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Critical Facts You Need to Know About Preferred Stocks
Have you ever wished for the safety of bonds, but the return potential...
Name
As of 10/01/2024Price
Aum/Mkt Cap
YIELD
Exp Ratio
Watchlist
YTD Return
7.8%
1 yr return
12.2%
3 Yr Avg Return
2.5%
5 Yr Avg Return
5.5%
Net Assets
$208 M
Holdings in Top 10
24.8%
Expense Ratio 0.99%
Front Load N/A
Deferred Load N/A
Turnover 113.00%
Redemption Fee N/A
Standard (Taxable)
$1,000,000
IRA
$1,000,000
Fund Type
Open End Mutual Fund
Name
As of 10/01/2024Price
Aum/Mkt Cap
YIELD
Exp Ratio
Watchlist
Wellesley Asset Management, Inc. (Wellesley or the Advisor), the Funds advisor, seeks to maximize total return comprising current income and capital appreciation and preserve principal by investing in a portfolio consisting primarily of intermediate bonds. The Fund defines bonds as including corporate bonds, notes and debentures, convertible and synthetic convertible bonds, government securities, mortgage and other asset-backed securities, and other securities that Wellesley believes have bond-like characteristics, including hybrids and synthetic securities.
Under normal conditions, the Fund invests at least 80% of its assets (defined as net assets plus borrowings for investment purposes) in a portfolio of bonds with a dollar-weighted average maturity of between three and ten years (the 80% Policy). The Funds 80% investment policy is a non-fundamental policy and may be changed without shareholder approval upon 60 days written notice to shareholders. The convertible bonds purchased by the Fund may contain put options that entitle the holder to sell the security back to the issuer at a stated price on one or more future dates.
The Fund primarily invests in bonds of companies that are domiciled in, or have their principal place of business or principal securities trading market in, or that derive at least 50% of their revenue or profits from goods produced, sales made or services performed in, the United States (U.S. companies). The Fund invests in intermediate bonds issued by companies in a variety of sectors including the financial services sector.
The Fund expects that, at the time of purchase, most securities will have remaining maturities or put provisions of three to ten years, but there are no restrictions on the maximum or minimum maturity of any individual security that the Fund may purchase. The Fund is not restricted with respect to the credit quality of its holdings and invests in some bonds that are rated less than investment grade or determined to be of comparable credit quality by Wellesley.
The bonds in which the Fund invests generally provide for repayment of principal in full at maturity of the security and may pay a fixed or variable rate of interest. Some debt securities, such as zero-coupon bonds, do not pay current interest but are sold at a discount from their face values. Most convertible bonds are obligations of a company that can be converted into a predetermined number of shares of common stock of the company issuing the security. Convertible bonds generally offer both defensive characteristics (i.e., provide income during periods when the market price of the underlying common stock declines) and upside potential (i.e., may provide capital appreciation when the market price of the underlying common stock rises). Synthetic convertible bonds are financial instruments created by combining two or more separate securities that, in total, have returns that are similar to a convertible bond. Synthetic convertible bonds are created by third parties which are typically investment banks and brokerage firms. They may include structured equity linked products (SELPs) and index-linked and equity-linked convertible structured notes. There is no limit on the portion of the Funds portfolio that will be allocated among convertible bonds, synthetic convertibles corporate bonds, government securities and other types of bonds. The Fund generally will invest in securities that have been privately placed but are eligible for purchase and sale by certain qualified institutional buyers such as the Fund under Rule 144A under the Securities Act of 1933.
Wellesley will purchase a bond when it believes there is a high probability that the principal amount of the investment will be repaid upon put or maturity and, in the case of a convertible bond, that the conversion component offers potential upside. Wellesley attempts to identify bonds that are trading at attractive valuations relative to Wellesleys evaluation of the issuers creditworthiness. Wellesleys investment process includes the use of both quantitative and fundamental research on each issuer to analyze credit quality and the specific terms of each offering. In general, Wellesley sells securities when an issuers credit quality deteriorates, the conversion feature of a convertible security is no longer a likely source of capital appreciation, to increase diversification, or when Wellesley believes more attractive investments are available.
In addition to convertible bonds, the Fund may invest in other types of securities and instruments, short-term debt securities, and money market instruments.
