**Investment Insights: Municipal Bond Fund Performance**
As of June 30, 2024, the Institutional share class of our municipal bond fund has delivered a 1-year return of 3.05%, with a 5-year average annual return of 0.03% and a 10-year average annual return of 1.96%. Since its inception in 2012, the fund has provided a 2.40% average annual return.
**Key Performance Metrics**
* 1-Year Return: 3.05%
* 5-Year Average Annual Return: 0.03%
* 10-Year Average Annual Return: 1.96%
* Since Inception Return: 2.40%
* Expense Ratio (Gross/Net/Adjusted): 1.12%/0.69%/0.68%
**Economic Outlook**
Our economic outlook has improved over the past year, driven by the aggregate economy’s resilience to rate hikes. However, we remain cautious about the potential for a slowdown in real GDP growth and the risks associated with it. The recent presidential debate has led to increased expectations of inflationary tariff policies, which could impact Treasury yields.
**Investment Strategy**
Our fund is designed to navigate the complexities of the municipal bond market, with a focus on active fixed-income investing. We believe that duration and spread management are crucial in this environment, and we remain vigilant about potential changes in interest rates and market conditions.
**Risk Considerations**
Investors should be aware that this fund is subject to various risks, including unfavorable legislative or political developments, adverse changes in the financial conditions of state and municipal issuers, and the potential for taxable income. Additionally, certain sectors of the municipal bond market may be more vulnerable to specific risks.
**Index Definition**
The Bloomberg Municipal Bond Index is a widely followed benchmark for the U.S. municipal tax-exempt investment-grade bond market. Our fund is designed to track this index while providing active management and risk mitigation strategies.
**Important Disclosures**
Please note that past performance is not a guarantee of future results, and investment returns may fluctuate. It is essential to read the fund’s prospectus and summary prospectus (if available) carefully before investing. This material is not intended as a recommendation or investment advice and should not be relied upon for making investment decisions. Always consult a financial, tax, and/or legal professional regarding your specific situation.
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