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Investment Grade Bond - Intermediate fund seekers should not consider taking a look at Loomis Sayles Bond Fund Retail (LSBRX) at this time. LSBRX possesses a Zacks Mutual Fund Rank of 4 (Sell), which is based on various forecasting factors like size, cost, and past performance.
Objective
We note that LSBRX is an Investment Grade Bond - Intermediate option, which is a segment loaded with many different investment options. By targeting bonds that mature in more than three years but less than 15 years, Investment Grade Bond - Intermediate funds are a middle of the curve option. Fixed income instruments at this maturity level usually have medium duration risk, but their yields are respectable, especially in comparison to their short-maturity counterparts. Additionally, a focus on investment grade makes these funds safer, but yields tend to be lower than in the junk bond category.
History of Fund/Manager
Loomis-Sayles is responsible for LSBRX, and the company is based out of Boston, MA. Loomis Sayles Bond Fund Retail debuted in May of 1991. Since then, LSBRX has accumulated assets of about $676.72 million, according to the most recently available information. A team of investment professionals is the fund's current manager.
Performance
Of course, investors look for strong performance in funds. This fund carries a 5-year annualized total return of 1.28%, and is in the bottom third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of -0.09%, which places it in the bottom third during this time-frame.
It is important to note that the product's returns may not reflect all its expenses. Any fees not reflected would lower the returns. Total returns do not reflect the fund's [%] sale charge. If sales charges were included, total returns would have been lower.
When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. Over the past three years, LSBRX's standard deviation comes in at 8.1%, compared to the category average of 12.23%. Looking at the past 5 years, the fund's standard deviation is 8.59% compared to the category average of 13.28%. This makes the fund less volatile than its peers over the past half-decade.
With a beta of 0.61, this fund is less volatile than a broad market index of fixed income securities. Taking this into account, LSBRX has a positive alpha of 1.64, which measures performance on a risk-adjusted basis.