,” below. |
• |
Tactical Commodity Exposure. The Adviser
may seek to generate additional returns or modify the Fund’s broad-based
commodities exposures by taking long and/or short positions in individual
commodities or in other baskets of commodities or commodity indexes. These
investments may be made in commodities, such as precious metals, that are
not represented in the basket or index of commodities through which the
Fund may be obtaining broad-based commodities exposures. The Adviser will
determine whether to take such positions based on the Adviser’s
quantitative models as well as the Adviser’s views of changing market,
economic and political factors, market fundamentals, macroeconomic trends,
and global or local events. The Adviser may also seek to pursue “market
neutral” returns by creating roughly equal “long” and “short” exposures on
different commodities of any kind. The Fund’s tactical commodity exposures
will be actively managed, and the allocation of the Fund’s assets to
various commodities will change over time, sometimes
rapidly. |
• Active
Management Risk
• Cash
Position Risk
• Commodities
Risk
• Counterparty
Risk
• Debt
Securities Risks
• Derivatives
Risk
• Emerging
Market Country Risk
• Focused
Investment Risk
• Foreign
Investing Risk
• Index
Risk |
• Investment
Company and Exchange-Traded Fund Risk
• Large
Shareholder Risk
• Leveraging
Risk
• Liquidity
Risk
• Market
Risk
• Models
and Data Risk
• Operational
and Information Security Risks
• Portfolio
Turnover Risk |
• Securities
or Sector Selection Risk
• Short
Position Risk
• Structured
Products and Structured Notes Risk
• Tax
Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Collateralized
Debt Obligations Risk
• Counterparty
Risk
• Debt
Securities Risks
• Defaulted
Securities Risk
• Derivatives
Risk
• Emerging
Market Country Risk
• Equity
Issuer Risk
• Financial
Services Risk
• Foreign
Currency Risk |
• Foreign
Investing Risk
• High
Yield Risk
• Index
Risk
• Inflation-Indexed
Bond Risk
• Investment
Company and Exchange-Traded Fund Risk
• Leveraging
Risk
• Liquidity
Risk
• Loan
Risk
• Market
Capitalization Risk
• Market
Risk
• Mortgage-Backed
Securities Risk |
• Operational
and Information Security Risks
• Real
Estate Risk
• Securities
or Sector Selection Risk
• Short
Position Risk
• Structured
Products and Structured Notes Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Collateralized
Debt Obligations Risk
• Counterparty
Risk
• Debt
Securities Risks
• Defaulted
Securities Risk
• Derivatives
Risk
• Emerging
Market Country Risk
• Equity
Issuer Risk
• Financial
Services Risk
• Foreign
Currency Risk
• Foreign
Investing Risk |
• High
Yield Risk
• Index
Risk
• Inflation-Indexed
Bond Risk
• Investment
Company and Exchange-Traded Fund Risk
• Large
Shareholder Risk
• Leveraging
Risk
• Limited
Operating History Risk
• Liquidity
Risk
• Loan Risk
• Market
Capitalization Risk
• Market
Risk
• Mortgage-Backed
Securities Risk |
• Operational
and Information Security Risks
• Real
Estate Risk
• Securities
or Sector Selection Risk
• Short
Position Risk
• Structured
Products and Structured Notes Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• Active
Management Risk
• Asset-Backed
Securities Investment Risk
• Collateralized
Debt Obligations Risk
• Confidential
Information Access Risk
• Counterparty
Risk
• Debt
Securities Risks
• Derivatives
Risk
• Emerging
Market Country Risk
• Equity
Issuer Risk
• Financial
Services Risk
• Focused
Investment Risk
• Foreign
Currency Risk
• Foreign
Investing Risk |
• High
Yield Risk
• Index
Risk
• Inflation-Indexed
Bond Risk
• Investment
Company and Exchange-Traded Fund Risk
• Large
Shareholder Risk
• Leveraging
Risk
• Limited
Operating History Risk
• Liquidity
Risk
• Loan
Risk
• Market
Capitalization Risk
• Market
Risk
• Mortgage-Backed
Securities Risk
• Operational
and Information Security Risks |
• Portfolio
Turnover Risk
• Preferred
Securities Risk
• Real
Estate Risk
• Restricted
Securities Risk
• Securities
or Sector Selection Risk
• Short
Position Risk
• Structured
Products and Structured Notes Risk
• U.S.
Government Securities Risk
• Valuation
Risk |
• |
Other
creditors might convince the court to set aside a loan or the
collateralization of the loan as a “fraudulent conveyance” or
“preferential transfer.” In that event, the court could recover from the
Fund the interest and principal payments that the borrower made before
becoming insolvent. There can be no assurance that the Fund would be able
to prevent that recapture. |
• |
A
bankruptcy court may restructure the payment obligations under the loan so
as to reduce the amount to which the Fund would be
entitled. |
• |
The
court might discharge the amount of the loan that exceeds the value of the
collateral. |
• |
The
court could subordinate the Fund’s rights to the rights of other creditors
of the borrower under applicable law, decreasing, potentially
significantly, the likelihood of any recovery on the Fund’s
investment. |
Portfolio Manager |
Length
of Service
with
the Funds |
Business
Experience During
the
Past Five Years | ||
Jeffrey E. Gundlach |
DoubleLine
Total Return Bond Fund (since inception
in April 2010)
DoubleLine
Core Fixed Income Fund
(since inception in June 2010)
DoubleLine
Multi-Asset Growth Fund
(since inception in December 2010)
DoubleLine
Shiller Enhanced CAPE® (since inception in October 2013)
DoubleLine
Flexible Income Fund
(since inception in
April 2014)
DoubleLine
Long Duration Total Return Bond Fund |
Mr. Gundlach is the founder and Chief Executive Officer (CEO) of DoubleLine Capital and is Chief Investment Officer (CIO) of DoubleLine Capital. Mr. Gundlach has been CEO and CIO of DoubleLine Capital since its inception in December 2009. |
Portfolio Manager |
Length
of Service
with
the Funds |
Business
Experience During
the
Past Five Years | ||
(since inception in
December 2014)
DoubleLine
Global Bond Fund
(since inception in December 2015)
DoubleLine
Shiller Enhanced International CAPE®
(since inception in December 2016)
DoubleLine
Real Estate and Income Fund
(since inception in December 2018)
DoubleLine
Low Duration Bond Fund
(since July 2019)
DoubleLine
Multi-Asset Trend Fund (since inception in February 2021) |
||||
Luz M. Padilla |
DoubleLine
Emerging
Markets
Fixed Income Fund
(since inception in
April 2010)
DoubleLine
Low Duration Bond Fund (since inception
in September 2011)
DoubleLine
Low Duration Emerging Markets Fixed Income Fund
(since inception in
April 2014) |
Ms. Padilla joined DoubleLine Capital in 2009 as the Director of the Emerging Markets Group and is its lead Portfolio Manager. | ||
Jeffrey Lee | DoubleLine Ultra Short Bond Fund | Mr. Lee joined DoubleLine Capital’s Global Developed Credit Group in 2012 as a |
Portfolio Manager |
Length
of Service
with
the Funds |
Business
Experience During
the
Past Five Years | ||
(since inception in June 2016) | corporate credit analyst and was named a Portfolio Manager in 2016. Prior to joining DoubleLine Capital, he was at Trust Company of the West for 17 years, which included 5 years as a corporate credit analyst and 5 years as a Money Market trader. He also held roles as an Economic Analyst and Fund Accountant. | |||
Samuel Garza |
DoubleLine
Multi-Asset Growth Fund
(since inception in December
2010) |
Mr. Garza has been a Portfolio Manager of DoubleLine Capital since its inception in December 2009. | ||
Jeffrey J. Sherman |
DoubleLine
Multi-Asset Growth Fund
(since inception in December 2010)
DoubleLine
Shiller Enhanced CAPE® (since inception in October 2013)
DoubleLine
Strategic Commodity Fund (since inception in
May 2015)
DoubleLine
Core Fixed Income Fund
(since September 2016)
DoubleLine
Flexible Income Fund
(since September 2016)
DoubleLine
Shiller Enhanced International CAPE®
(since inception in December
2016) |
Mr. Sherman was named as DoubleLine Capital’s Deputy Chief Investment Officer in June 2016. He has been a Portfolio Manager of DoubleLine Capital since September 2010. He has been President of DoubleLine Alternatives since April 2015. |
Portfolio Manager |
Length
of Service
with
the Funds |
Business
Experience During
the
Past Five Years | ||
DoubleLine
Real Estate and Income Fund
(since inception in December 2018)
DoubleLine
Low Duration Bond Fund
(since July 2019)
DoubleLine
Multi-Asset Trend Fund (since inception in February 2021) |
||||
Robert Cohen |
DoubleLine
Floating Rate Fund
(since inception in February 2013)
DoubleLine
Low Duration Bond Fund (since
September 2016) |
Mr. Cohen was named as DoubleLine’s Director of Global Developed Credit in September 2016. He has been a Portfolio Manager of DoubleLine Capital since July 2012. Prior to DoubleLine Capital, he was a Senior Credit Analyst at West Gate Horizons Advisors (and its predecessor entity, ING Capital Advisors) since 2001. | ||
Philip Kenney | DoubleLine Floating Rate Fund (since July 2018) | Mr. Kenney joined DoubleLine’s Global Developed Credit Group in 2013 and has been Director of Corporate Research since 2016. Prior to joining the firm, he worked at Crescent Capital as an investment analyst with a focus on high yield bonds and leveraged loans. | ||
Mark W. Christensen | DoubleLine Low Duration Emerging | Mr. Christensen joined DoubleLine in 2009 as a |
Portfolio Manager |
Length
of Service
with
the Funds |
Business
Experience During
the
Past Five Years | ||
Markets
Fixed Income Fund
(since inception in
April 2014)
DoubleLine
Emerging Markets Fixed Income Fund
(since December 2015)
DoubleLine
Emerging Markets Local Currency Bond Fund (since inception in
June 2019) |
Portfolio Manager and Senior Credit Analyst. | |||
Su Fei Koo |
DoubleLine
Low Duration Emerging Markets Fixed Income Fund
(since inception in
April 2014)
DoubleLine
Emerging Markets Fixed Income Fund
(since December 2015)
DoubleLine
Emerging Markets Local Currency Bond Fund (since inception in
June 2019) |
Ms. Koo joined DoubleLine in 2009 as a Portfolio Manager and Senior Credit Analyst. | ||
Vitaliy Liberman |
DoubleLine
Long
Duration
Total Return Bond Fund
(since inception in December
2014) |
Mr. Liberman joined DoubleLine in 2009. He is the lead Portfolio Manager overseeing the Agency mortgage team. Mr. Liberman is a permanent member of the Fixed Income Asset Allocation Committee. He is a CFA charterholder. |
Portfolio Manager |
Length
of Service
with
the Funds |
Business
Experience During
the
Past Five Years | ||
Damien Contes |
DoubleLine
Infrastructure Income Fund
(since inception in
April 2016) |
Mr. Contes is a Global Infrastructure Investments portfolio manager. He joined DoubleLine Capital in 2013 as a member of the International Fixed Income group focusing on transportation and energy sectors. Prior to joining DoubleLine Capital, he was a member of the investment team at ICE Canyon, LLC for six years. | ||
Andrew Hsu |
DoubleLine
Infrastructure Income Fund
(since inception in
April 2016)
DoubleLine
Total Return Bond Fund
(since July 2019)
DoubleLine
Income Fund
(since inception in
September 2019) |
Mr. Hsu joined DoubleLine in 2009. He is a Portfolio Manager and heads the Global Infrastructure and Asset-Backed Securities (ABS) group. He is a permanent member of the Fixed Income Asset Allocation and Structured Products Committees. | ||
William Campbell |
DoubleLine
Global
Bond
Fund
(since July 2016) DoubleLine
Emerging Markets Local Currency Bond Fund (since inception in
June 2019) |
Mr.