Period | MIFIX Return | Category Return Low | Category Return High | Rank in Category (%) |
---|---|---|---|---|
YTD | 7.8% | 0.9% | 7.8% | 0.57% |
1 Yr | 12.2% | 2.6% | 24.8% | 92.00% |
3 Yr | 2.5%* | -9.6% | 41.5% | 3.45% |
5 Yr | 5.5%* | -7.1% | 26.1% | 4.38% |
10 Yr | N/A* | 0.4% | 14.6% | N/A |
* Annualized
Period | MIFIX Return | Category Return Low | Category Return High | Rank in Category (%) |
---|---|---|---|---|
2023 | 3.0% | -5.6% | 6.3% | 86.29% |
2022 | -10.9% | -28.7% | 142.1% | 4.60% |
2021 | -1.5% | -12.3% | 4.9% | 2.92% |
2020 | 8.3% | -8.0% | 10.6% | 3.59% |
2019 | 7.2% | 4.3% | 13.4% | 91.08% |
Period | MIFIX Return | Category Return Low | Category Return High | Rank in Category (%) |
---|---|---|---|---|
YTD | 7.8% | 0.9% | 7.8% | 0.57% |
1 Yr | 12.2% | 2.6% | 24.8% | 92.00% |
3 Yr | 2.5%* | -9.6% | 41.5% | 3.45% |
5 Yr | 5.5%* | -7.1% | 26.1% | 4.38% |
10 Yr | N/A* | 0.4% | 14.6% | N/A |
* Annualized
Period | MIFIX Return | Category Return Low | Category Return High | Rank in Category (%) |
---|---|---|---|---|
2023 | 6.9% | -5.6% | 12.9% | 93.14% |
2022 | -7.7% | -25.6% | 151.8% | 4.02% |
2021 | 4.3% | -5.1% | 7.5% | 1.17% |
2020 | 14.2% | -8.0% | 116.0% | 11.38% |
2019 | 9.8% | 6.7% | 17.4% | 96.82% |
MIFIX | Category Low | Category High | MIFIX % Rank | |
---|---|---|---|---|
Net Assets | 208 M | 4.83 M | 47.3 B | 76.57% |
Number of Holdings | 70 | 4 | 10344 | 97.14% |
Net Assets in Top 10 | 51.2 M | -29.6 M | 2.56 B | 66.29% |
Weighting of Top 10 | 24.75% | 1.6% | 143.7% | 4.57% |
Weighting | Return Low | Return High | MIFIX % Rank | |
---|---|---|---|---|
Bonds | 99.47% | 0.00% | 136.47% | 12.57% |
Convertible Bonds | 78.47% | 0.00% | 78.47% | 0.57% |
Cash | 0.53% | -43.80% | 45.89% | 87.43% |
Stocks | 0.00% | 0.00% | 99.97% | 87.43% |
Preferred Stocks | 0.00% | 0.00% | 9.18% | 88.00% |
Other | 0.00% | -4.61% | 11.28% | 89.14% |
Weighting | Return Low | Return High | MIFIX % Rank | |
---|---|---|---|---|
Corporate | 98.36% | 41.80% | 99.52% | 11.43% |
Government | 0.08% | 0.00% | 25.63% | 93.14% |
Cash & Equivalents | 0.05% | 0.00% | 45.89% | 80.57% |
Derivative | 0.00% | -2.67% | 2.11% | 80.00% |
Securitized | 0.00% | 0.00% | 23.18% | 98.29% |
Municipal | 0.00% | 0.00% | 3.62% | 93.14% |
Weighting | Return Low | Return High | MIFIX % Rank | |
---|---|---|---|---|
US | 99.47% | 0.00% | 110.12% | 10.86% |
Non US | 0.00% | 0.00% | 47.05% | 89.14% |
MIFIX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
---|---|---|---|---|
Expense Ratio | 0.99% | 0.03% | 4.56% | 31.98% |
Management Fee | 0.75% | 0.00% | 1.35% | 99.43% |
12b-1 Fee | 0.00% | 0.00% | 1.00% | 11.84% |
Administrative Fee | N/A | 0.02% | 0.45% | 39.58% |
MIFIX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
---|---|---|---|---|
Front Load | N/A | 1.00% | 4.75% | N/A |
Deferred Load | N/A | 1.00% | 4.00% | N/A |
MIFIX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
---|---|---|---|---|
Max Redemption Fee | N/A | 1.00% | 2.00% | N/A |
Turnover provides investors a proxy for the trading fees incurred by mutual fund managers who frequently adjust position allocations. Higher turnover means higher trading fees.
