FOUNDATIONS OF DIAMOND HILL FIXED INCOME
- Philosophy and process driven by individual security analysis and valuation
- Each security is vetted by portfolio managers to ensure proper structure and valuation at the time of purchase
- Deep and talented research team supports portfolio managers
- Overall portfolio strategy is driven by small, individual security decisions rather than a macro focus
- Style purity provides clients with transparency and consistency
- Long-term investment temperament
- Over 25 research analysts and associates support both fixed income and equity strategies
IN THE MEDIA
November 14, 2019 – John McClain, CFA discusses economic data’s effect on equity and fixed income markets, trading up in quality as a means of portfolio insurance, and the Fed’s reaction to policy with Oliver Renick on TD Ameritrade Network.
October 21, 2019 – William Zox, CFA discusses the possibility of an October Fed rate cut, the uninverted yield curve and bond volatility, and opportunities in the financials and energy sectors within high yield bonds with Oliver Renick on TD Ameritrade Network.
View standardized returns and prospectus information (Average Annual Total Returns as of March 31, 2020)
Expense Ratio (Class I Shares)
Short Duration Total Return Fund
Core Bond Fund
Corporate Credit Fund1
High Yield Fund
- Short Duration Total Return
- Core Bond
- Corporate Credit
- High Yield
|CORE BOND||CORPORATE CREDIT||HIGH YIELD|
|Process||Bottom-up, security selection|
|Execution||Portfolio Managers engage directly with the market, executing all trades|
|Sector Focus||Structured Product3||Diversified||Corporate bonds, 10%
limit on CCC4
|High Yield corporate bonds4|
maximum of 3
|Typically +/- 10% (maximum
+/- 20%) of benchmark duration
maximum of 5
|+/- 1.5 of the
|Benchmark||Bloomberg Barclays U.S.
1-3 Yr. Gov./Credit Index
U.S. Aggregate Index
|ICE BofA U.S. Corporate
& High Yield Index
U.S. High Yield Index
|Availability||Separate Account & Fund|
|Average Holdings||Broadly Diversified||40-120 Issuers||60-150 Issuers|
|Ticker (Class I)||DHEIX||DHRIX||DHSTX||DHHIX|
1 The Fund may invest in another Diamond Hill Fund. Diamond Hill Capital Management, Inc. is required to permanently waive a portion of its management fee in the pro-rata amount of the management fee charged by the underlying Diamond Hill Fund.
2 Duration measures the interest rate risk of the Fund. It is an estimate of the approximate percentage change in the Fund’s net asset value resulting from a one percentage point change in interest rates.
3 Structured products refer to asset-backed securities, residential mortgage-backed securities and commercial mortgage-backed securities.
4 Security quality ratings are derived from underlying portfolio securities as rated by Standard & Poor’s. For securities that are not rated by Standard & Poor’s, but are rated by Moody’s, the Moody’s rating will be used. Diamond Hill does not calculate a rating for securities that are not rated by Standard & Poor’s or Moody’s. The Standard & Poor’s and Moody’s ratings represent an opinion only, not a recommendation to buy or sell. Unrated securities by both Standard & Poor’s and Moody’s will show in the “NR” category.
Short Duration Total Return Fund: The Overall Morningstar Rating™ is based on 496 short-term bond funds as of 3/31/20. The Fund’s Class I rating was 2 stars among 496 funds for the 3-year period ended 3/31/20.
Core Bond Fund: The Overall Morningstar Rating™ is based on 384 intermediate core bond funds as of 3/31/20. The Fund’s Class I rating was 5 stars among 384 funds for the 3-year period ended 3/31/20.
Corporate Credit Fund: As of 5/20/20 there were 4 gold rated, 12 silver rated, 5 bronze rated, 30 neutral rated, 3 negative rated and 186 not rated funds in the U.S. High Yield Bond category. Morningstar Analyst ratings relative to the Morningstar Category are based on the cheapest share class for each fund as defined by Morningstar. The cheapest share class does not necessarily equate to the highest rated share class. The Overall Morningstar Rating™ is based on 621 high yield bond funds as of 3/31/20. The Fund’s Class I rating was 5 stars among 621, 5 stars among 540, and 5 stars among 338 high yield bond funds for the 3-, 5- and 10-year periods ended 3/31/20, respectively.
High Yield Fund: The Overall Morningstar Rating™ is based on 621 high yield bond funds as of 3/31/20. The Fund’s Class I rating was 5 stars among 621 funds for the 3-year period ended 3/31/20.
Performance is not guaranteed. The 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. The Fund’s current performance may be lower or higher than the performance data quoted. Investors may obtain performance information current to the most recent month-end, within 7 business days, at diamond-hill.com.