Campbell joined DoubleLine in 2013 as an Emerging Markets sovereign
analyst. He covers Developed Markets, Central & Eastern Europe, Middle
East and Africa (CEEMEA), and China.
Prior
to joining DoubleLine, Mr. Campbell worked for Peridiem Global Investors
as a Global Fixed Income Research Analyst and Portfolio
Manager |
Portfolio Manager |
Length
of Service
with
the Funds |
Business
Experience During
the
Past Five Years | ||
beginning in March 2011. Mr. Campbell received his BS in Business Economics and International Business, as well as his BA in English, from Pennsylvania State University. He received his MA in Mathematics, with a focus on Mathematical Finance, from Boston University. | ||||
Valerie Ho |
DoubleLine
Global Bond Fund
(since July 2016)
DoubleLine
Emerging Markets Local Currency Bond Fund (since inception in
June 2019) |
Ms. Ho joined DoubleLine in 2009 as an Emerging Markets sovereign analyst. She covers Latin America and Emerging Asia excluding China. She holds a BS in Mathematics/ Economics, and a Specialization in Computer Programming from University of California at Los Angeles. She is a CFA charterholder. | ||
Monica Erickson |
DoubleLine
Ultra Short
Bond
Fund
(since September 2016) |
Ms. Erickson joined DoubleLine’s Global Developed Credit Group in 2009. She is a portfolio manager and also serves as a senior credit analyst within the group. She also participates on the Fixed Income Asset Allocation committee. | ||
Samuel Lau | DoubleLine Strategic Commodity Fund (since July 2018) | Mr. Lau joined DoubleLine in 2009. He works in portfolio management and trading for derivatives- |
Portfolio Manager |
Length
of Service
with
the Funds |
Business
Experience During
the
Past Five Years | ||
based and multi-asset strategies. | ||||
Jeffrey Mayberry | DoubleLine Strategic Commodity Fund (since July 2018) | Mr. Mayberry works in portfolio management and trading for derivatives-based and multi-asset strategies. He joined DoubleLine in 2009 where he oversaw portfolio analytics, risk management and the development of portfolio management systems. He moved to his current role on the Macro-Asset Allocation team in 2014. | ||
Morris Chen |
DoubleLine
Income Fund
(since inception in
September 2019) |
Mr. Chen joined DoubleLine in 2009. He is a Portfolio Manager and heads the Commercial Mortgage-Backed Securities (CMBS) and Commercial Real Estate (CRE) Debt group. He is a permanent member of the Fixed Income Asset Allocation and Structured Products Committees. | ||
Ken Shinoda |
DoubleLine
Income Fund
(since inception in September
2019)
DoubleLine
Total Return Bond Fund
(since July 2020) |
Mr. Shinoda joined DoubleLine in 2009. He is the Chairman of the Structured Products Committee and a Portfolio Manager overseeing the Non-Agency Residential Mortgage-Backed Securities (RMBS) group. He is a permanent |
Portfolio Manager |
Length
of Service
with
the Funds |
Business
Experience During
the
Past Five Years | ||
member of the Fixed Income Asset Allocation Committee. He is a CFA charterholder. |
Fund |
Contractual
Annual Management Fee Rate (As
a Percentage
of
the Fund’s
Average
Daily
Net
Asset Value) |
Actual Management Fee
Paid for the Fiscal Year Ended March 31, 2021 (As
a Percentage of the Fund’s Average Daily Net Asset Value) | ||
DoubleLine Total Return Bond Fund | 0.40% | 0.40%1,5 | ||
DoubleLine Core Fixed Income Fund | 0.40% | 0.35%1 | ||
DoubleLine Emerging Markets Fixed Income Fund | 0.75% | 0.75% |
Fund |
Contractual
Annual Management Fee Rate (As
a Percentage
of
the Fund’s
Average
Daily
Net
Asset Value) |
Actual Management Fee
Paid for the Fiscal Year Ended March 31, 2021 (As
a Percentage of the Fund’s Average Daily Net Asset Value) | ||
DoubleLine Low Duration Bond Fund | 0.35% | 0.35%1,5 | ||
DoubleLine Floating Rate Fund | 0.50% | 0.50% | ||
DoubleLine Flexible Income Fund | 0.62% | 0.59%1 | ||
DoubleLine Low Duration Emerging Markets Fixed Income Fund | 0.50% | 0.43% | ||
DoubleLine Long Duration Total Return Bond Fund | 0.35% | 0.33%3 | ||
DoubleLine Global Bond Fund | 0.50% | 0.50% | ||
DoubleLine Ultra Short Bond Fund | 0.15% | 0.15% | ||
DoubleLine Infrastructure Income Fund | 0.50% | 0.50% | ||
DoubleLine Income Fund | 0.50% | 0.41% | ||
DoubleLine Emerging Markets Local Currency Bond Fund | 0.75% | 0.00% | ||
DoubleLine Multi-Asset Growth Fund | 0.95% | 0.34%1,2 | ||
DoubleLine Multi-Asset Trend Fund | 0.50% | 0.00%6 | ||
DoubleLine Strategic Commodity Fund | 0.90% | 0.86%4 | ||
DoubleLine Shiller Enhanced CAPE® | 0.45% | 0.45%1 |
Fund |
Contractual
Annual Management Fee Rate (As
a Percentage
of
the Fund’s
Average
Daily
Net
Asset Value) |
Actual Management Fee
Paid for the Fiscal Year Ended March 31, 2021 (As
a Percentage of the Fund’s Average Daily Net Asset Value) | ||
DoubleLine Shiller Enhanced International CAPE® | 0.50% | 0.19%1 | ||
DoubleLine Real Estate and Income Fund | 0.45% | 0.42%1 |
1 |
Includes
advisory fee waivers made with respect to investments in other investment
vehicles sponsored by an Adviser and not subject to
recoupment. |
2 |
Includes
amounts recouped by the Adviser pursuant to a prior expense limitation
agreement. |
3 |
Prior
to April 30, 2020, the contractual annual management fee rate for
DoubleLine Long Duration Total Return Bond Fund was
0.50%. |
4 |
In
addition, the Adviser recouped 0.01% of advisory fees waived during a
prior period pursuant to the terms of the expense limitation agreement
between the Adviser and the Fund. |
5 |
Includes
amount waived by the Adviser that is less than
0.01%. |
6 |
Information
shown for the period from the Fund’s inception on February 26, 2021
through the fiscal period ended March 31,
2021. |
Fund | Class A | Class C | Class I | Class N | Class R | |||||
DoubleLine Emerging Markets Fixed Income Fund | N/A | N/A | 0.95% | 1.20% | N/A | |||||
DoubleLine Low Duration Bond Fund | N/A | N/A | 0.47% | 0.72% | 0.42% | |||||
DoubleLine Floating Rate Fund | N/A | N/A | 0.75% | 1.00% | N/A | |||||
DoubleLine Flexible Income Fund | N/A | N/A | 0.82% | 1.07% | 0.77% |
Fund | Class A | Class C | Class I | Class N | Class R | |||||
DoubleLine Low Duration Emerging Markets Fixed Income Fund | N/A | N/A | 0.59% | 0.84% | N/A | |||||
DoubleLine Long Duration Total Return Bond Fund | N/A | N/A | 0.50% | 0.75% | N/A | |||||
DoubleLine Global Bond Fund | N/A | N/A | 0.70% | 0.95% | N/A | |||||
DoubleLine Ultra Short Bond Fund | N/A | N/A | 0.30% | 0.55% | N/A | |||||
DoubleLine Infrastructure Income Fund | N/A | N/A | 0.65% | 0.90% | N/A | |||||
DoubleLine Income Fund | N/A | N/A | 0.65% | 0.90% | N/A | |||||
DoubleLine Emerging Markets Local Currency Bond Fund | N/A | N/A | 0.90% | 1.15% | N/A | |||||
DoubleLine Multi-Asset Growth Fund | 1.40% | 2.15% | 1.15% | 1.40% | N/A | |||||
DoubleLine Multi-Asset Trend Fund | N/A | N/A | 0.65% | 0.90% | N/A | |||||
DoubleLine Strategic Commodity Fund | N/A | N/A | 1.10% | 1.35% | N/A | |||||
DoubleLine Shiller Enhanced CAPE® | N/A | N/A | 0.65% | 0.90% | 0.60% | |||||
DoubleLine Shiller Enhanced International CAPE® | N/A | N/A | 0.65% | 0.90% | N/A | |||||
DoubleLine Real Estate and Income Fund | N/A | N/A | 0.65% | 0.90% | N/A |
Minimum Initial Investment: |
Subsequent Investment: |
|||||||||||||||||||||||
Regular Accounts |
IRAs/
HSAs |
All Accounts and Automatic Investment Plans |
Initial Sales Charge (Load) |
Maximum Contingent Deferred Sales Load |
Annual 12b-1 Fee |
|||||||||||||||||||
Class A Shares | $ | 2,000 | $ | 500 | $ 100 | 4.25 | %1 | 0.75 | %2 | 0.25 | % | |||||||||||||
Class C Shares | $ | 2,000 | $ | 500 | $ 100 | None | 1.00 | %3 | 1.00 | % | ||||||||||||||
Class I Shares | $ | 100,000 | $ | 5,000 | $ 100 | None | None | None | ||||||||||||||||
Class N Shares | $ | 2,000 | $ | 500 | $ 100 | None | None | 0.25 | % | |||||||||||||||
Class R6 Shares | None | None | None | None | None | None |
1 |
As
discussed below, the initial sales load with respect to Class A
shares may be waived in certain circumstances. |
2 |
A
contingent deferred sales load of up to 0.75% applies only to purchases of
$1 million or more of Class A shares if the shares are redeemed
within 18 months of purchase. The contingent deferred sales load may
not be applicable. See “— Purchases at Net Asset Value”
below. |
3 |
A
contingent deferred sales load of 1.00% applies to the Class C shares sold
within 12 months of purchase. |
Amount of Purchase Payment | Sales Load as a % of Offering Price |
Sales Load as a % of Net Amount Invested |
Commission as a % of Offering Price2 |
|||||||||
Less than $50,000 | 4.25 | % | 4.44 | % | 4.25 | % | ||||||
$50,000 but less than $100,000 | 4.00 | % | 4.17 | % | 4.00 | % | ||||||
$100,000 but less than $250,000 | 3.50 | % | 3.63 | % | 3.50 | % | ||||||
$250,000 but less than $500,000 | 2.50 | % | 2.56 | % | 2.50 | % | ||||||
$500,000 but less than $1,000,000 | 2.00 | % | 2.04 | % | 2.00 | % | ||||||
$1,000,000 but less than $3,000,000 | None | 1 | None | 1 | 0.75 | % | ||||||
$3,000,000 but less than $10,000,000 | None | 1 | None | 1 | 0.50 | % | ||||||
$10,000,000 or more | None | 1 | None | 1 | 0.25 | % |
1 |
If
you purchase $1 million worth of shares or more, you will pay no initial
sales load. However, in this case, if you were to sell your shares within
18 months of purchase, you would pay a contingent deferred sales load of
up to 0.75% of the value of the Class A shares when they were
purchased, except as described below under “— Purchases at Net Asset
Value”. Your actual contingent deferred sales load will equal the
commission paid in connection with the purchase of the shares redeemed
(for example, if you purchase $3,000,000 of Class A shares and redeem
them within 18 months of their purchase, you will pay a contingent
deferred sales load equal to 0.50% of the value of the shares when they
were purchased). |
2 |
Based
on the amount of the purchase payment. |
• |
Qualified
401(a) plans (including 401(k) plans, Keogh plans, profit-sharing pension
plans, money purchase pension plans, target benefit plans, defined benefit
pension plans and Taft-Hartley multi-employer pension
plans); |
• |
403(b)
plans and tax-sheltered annuity plans; |
• |
457
plans, including 457(a) governmental entity plans and tax-exempt
plans; |
• |
Nonqualified
deferred compensation plans, including rabbi trusts and similar
arrangements; and |
• |
Funded
welfare benefit plans (e.g.,
Voluntary Employees’ Beneficiary Association (VEBA) plans, and Other
Post-Employment (OPEB) plans). |
Minimum Initial Investment: |
Subsequent Investment: |
|||||||||||
Regular Accounts |
IRAs/
HSAs |
All Accounts and Automatic Investment Plans |
||||||||||
Class A Shares | $2,000 | $500 | $100 | |||||||||
Class C Shares | $2,000 | $500 | $100 | |||||||||
Class I Shares | $100,000 | $5,000 | $100 | |||||||||
Class N Shares | $2,000 | $500 | $100 |
• |
your
name(s) and signature(s) as they appear on the New Account Application
form |
• |
your
account number |
• |
the
Fund name |
• |
the
dollar amount or number of shares you want to
redeem |
• |
how
and where to send the proceeds |
• |
redemption
requests for amounts in excess of $100,000, where proceeds are requested
to be sent by check; |
• |
when
a redemption request is received by the transfer agent and the account
address has changed within the last 30 calendar
days; |
• |
when
redemption proceeds are to be sent or payable to any person, address or