MIFIX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
---|---|---|---|---|
Turnover | 113.00% | 0.00% | 259.00% | 71.68% |
MIFIX | Category Low | Category High | MIFIX % Rank | |
---|---|---|---|---|
Dividend Yield | 3.09% | 0.00% | 6.00% | 72.57% |
MIFIX | Category Low | Category High | Category Mod | |
---|---|---|---|---|
Dividend Distribution Frequency | Quarterly | Monthly | Monthly | Monthly |
MIFIX | Category Low | Category High | MIFIX % Rank | |
---|---|---|---|---|
Net Income Ratio | 0.38% | 0.38% | 5.93% | 100.00% |
MIFIX | Category Low | Category High | Capital Mode | |
---|---|---|---|---|
Capital Gain Distribution Frequency | Annually | Annually | Semi-Monthly | Annually |
Date | Amount | Type |
---|---|---|
Sep 16, 2024 | $0.128 | OrdinaryDividend |
Jun 17, 2024 | $0.226 | OrdinaryDividend |
Mar 18, 2024 | $0.155 | OrdinaryDividend |
Dec 15, 2023 | $0.164 | OrdinaryDividend |
Sep 18, 2023 | $0.182 | OrdinaryDividend |
Jun 15, 2023 | $0.115 | OrdinaryDividend |
Mar 15, 2023 | $0.111 | OrdinaryDividend |
Dec 16, 2022 | $0.108 | OrdinaryDividend |
Sep 15, 2022 | $0.088 | OrdinaryDividend |
Jun 15, 2022 | $0.128 | OrdinaryDividend |
Mar 15, 2022 | $0.234 | OrdinaryDividend |
Dec 17, 2021 | $0.040 | OrdinaryDividend |
Dec 17, 2021 | $0.506 | CapitalGainShortTerm |
Sep 15, 2021 | $0.056 | OrdinaryDividend |
Jun 15, 2021 | $0.324 | OrdinaryDividend |
Mar 15, 2021 | $0.089 | OrdinaryDividend |
Dec 18, 2020 | $0.442 | OrdinaryDividend |
Sep 15, 2020 | $0.256 | OrdinaryDividend |
Jun 15, 2020 | $0.084 | OrdinaryDividend |
Mar 16, 2020 | $0.124 | OrdinaryDividend |
Dec 18, 2019 | $0.156 | OrdinaryDividend |
Sep 16, 2019 | $0.086 | OrdinaryDividend |
Jun 17, 2019 | $0.094 | OrdinaryDividend |
Mar 18, 2019 | $0.047 | OrdinaryDividend |
Dec 26, 2018 | $0.067 | OrdinaryDividend |
Dec 26, 2018 | $0.299 | CapitalGainShortTerm |
Dec 26, 2018 | $0.166 | CapitalGainLongTerm |
Jun 18, 2018 | $0.159 | OrdinaryDividend |
Mar 15, 2018 | $0.091 | OrdinaryDividend |
Dec 27, 2017 | $0.131 | OrdinaryDividend |
Dec 27, 2017 | $0.208 | CapitalGainShortTerm |
Dec 27, 2017 | $0.041 | CapitalGainLongTerm |
Sep 18, 2017 | $0.108 | OrdinaryDividend |
Jun 15, 2017 | $0.112 | OrdinaryDividend |
Mar 15, 2017 | $0.033 | OrdinaryDividend |
Dec 29, 2016 | $0.105 | OrdinaryDividend |
Sep 15, 2016 | $0.046 | OrdinaryDividend |
Jun 15, 2016 | $0.040 | OrdinaryDividend |
Mar 15, 2016 | $0.051 | OrdinaryDividend |
Dec 15, 2015 | $0.063 | OrdinaryDividend |
Dec 15, 2015 | $0.089 | CapitalGainShortTerm |
Sep 15, 2015 | $0.052 | OrdinaryDividend |
Jun 15, 2015 | $0.058 | OrdinaryDividend |
Mar 16, 2015 | $0.009 | OrdinaryDividend |
Start Date
Tenure
Tenure Rank
Dec 31, 2014
7.42
7.4%
CEO and co-founder of Wellesley Asset Management in 1991, Greg draws on over thirty-five years of investment and financial experience. Greg is a nationally recognized provider of investment advisory services deploying convertible bonds. As CEO and Portfolio Manager, he has directed the absolute return-seeking, limited risk investing philosophy of Wellesley Asset Management for over twenty-five years with the primary goal of principal protection combined with investment growth. Greg and the team at Wellesley Asset Management currently manage over $2.5 billion in convertible bonds for high and ultra-high net worth individuals, registered investment advisors, banks, pensions, wirehouses, financial advisors, and other investment professionals nationwide. Greg is the author of an Amazon bestselling book, Outrunning the Bear: How You Can Outperform Stocks and Bonds with Convertibles. He has written several