Morningstar Style Box
High
Med.
Low
Ltd. Mod. Ext. 

Securitized Opportunities Fund
Fixed Income Funds

  • a Shares (SCSSX)
    Inception: 02.01.2013
  • c Shares (SCSTX)
    Inception: 02.01.2013
  • i Shares (SCSPX)
    Inception: 02.01.2013

Fund Overview

Philosophy and Process

In managing the fund, the portfolio management team employs a multi-faceted approach to generate excess return and uses a combination of top-down and bottom-up analysis, quantitative vs. qualitative analysis and fundamentals vs. valuation. There is a strong emphasis on risk management and an adherence to certain core investment beliefs:

  • "If you cannot measure it; you cannot manage it."
  • Avoid unintended exposures
  • Average duration around 2 to 5 years with focus on high quality and risk management
  • Participate in longer term trends - don't buy on short-term trends or try to time what is going on in the market
  • Attempts to achieve risk-adjusted performance over time

Investment Considerations

The Fund is subject to the same risks as the underlying bonds in the portfolio such as credit, prepayment, call and interest rate risk. As interest rates rise the value of bond prices will decline. The Fund may invest in more aggressive investments such as foreign securities which may expose the fund to currency and exchange rate fluctuations; derivatives (futures and swaps); mortgage backed securities sensitive to interest rates and high yield debt (also known as junk bonds) all of which may cause greater volatility and less liquidity. Derivatives may be more sensitive to changes in market conditions and may amplify risks.

Fund Facts
Class A Shares Class C Shares Inst'l Shares
Ticker SCSSX SCSTX SCSPX
Inception Date 02/01/2013 02/01/2013 02/01/2013
Investment Minimum $1,000.00 $1,000.00 $1,000,000.00
Subsequent Investment Minimum* $0.00 $0.00 $0.00
Max. Up Front Sales Charge 2.00% N/A N/A
Max. Deferred Sales Charge N/A 1.00% N/A

*If subsequent investments are made as part of an AIP, the minimum is $25.

Management



The investment team supporting the fund includes 24 investment professionals.

Performance

Average Annual Total Returns as of (09/30/2017)
Class A Shares Class C Shares Inst'l Shares
without sales charge with 2.00% sales charge without sales charge with 1.00% sales charge
3 Months 0.85% -1.14% 0.55% -0.45% 0.81%
YTD 2.61% 0.58% 1.93% 0.93% 2.79%
1 Year 0.89% -1.17% 0.12% 0.12% 1.23%
3 Years 2.62% 1.94% 1.85% 1.85% 2.87%
5 Years 2.01% 1.60% 1.32% 1.32% 2.26%
Since Inception 2.79% 2.47% 2.24% 2.24% 3.00%

The gross expense ratios for Class A, C and I Shares are 0.90%, 1.65% and 0.65%, respectively. The net expense ratios for Class A, C and I Shares are 0.86%, 1.61% and 0.61%, respectively. The Fund’s Adviser has contractually agreed to limit the management fees paid by the Fund to 0.31% for the period from February 1, 2016 through January 31, 2017. This contractual limitation may be terminated during this period only by the Fund’s Board of Trustees, and will automatically terminate upon termination of the Investment Advisory Agreement between the Fund and Sterling Capital Management LLC (“Sterling Capital”).

Past performance does not guarantee future results. The performance data quoted represents past performance and current returns may be lower or higher. 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 the original cost. To obtain performance information current to the most recent month end, please visit www.sterlingcapitalfunds.com/funds/performance-summary/.

The performance of the Securitized Opportunities Fund reflects the deduction of fees for value-added services associated with a mutual fund, such as investment management and fund accounting fees. The inception date for Class A Shares, Class C Shares, and Institutional Shares is 2/1/2013.  The inception date for Class S Shares is 6/30/11. Performance for Class A Shares, Class C Shares and Institutional Shares for periods prior to inception on February 1, 2013 is based on performance of Class S Shares of the Fund which were re-designated as Institutional Shares as of February 1, 2013.  Class A Shares, Class C Shares and Institutional Shares of the Fund would have substantially similar performance because the Shares are invested in the same portfolio of securities and the performance would differ only to the extent that the Classes have different expenses. The performance shown reflects the reinvestment of all dividend and capital gains distributions.


