Effective immediately, the primary benchmark index for the Brown Advisory Strategic Bond Fund has been changed to the Bank of America Merrill Lynch 0-3 Month U.S. Treasury Bill Index, and the Fund’s former primary benchmark index, the Bloomberg Barclays Intermediate US Aggregate Bond Index, will now be used as the Fund’s secondary benchmark index. The Adviser has determined that the Bank of America Merrill Lynch 0-3 Month U.S. Treasury Bill Index better reflects the Fund’s investment strategy.
To learn more, please view the full sticker.
The Brown Advisory Strategic Bond Fund seeks to achieve capital appreciation and income with low correlation to interest rate movements.
The Strategic Bond Fund combines bottom-up credit analysis with relative value analysis to build a portfolio that is concentrated based on credit selection, with interest rate hedges, dynamic sector allocation, and opportunistic investments. In pursuit of this, the fund invests at least 80% of its net assets in a broad set of fixed income securities, such as U.S. Government securities, corporate fixed income securities, high yield bonds, bank loans and collateralized loan obligations, tax-exempt municipal bonds, U.S. Treasury bonds, Treasury inflation-protected securities (TIPS), mortgage-backed and asset-backed securities, and derivatives.
The fund is not managed to a benchmark. This flexibility allows the managers to invest in fixed-income securities of any maturity and/or credit quality rating. Under normal circumstances, the fund's portfolio will seek to have a duration of 1 to 3 years.