bank account not on the Funds’ record; or |
• |
if
ownership is being changed on your account. |
• |
Each
Fund may reject any purchase order for any reason and without prior
notice. A Fund or a Fund’s transfer agent may reject a purchase order of
any investor or group of investors or person acting on behalf of any
investor or investors, whose pattern of trading or transaction history
involves, in the opinion of the Fund’s Adviser or the Fund’s transfer
agent, actual or potential harm to the Fund. |
• |
The
Trust reserves the right to prohibit any acquisition of a Fund’s shares
(through either a purchase or exchange from another DoubleLine Fund) in
which the acquirer has previously completed multiple round-trip
transactions in the Fund within a 12-month period in accordance with the
Trust’s policies and procedures. For this purpose, a round trip
transaction consists of the acquisition of shares of a particular
DoubleLine Fund (through either a purchase or exchange from another
DoubleLine Fund) and the subsequent redemption of shares of that Fund
(through either a sale or an exchange into another DoubleLine Fund). These
limits on round trip transactions do not, however, limit a shareholder’s
right to redeem their shares. |
• |
The
Trust monitors exchanges and redemptions out of a Fund in accordance with
the Trust’s policies and procedures. |
• |
Exceptions
to these trading limits must be approved by a Fund’s President or designee
and reported to the Board of Trustees on a quarterly
basis. |
CLASS I |
Year Ended
March 31, 2021 |
Year Ended
March 31, 2020 |
Year Ended
March 31, 2019 |
Year Ended
March 31, 2018 |
Year Ended
March 31, 2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $10.46 | $10.53 | $10.48 | $10.63 | $10.87 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.31 | 0.34 | 0.36 | 0.32 | 0.27 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.04 | (0.03 | ) | 0.08 | (0.09 | ) | (0.11 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 0.35 | 0.31 | 0.44 | 0.23 | 0.16 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.35 | ) | (0.38 | ) | (0.39 | ) | (0.38 | ) | (0.40 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | — | — | — | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.35 | ) | (0.38 | ) | (0.39 | ) | (0.38 | ) | (0.40 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $10.46 | $10.46 | $10.53 | $10.48 | $10.63 | |||||||||||||||
Total Return3 | 3.32 | % | 2.97 | % | 4.31 | % | 2.19 | % | 1.46 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $42,909,929 | $44,623,760 | $43,682,910 | $42,992,354 | $44,379,730 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.49 | % | 0.49 | % | 0.48 | % | 0.47 | % | 0.47 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.49 | % | 0.48 | % | 0.48 | % | 0.47 | % | 0.47 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.49 | % | 0.48 | % | 0.48 | % | 0.47 | % | 0.47 | % | ||||||||||
Net Investment Income (Loss)4 | 2.95 | % | 3.28 | % | 3.39 | % | 3.04 | % | 2.45 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 91 | % | 31 | % | 28 | % | 22 | % | 22 | % |
CLASS N |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $10.46 | $10.53 | $10.48 | $10.63 | $10.87 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.29 | 0.32 | 0.33 | 0.30 | 0.24 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.03 | (0.03 | ) | 0.08 | (0.09 | ) | (0.11 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 0.32 | 0.29 | 0.41 | 0.21 | 0.13 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.32 | ) | (0.36 | ) | (0.36 | ) | (0.36 | ) | (0.37 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | — | — | — | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.32 | ) | (0.36 | ) | (0.36 | ) | (0.36 | ) | (0.37 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $10.46 | $10.46 | $10.53 | $10.48 | $10.63 | |||||||||||||||
Total Return3 | 3.06 | % | 2.71 | % | 4.05 | % | 1.93 | % | 1.21 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $5,239,001 | $6,552,760 | $6,831,035 | $8,427,611 | $9,974,264 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.74 | % | 0.73 | % | 0.73 | % | 0.72 | % | 0.72 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.74 | % | 0.73 | % | 0.73 | % | 0.72 | % | 0.72 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.74 | % | 0.73 | % | 0.73 | % | 0.72 | % | 0.72 | % | ||||||||||
Net Investment Income (Loss)4 | 2.70 | % | 3.03 | % | 3.14 | % | 2.79 | % | 2.20 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 91 | % | 31 | % | 28 | % | 22 | % | 22 | % |
CLASS R6 |
Year Ended
March 31,
2021 |
Year Ended
March 31,
20202 |
||||||
Net Asset Value, Beginning of Period | $10.46 | $10.66 | ||||||
|
|
|
|
|||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||
Net Investment Income (Loss)1 | 0.31 | 0.24 | ||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.05 | (0.18 | ) | |||||
|
|
|
|
|||||
Total from Investment Operations | 0.36 | 0.06 | ||||||
|
|
|
|
|||||
LESS DISTRIBUTIONS: | ||||||||
Distributions from Net Investment Income | (0.36 | ) | (0.26 | ) | ||||
Distributions from Net Realized Gain | — | — | ||||||
|
|
|
|
|||||
Total Distributions | (0.36 | ) | (0.26 | ) | ||||
|
|
|
|
|||||
Net Asset Value, End of Period | $10.46 | $10.46 | ||||||
Total Return3 | 3.38 | % | 0.52 | % | ||||
SUPPLEMENTAL DATA: | ||||||||
Net Assets, End of Period (000’s) | $2,071,388 | $65,403 | ||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.44 | % | 0.45 | % | ||||
Expenses After Investment Advisory Fees (Waived)4 | 0.44 | % | 0.45 | % | ||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.44 | % | 0.45 | % | ||||
Net Investment Income (Loss)4 | 2.89 | % | 3.33 | % | ||||
Portfolio Turnover Rate For All Share Classes3 | 91 | % | 31 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
2 |
Commencement
of operations on July 31, 2019. Total return is based on operations
for a period that is less than a year. |
3 |
Not
annualized for periods less than one year. |
4 |
Annualized
for periods less than one year. |
CLASS I |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $10.62 | $10.83 | $10.81 | $10.86 | $10.87 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.32 | 0.36 | 0.37 | 0.31 | 0.29 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.42 | (0.20 | ) | 0.02 | (0.04 | ) | 0.01 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 0.74 | 0.16 | 0.39 | 0.27 | 0.30 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.33 | ) | (0.37 | ) | (0.37 | ) | (0.32 | ) | (0.31 | ) | ||||||||||
Distributions from Net Realized Gain | (0.02 | ) | — | — | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.35 | ) | (0.37 | ) | (0.37 | ) | (0.32 | ) | (0.31 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $11.01 | $10.62 | $10.83 | $10.81 | $10.86 | |||||||||||||||
Total Return3 | 6.94 | % | 1.42 | % | 3.71 | % | 2.51 | % | 2.80 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $10,772,238 | $10,724,409 | $10,672,087 | $9,381,508 | $7,034,665 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.47 | % | 0.47 | % | 0.47 | % | 0.47 | % | 0.47 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.42 | % | 0.41 | % | 0.42 | % | 0.42 | % | 0.44 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.42 | % | 0.41 | % | 0.42 | % | 0.42 | % | 0.44 | % | ||||||||||
Net Investment Income (Loss)4 | 2.83 | % | 3.30 | % | 3.42 | % | 2.86 | % | 2.72 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 155 | % | 43 | % | 66 | % | 77 | % | 81 | % |
CLASS N |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $10.61 | $10.82 | $10.80 | $10.85 | $10.86 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.29 | 0.34 | 0.34 | 0.29 | 0.27 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.42 | (0.20 | ) | 0.02 | (0.04 | ) | 0.01 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 0.71 | 0.14 | 0.36 | 0.25 | 0.28 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.30 | ) | (0.35 | ) | (0.34 | ) | (0.30 | ) | (0.29 | ) | ||||||||||
Distributions from Net Realized Gain | (0.02 | ) | — | — | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.32 | ) | (0.35 | ) | (0.34 | ) | (0.30 | ) | (0.29 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $11.00 | $10.61 | $10.82 | $10.80 | $10.85 | |||||||||||||||
Total Return3 | 6.67 | % | 1.17 | % | 3.45 | % | 2.26 | % | 2.54 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $544,493 | $706,970 | $841,190 | $1,025,318 | $1,074,854 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.72 | % | 0.72 | % | 0.72 | % | 0.72 | % | 0.72 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.66 | % | 0.66 | % | 0.67 | % | 0.67 | % | 0.69 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.66 | % | 0.66 | % | 0.67 | % | 0.67 | % | 0.69 | % | ||||||||||
Net Investment Income (Loss)4 | 2.58 | % | 3.05 | % | 3.15 | % | 2.61 | % | 2.47 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 155 | % | 43 | % | 66 | % | 77 | % | 81 | % |
CLASS R6 |
Year Ended
March 31,
2021 |
Year Ended
March 31,
20202 |
||||||
Net Asset Value, Beginning of Period | $10.62 | $11.05 | ||||||
|
|
|
|
|||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||
Net Investment Income (Loss)1 | 0.32 | 0.24 | ||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.42 | (0.42 | ) | |||||
|
|
|
|
|||||
Total from Investment Operations | 0.74 | (0.18 | ) | |||||
|
|
|
|
|||||
LESS DISTRIBUTIONS: | ||||||||
Distributions from Net Investment Income | (0.33 | ) | (0.25 | ) | ||||
Distributions from Net Realized Gain | (0.02 | ) | — | |||||
|
|
|
|
|||||
Total Distributions | (0.35 | ) | (0.25 | ) | ||||
|
|
|
|
|||||
Net Asset Value, End of Period | $11.01 | $10.62 | ||||||
Total Return3 | 6.94 | % | (1.72 | )% | ||||
SUPPLEMENTAL DATA: | ||||||||
Net Assets, End of Period (000’s) | $104,731 | $112,911 | ||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.44 | 0.45 | % | |||||
Expenses After Investment Advisory Fees (Waived)4 | 0.38 | 0.39 | % | |||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.38 | 0.39 | % | |||||
Net Investment Income (Loss)4 | 2.88 | % | 3.26 | % | ||||
Portfolio Turnover Rate For All Share Classes3 | 155 | % | 43 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
2 |
Commencement
of operations on July 31, 2019. Total return is based on operations
for a period that is less than six months. |
3 |
Not
annualized for periods less than one year. |
4 |
Annualized
for periods less than one year. |
CLASS I |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $8.83 | $10.34 | $10.42 | $10.50 | $9.68 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.41 | 0.49 | 0.41 | 0.33 | 0.45 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 1.75 | (1.51 | ) | (0.06 | ) | 0.02 | 0.81 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 2.16 | (1.02 | ) | 0.35 | 0.35 | 1.26 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.44 | ) | (0.49 | ) | (0.41 | ) | (0.34 | ) | (0.44 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | (0.02 | ) | (0.09 | ) | — | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.44 | ) | (0.49 | ) | (0.43 | ) | (0.43 | ) | (0.44 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $10.55 | $8.83 | $10.34 | $10.42 | $10.50 | |||||||||||||||
