Calvert Expands Taxable Bond Fund Offerings; Calvert Long Duration Income Fund Complements Calvert's Existing Taxable Corporate Bond Fund Line-Up.BETHESDA, Md. -- Calvert announced today the launch of the Calvert Long Duration Income Fund (NASDAQ NASDAQ
in full National Association of Securities Dealers Automated Quotations
U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :CLDAX). The fund is an actively managed long-term corporate bond fund that employs a relative-value strategy to produce incremental Additional or increased growth, bulk, quantity, number, or value; enlarged.
Incremental cost is additional or increased cost of an item or service apart from its actual cost. income. The Fund is managed by Calvert Asset Management Company, the investment advisor Investment Advisor
1. A person making investment recommendations in return for a flat fee or percentage of assets managed, known as a commission.
2. For mutual fund companies, it is the individual who has the day-to-day responsibility of investing and monitoring the cash and to Calvert mutual funds. Greg Habeeb, Senior Vice President and head of Calvert's Taxable Bond Taxable Bond
A debt security whose return to the investor is subject to taxes at the local, state or federal level, or some combination thereof.
The majority of bonds issued are taxable bonds. Fund Department, is the lead portfolio manager. Mr. Habeeb and his team manage $3.9 billion of Calvert's taxable fixed income assets, among them the Calvert Income Fund, the Calvert Short Duration Income Fund and the Calvert Social Investment Fund Bond Portfolio.
"The addition of the Calvert Long Duration Income Fund will complement and expand Calvert's fixed-income product line, particularly in the taxable corporate sector, and enable financial professionals to rely on Calvert to fulfill their asset allocation Asset Allocation
The process of dividing a portfolio among major asset categories such as bonds, stocks or cash. The purpose of asset allocation is to reduce risk by diversifying the portfolio. strategies across target maturity and duration ranges," said Catherine Roy, Chief Investment Officer, Fixed Income for Calvert. "It's the next logical-step addition to Calvert Short Duration Income Fund (short duration) and Calvert Income Fund (intermediate duration) in Calvert's taxable corporate bond fund line-up," she added.
The Calvert Long Duration Income Fund uses an active, relative-value investment strategy. Greg Habeeb and his team will employ the same proven, multi-tiered strategy currently used for Calvert Income Fund and Calvert Short Duration Income Fund. Habeeb describes a key component of the relative-value approach as "looking for Looking for
In the context of general equities, this describing a buy interest in which a dealer is asked to offer stock, often involving a capital commitment. Antithesis of in touch with. and uncovering hidden gems"--bonds that are cheaply priced and frequently overlooked by other managers. Often these are bonds with complex and unusual structures, which are typically issued by lesser-known institutions and often trade below fair-market value. Other aspects of the manager's flexible, multi-faceted relative-value strategy include in-depth credit evaluation and selection, duration and yield curve targeting, and an active trading style.
The Calvert Long Duration Income Fund seeks to maximize income to the extent consistent with prudent investment management and preservation of capital Preservation of Capital
An investment strategy whose primary goal is to prevent the loss of an investment's total value.
For investors using the capital preservation strategy to achieve their goal, they must ensure their portfolio is producing a return that is at , through investment in long-term bonds and other income-producing securities.
"Our financial advisors believe that maintaining an allocation to bond funds is an essential portfolio strategy whatever the market environment," said Catherine Roy, Calvert Chief Investment Officer of Fixed Income. "Within a bond fund portfolio, diversification among varying maturities can help financial advisors fine-tune a duration that's optimal for a client's financial goals," she added.
Calvert plans to introduce a Web- based tool designed to help financial professionals manage their clients' durations with proper fixed income asset allocation.
Best known for its family of socially responsible mutual funds, Calvert has a full line of funds, including tax-exempt investment products that allow individual and institutional investors Institutional Investor
A non-bank person or organization that trades securities in large enough share quantities or dollar amounts that they qualify for preferential treatment and lower commissions. to pursue a broad range of investment objectives within a single fund family. Calvert Group, Ltd. has quickly evolved from a single-fund management company in 1976 to become one of the Washington D.C. area's largest mutual fund management firms, with over $10 billion in assets under management Assets Under Management (AUM) is a term used by financial services companies in the mutual fund and money management or investment management business to gauge how much money they are managing. for over 400,000 investors.
For more information on any Calvert fund, please contact Calvert at 800.368.2748 for a free prospectus. An investor should consider the investment objectives, risks, charges, and expenses of an investment carefully before investing. The prospectus contains this and other information. Read it carefully before you invest or send money.
Calvert mutual funds are underwritten and distributed by Calvert Distributors Inc., member NASD NASD
See: National Association of Securities Dealers
See National Association of Securities Dealers (NASD). , a subsidiary of Calvert Group. (1/05, 5318)