articles and has been written up in various prominent investment and financial publications, including The Wall Street Journal, Institutional Investor, Investment Advisor Magazine, Barron’s and Bloomberg/BusinessWeek. Greg has been ranked a Top 100 Independent Financial Advisor by Barron’s for seven years in a row. In Barron’s September 2017 Top 100 list, he ranked # 1 in Massachusetts and #3 nationwide. Barron’s also ranked Greg #1 in Massachusetts in its March 2018 list of America’s Top 1,200 Financial Advisors for the fourth consecutive year. In 2007, Wellesley Asset Management launched an open-end convertible mutual fund for which Greg serves as a Portfolio Manager. The fund seeks to outperform both equities and fixed income over complete market cycles. In 2014, Wellesley Asset Management launched two additional open-end mutual funds. One is a leveraged convertible bond fund, and the other an intermediate term bond fund. The intermediate bond fund seeks to outperform Bloomberg Barclays U.S. Aggregate Bond Index over complete market cycles. The mutual funds Wellesley manages currently have over $1.2 billion in assets. Greg worked with an international accounting firm and for over 20 years had his own CPA firm. Greg graduated from Boston University and holds an MBA with high distinction from Babson College. He lectures frequently on absolute return investing deploying convertible bonds to other investment professionals, institutional clients, pensions, registered investment advisors, and high net-worth individuals. Greg lives with his wife in Durham, NH.
Start Date
Tenure
Tenure Rank
Dec 31, 2014
7.42
7.4%
As Chief Investment Officer of Wellesley Asset Management, Inc. and Co-Portfolio Manager of the firm’s mutual funds, separate managed accounts and private fund, Michael is an integral part of the firm’s investment team. He is responsible for convertible bond research and product development, analyzing and monitoring portfolio holdings, and communicating performance, portfolio and fund data. He also constructs and analyzes client portfolios. In addition to his capacity as Chief Investment officer, Michael works directly with some of the firm’s institutional clients. Michael uses his over ten plus years of fixed income and financial planning experience to guide and educate many financial advisors, plan sponsors, registered investment advisors and asset allocators on the benefits of convertible bond investing. Michael frequently speaks at national conferences educating investment professionals about the convertible bond asset class. In 2017, Michael was recognized by Forbes magazine as a Top Next Generation Wealth Advisor and received the rating of number one in Massachusetts and number eleven nationally. Michael is a Certified Fixed Income Practitioner and a member of the Financial Planning Association. Michael received his Bachelor of Science degree in Business Administration from American University’s Kogod School of Business in Washington, DC, where he specialized in finance, and his Master of Business Administration degree from Babson College F.W. Olin Graduate School of Business. Michael resides with his family in Wayland, Massachusetts.
Category Low | Category High | Category Average | Category Mode |
---|---|---|---|
0.33 | 24.76 | 6.74 | 4.41 |
Dividend Investing Ideas Center
Have you ever wished for the safety of bonds, but the return potential...
Dividend Investing Ideas Center
If you are reaching retirement age, there is a good chance that you...
Dividend Investing Ideas Center
If you are reaching retirement age, there is a good chance that you...