Is SDSYX a Strong Bond Fund Right Now?
Have you been searching for an Investment Grade Bond - Intermediate fund? You might want to begin with Western Asset Global Strategy Income I (SDSYX). SDSYX holds a Zacks Mutual Fund Rank of 3 (Hold), which is based on various forecasting factors like size, cost, and past performance.
Objective
We note that SDSYX is an Investment Grade Bond - Intermediate option, which is a segment loaded with many different investment options. By targeting bonds that mature in more than three years but less than 15 years, Investment Grade Bond - Intermediate funds are a middle of the curve option. Fixed income instruments at this maturity level usually have medium duration risk, but their yields are respectable, especially in comparison to their short-maturity counterparts. Additionally, a focus on investment grade makes these funds safer, but yields tend to be lower than in the junk bond category.
History of Fund/Manager
Franklin is responsible for SDSYX, and the company is based out of San Mateo, CA. Western Asset Global Strategy Income I debuted in October of 1995. Since then, SDSYX has accumulated assets of about $42.34 million, according to the most recently available information. The fund's current manager is a team of investment professionals.
Performance
Obviously, what investors are looking for in these funds is strong performance relative to their peers. SDSYX has a 5-year annualized total return of 4.09% and is in the middle third among its category peers. Investors who prefer analyzing shorter time frames should look at its 3-year annualized total return of 3.76%, which places it in the bottom third during this time-frame.
It is important to note that the product's returns may not reflect all its expenses. Any fees not reflected would lower the returns. Total returns do not reflect the fund's [%] sale charge. If sales charges were included, total returns would have been lower.
Advertisement: High Yield Savings Offers
When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. Over the past three years, SDSYX's standard deviation comes in at 6.94%, compared to the category average of 12.19%. The fund's standard deviation over the past 5 years is 6.39% compared to the category average of 11.87%. This makes the fund less volatile than its peers over the past half-decade.
SDSYX carries a beta of 0.54, meaning that the fund is less volatile than a broad market index of fixed income securities. With this in mind, it has a positive alpha of 4.32, which measures performance on a risk-adjusted basis.