Total Return | 24.72 | % | (10.43 | )% | 3.52 | % | 3.30 | % | 13.19 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $799,879 | $755,648 | $943,368 | $937,978 | $775,961 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.89 | % | 0.90 | % | 0.89 | % | 0.88 | % | 0.92 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived) | 0.89 | % | 0.90 | % | 0.89 | % | 0.88 | % | 0.92 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.89 | % | 0.90 | % | 0.89 | % | 0.88 | % | 0.92 | % | ||||||||||
Net Investment Income (Loss) | 4.06 | % | 4.69 | % | 3.99 | % | 3.12 | % | 4.28 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes | 81 | % | 37 | % | 66 | % | 78 | % | 108 | % |
CLASS N |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $8.83 | $10.34 | $10.43 | $10.50 | $9.68 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.39 | 0.47 | 0.37 | 0.31 | 0.42 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 1.74 | (1.51 | ) | (0.06 | ) | 0.02 | 0.81 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 2.13 | (1.04 | ) | 0.31 | 0.33 | 1.23 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.41 | ) | (0.47 | ) | (0.38 | ) | (0.31 | ) | (0.41 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | (0.02 | ) | (0.09 | ) | — | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.41 | ) | (0.47 | ) | (0.40 | ) | (0.40 | ) | (0.41 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $10.55 | $8.83 | $10.34 | $10.43 | $10.50 | |||||||||||||||
Total Return | 24.38 | % | (10.68 | )% | 3.16 | % | 3.14 | % | 12.91 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $44,972 | $122,727 | $164,101 | $197,564 | $231,087 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 1.14 | % | 1.15 | % | 1.14 | % | 1.13 | % | 1.17 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived) | 1.14 | % | 1.15 | % | 1.14 | % | 1.13 | % | 1.17 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 1.14 | % | 1.15 | % | 1.14 | % | 1.13 | % | 1.17 | % | ||||||||||
Net Investment Income (Loss) | 3.86 | % | 4.46 | % | 3.66 | % | 2.93 | % | 4.03 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes | 81 | % | 37 | % | 66 | % | 78 | % | 108 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
CLASS I |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $9.51 | $9.97 | $9.97 | $10.04 | $9.99 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.20 | 0.30 | 0.31 | 0.22 | 0.24 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.47 | (0.45 | ) | — | (0.04 | ) | 0.06 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 0.67 | (0.15 | ) | 0.31 | 0.18 | 0.30 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.21 | ) | (0.31 | ) | (0.31 | ) | (0.25 | ) | (0.25 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | — | — | — | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.21 | ) | (0.31 | ) | (0.31 | ) | (0.25 | ) | (0.25 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $9.97 | $9.51 | $9.97 | $9.97 | $10.04 | |||||||||||||||
Total Return3 | 7.08 | % | (1.59 | )% | 3.13 | % | 1.82 | % | 2.99 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $5,689,932 | $5,296,795 | $5,455,532 | $4,069,943 | $2,756,498 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.42 | % | 0.42 | % | 0.42 | % | 0.42 | % | 0.43 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.42 | % | 0.41 | % | 0.41 | % | 0.41 | % | 0.42 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.42 | % | 0.41 | % | 0.41 | % | 0.41 | % | 0.42 | % | ||||||||||
Net Investment Income (Loss)4 | 2.05 | % | 3.05 | % | 3.10 | % | 2.26 | % | 2.25 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 71 | % | 60 | % | 54 | % | 62 | % | 69 | % |
CLASS N |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $9.50 | $9.96 | $9.96 | $10.03 | $9.99 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.18 | 0.28 | 0.28 | 0.20 | 0.20 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.46 | (0.45 | ) | — | (0.04 | ) | 0.06 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 0.64 | (0.17 | ) | 0.28 | 0.16 | 0.26 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.18 | ) | (0.29 | ) | (0.28 | ) | (0.23 | ) | (0.22 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | — | — | — | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.18 | ) | (0.29 | ) | (0.28 | ) | (0.23 | ) | (0.22 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $9.96 | $9.50 | $9.96 | $9.96 | $10.03 | |||||||||||||||
Total Return3 | 6.82 | % | (1.84 | )% | 2.87 | % | 1.57 | % | 2.64 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $1,194,295 | $1,483,316 | $1,480,796 | $1,438,903 | $1,540,448 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.67 | % | 0.67 | % | 0.67 | % | 0.67 | % | 0.68 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.67 | % | 0.66 | % | 0.66 | % | 0.66 | % | 0.67 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.67 | % | 0.66 | % | 0.66 | % | 0.66 | % | 0.67 | % | ||||||||||
Net Investment Income (Loss)4 | 1.83 | % | 2.80 | % | 2.83 | % | 1.99 | % | 2.00 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 71 | % | 60 | % | 54 | % | 62 | % | 69 | % |
CLASS R6 |
Year Ended
March 31,
2021 |
Year Ended
March 31,
20202 |
||||||
Net Asset Value, Beginning of Period | $9.51 | $10.03 | ||||||
|
|
|
|
|||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||
Net Investment Income (Loss)1 | 0.20 | 0.20 | ||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.47 | (0.52 | ) | |||||
|
|
|
|
|||||
Total from Investment Operations | 0.67 | (0.32 | ) | |||||
|
|
|
|
|||||
LESS DISTRIBUTIONS: | ||||||||
Distributions from Net Investment Income | (0.21 | ) | (0.20 | ) | ||||
Distributions from Net Realized Gain | — | — | ||||||
|
|
|
|
|||||
Total Distributions | (0.21 | ) | (0.20 | ) | ||||
|
|
|
|
|||||
Net Asset Value, End of Period | $9.97 | $9.51 | ||||||
Total Return3 | 7.12 | % | (3.25 | )% | ||||
SUPPLEMENTAL DATA: | ||||||||
Net Assets, End of Period (000’s) | $8,840 | $369 | ||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.40 | % | 0.39 | % | ||||
Expenses After Investment Advisory Fees (Waived)4 | 0.39 | % | 0.38 | % | ||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.39 | % | 0.38 | % | ||||
Net Investment Income (Loss)4 | 2.05 | % | 2.98 | % | ||||
Portfolio Turnover Rate For All Share Classes3 | 71 | % | 60 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
2 |
Commencement
of operations on July 31, 2019. Total return is based on operations
for a period that is less than a year. |
3 |
Not
annualized for periods less than one year. |
4 |
Annualized
for periods less than one year. |
CLASS I |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $8.44 | $9.65 | $9.94 | $9.90 | $9.77 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.34 | 0.47 | 0.49 | 0.41 | 0.35 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 1.07 | (1.20 | ) | (0.28 | ) | 0.02 | 0.13 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 1.41 | (0.73 | ) | 0.21 | 0.43 | 0.48 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.34 | ) | (0.48 | ) | (0.50 | ) | (0.39 | ) | (0.35 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | — | — | — | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.34 | ) | (0.48 | ) | (0.50 | ) | (0.39 | ) | (0.35 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $9.51 | $8.44 | $9.65 | $9.94 | $9.90 | |||||||||||||||
Total Return | 16.95 | % | (7.99 | )% | 2.15 | % | 4.39 | % | 4.99 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $240,442 | $150,892 | $358,062 | $428,379 | $297,060 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.72 | % | 0.70 | % | 0.64 | % | 0.65 | % | 0.68 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived) | 0.72 | % | 0.70 | % | 0.64 | % | 0.65 | % | 0.68 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.72 | % | 0.70 | % | 0.64 | % | 0.65 | % | 0.68 | % | ||||||||||
Net Investment Income (Loss) | 3.69 | % | 4.84 | % | 5.00 | % | 3.98 | % | 3.60 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes | 76 | % | 58 | % | 88 | % | 77 | % | 106 | % |
CLASS N |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $8.45 | $9.67 | $9.95 | $9.92 | $9.79 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.32 | 0.44 | 0.47 | 0.37 | 0.33 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 1.08 | (1.20 | ) | (0.28 | ) | 0.02 | 0.13 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 1.40 | (0.76 | ) | 0.19 | 0.39 | 0.46 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.32 | ) | (0.46 | ) | (0.47 | ) | (0.36 | ) | (0.33 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | — | — | — | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.32 | ) | (0.46 | ) | (0.47 | ) | (0.36 | ) | (0.33 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $9.53 | $8.45 | $9.67 | $9.95 | $9.92 | |||||||||||||||
Total Return | 16.73 | % | (8.32 | )% | 1.99 | % | 4.02 | % | 4.73 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $18,339 | $51,646 | $116,374 | $145,289 | $130,944 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.98 | % | 0.95 | % | 0.88 | % | 0.90 | % | 0.93 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived) | 0.98 | % | 0.95 | % | 0.88 | % | 0.90 | % | 0.93 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.98 | % | 0.95 | % | 0.88 | % | 0.90 | % | 0.93 | % | ||||||||||
Net Investment Income (Loss) | 3.54 | % | 4.59 | % | 4.74 | % | 3.71 | % | 3.35 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes | 76 | % | 58 | % | 88 | % | 77 | % | 106 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
CLASS I |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $8.40 | $9.65 | $9.81 | $9.82 | $9.55 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.35 | 0.39 | 0.42 | 0.35 | 0.32 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 1.28 | (1.22 | ) | (0.14 | ) | 0.03 | 0.29 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 1.63 | (0.83 | ) | 0.28 | 0.38 | 0.61 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.38 | ) | (0.42 | ) | (0.44 | ) | (0.39 | ) | (0.34 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | — | — | — | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.38 | ) | (0.42 | ) | (0.44 | ) | (0.39 | ) | (0.34 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $9.65 | $8.40 | $9.65 | $9.81 | $9.82 | |||||||||||||||
Total Return3 | 19.59 | % | (9.06 | )% | 2.95 | % | 3.94 | % | 6.48 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $1,086,763 | $874,594 | $1,088,368 | $1,007,491 | $593,153 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.76 | % | 0.73 | % | 0.74 | % | 0.76 | % | 0.80 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.73 | % | 0.69 | % | 0.72 | % | 0.74 | % | 0.76 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.73 | % | 0.69 | % | 0.72 | % | 0.77 | % | 0.76 | % | ||||||||||
Net Investment Income (Loss)4 | 3.71 | % | 4.12 | % | 4.26 | % | 3.61 | % | 3.36 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 46 | % | 41 | % | 44 | % | 41 | % | 58 | % |
CLASS N |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $8.39 | $9.64 | $9.81 | $9.82 | $9.55 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.32 | 0.37 | 0.39 | 0.33 | 0.30 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 1.29 | (1.22 | ) | (0.14 | ) | 0.03 | 0.29 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 1.61 | (0.85 | ) | 0.25 | 0.36 | 0.59 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.35 | ) | (0.40 | ) | (0.42 | ) | (0.37 | ) | (0.32 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | — | — | — | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.35 | ) | (0.40 | ) | (0.42 | ) | (0.37 | ) | (0.32 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $9.65 | $8.39 | $9.64 | $9.81 | $9.82 | |||||||||||||||
