Portfolio Overview as of 6/30/2023

Portfolio Allocation (% of Total Portfolio)

Category Value
Fixed Rate 69.5%
Cash & Equivalents 25.4
Bank Loans 5.1

Sector Exposure (% of Portfolio excluding Cash)

Category Value
Consumer Discretionary 34.90%
Industrials 28.53
Communication Services 16.36
Financials 11.81
Information Technology 8.41

Portfolio Characteristics

Characteristic Value
Weighted Average Coupon (%) 5.64
Weighted Average Effective Duration 1.41
Average Life 2.34
Yield to Worst (%) 8.76
30 Day SEC Yield (%) 13.46
Income Distribution Yield (%) 8.42

Click here for standardized fund performance.

Performance data quoted represent past performance; past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance of the Fund may be higher or lower than the performance quoted. Performance data current to the most recent month end may be obtained by calling shareholder services toll free at (866) 236-0050.

The characteristics are calculated only on the Fund’s fixed income holdings and cash. This information is believed to be reliable, but it is not guaranteed. Weighted averages are by security market value.

The income distribution yield is based on the prior 12 month’s distributions divided by the net asset value of the date of the calculation.

Average Life reflects the shorter of Average Life or Years to Workout.

Credit Quality Exposure (% of Total Portfolio)

Category Value
Government 0.0%
AAA 0.0
AA 0.0
A 0.0
BBB 0.0
BB 12.6
B 26.4
CCC 25.8
CC 0.0
C 0.0
D 0.2
Cash & Equivalents 25.4
Not Rated Securities 9.7

Secured credits account for 29% of portfolio holdings.

Number of Holdings

Holding Value
Bonds 20
Equities 0

Top 10 Holdings (% of Total Portfolio)

Holding Value
Cimpress PLC 7.000% 6/15/26 9.2
Getty Images Inc 144A 9.750% 3/1/27 7.7
Bread Financial Holdings Inc 144A 7.000% 1/15/26 6.8
Arrow Bidco LLC 144A 9.500% 3/15/24 6.1
American Greetings Corp 144A 8.750% 4/15/25 5.5
Michaels Cos Inc/The 144A 5.250% 5/1/28 5.5
Brundage-Bone Concrete 144A 6.000% 2/1/26 4.7
Millennium Escrow Corp 144A 6.625% 8/1/26 4.5
Magenta Buyer LLC 10.030% 7/27/28 3.7
Patrick Industries Inc 144A 7.500% 10/15/27 3.6
Total 57.3

Complete holdings are generally available ten business days following quarter end.

The Osterweis Strategic Income Fund’s holdings and sector allocations may change at any time due to ongoing portfolio management. References to specific investments should not be construed as a recommendation to buy or sell the securities by the Fund or Osterweis Capital Management.

Investment Team

Venk Reddy

Chief Investment Officer – Sustainable Credit

Venk Reddy

Chief Investment Officer – Sustainable Credit

Venk Reddy joined Osterweis Capital Management in 2022 as part of the Zeo Capital Advisors team transition. Prior to founding Zeo Capital in 2009, Mr. Reddy was a co-founder of Laurel Ridge Asset Management, a multi-strategy hedge fund, where he managed the credit, distressed, and event-driven portfolios. Previously, he structured derivative products and was head of delta-one trading as a portfolio manager within Bank of America’s Equity Financial Products group (EFP). Mr. Reddy also managed investments in event-driven situations, convertible instruments, and options at Pine River Capital Management and HBK Investments, where he started his career.

Mr. Reddy is a principal of the firm and a Portfolio Manager for the sustainable credit strategies.

He currently serves as a Trustee of Lick-Wilmerding High School in San Francisco. He previously served as a Trustee and officer of the Katherine Delmar Burke School in San Francisco.

Mr. Reddy graduated from Harvard University (B.A. in Computer Science with Honors).

Marcus Moore

Portfolio Manager

Marcus Moore

Portfolio Manager

Marcus Moore joined Osterweis Capital Management in 2022 as part of the Zeo Capital Advisors team transition, where he was an Assistant Portfolio Manager focused on credit research, including sustainability analysis. Before joining Zeo in 2019, Mr. Moore worked at Wells Fargo Bank for 14 years as an Analyst within Principal Investing, responsible for the retail, consumer, and gaming sectors across various asset classes including high yield bonds, leveraged loans, and structured products. Prior to working at Wells Fargo, Mr. Moore worked at Edison Mission Energy as an analyst and at Hamilton Resources, Procter & Gamble, and Goldman Sachs.

He is a Portfolio Manager for the sustainable credit strategies.

Mr. Moore graduated from Morgan State University in Baltimore, MD (B.S. in Accounting) and from the University of California, Los Angeles Anderson School with an M.B.A. He also holds the CPA designation.

Certain portfolio data may be available as of month-end. To make a request, please email us.

The Osterweis Funds are available by prospectus only. The Funds’ investment objectives, risks, charges and expenses must be considered carefully before investing. The summary and statutory prospectuses contain this and other important information about the Funds. You may obtain a summary or statutory prospectus by calling toll free at (866) 236-0050, or by visiting the literature page. Please read the prospectus carefully before investing to ensure the Fund is appropriate for your goals and risk tolerance.

Mutual fund investing involves risk. Principal loss is possible.

The Osterweis Short Duration Credit Fund may invest in debt securities that are un-rated or rated below investment grade. Lower-rated securities may present an increased possibility of default, price volatility, or illiquidity compared to higher-rated securities. Investments in debt securities typically decrease in value when interest rates rise. This risk is usually greater for longer-term debt securities. The Fund may invest more than 5% of its total assets in the securities of one or more issuers. Fundamental investing that integrates sustainability factors will entail deviations from the benchmark, potentially without resulting in favorable Environmental, Social, or Governance (ESG) outcomes.

While the fund is no-load, management fees and other expenses still apply. Please refer to the prospectus for more information.

Osterweis Capital Management is the adviser to the Osterweis Funds, which are distributed by Quasar Distributors, LLC.