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Guggenheim Floating Rate Strategies Fund

GIFAX | GIFCX | GIFIX | GIFPX

 
 

Lipper Award

Best Loan Participation Fund

Floating Rate Strategies (GIFIX) 
3-year period among 164 funds

 

Overall Morningstar Rating™

Morningstar Ratings

Based on risk-adjusted returns out of 208 Bank Loan funds. As of 12.31.2016 (Institutional Class).


The Guggenheim Floating Rate Strategies Fund (the "Fund") invests primarily in bank loans and other senior secured floating rate securities—a distinct segment of the market that may offer opportunities for investors seeking an alternative to traditional fixed income securities. The Fund utilizes a rigorous, risk-managed strategy with bottom-up, research-intensive security selection in an effort to capitalize on current relative-value investment opportunities.

  • Maximize Current Income: By investing in securities whose interest rates float above prevailing short-term rates, the Fund offers the potential for income, particularly when interest rates are rising. Investors should note, if short-term interest rates decline, the interest earned on floating-rate securities will decline as well.
  • Hedge Interest Rate and Inflation Exposure: Unlike bonds, floating rate securities generally have low price sensitivity to interest rates and are positively correlated to inflation. For these reasons, the Fund may help mitigate the risks inherent with a traditional bond portfolio in a rising interest rate and inflationary environment.
  • Lower Portfolio Volatility: The Fund may enhance the diversification¹ of both stock and bond portfolios, potentially reducing a portfolio's overall volatility.

The Wall Street Transcript – Money Manager Interview: Avoiding Mistakes through Upfront Analysis and Ongoing Monitoring

The Wall Street Transcript – Money Manager Interview:
Avoiding Mistakes through Upfront Analysis and Ongoing Monitoring

June 6, 2016

Thomas Hauser, Managing Director and Portfolio Manager, shares highlights of the Guggenheim Floating Rate Strategies Fund (GIFIX). He also discusses Guggenheim’s investment philosophy, including the tenets of behavioral finance, which maintains that investors value the avoidance of loss more than alpha.
   

Tom Hauser

Managing Director and Portfolio Manager  

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¹ Diversification neither assures a profit or eliminate risk.

Past performance is no guarantee of future results.

The Floating Rate Strategies Fund Institutional class was rated, based on its risk-adjusted returns, 5 stars for the overall, 5 stars for the 3-year, and 5 stars for the 5-year periods among 208, 208, and 157 Bank Loan funds. As of 12.31.2016.

Source: Morningstar

The Morningstar Rating for funds, or "star rating", is calculated for managed products with at least a three-year history and does not include the effect of sales charges. Exchange-traded funds and open-end mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics.

Morningstar Rankings do not include the effect of a fund's sales load, if applicable. Other share classes may have different performance characteristics. Morningstar rankings are based on a fund's average annual total return relative to all funds in the same Morningstar category, which includes both mutual funds and ETFs. Fund performance used within the rankings, reflects certain fee waivers, without which, returns and Morningstar rankings would have been lower. The highest (or most favorable) percentile rank is 1 and the lowest (or least favorable) percentile rank is 100. The top-performing fund in a category will always receive a rank of 1. Multiple share classes of a fund have a common portfolio but impose different expense structures.

©2016 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary of Morningstar and /or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar, nor its content providers, are responsible for any damages or losses arising from any use of its information.

Source: Lipper, Inc. The Best Fixed Income—Small Fund Group award is granted to the fund family with the lowest average decile ranking for Consistent Return over the 3-year period. To qualify, a fund family must have at least three fixed income funds and less than $58 billion for 2015 and $52.6 billion for 2014 in assets under management for 2014 and 2015, respectively. Guggenheim Funds ranked 1 out of 74 for 2015 and 1 out of 73 for 2014 eligible companies. The Best Loan Participation Fund award is granted to the fund in the Loan Participation category with the highest Lipper Leader score for Consistent Return over the 3-year period as of 11.30.2015. Other share classes may have different performance and expense characteristics. Lipper awards are granted annually to the funds in each Lipper classification that achieve the highest score for Consistent Return, a measure of funds’ historical risk-adjusted returns, relative to peers.

From Thomson Reuters Lipper Awards, © 2016 Thomson Reuters. All rights reserved. Used by permission and protected by the Copyright Laws of the United States. The printing, copying, redistribution, or retransmission of this Content without express written permission is prohibited.

Lipper, a wholly owned subsidiary of Thomson Reuters, is a leading global provider of mutual fund information and analysis to fund companies, financial intermediaries and media organizations.

The Funds may not be suitable for all investors. Investments in fixed-income securities are subject to the possibility that interest rates could rise, causing the value of the Funds’ securities and share price to decline. Fixed-income securities with longer durations are subject to more volatility than those with shorter durations. High yield, below investment grade, and unrated debt securities are subject to greater volatility and risk of default than investment grade bonds and may be less liquid. Some asset-backed securities, including mortgage-backed securities and CLOs, may have structures that make their reaction to interest rates and other factors difficult to predict, causing their prices to be volatile; and they are subject to interest rate, credit, liquidity, and valuation risks. Loan investments are often below investment grade or unrated and subject to special types of risks, including credit, interest rate, counterparty, and prepayment risk. The Funds’ use of leverage, through borrowings or instruments such as derivatives, may cause the Funds to be more volatile and riskier than if they had not been leveraged. Please see the Funds’ prospectus for more information on these and other risks.

©2017 Guggenheim Investments. All Rights Reserved.

• Not FDIC Insured • No Bank Guarantee • May Lose Value

Read the fund’s prospectus and summary prospectus (if available) carefully before investing. It contains the fund’s investment objectives, risks, charges, expenses and other information, which should be considered carefully before investing. To obtain a prospectus and summary prospectus (if available), click here or call 800.820.0888.

The referenced funds are distributed by Guggenheim Funds Distributors, LLC. Guggenheim Investments represents the investment management businesses of Guggenheim Partners, LLC ("Guggenheim"), which includes Guggenheim Partners Investment Management ("GPIM") and Security Investors, LLC ("SI"), the investment advisors to the referenced funds. Guggenheim Funds Distributors, LLC, is affiliated with Guggenheim, SI, and GPIM.