Total Return3 | 19.43 | % | (9.30 | )% | 2.59 | % | 3.69 | % | 6.23 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $155,408 | $230,033 | $207,491 | $195,093 | $147,095 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 1.01 | % | 0.98 | % | 0.99 | % | 1.01 | % | 1.05 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.97 | % | 0.94 | % | 0.97 | % | 0.99 | % | 1.01 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.97 | % | 0.94 | % | 0.97 | % | 1.02 | % | 1.01 | % | ||||||||||
Net Investment Income (Loss)4 | 3.49 | % | 3.83 | % | 4.01 | % | 3.36 | % | 3.11 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 46 | % | 41 | % | 44 | % | 41 | % | 58 | % |
CLASS R6 |
Year Ended
March 31,
2021 |
Year Ended
March 31,
20202 |
||||||
Net Asset Value, Beginning of Period | $8.40 | $9.74 | ||||||
|
|
|
|
|||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||
Net Investment Income (Loss)1 | 0.32 | 0.25 | ||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 1.32 | (1.32 | ) | |||||
|
|
|
|
|||||
Total from Investment Operations | 1.64 | (1.07 | ) | |||||
|
|
|
|
|||||
LESS DISTRIBUTIONS: | ||||||||
Distributions from Net Investment Income | (0.38 | ) | (0.27 | ) | ||||
Distributions from Net Realized Gain | — | — | ||||||
|
|
|
|
|||||
Total Distributions | (0.38 | ) | (0.27 | ) | ||||
|
|
|
|
|||||
Net Asset Value, End of Period | $9.66 | $8.40 | ||||||
Total Return3 | 19.78 | % | (11.26 | )% | ||||
SUPPLEMENTAL DATA: | ||||||||
Net Assets, End of Period (000’s) | $758 | $89 | ||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.72 | % | 0.68 | % | ||||
Expenses After Investment Advisory Fees (Waived)4 | 0.70 | % | 0.65 | % | ||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.70 | % | 0.65 | % | ||||
Net Investment Income (Loss)4 | 3.42 | % | 3.91 | % | ||||
Portfolio Turnover Rate For All Share Classes3 | 46 | % | 41 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
2 |
Commencement
of operations on July 31, 2019. Total return is based on operations
for a period that is less than a year. |
3 |
Not
annualized for periods less than one year. |
4 |
Annualized
for periods less than one year. |
CLASS I |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $9.36 | $9.80 | $9.70 | $9.85 | $9.59 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.22 | 0.32 | 0.28 | 0.24 | 0.29 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.56 | (0.36 | ) | 0.12 | (0.11 | ) | 0.27 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 0.78 | (0.04 | ) | 0.40 | 0.13 | 0.56 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.24 | ) | (0.32 | ) | (0.29 | ) | (0.26 | ) | (0.29 | ) | ||||||||||
Distributions from Net Realized Gain | — | (0.08 | ) | (0.01 | ) | (0.02 | ) | (0.01 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.24 | ) | (0.40 | ) | (0.30 | ) | (0.28 | ) | (0.30 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $9.90 | $9.36 | $9.80 | $9.70 | $9.85 | |||||||||||||||
Total Return | 8.33 | % | (0.62 | )% | 4.22 | % | 1.37 | % | 5.95 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $215,744 | $180,730 | $197,585 | $142,174 | $133,047 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.66 | % | 0.63 | % | 0.65 | % | 0.89 | % | 0.74 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived) | 0.66 | % | 0.63 | % | 0.65 | % | 0.89 | % | 0.74 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.59 | % | 0.59 | % | 0.59 | % | 0.59 | % | 0.59 | % | ||||||||||
Net Investment Income (Loss) | 2.21 | % | 3.24 | % | 3.02 | % | 2.50 | % | 3.03 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes | 72 | % | 65 | % | 42 | % | 37 | % | 61 | % |
CLASS N |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $9.38 | $9.81 | $9.71 | $9.86 | $9.60 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.19 | 0.30 | 0.25 | 0.22 | 0.27 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.55 | (0.36 | ) | 0.12 | (0.11 | ) | 0.27 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 0.74 | (0.06 | ) | 0.37 | 0.11 | 0.54 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.21 | ) | (0.29 | ) | (0.26 | ) | (0.24 | ) | (0.27 | ) | ||||||||||
Distributions from Net Realized Gain | — | (0.08 | ) | (0.01 | ) | (0.02 | ) | (0.01 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.21 | ) | (0.37 | ) | (0.27 | ) | (0.26 | ) | (0.28 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $9.91 | $9.38 | $9.81 | $9.71 | $9.86 | |||||||||||||||
Total Return | 7.94 | % | (0.77 | )% | 3.93 | % | 1.10 | % | 5.69 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $25,849 | $16,922 | $24,075 | $57,856 | $216,718 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.91 | % | 0.88 | % | 0.93 | % | 1.14 | % | 0.99 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived) | 0.91 | % | 0.88 | % | 0.93 | % | 1.14 | % | 0.99 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.84 | % | 0.84 | % | 0.84 | % | 0.84 | % | 0.84 | % | ||||||||||
Net Investment Income (Loss) | 1.95 | % | 3.03 | % | 2.54 | % | 2.25 | % | 2.78 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes | 72 | % | 65 | % | 42 | % | 37 | % | 61 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
CLASS I |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $11.75 | $9.88 | $9.73 | $9.79 | $10.40 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.29 | 0.28 | 0.29 | 0.33 | 0.32 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | (1.62 | ) | 2.11 | 0.16 | (0.06 | ) | (0.60 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | (1.33 | ) | 2.39 | 0.45 | 0.27 | (0.28 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.29 | ) | (0.27 | ) | (0.30 | ) | (0.33 | ) | (0.33 | ) | ||||||||||
Distributions from Net Realized Gain | (0.76 | ) | (0.25 | ) | — | — | — | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (1.05 | ) | (0.52 | ) | (0.30 | ) | (0.33 | ) | (0.33 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $9.37 | $11.75 | $9.88 | $9.73 | $9.79 | |||||||||||||||
Total Return | (12.24 | )% | 24.85 | % | 4.77 | % | 2.74 | % | (2.82 | )% | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $71,267 | $87,469 | $66,226 | $55,357 | $50,465 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.55 | % | 0.68 | % | 0.70 | % | 0.81 | % | 0.76 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived) | 0.55 | % | 0.68 | % | 0.70 | % | 0.81 | % | 0.76 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.51 | % | 0.65 | % | 0.65 | % | 0.65 | % | 0.65 | % | ||||||||||
Net Investment Income (Loss) | 2.56 | % | 2.55 | % | 3.15 | % | 3.33 | % | 3.13 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes | 89 | % | 40 | % | 25 | % | 33 | % | 94 | % |
CLASS N |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $11.74 | $9.88 | $9.72 | $9.78 | $10.39 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.26 | 0.24 | 0.27 | 0.30 | 0.29 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | (1.61 | ) | 2.11 | 0.16 | (0.06 | ) | (0.60 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | (1.35 | ) | 2.35 | 0.43 | 0.24 | (0.31 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.26 | ) | (0.24 | ) | (0.27 | ) | (0.30 | ) | (0.30 | ) | ||||||||||
Distributions from Net Realized Gain | (0.76 | ) | (0.25 | ) | — | — | — | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (1.02 | ) | (0.49 | ) | (0.27 | ) | (0.30 | ) | (0.30 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $9.37 | $11.74 | $9.88 | $9.72 | $9.78 | |||||||||||||||
Total Return | (12.38 | )% | 24.44 | % | 4.61 | % | 2.48 | % | (3.08 | )% | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $11,234 | $20,225 | $14,317 | $11,016 | $11,276 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.80 | % | 0.93 | % | 0.95 | % | 1.06 | % | 1.01 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived) | 0.80 | % | 0.93 | % | 0.95 | % | 1.06 | % | 1.01 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.76 | % | 0.90 | % | 0.90 | % | 0.90 | % | 0.90 | % | ||||||||||
Net Investment Income (Loss) | 2.29 | % | 2.31 | % | 2.90 | % | 3.06 | % | 2.79 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes | 89 | % | 40 | % | 25 | % | 33 | % | 94 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
CLASS I |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $10.21 | $10.28 | $10.71 | $10.04 | $10.49 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.05 | 0.15 | 0.12 | 0.09 | 0.05 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.12 | (0.10 | ) | (0.42 | ) | 0.72 | (0.47 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 0.17 | 0.05 | (0.30 | ) | 0.81 | (0.42 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | — | (0.12 | ) | (0.13 | ) | (0.14 | ) | (0.02 | ) | |||||||||||
Distributions from Net Realized Gain | (0.17 | ) | — | 2 | — | — | — | |||||||||||||
Distributions from Return of Capital | — | — | — | — | (0.01 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.17 | ) | (0.12 | ) | (0.13 | ) | (0.14 | ) | (0.03 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $10.21 | $10.21 | $10.28 | $10.71 | $10.04 | |||||||||||||||
Total Return | 1.59 | % | 0.43 | % | (2.80 | )% | 7.96 | % | (4.00 | )% | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $787,064 | $1,217,100 | $1,053,218 | $663,208 | $475,328 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.55 | % | 0.55 | % | 0.55 | % | 0.56 | % | 0.66 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived) | 0.55 | % | 0.55 | % | 0.55 | % | 0.56 | % | 0.66 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.55 | % | 0.55 | % | 0.55 | % | 0.56 | % | 0.66 | % | ||||||||||
Net Investment Income (Loss) | 0.50 | % | 1.34 | % | 1.22 | % | 0.82 | % | 0.52 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes | 63 | % | 21 | % | 24 | % | 16 | % | 57 | % |
CLASS N |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $10.21 | $10.26 | $10.69 | $10.02 | $10.49 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.03 | 0.12 | 0.09 | 0.06 | 0.02 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.11 | (0.10 | ) | (0.42 | ) | 0.72 | (0.47 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 0.14 | 0.02 | (0.33 | ) | 0.78 | (0.45 | ) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | — | (0.07 | ) | (0.10 | ) | (0.11 | ) | (0.01 | ) | |||||||||||
Distributions from Net Realized Gain | (0.17 | ) | — | 2 | — | — | — | |||||||||||||
Distributions from Return of Capital | — | — | — | — | (0.01 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.17 | ) | (0.07 | ) | (0.10 | ) | (0.11 | ) | (0.02 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $10.18 | $10.21 | $10.26 | $10.69 | $10.02 | |||||||||||||||
Total Return | 1.30 | % | 0.23 | % | (3.08 | )% | 7.77 | % | (4.31 | )% | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $815 | $2,407 | $16,728 | $29,544 | $24,058 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.80 | % | 0.80 | % | 0.80 | % | 0.81 | % | 0.91 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived) | 0.80 | % | 0.80 | % | 0.80 | % | 0.81 | % | 0.91 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 0.80 | % | 0.80 | % | 0.80 | % | 0.81 | % | 0.91 | % | ||||||||||
Net Investment Income (Loss) | 0.29 | % | 1.13 | % | 0.89 | % | 0.57 | % | 0.20 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes | 63 | % | 21 | % | 24 | % | 16 | % | 57 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
