Total Return Fund

Shining sun behind green mountains
Fact Sheet

Investment approach

The fund seeks to maximize potential total return through a diversified selection of intermediate-term, high-quality fixed income securities concentrated on the portfolio manager’s best ideas. In pursuit of this, the fund invests at least 80% of its net assets in fixed income securities, such as U.S. Government securities, corporate fixed income securities (including non-investment-grade/”junk bonds”), mortgage-backed and asset-backed securities.

Fund profile

The fund invests in fixed-income securities that primarily have a maturity that is between zero and 30 years, and are rated in the top four rating categories of a Nationally Recognized Statistical Rating Organization, or unrated and deemed to be of comparable quality by Brown Advisory’s credit research. The fund's portfolio will generally have an average dollar weighted maturity between 6 and 11 years and an average duration of 3 to 7 years.

Credit Quality Distribution (%)

(As of Mar 31, 2023)

Fund Benchmark
AAA/Aaa 54.8 73.3
AA/Aa 1.4 2.4
A 2.0 11.4
BBB 18.1 12.2
High Yield 0.5 0.4
Not Rated 23.3 0.3
Source: FactSet® Credit quality is calculated using ratings assigned by Moody’s. If Moody’s does not rate a holding then Standard & Poor’s is used. If Moody’s and Standard & Poor’s do not rate a holding then Fitch is used. A bond is considered investment grade if its credit rating is BBB- or higher according to Standard & Poor’s; more specifically, a rating of “AAA” represents the highest credit quality with minimal risk of default and a rating of “BB” or below represents speculative financial security. High Yield, if noted, includes holdings that are rated BB+ or lower according to Moody’s. Not Rated category, if noted, includes holdings that are not rated by any rating agencies. All ratings are as of 03/31/2023.

Duration Distribution (%)

(As of Mar 31, 2023)

Fund Benchmark
Less than 1 Year 21.7 1.3
1 to 3 Years 8.8 23.4
3 to 5 Years 22.7 22.5
5 to 7 Years 15.9 21.0
7 to 10 Years 19.9 15.9
Greater than 10 years 11.1 15.9
Source: FactSet® . Duration distribution includes cash and equivalents. Distribution is subject to change and should not be considered a suggestion or a recommendation to engage in or refrain from a particular course of action or to make or hold a particular investment or pursue a particular investment strategy, including whether or not to buy, sell, or hold any of the securities mentioned. It should not be assumed that investments in such securities have been or will be profitable.

Portfolio Sector

(As of Mar 31, 2023)

Sector Fund Benchmark
Cash & Equivalents 19.8 0.6
US Government 26.2 42.1
Non-US Government — 2.7
Corporate 18.6 24.5
ABS 6.1 0.5
Mortgage 26.6 27.3
CMBS 2.5 1.8
Municipal 0.4 0.6
Source: FactSet® #Cash balance can be negative to reflect economic exposure to derivatives and other forward contracts.† Securitized includes Mortgage-Backed Securities (MBS), Commercial MBS and Asset-backed Securities (ABS). Sector diversification includes cash and equivalents. The information provided in this material is not intended to be and should not be considered to be a recommendation or suggestion to engage in or refrain from a particular course of action or to make or hold a particular investment or pursue a particular investment strategy, including whether or not to buy, sell, or hold any of the securities mentioned. It should not be assumed that investments in such securities have been or will be profitable. Figures may not total 100% due to rounding.

Characteristics

(As of Mar 31, 2023)

Portfolio Attribute Fund Benchmark
Effective Duration (years) 6.3 6.2
Average Life (yrs) 9.0 8.7
Source: FactSet® Characteristics include cash and equivalents.   Mutual fund investing involves risk. Principal loss is possible. Investments in foreign securities and ADRs entail certain risks not associated with investments in domestic securities, such as volatility of currency exchange rates, and in some cases, political and economic instability and relatively illiquid markets.  The Brown Advisory funds are distributed by ALPS Distributors, Inc. 1290 Broadway, Suite 1000, Denver, CO 80203. Brown Advisory Funds and ALPS are not affiliated.
Total assets under management value as of 03/31/2023. 
Sector allocations are subject to change and should not be considered a recommendation to buy or sell any security.
Click here for a current prospectus. Please read and consider it carefully before investing. You may obtain a hardcopy of the prospectus by calling 1-800-540-6807.
Click here for index and financial term definitions.