Performance Summary

Characteristics

Quality Breakdown¹
as of (06/30/2017)

Hover over slice to view more info.

Quality Breakdown¹
as of (06/30/2017)
Name Value
AAA 73.1%
AA 8.8%
A 7.9%
BBB 4.4%
BB 2.7%
B 1.7%
Below B 0.2%
Not Rated 0.9%
Government 0.4%

¹ Credit quality ratings using Moody's rating symbols reflect the credit quality of the underlying bonds in the fund portfolio and not of the Fund itself. Moody's assigns a range of ratings from Aaa being the highest quality to C being the lowest rated class of bonds. Securities not rated by Moody's may be rated by S&P, Fitch or if no agency rating is available, the Fund will assign a rating of not rated. Bond quality ratings are subject to change.

Effective Duration Breakdown
as of (09/30/2017)
Name Value
[Cash] 0.1
0-1 Yr. 18.3 %
1-2 Yrs. 3.2 %
2-3 Yrs. 9.4 %
3-5 Yrs. 31.6 %
5-10 Yrs. 30.4 %
10+ Yrs. 7.1 %
Number of Holdings 134
Average Life 6.07 Years
Effective Duration 4.50 Years
CouponCurveDuration 4.56 Years
Yield to Maturity 3.03
Portfolio Composition
as of (09/30/2017)
Composition Fund Index
Corporate 0.90% 0.00%
   Industrial 0.90% 0.00%
Securitized 99.10% 100.00%
   ABS 23.50% 0.00%
   CMBS 23.20% 0.00%
   CMO 25.10% 0.00%
   MBS 0.10% 0.00%
   MBS Passthrough 27.20% 100.00%
Cash & Equivalents 0.10% 0.00%
   Cash & Equivalents 0.10% 0.00%
TOTAL 100% 100%
Top 10 Holdings
as of (09/30/2017)
NameValue
Wells Fargo Commercial Mortgage Trst, Ser 2010-C1, Cl B2.05%
Freddie Mac REMICS, Series 2525, Class AM1.89%
Freddie Mac REMICS, Series 3762, Class LN1.81%
Americredit Automobile Receivables Trust, Series 2017-11.68%
Encore Credit Receivables Trust, Series 2005-4, Cl M21.60%
GNMA, Series 2012-16, Class GC1.51%
Citibank Credit Card Issuance Trust1.50%
FHLMC , Pool# Q400481.50%
FHLMC, Pool #C914581.45%
Freddie Mac Remics1.44%

Current and future portfolio holdings are subject to change and risk.Based on
Market Value of securities.

Current and future portfolio holdings are subject to change and risk.

Growth of 10k
as of (09/30/2017)

Hover over line chart to view data points.