2 |
Less
than $0.005 per share. |
CLASS I |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Period Ended
March 31,
20172 |
|||||||||||||||
Net Asset Value, Beginning of Period | $9.81 | $10.03 | $10.03 | $10.01 | $10.00 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.05 | 0.22 | 0.24 | 0.13 | 0.03 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.24 | (0.22 | ) | (0.01 | ) | — | 0.01 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 0.29 | — | 0.23 | 0.13 | 0.04 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.05 | ) | (0.22 | ) | (0.23 | ) | (0.11 | ) | (0.03 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | 5 | — | 5 | — | 5 | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.05 | ) | (0.22 | ) | (0.23 | ) | (0.11 | ) | (0.03 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $10.05 | $9.81 | $10.03 | $10.03 | $10.01 | |||||||||||||||
Total Return3 | 2.91 | % | (0.04 | )% | 2.32 | % | 1.31 | % | 0.36 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $222,613 | $232,159 | $235,078 | $166,255 | $8,294 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.25 | % | 0.23 | % | 0.22 | % | 0.32 | % | 4.87 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.25 | % | 0.23 | % | 0.22 | % | 0.32 | % | 4.87 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.25 | % | 0.23 | % | 0.22 | % | 0.29 | % | 0.35 | % | ||||||||||
Net Investment Income (Loss)4 | 0.46 | % | 2.14 | % | 2.28 | % | 1.24 | % | 0.42 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 41 | % | 60 | % | 128 | % | 74 | % | 79 | % |
CLASS N |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Period Ended
March 31,
20172 |
|||||||||||||||
Net Asset Value, Beginning of Period | $9.83 | $10.04 | $10.03 | $10.02 | $10.00 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.02 | 0.20 | 0.22 | 0.09 | 0.01 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.24 | (0.22 | ) | (0.01 | ) | — | 0.01 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 0.26 | (0.02 | ) | 0.21 | 0.09 | 0.02 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.02 | ) | (0.19 | ) | (0.20 | ) | (0.08 | ) | — | |||||||||||
Distributions from Net Realized Gain | — | — | 5 | — | 5 | — | 5 | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.02 | ) | (0.19 | ) | (0.20 | ) | (0.08 | ) | — | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $10.07 | $9.83 | $10.04 | $10.03 | $10.02 | |||||||||||||||
Total Return3 | 2.65 | % | (0.19 | )% | 2.18 | % | 0.95 | % | 0.20 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $2,606 | $2,793 | $2,517 | $278 | $125 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.50 | % | 0.48 | % | 0.47 | % | 0.57 | % | 5.42 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.50 | % | 0.48 | % | 0.47 | % | 0.57 | % | 5.42 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.50 | % | 0.48 | % | 0.47 | % | 0.41 | % | 0.60 | % | ||||||||||
Net Investment Income (Loss)4 | 0.21 | % | 1.94 | % | 2.17 | % | 0.92 | % | 0.11 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 41 | % | 60 | % | 128 | % | 74 | % | 79 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
2 |
Commenced
operations on June 30, 2016. |
3 |
Not
annualized for periods less than one year. |
4 |
Annualized
for periods less than one year. |
5 |
Less
than $0.005 per share. |
CLASS I |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Period Ended
March 31,
20172 |
|||||||||||||||
Net Asset Value, Beginning of Period | $9.56 | $10.11 | $10.00 | $10.07 | $10.00 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.29 | 0.33 | 0.32 | 0.30 | 0.29 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.92 | (0.54 | ) | 0.11 | (0.03 | ) | 0.01 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 1.21 | (0.21 | ) | 0.43 | 0.27 | 0.30 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.31 | ) | (0.34 | ) | (0.32 | ) | (0.33 | ) | (0.23 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | — | 5 | (0.01 | ) | — | 5 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.31 | ) | (0.34 | ) | (0.32 | ) | (0.34 | ) | (0.23 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $10.46 | $9.56 | $10.11 | $10.00 | $10.07 | |||||||||||||||
Total Return3 | 12.73 | % | (2.32 | )% | 4.47 | % | 2.67 | % | 3.11 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $566,994 | $503,146 | $535,621 | $532,404 | $392,117 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.56 | % | 0.56 | % | 0.58 | % | 0.57 | % | 0.77 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.56 | % | 0.56 | % | 0.58 | % | 0.57 | % | 0.77 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.56 | % | 0.56 | % | 0.58 | % | 0.57 | % | 0.64 | % | ||||||||||
Net Investment Income (Loss)4 | 2.82 | % | 3.19 | % | 3.30 | % | 3.18 | % | 2.78 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 39 | % | 10 | % | 15 | % | 29 | % | 43 | % |
CLASS N |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Period Ended
March 31,
20172 |
|||||||||||||||
Net Asset Value, Beginning of Period | $9.56 | $10.11 | $10.00 | $10.06 | $10.00 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.27 | 0.30 | 0.30 | 0.29 | 0.26 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.92 | (0.54 | ) | 0.11 | (0.03 | ) | 0.01 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 1.19 | (0.24 | ) | 0.41 | 0.26 | 0.27 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.29 | ) | (0.31 | ) | (0.30 | ) | (0.31 | ) | (0.21 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | — | 5 | (0.01 | ) | — | 5 | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.29 | ) | (0.31 | ) | (0.30 | ) | (0.32 | ) | (0.21 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $10.46 | $9.56 | $10.11 | $10.00 | $10.06 | |||||||||||||||
Total Return3 | 12.45 | % | (2.55 | )% | 4.17 | % | 2.54 | % | 2.76 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $9,700 | $9,784 | $2,672 | $19,379 | $567 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.81 | % | 0.81 | % | 0.83 | % | 0.82 | % | 1.50 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.81 | % | 0.81 | % | 0.83 | % | 0.82 | % | 1.50 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.81 | % | 0.81 | % | 0.83 | % | 0.82 | % | 0.89 | % | ||||||||||
Net Investment Income (Loss)4 | 2.58 | % | 2.93 | % | 3.00 | % | 2.86 | % | 2.53 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 39 | % | 10 | % | 15 | % | 29 | % | 43 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
2 |
Commenced
operations on April 1, 2016. |
3 |
Not
annualized for periods less than one year. |
4 |
Annualized
for periods less than one year. |
5 |
Less
than $0.005 per share. |
CLASS I |
Year Ended
March 31,
2021 |
Period Ended
March 31,
20202 |
||||||
Net Asset Value, Beginning of Period | $8.05 | $10.00 | ||||||
|
|
|
|
|||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||
Net Investment Income (Loss)1 | 0.36 | 0.24 | ||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 1.20 | (1.94 | ) | |||||
|
|
|
|
|||||
Total from Investment Operations | 1.56 | (1.70 | ) | |||||
|
|
|
|
|||||
LESS DISTRIBUTIONS: | ||||||||
Distributions from Net Investment Income | (0.33 | ) | (0.25 | ) | ||||
Distributions from Net Realized Gain | — | — | ||||||
|
|
|
|
|||||
Total Distributions | (0.33 | ) | (0.25 | ) | ||||
|
|
|
|
|||||
Net Asset Value, End of Period | $9.28 | $8.05 | ||||||
Total Return3 | 19.70 | % | (17.35 | )% | ||||
SUPPLEMENTAL DATA: | ||||||||
Net Assets, End of Period (000’s) | $136,369 | $69,580 | ||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.74 | % | 1.13 | % | ||||
Expenses After Investment Advisory Fees (Waived)4 | 0.74 | % | 1.13 | % | ||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.65 | % | 0.65 | % | ||||
Net Investment Income (Loss)4 | 4.07 | % | 4.07 | % | ||||
Portfolio Turnover Rate For All Share Classes3 | 30 | % | 33 | % |
CLASS N |
Year Ended
March 31,
2021 |
Period Ended
March 31,
20202 |
||||||
Net Asset Value, Beginning of Period | $8.05 | $10.00 | ||||||
|
|
|
|
|||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||
Net Investment Income (Loss)1 | 0.34 | 0.23 | ||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 1.22 | (1.94 | ) | |||||
|
|
|
|
|||||
Total from Investment Operations | 1.56 | (1.71 | ) | |||||
|
|
|
|
|||||
LESS DISTRIBUTIONS: | ||||||||
Distributions from Net Investment Income | (0.31 | ) | (0.24 | ) | ||||
Distributions from Net Realized Gain | — | — | ||||||
|
|
|
|
|||||
Total Distributions | (0.31 | ) | (0.24 | ) | ||||
|
|
|
|
|||||
Net Asset Value, End of Period | $9.30 | $8.05 | ||||||
Total Return3 | 19.67 | % | (17.46 | )% | ||||
SUPPLEMENTAL DATA: | ||||||||
Net Assets, End of Period (000’s) | $2,676 | $592 | ||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.99 | % | 1.26 | % | ||||
Expenses After Investment Advisory Fees (Waived)4 | 0.99 | % | 1.26 | % | ||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.90 | % | 0.90 | % | ||||
Net Investment Income (Loss)4 | 3.84 | % | 4.13 | % | ||||
Portfolio Turnover Rate For All Share Classes3 | 30 | % | 33 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
2 |
Commencement
of operations on September 3, 2019. |
3 |
Not
annualized for periods less than one year. |
4 |
Annualized
for periods less than one year. |
CLASS I |
Year Ended
March 31,
2021 |
Period Ended
March 31,
20202 |
||||||
Net Asset Value, Beginning of Period | $8.64 | $10.00 | ||||||
|
|
|
|
|||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||
Net Investment Income (Loss)1 | 0.30 | 0.25 | ||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.61 | (1.49 | ) | |||||
|
|
|
|
|||||
Total from Investment Operations | 0.91 | (1.24 | ) | |||||
|
|
|
|
|||||
LESS DISTRIBUTIONS: | ||||||||
Distributions from Net Investment Income | (0.17 | ) | (0.12 | ) | ||||
Distributions from Net Realized Gain | — | — | ||||||
|
|
|
|
|||||
Total Distributions | (0.17 | ) | (0.12 | ) | ||||
|
|
|
|
|||||
Net Asset Value, End of Period | $9.38 | $8.64 | ||||||
Total Return3 | 10.60 | % | (12.52 | )% | ||||
SUPPLEMENTAL DATA: | ||||||||
Net Assets, End of Period (000’s) | $9,604 | $8,664 | ||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 2.57 | % | 6.23 | % | ||||
Expenses After Investment Advisory Fees (Waived)4 | 2.57 | % | 6.23 | % | ||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.90 | % | 0.90 | % | ||||
Net Investment Income (Loss)4 | 3.11 | % | 3.45 | % | ||||
Portfolio Turnover Rate For All Share Classes3 | 20 | % | 13 | % |
CLASS N |
Year Ended
March 31,
2021 |
Period Ended
March 31,
20202 |
||||||
Net Asset Value, Beginning of Period | $8.64 | $10.00 | ||||||
|
|
|
|
|||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||
Net Investment Income (Loss)1 | 0.27 | 0.23 | ||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 0.61 | (1.49 | ) | |||||
|
|
|
|
|||||
Total from Investment Operations | 0.88 | (1.26 | ) | |||||
|
|
|
|
|||||
LESS DISTRIBUTIONS: | ||||||||
Distributions from Net Investment Income | (0.15 | ) | (0.10 | ) | ||||
Distributions from Net Realized Gain | — | — | ||||||
|
|
|
|
|||||
Total Distributions | (0.15 | ) | (0.10 | ) | ||||
|
|
|
|
|||||
Net Asset Value, End of Period | $9.37 | $8.64 | ||||||
Total Return3 | 10.24 | % | (12.69 | )% | ||||
SUPPLEMENTAL DATA: | ||||||||
Net Assets, End of Period (000’s) | $96 | $87 | ||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 2.82 | % | 6.48 | % | ||||