Performance

Average Annual Total Returns % (As of Mar 31, 2023)

Share Class Three Months YTD One Year Three Year Five Year Ten Year Since Inception
Investor (BIATX), Inception: 10/30/2014 2.49 -6.36 -0.21 1.33 — 1.60
Bloomberg Aggregate Bond Index 2.96 -4.78 -2.77 0.91 — 1.24
Gross Expense Ratios: 0.47% (Investor), 0.42% (Institutional).
Net Expense Ratios: 0.47% (Investor), 0.42% (Institutional).
Returns greater than one year are annualized.
Performance data quoted represents past performance and is no guarantee of future results. Performance for periods greater than one year is annualized.  Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Shares redeemed or exchanged within 14 days of purchase will be charged a 1.00% fee. Performance data quoted does not reflect the redemption or exchange fee. If reflected, total returns would be reduced. For the most recent month end performance, please call 1-800-540-6807. Short-term performance, in particular, is not a good indication of the Fund’s future performance, and an investment should not be made based solely on returns.
 
 
Mutual fund investing involves risk. Principal loss is possible. Investments in foreign securities and ADRs entail certain risks not associated with investments in domestic securities, such as volatility of currency exchange rates, and in some cases, political and economic instability and relatively illiquid markets. 
The Brown Advisory funds are distributed by ALPS Distributors, Inc. 1290 Broadway, Suite 1000, Denver, CO 80203. Brown Advisory Funds and ALPS are not affiliated.

Total assets under management value as of 03/31/2023.
Click here for a current prospectus. Please read and consider it carefully before investing. You may obtain a hardcopy of the prospectus by calling 1-800-540-6807.
Click here for index and financial term definitions.

Top Holdings

(As of Mar 31, 2023)

Name Percentage
First American Government Obligations Fund, 4.61% 17.0
United States Treasury Note/Bond, 1.25% Due 07/31/2023 6.5
FNMA TBA 30YR TBA 4% APR, 4.00% 4.9
United States Treasury Note/Bond, 2.75% Due 04/30/2023 4.5
FNCL 2 4/21, 2.00% 4.4
United States Treasury Bill, 0.00% Due 04/20/2023 4.0
United States Treasury Note/Bond, 2.75% Due 04/30/2027 3.7
United States Treasury Note/Bond, 4.00% Due 12/15/2025 3.1
United States Treasury Note/Bond, 1.88% Due 02/15/2032 2.8
FNCL 2.5 4/21, 2.50% 2.7
The minimum investment requirements are waived for qualified retirement plans under Section 401(a) of the Internal Revenue Code (\"IRC\"), and plans operating consistent with 403(a), 403(b), 408, 408(A), 457, 501(c) and 223(d) of the IRC.
Mutual fund investing involves risk. Principal loss is possible.
Investments in debt securities typically decrease in value when interest rates rise. This risk is usually greater for longer-term debt securities. Investments in Asset-Backed and Mortgage-Backed securities include additional risks that investor should be aware of including credit risk, prepayment risk, possible illiquidity and default, as well as increased susceptibility to adverse economic developments. Investments in lower rated and non-rated securities present a great risk of loss to principal and interest than higher rated securities. In addition, the fund is susceptible to risks from investments in derivatives, U.S. Government securities, municipal securities, its investments in other investment companies and changes in interest rates.
Fund holdings are subject to change and should not be considered a recommendation to buy or sell any security.
© 2023 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. Morningstar Rating™ is a trademark of Morningstar, Inc. Morningstar Rating™ is for the Investor share class only; other classes may have different performance characteristics. “The Morningstar Rating™ for funds, or “star rating”, is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product’s monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star.
The Overall Morningstar Rating™ for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating™ metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods.” Morningstar Rankings represent a fund’s total-return percentile rank relative to all funds that have the same Morningstar Category. The highest percentile rank is 1 and the lowest is 100. It is based on Morningstar total return, which includes both income and capital gains or losses and is not adjusted for sales charges or redemption fees. Past performance is no guarantee of future results. Brown Advisory Total Return Fund was rated against the following numbers of U.S. domiciled Intermediate-Term funds over the following time periods: 554 funds in the last three years and 508 funds in the last five years for the period ending 03/31/2023. With respect to these Intermediate-Term funds, Brown Advisory Total Return Fund received a Morningstar Rating of 4 stars and 4 stars for the three-- and five-year periods respectively.
Morningstar Rating™ as of 03/31/2023 for Investor Shares (derived from a weighted average of the fund’s three-, five- and 10-year risk adjusted return measure).
Total assets under management value as of 03/31/2023. 
Inception date for Investor share class.
The Brown Advisory funds are distributed by ALPS Distributors, Inc. 1290 Broadway, Suite 1000, Denver, CO 80203. Brown Advisory Funds and ALPS are not affiliated.
Click here for a current prospectus. Please read and consider it carefully before investing. You may obtain a hardcopy of the prospectus by calling 1-800-540-6807.
Click here for index and financial term definitions.