Growth of 10k
as of (09/30/2017)
Date Portfolio Benchmark 1 Benchmark 2
Securitized Opportunities Fund 09/30/2017 $12,024.00 $11,700.00 $0.00
Securitized Opportunities Fund 07/31/2017 $11,926.00 $11,726.00 $0.00
Securitized Opportunities Fund 06/30/2017 $11,829.00 $11,641.00 $0.00
Securitized Opportunities Fund 06/30/2017 $11,781.00 $11,589.00 $0.00
Securitized Opportunities Fund 04/30/2017 $11,815.00 $11,636.00 $0.00
Securitized Opportunities Fund 03/31/2017 $11,732.00 $11,564.00 $0.00
Securitized Opportunities Fund 03/31/2017 $11,648.00 $11,489.00 $0.00
Securitized Opportunities Fund 01/31/2017 $11,647.00 $11,486.00 $0.00
Securitized Opportunities Fund 12/31/2016 $11,576.00 $11,435.00 $0.00
Securitized Opportunities Fund 12/31/2016 $11,600.00 $11,431.00 $0.00
Securitized Opportunities Fund 10/31/2016 $11,589.00 $11,435.00 $0.00
Securitized Opportunities Fund 09/30/2016 $11,741.00 $11,634.00 $0.00
Securitized Opportunities Fund 09/30/2016 $11,775.00 $11,665.00 $0.00
Securitized Opportunities Fund 07/31/2016 $11,740.00 $11,633.00 $0.00
Securitized Opportunities Fund 06/30/2016 $11,694.00 $11,596.00 $0.00
Securitized Opportunities Fund 06/30/2016 $11,728.00 $11,620.00 $0.00
Securitized Opportunities Fund 04/30/2016 $11,567.00 $11,502.00 $0.00
Securitized Opportunities Fund 03/31/2016 $11,555.00 $11,487.00 $0.00
Securitized Opportunities Fund 03/31/2016 $11,509.00 $11,469.00 $0.00
Securitized Opportunities Fund 01/31/2016 $11,464.00 $11,435.00 $0.00
Securitized Opportunities Fund 12/31/2015 $11,430.00 $11,393.00 $0.00
Securitized Opportunities Fund 12/31/2015 $11,305.00 $11,247.00 $0.00
Securitized Opportunities Fund 10/31/2015 $11,340.00 $11,250.00 $0.00
Securitized Opportunities Fund 09/30/2015 $11,352.00 $11,266.00 $0.00
Securitized Opportunities Fund 09/30/2015 $11,366.00 $11,258.00 $0.00
Securitized Opportunities Fund 07/31/2015 $11,299.00 $11,193.00 $0.00
Securitized Opportunities Fund 06/30/2015 $11,299.00 $11,183.00 $0.00
Securitized Opportunities Fund 06/30/2015 $11,254.00 $11,113.00 $0.00
Securitized Opportunities Fund 04/30/2015 $11,322.00 $11,199.00 $0.00
Securitized Opportunities Fund 03/31/2015 $11,310.00 $11,201.00 $0.00
Securitized Opportunities Fund 03/31/2015 $11,320.00 $11,197.00 $0.00
Securitized Opportunities Fund 01/31/2015 $11,264.00 $11,155.00 $0.00
Securitized Opportunities Fund 12/31/2014 $11,318.00 $11,173.00 $0.00
Securitized Opportunities Fund 12/31/2014 $11,159.00 $11,079.00 $0.00
Securitized Opportunities Fund 10/31/2014 $11,156.00 $11,062.00 $0.00
Securitized Opportunities Fund 09/30/2014 $11,086.00 $10,990.00 $0.00
Securitized Opportunities Fund 09/30/2014 $10,994.00 $10,885.00 $0.00
Securitized Opportunities Fund 07/31/2014 $11,024.00 $10,903.00 $0.00
Securitized Opportunities Fund 06/30/2014 $10,943.00 $10,801.00 $0.00
Securitized Opportunities Fund 06/30/2014 $10,972.00 $10,865.00 $0.00
Securitized Opportunities Fund 04/30/2014 $10,946.00 $10,837.00 $0.00
Securitized Opportunities Fund 03/31/2014 $10,844.00 $10,708.00 $0.00
Securitized Opportunities Fund 03/31/2014 $10,775.00 $10,610.00 $0.00
Securitized Opportunities Fund 01/31/2014 $10,784.00 $10,644.00 $0.00
Securitized Opportunities Fund 12/31/2013 $10,737.00 $10,608.00 $0.00
Securitized Opportunities Fund 12/31/2013 $10,582.00 $10,444.00 $0.00
Securitized Opportunities Fund 10/31/2013 $10,654.00 $10,494.00 $0.00
Securitized Opportunities Fund 09/30/2013 $10,671.00 $10,559.00 $0.00
Securitized Opportunities Fund 09/30/2013 $10,634.00 $10,488.00 $0.00
Securitized Opportunities Fund 07/31/2013 $10,520.00 $10,342.00 $0.00
Securitized Opportunities Fund 06/30/2013 $10,557.00 $10,372.00 $0.00
Securitized Opportunities Fund 06/30/2013 $10,541.00 $10,381.00 $0.00
Securitized Opportunities Fund 04/30/2013 $10,716.00 $10,482.00 $0.00
Securitized Opportunities Fund 03/31/2013 $10,869.00 $10,645.00 $0.00
Securitized Opportunities Fund 03/31/2013 $10,787.00 $10,589.00 $0.00
Securitized Opportunities Fund 01/31/2013 $10,770.00 $10,577.00 $0.00
Securitized Opportunities Fund 12/31/2012 $10,784.00 $10,594.00 $0.00
Securitized Opportunities Fund 12/31/2012 $10,742.00 $10,541.00 $0.00
Securitized Opportunities Fund 10/31/2012 $10,775.00 $10,580.00 $0.00
Securitized Opportunities Fund 09/30/2012 $10,755.00 $10,598.00 $0.00
Securitized Opportunities Fund 09/30/2012 $10,756.00 $10,616.00 $0.00
Securitized Opportunities Fund 07/31/2012 $10,694.00 $10,594.00 $0.00
Securitized Opportunities Fund 06/30/2012 $10,655.00 $10,582.00 $0.00
Securitized Opportunities Fund 06/30/2012 $10,566.00 $10,497.00 $0.00
Securitized Opportunities Fund 04/30/2012 $10,525.00 $10,485.00 $0.00
Securitized Opportunities Fund 03/31/2012 $10,449.00 $10,385.00 $0.00
Securitized Opportunities Fund 03/31/2012 $10,513.00 $10,452.00 $0.00
Securitized Opportunities Fund 01/31/2012 $10,435.00 $10,378.00 $0.00
Securitized Opportunities Fund 12/31/2011 $10,391.00 $10,368.00 $0.00
Securitized Opportunities Fund 12/31/2011 $10,328.00 $10,326.00 $0.00
Securitized Opportunities Fund 10/31/2011 $10,238.00 $10,254.00 $0.00
Securitized Opportunities Fund 09/30/2011 $10,184.00 $10,236.00 $0.00
Securitized Opportunities Fund 09/30/2011 $10,226.00 $10,236.00 $0.00
Securitized Opportunities Fund 07/31/2011 $10,185.00 $10,219.00 $0.00
Securitized Opportunities Fund 06/30/2011 $10,074.00 $10,093.00 $0.00
Securitized Opportunities Fund 06/30/2011 $10,000.00 $10,000.00 $0.00
View more archived data