Expenses After Investment Advisory Fees (Waived)4 | 2.82 | % | 6.48 | % | ||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 1.15 | % | 1.15 | % | ||||
Net Investment Income (Loss)4 | 2.86 | % | 3.19 | % | ||||
Portfolio Turnover Rate For All Share Classes3 | 20 | % | 13 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
2 |
Commencement
of operations on June 28, 2019. |
3 |
Not
annualized for periods less than one year. |
4 |
Annualized
for periods less than one year. |
CLASS I |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $7.77 | $9.17 | $9.43 | $9.84 | $8.85 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.22 | 0.20 | 0.24 | 0.23 | 0.18 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 2.01 | (1.30 | ) | (0.21 | ) | 0.43 | 1.09 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 2.23 | (1.10 | ) | 0.03 | 0.66 | 1.27 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.32 | ) | (0.30 | ) | (0.29 | ) | (0.27 | ) | (0.28 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | — | (0.80 | ) | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.32 | ) | (0.30 | ) | (0.29 | ) | (1.07 | ) | (0.28 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $9.68 | $7.77 | $9.17 | $9.43 | $9.84 | |||||||||||||||
Total Return2 | 29.01 | % | (12.32 | )% | 0.42 | % | 6.80 | % | 14.63 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $26,517 | $16,739 | $44,493 | $63,651 | $49,380 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 1.67 | % | 1.22 | % | 1.12 | % | 1.12 | % | 1.21 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived) | 1.57 | % | 1.09 | % | 1.00 | % | 1.01 | % | 1.10 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 1.05 | % | 1.00 | % | 1.03 | % | 1.02 | % | 1.09 | % | ||||||||||
Net Investment Income (Loss) | 2.40 | % | 2.53 | % | 2.58 | % | 2.31 | % | 1.87 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes | 29 | % | 13 | % | 45 | % | 83 | % | 59 | % |
CLASS A |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $7.75 | $9.13 | $9.40 | $9.81 | $8.83 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.19 | 0.20 | 0.21 | 0.21 | 0.15 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 2.00 | (1.30 | ) | (0.21 | ) | 0.43 | 1.09 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 2.19 | (1.10 | ) | — | 0.64 | 1.24 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.24 | ) | (0.28 | ) | (0.27 | ) | (0.25 | ) | (0.26 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | — | (0.80 | ) | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.24 | ) | (0.28 | ) | (0.27 | ) | (1.05 | ) | (0.26 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $9.70 | $7.75 | $9.13 | $9.40 | $9.81 | |||||||||||||||
Total Return2 | 28.47 | % | (12.42 | )% | 0.07 | % | 6.57 | % | 14.27 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $1,533 | $19,548 | $177,602 | $153,986 | $119,435 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 1.85 | % | 1.38 | % | 1.37 | % | 1.37 | % | 1.46 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived) | 1.73 | % | 1.27 | % | 1.24 | % | 1.26 | % | 1.35 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 1.30 | % | 1.26 | % | 1.28 | % | 1.27 | % | 1.34 | % | ||||||||||
Net Investment Income (Loss) | 2.26 | % | 2.13 | % | 2.28 | % | 2.08 | % | 1.62 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes | 29 | % | 13 | % | 45 | % | 83 | % | 59 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
2 |
Total
return does not include the effects of sales charges for Class
A. |
CLASS I |
Period Ended
March 31,
20212 |
|||
Net Asset Value, Beginning of Period | $10.00 | |||
|
|
|||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||
Net Investment Income (Loss)1 | 0.01 | |||
Net Gain (Loss) on Investments (Realized and Unrealized) | (0.13 | ) | ||
|
|
|||
Total from Investment Operations | (0.12 | ) | ||
|
|
|||
LESS DISTRIBUTIONS: | ||||
Distributions from Net Investment Income | (0.01 | ) | ||
Distributions from Net Realized Gain | — | |||
|
|
|||
Total Distributions | (0.01 | ) | ||
|
|
|||
Net Asset Value, End of Period | $9.87 | |||
Total Return3 | (1.15 | )% | ||
SUPPLEMENTAL DATA: | ||||
Net Assets, End of Period (000’s) | $10,547 | |||
RATIOS TO AVERAGE NET ASSETS: | ||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 11.70 | % | ||
Expenses After Investment Advisory Fees (Waived)4 | 11.39 | % | ||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.34 | % | ||
Net Investment Income (Loss)4 | 1.61 | % | ||
Portfolio Turnover Rate For All Share Classes | 0 | % |
CLASS N |
Period Ended
March 31,
20212 |
|||
Net Asset Value, Beginning of Period | $10.00 | |||
|
|
|||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||
Net Investment Income (Loss)1 | 0.01 | |||
Net Gain (Loss) on Investments (Realized and Unrealized) | (0.13 | ) | ||
|
|
|||
Total from Investment Operations | (0.12 | ) | ||
|
|
|||
LESS DISTRIBUTIONS: | ||||
Distributions from Net Investment Income | (0.01 | ) | ||
Distributions from Net Realized Gain | — | |||
|
|
|||
Total Distributions | (0.01 | ) | ||
|
|
|||
Net Asset Value, End of Period | $9.87 | |||
Total Return3 | (1.17 | )% | ||
SUPPLEMENTAL DATA: | ||||
Net Assets, End of Period (000’s) | $130 | |||
RATIOS TO AVERAGE NET ASSETS: | ||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 12.06 | % | ||
Expenses After Investment Advisory Fees (Waived)4 | 11.75 | % | ||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.58 | % | ||
Net Investment Income (Loss)4 | 1.52 | % | ||
Portfolio Turnover Rate For All Share Classes | 0 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
2 |
Commencement
of operations on February 26, 2021. Total return is based on
operations for a period that is less than six
months. |
3 |
Not
annualized for periods less than one year. |
4 |
Annualized
for periods less than one year. |
CLASS I |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $6.91 | $9.72 | $10.11 | $9.33 | $8.69 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | (0.05 | ) | 0.07 | 0.12 | 0.04 | (0.06 | ) | |||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 2.75 | (2.78 | ) | (0.40 | ) | 1.27 | 0.75 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 2.70 | (2.71 | ) | (0.28 | ) | 1.31 | 0.69 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | — | (0.10 | ) | (0.11 | ) | (0.53 | ) | (0.05 | ) | |||||||||||
Distributions from Net Realized Gain | — | — | — | — | 2 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | — | (0.10 | ) | (0.11 | ) | (0.53 | ) | (0.05 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $9.61 | $6.91 | $9.72 | $10.11 | $9.33 | |||||||||||||||
Total Return | 39.07 | % | (28.25 | )% | (2.59 | )% | 14.03 | % | 7.93 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $151,565 | $116,739 | $444,918 | $213,752 | $22,243 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 1.14 | % | 1.09 | % | 1.02 | % | 1.16 | % | 1.77 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived) | 1.14 | % | 1.09 | % | 1.02 | % | 1.16 | % | 1.77 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 1.10 | % | 1.10 | % | 1.10 | % | 1.10 | % | 1.10 | % | ||||||||||
Net Investment Income (Loss) | (0.66 | )% | 1.00 | % | 1.14 | % | 0.33 | % | (0.75 | )% | ||||||||||
Portfolio Turnover Rate For All Share Classes | 0 | % | 0 | % | 0 | % | 0 | % | 0 | % |
CLASS N |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $6.87 | $9.65 | $10.04 | $9.28 | $8.67 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | (0.07 | ) | 0.07 | 0.09 | 0.01 | (0.09 | ) | |||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 2.72 | (2.78 | ) | (0.40 | ) | 1.27 | 0.75 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 2.65 | (2.71 | ) | (0.31 | ) | 1.28 | 0.66 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | — | (0.07 | ) | (0.08 | ) | (0.52 | ) | (0.05 | ) | |||||||||||
Distributions from Net Realized Gain | — | — | — | — | 2 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | — | (0.07 | ) | (0.08 | ) | (0.52 | ) | (0.05 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $9.52 | $6.87 | $9.65 | $10.04 | $9.28 | |||||||||||||||
Total Return | 38.57 | % | (28.28 | )% | (2.97 | )% | 13.79 | % | 7.55 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $20,205 | $25,421 | $65,292 | $67,838 | $6,540 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 1.39 | % | 1.34 | % | 1.27 | % | 1.41 | % | 2.23 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived) | 1.39 | % | 1.34 | % | 1.27 | % | 1.41 | % | 2.23 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped | 1.34 | % | 1.35 | % | 1.35 | % | 1.35 | % | 1.35 | % | ||||||||||
Net Investment Income (Loss) | (0.88 | )% | 0.75 | % | 0.87 | % | 0.09 | % | (1.00 | )% | ||||||||||
Portfolio Turnover Rate For All Share Classes | 0 | % | 0 | % | 0 | % | 0 | % | 0 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
2 |
Less
than $0.005 per share. |
CLASS I |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $11.69 | $14.81 | $15.16 | $14.76 | $12.32 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.27 | 0.42 | 0.45 | 0.35 | 0.27 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 7.95 | (2.72 | ) | 1.19 | 1.46 | 2.72 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 8.22 | (2.30 | ) | 1.64 | 1.81 | 2.99 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.29 | ) | (0.43 | ) | (0.46 | ) | (0.35 | ) | (0.28 | ) | ||||||||||
Distributions from Net Realized Gain | — | (0.39 | ) | (1.53 | ) | (1.06 | ) | (0.27 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.29 | ) | (0.82 | ) | (1.99 | ) | (1.41 | ) | (0.55 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $19.62 | $11.69 | $14.81 | $15.16 | $14.76 | |||||||||||||||
Total Return3 | 70.87 | % | (16.78 | )% | 11.78 | % | 12.40 | % | 24.75 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $8,169,623 | $4,633,848 | $4,577,386 | $4,013,700 | $2,432,725 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.55 | % | 0.55 | % | 0.56 | % | 0.55 | % | 0.55 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.54 | % | 0.54 | % | 0.55 | % | 0.54 | % | 0.55 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.54 | % | 0.54 | % | 0.55 | % | 0.54 | % | 0.60 | % | ||||||||||
Net Investment Income (Loss)4 | 1.64 | % | 2.70 | % | 2.99 | % | 2.17 | % | 2.01 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 69 | % | 62 | % | 55 | % | 60 | % | 68 | % |
CLASS N |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Year Ended
March 31,
2017 |
|||||||||||||||
Net Asset Value, Beginning of Period | $11.68 | $14.80 | $15.14 | $14.75 | $12.31 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.24 | 0.38 | 0.42 | 0.30 | 0.24 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 7.93 | (2.72 | ) | 1.19 | 1.46 | 2.72 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 8.17 | (2.34 | ) | 1.61 | 1.76 | 2.96 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.24 | ) | (0.39 | ) | (0.42 | ) | (0.31 | ) | (0.25 | ) | ||||||||||
Distributions from Net Realized Gain | — | (0.39 | ) | (1.53 | ) | (1.06 | ) | (0.27 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.24 | ) | (0.78 | ) | (1.95 | ) | (1.37 | ) | (0.52 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $19.61 | $11.68 | $14.80 | $15.14 | $14.75 | |||||||||||||||
