Investors nervous about the Greek crisis, China’s stock market collapse or even the trading halt at the NYSE may want to check out FPA New Income. The $5.7 billion bond fund has never had a losing year since its 1984 debut. One reason for its money-making streak is because it ladders its holdings, said portfolio manager Tom Atteberry. ‘Approximately 30% of the assets are going to amortize or mature between this past March and the end of this year. And then another 25% in 2016, then another 15% in 2017,’ said Atteberry. ‘It has this schedule of amortization with it that as you see these volatility points, whether it’s a Greece or something else, we are having money come back to us that we can then redeploy at what could potentially be a better return opportunity.’ The FPA New Income Fund is unconstrained and seeks to maximize current income and long-term total return. Capital preservation is also a major consideration for the fund, which has returned about 1% year-to-date.
Subscribe to TheStreetTV on YouTube:
For more content from TheStreet visit:
Check out all our videos:
Follow TheStreet on Twitter:
Like TheStreet on Facebook:
Follow TheStreet on LinkedIn:
Follow TheStreet on Google+:
source