The Growth of $10,000 chart is hypothetical based upon the performance of A Shares at NAV for the period ended 09/30/2017. It includes the reinvestment of dividends and capital gains.

Distribution

Monthly Dividend Distribution
as of (09/30/2017)
Month Class A Shares Class C Shares Inst'l Shares
September 2017 $0.0228 / share $0.0156 / share $0.0238 / share
August 2017 $0.0211 / share $0.0149 / share $0.0233 / share
July 2017 $0.0208 / share $0.0145 / share $0.0229 / share
June 2017 $0.0206 / share $0.0145 / share $0.0227 / share
May 2017 $0.0202 / share $0.0139 / share $0.0224 / share
April 2017 $0.0205 / share $0.0144 / share $0.0226 / share
March 2017 $0.0206 / share $0.0143 / share $0.0227 / share
February 2017 $0.0200 / share $0.0145 / share $0.0220 / share
January 2017 $0.0194 / share $0.0131 / share $0.0216 / share
December 2016 $0.0196 / share $0.0132 / share $0.0217 / share
November 2016 $0.0201 / share $0.0140 / share $0.0222 / share
October 2016 $0.0204 / share $0.0140 / share $0.0225 / share
30-Day SEC Yield
as of (09/30/2017)
Fund Class 30-Day SEC Yield
Without Waivers With Waivers
Class A 0.02% 0.03%
Class C 0.02% 0.02%
Class I 0.03% 0.03%

SEC Yield is an annualization of the Fund's total net investment income per share for the 30-day period ended on the last day of the month.

The Adviser has contractually agreed to limit the management fees paid by the fund to 0.31% for the period from February 1, 2015 through January 31, 2016. Performance would have been lower without limitations in effect.

Past performance does not guarantee future results.

 


Sterling Capital Funds are:

Not a deposit - Not FDIC insured - Not guaranteed by the bank - Not insured by any government agency - May lose value

An investor should consider a fund's investment objectives, risks, and charges and expenses carefully before investing or sending money. This and other important information about the Sterling Capital Funds can be found in the Funds' prospectus. To obtain a prospectus, please call 1 (888) 228-1872 or click here. Please read the prospectus carefully before investing.

Sterling Capital Management LLC, a separate subsidiary of BB&T Corporation, serves as investment adviser to the Sterling Capital Funds and is paid a fee for its services as described in the prospectus. The Funds are distributed by Sterling Capital Distributors LLC, which is not affiliated with Branch Banking and Trust Company or its affiliates. The Funds are not insured by the FDIC or any other government agency