Total Return3 | 70.45 | % | (17.00 | )% | 11.59 | % | 12.06 | % | 24.48 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $705,156 | $1,246,723 | $1,236,075 | $1,042,563 | $758,400 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.80 | % | 0.80 | % | 0.81 | % | 0.80 | % | 0.80 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.79 | % | 0.79 | % | 0.80 | % | 0.79 | % | 0.80 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.79 | % | 0.79 | % | 0.80 | % | 0.79 | % | 0.85 | % | ||||||||||
Net Investment Income (Loss)4 | 1.56 | % | 2.46 | % | 2.75 | % | 1.91 | % | 1.76 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 69 | % | 62 | % | 55 | % | 60 | % | 68 | % |
CLASS R6 |
Year Ended
March 31,
2021 |
Year Ended
March 31,
20202 |
||||||
Net Asset Value, Beginning of Period | $11.70 | $15.69 | ||||||
|
|
|
|
|||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||
Net Investment Income (Loss)1 | 0.27 | 0.27 | ||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 7.95 | (3.59 | ) | |||||
|
|
|
|
|||||
Total from Investment Operations | 8.22 | (3.32 | ) | |||||
|
|
|
|
|||||
LESS DISTRIBUTIONS: | ||||||||
Distributions from Net Investment Income | (0.30 | ) | (0.28 | ) | ||||
Distributions from Net Realized Gain | — | (0.39 | ) | |||||
|
|
|
|
|||||
Total Distributions | (0.30 | ) | (0.67 | ) | ||||
|
|
|
|
|||||
Net Asset Value, End of Period | $19.62 | $11.70 | ||||||
Total Return3 | 70.82 | % | (22.15 | )% | ||||
SUPPLEMENTAL DATA: | ||||||||
Net Assets, End of Period (000’s) | $12,333 | $124 | ||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.51 | % | 0.49 | % | ||||
Expenses After Investment Advisory Fees (Waived)4 | 0.51 | % | 0.48 | % | ||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.51 | % | 0.48 | % | ||||
Net Investment Income (Loss)4 | 1.47 | % | 2.60 | % | ||||
Portfolio Turnover Rate For All Share Classes3 | 69 | % | 62 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
2 |
Commencement
of operations on July 31, 2019. Total return is based on operations
for a period that is less than a year. |
3 |
Not
annualized for periods less than one year. |
4 |
Annualized
for periods less than one year. |
CLASS I |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Period Ended
March 31,
20172 |
|||||||||||||||
Net Asset Value, Beginning of Period | $7.88 | $10.17 | $11.24 | $10.86 | $10.00 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.21 | 0.29 | 0.34 | 0.22 | 0.03 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 4.88 | (2.29 | ) | (0.52 | ) | 0.86 | 0.85 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 5.09 | (2.00 | ) | (0.18 | ) | 1.08 | 0.88 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.22 | ) | (0.29 | ) | (0.43 | ) | (0.35 | ) | (0.02 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | (0.46 | ) | (0.35 | ) | — | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.22 | ) | (0.29 | ) | (0.89 | ) | (0.70 | ) | (0.02 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $12.75 | $7.88 | $10.17 | $11.24 | $10.86 | |||||||||||||||
Total Return3 | 65.24 | % | (20.29 | )% | (1.13 | )% | 9.92 | % | 8.76 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $40,292 | $27,523 | $42,621 | $78,162 | $19,384 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.93 | % | 0.80 | % | 0.96 | % | 1.04 | % | 7.10 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.91 | % | 0.77 | % | 0.91 | % | 1.02 | % | 7.10 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.62 | % | 0.62 | % | 0.60 | % | 0.63 | % | 0.64 | % | ||||||||||
Net Investment Income (Loss)4 | 1.96 | % | 2.84 | % | 3.25 | % | 1.79 | % | 0.72 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 97 | % | 48 | % | 72 | % | 69 | % | 38 | % |
CLASS N |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Year Ended
March 31,
2019 |
Year Ended
March 31,
2018 |
Period Ended
March 31,
20172 |
|||||||||||||||
Net Asset Value, Beginning of Period | $7.88 | $10.17 | $11.23 | $10.86 | $10.00 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||||||||||
Net Investment Income (Loss)1 | 0.19 | 0.27 | 0.32 | 0.18 | 0.02 | |||||||||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 4.88 | (2.29 | ) | (0.52 | ) | 0.86 | 0.85 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total from Investment Operations | 5.07 | (2.02 | ) | (0.20 | ) | 1.04 | 0.87 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
LESS DISTRIBUTIONS: | ||||||||||||||||||||
Distributions from Net Investment Income | (0.19 | ) | (0.27 | ) | (0.40 | ) | (0.32 | ) | (0.01 | ) | ||||||||||
Distributions from Net Realized Gain | — | — | (0.46 | ) | (0.35 | ) | — | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Distributions | (0.19 | ) | (0.27 | ) | (0.86 | ) | (0.67 | ) | (0.01 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Asset Value, End of Period | $12.76 | $7.88 | $10.17 | $11.23 | $10.86 | |||||||||||||||
Total Return3 | 64.90 | % | (20.50 | )% | (1.29 | )% | 9.56 | % | 8.72 | % | ||||||||||
SUPPLEMENTAL DATA: | ||||||||||||||||||||
Net Assets, End of Period (000’s) | $6,002 | $13,044 | $19,953 | $29,160 | $11,499 | |||||||||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 1.18 | % | 1.05 | % | 1.20 | % | 1.29 | % | 4.93 | % | ||||||||||
Expenses After Investment Advisory Fees (Waived)4 | 1.16 | % | 1.02 | % | 1.15 | % | 1.27 | % | 4.93 | % | ||||||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.87 | % | 0.87 | % | 0.85 | % | 0.87 | % | 0.89 | % | ||||||||||
Net Investment Income (Loss)4 | 1.85 | % | 2.61 | % | 3.03 | % | 1.52 | % | 0.58 | % | ||||||||||
Portfolio Turnover Rate For All Share Classes3 | 97 | % | 48 | % | 72 | % | 69 | % | 38 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
2 |
Commencement
of operations on December 23, 2016. |
3 |
Not
annualized for periods less than one year. |
4 |
Annualized
for periods less than one year. |
CLASS I |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Period Ended
March 31,
20192 |
|||||||||
Net Asset Value, Beginning of Period | $8.51 | $11.30 | $10.00 | |||||||||
|
|
|
|
|
|
|||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||
Net Investment Income (Loss)1 | 0.16 | 0.25 | 0.10 | |||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 2.97 | (2.65 | ) | 1.26 | ||||||||
|
|
|
|
|
|
|||||||
Total from Investment Operations | 3.13 | (2.40 | ) | 1.36 | ||||||||
|
|
|
|
|
|
|||||||
LESS DISTRIBUTIONS: | ||||||||||||
Distributions from Net Investment Income | (0.20 | ) | (0.28 | ) | (0.06 | ) | ||||||
Distributions from Net Realized Gain | — | (0.11 | ) | — | ||||||||
|
|
|
|
|
|
|||||||
Total Distributions | (0.20 | ) | (0.39 | ) | (0.06 | ) | ||||||
|
|
|
|
|
|
|||||||
Net Asset Value, End of Period | $11.44 | $8.51 | $11.30 | |||||||||
Total Return3 | 37.15 | % | (22.08 | )% | 13.69 | % | ||||||
SUPPLEMENTAL DATA: | ||||||||||||
Net Assets, End of Period (000’s) | $13,527 | $94,289 | $121,180 | |||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.65 | % | 0.86 | % | 1.46 | % | ||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.65 | % | 0.85 | % | 1.42 | % | ||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.63 | % | 0.62 | % | 0.61 | % | ||||||
Net Investment Income (Loss)4 | 1.60 | % | 2.29 | % | 3.00 | % | ||||||
Portfolio Turnover Rate For All Share Classes3 | 157 | % | 100 | % | 70 | % |
CLASS N |
Year Ended
March 31,
2021 |
Year Ended
March 31,
2020 |
Period Ended
March 31,
20192 |
|||||||||
Net Asset Value, Beginning of Period | $8.51 | $11.29 | $10.00 | |||||||||
|
|
|
|
|
|
|||||||
INCOME (LOSS) FROM INVESTMENT OPERATIONS: | ||||||||||||
Net Investment Income (Loss)1 | 0.13 | 0.24 | 0.09 | |||||||||
Net Gain (Loss) on Investments (Realized and Unrealized) | 3.00 | (2.65 | ) | 1.26 | ||||||||
|
|
|
|
|
|
|||||||
Total from Investment Operations | 3.13 | (2.41 | ) | 1.35 | ||||||||
|
|
|
|
|
|
|||||||
LESS DISTRIBUTIONS: | ||||||||||||
Distributions from Net Investment Income | (0.17 | ) | (0.26 | ) | (0.06 | ) | ||||||
Distributions from Net Realized Gain | — | (0.11 | ) | — | ||||||||
|
|
|
|
|
|
|||||||
Total Distributions | (0.17 | ) | (0.37 | ) | (0.06 | ) | ||||||
|
|
|
|
|
|
|||||||
Net Asset Value, End of Period | $11.47 | $8.51 | $11.29 | |||||||||
Total Return3 | 37.12 | % | (22.21 | )% | 13.53 | % | ||||||
SUPPLEMENTAL DATA: | ||||||||||||
Net Assets, End of Period (000’s) | $1,636 | $3,809 | $4,369 | |||||||||
RATIOS TO AVERAGE NET ASSETS: | ||||||||||||
Expenses Before Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.97 | % | 1.11 | % | 1.67 | % | ||||||
Expenses After Investment Advisory Fees (Waived)4 | 0.97 | % | 1.10 | % | 1.62 | % | ||||||
Expenses After Advisory Fees (Waived) and Other Fees (Reimbursed)/Recouped4 | 0.88 | % | 0.87 | % | 0.87 | % | ||||||
Net Investment Income (Loss)4 | 1.28 | % | 2.03 | % | 2.79 | % | ||||||
Portfolio Turnover Rate For All Share Classes3 | 157 | % | 100 | % | 70 | % |
1 |
Calculated
based on average shares outstanding during the
period. |
2 |
Commencement
of operations on December 17, 2018. |
3 |
Not
annualized for periods less than one year. |
4 |
Annualized
for periods less than one year. |
• |
Your
personal identification information, which may include your name and
passport information, your IP address, politically exposed person (“PEP”)
status, and such other information as may be necessary for us to provide
our services to you and to complete our customer due diligence process and
discharge anti-money laundering obligations; |
• |
Your
contact information, which may include postal address and e-mail address
and your home and mobile telephone numbers; |
• |
Your
family relationships, which may include your marital status, the identity
of your spouse and the number of children that you
have; |
• |
Your
professional and employment information, which may include your level of
education and professional qualifications, your employment, employer’s
name and details of directorships and other offices which you may hold;
and |
• |
Financial
information, risk tolerance, sources of wealth and your assets, which may
include details of shareholdings and beneficial interests in financial
instruments, your bank details and your credit
history. |
• |
Information
we receive about you on applications or other
forms; |
• |
Information
you may give us orally; |
• |
Information
about your transactions with us or others; |
• |
Information
you submit to us in correspondence, including emails or other electronic
communications; and |
• |
Information
about any bank account you use for transfers between your bank account and
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• |
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• |
DoubleLine
will release any of the non-public information listed above about a
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• |
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• |
the
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• |
the
recipient may have signed a contract based on standard contractual clauses
approved by the European Commission. |
• |
for
the purposes for which the personal information was
collected; |
• |
in
order to establish or defend legal rights or obligations or to satisfy any
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• |
as
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• |
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• |
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• |
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• |
the
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and |
• |
the
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