Portfolio Overview as of 3/31/2017

Portfolio Allocation (% of Total Portfolio)

High Yield 72.9%
Cash 20.7
Equity Sensitive Convertibles 3.0
Preferred Stocks 2.0
Busted Convertibles 0.8
MBS / CMO 0.4
Investment Grade 0.2
Common Stocks <0.1

Securities not included in the high yield category (e.g., convertible bonds, floating rate notes, preferred stocks) may also be rated below investment grade.

MBS/CMO = Mortgage Backed Securities/Collateralized Mortgage Obligations

Sector Exposure (% of Portfolio excluding Cash)

Industrials 31.8%
Consumer Staples 18.3
Materials 12.6
Consumer Discretionary 11.5
Financials 8.8
Information Technology 5.7
Energy 5.2
Health Care 4.6
Telecommunication Services 1.5

Portfolio Characteristics

Weighted Average Coupon 6.10%
Weighted Average Effective Duration 1.45
Weighted Average Years to Maturity 2.61 yrs.
Weighted Average Yield to Maturity 6.51%
30 Day SEC Yield 4.62%
Distribution Yield 5.10%

Click here for standardized fund performance.

Performance data quoted represents 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.

Portfolio characteristics are generally updated within 30 days after quarter end. 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. Effective Duration is from Bloomberg.

The distribution yield is based on the prior 12 months distributions divided by the net asset value of the date of the calculation.

Maturity (% of Fixed Income & Cash)

Cash 21.1%
< 1 Year 3.2
1-3 Years 37.4
3-5 Years 19.9
> 5 Years 18.4

Effective Duration (% of Fixed Income & Cash)

Cash 21.1%
<1 29.2
1-3 30.1
3-5 16.5
>5 3.1

Credit Quality Exposure (% of Total Portfolio)

Government 0.0%
AAA 0.0
AA 0.0
A 0.0
BBB 0.2
BB 13.6
B 41.6
Below B 9.9
Not Rated 14.0
Cash 20.7

Country Exposure (% of Total Portfolio)

United States (including cash) 96.5%
Australia 1.6
Canada 1.4
Luxembourg 0.5

Number of Holdings

Bonds 107
Equities 3

Top 10 Holdings (% of Total Portfolio)

Rite Aid Corp. 9.25% 3.73
Regis Corp. 144A 5.50% 1.98
Transfield Services Ltd. 144A 8.375% 1.58
CHS/Community Health 8.00% 1.50
ADS Tactical Inc. 144A 11.00% 1.47
Shearers Foods / Chip 144A 9.00% 1.46
AK Steel Corp. 7.625% 1.46
Herc Rentals Inc. 144A 7.50% 1.43
Oppenheimer Holdings Inc. 8.75% 1.37
Navistar Intl. Corp. 8.25% 1.37
Total 17.35

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.

Fiscal Year Turnover

Year Ended
March 31
2016 31%
2015 58
2014 75
2013 82
2012 87
2011 115
2010 98
2009 89
2008 105
2007 100
2006 87
2005 77
2004 75
2003* 61

Not a full year, only covers 8/30/02-3/31/03

Investment Team

Account Access

Email Update

Credit Quality weights by rating were derived from the most recent data available as determined by Standard and Poor’s. Grades are assigned to bonds by private independent rating services such as Standard & Poor’s and these grades represent their credit quality. The issues are evaluated based on such factors as the bond issuer’s financial strength, or its ability to pay a bond’s principal and interest in a timely fashion. Ratings are expressed as letters ranging from ‘AAA’, which is the highest grade, to ‘D’, which is the lowest grade. In situations where Standard & Poor’s has not issued a formal rating, the security is classified as not rated (NR). Additionally, common stocks, if any, are classified as NR.

Criteria for Recommended Funds: Recommended funds are evaluated by Litman Gregory based on a combination of qualitative and quantitative measures, including absolute and relative long-term performance metrics when compared to an appropriate benchmark and peer group, manager skill, investment process and the discipline by which the process is applied, quality and tenure of research team, shareholder orientation, assets under management, and fund expenses. Recommended reflects Litman Gregory’s confidence in a fund’s potential to outperform a relevant benchmark over the long term.

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 www.osterweis.com/statpro. 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 Strategic Income 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. The Fund may invest in foreign and emerging market securities, which involve greater volatility and political, economic and currency risks and differences in accounting methods. These risks may increase for emerging markets. Investments in debt securities typically decrease in value when interest rates rise. This risk is usually greater for longer-term debt securities. Small- and mid-capitalization companies tend to have limited liquidity and greater price volatility than large-capitalization companies. Higher turnover rates may result in increased transaction costs, which could impact performance. From time to time, the Fund may have concentrated positions in one or more sectors subjecting the Fund to sector emphasis risk. The Fund may invest in municipal securities which are subject to the risk of default.

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.

Back to Top