The Fund seeks risk-adjusted total returns consisting of income and moderate capital appreciation.
The Osterweis Sustainable Credit Fund invests in selective high yield corporate credits across the duration spectrum that are defensive, prioritize sustainable business practices, and are often misunderstood or undervalued. Duration is an output of the bottom-up process based on risks, opportunities, and opportunity cost in the market. By taking a holistic approach to credit risk and explicitly integrating sustainability into fundamental security selection, the Fund aims to further mitigate risk for a more resilient portfolio.
- Bottom-up security selection based on rigorous fundamental credit analysis
- Integrates environmental, social, and governance (ESG) factors into security selection
- Risk-focused approach to minimize surprises
- Duration actively managed
- Experienced investment team
- Adviser is majority-owned by its employees
- $5,000 initial investment for regular accounts
- $1,500 initial investment for IRA or other tax-deferred accounts
- $100 for subsequent investments
NAV as of 11/27/23
(as of 10/31/23)
Fiscal Year Turnover
(as of 3/31/23)
Gross Expense Ratio
(as of 3/31/23)
We believe in taking a carefully selected approach to high yield corporate debt. We build a portfolio of companies deliberately chosen for their fundamental strength and ability to repay debt. Our strict credit standards mean few bonds make it into our portfolio.
We aim to be risk managers first and foremost. In doing so, we evaluate each issuer with respect to many areas of risk including business risk, financial risk, and sustainability risk. We target strong businesses and work to understand a company’s defensive characteristics; its capital structure; environmental, social, and governance (ESG) practices; and its ability/incentives to repay debt in the case of difficult economic turbulence. By placing an emphasis on a comprehensive assessment of credit quality within the high yield debt universe, we focus on identifying and taking advantage of mispricings in high yield that are overlooked, misunderstood, or mis-rated.
We view sustainability factors as credit factors that contribute to an issuer’s creditworthiness, competitive advantage, and staying power. We believe integrating ESG factors into our credit research further mitigates credit risk, resulting in a profile focused on capital preservation and delivering attractive risk-adjusted total returns over time. In doing so, we provide a portfolio that can serve both traditional and sustainable mandates without requiring investors to choose between performance or progress.
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 Sustainable 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 is non-diversified, meaning it concentrates its assets in fewer individual holdings than a diversified fund. 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.