Tax-Exempt High Yield Bond Fund
Offering tax-sensitive diversification
The Fund seeks to provide a high level of current income that is exempt from federal tax, and as a secondary objective, total return.
The Fund has a fundamental policy to invest, under normal circumstances, at least 80% of the value of its net assets plus borrowings for investment purposes in fixed income investments the income from which is exempt from federal income tax. This fundamental policy can only be changed by a vote of the shareholders of the Fund. The 80% investment requirement applies at the time the Fund invests its assets.
The Tax-Exempt High Yield Bond Fund invests principally in municipal debt obligations providing federal tax-exempt interest income. Specifically, these obligations are debt obligations issued by states, territories and possessions of the U.S. and the District of Columbia. Some of the Fund's earnings may be subject to federal income tax and most may be subject to state and local taxes. Income may also be subject to the alternative minimum tax.
The Fund employs multiple money managers unaffiliated with Russell Investments, each with its own expertise in the municipal debt securities market.
Growth of hypothetical $10,000 (since inception) - Class S
As of 11/30/2019
|6/1/2015 12:00:00 AM||10000|
|6/30/2015 12:00:00 AM||9930|
|7/31/2015 12:00:00 AM||9974.071|
|8/31/2015 12:00:00 AM||9983.884|
|9/30/2015 12:00:00 AM||10088.451|
|10/31/2015 12:00:00 AM||10219.843|
|11/30/2015 12:00:00 AM||10295.496|
|12/31/2015 12:00:00 AM||10401.309|
|1/31/2016 12:00:00 AM||10513.59|
|2/29/2016 12:00:00 AM||10571.39|
|3/31/2016 12:00:00 AM||10697.522|
|4/30/2016 12:00:00 AM||10818.132|
|5/31/2016 12:00:00 AM||10913.353|
|6/30/2016 12:00:00 AM||11158.634|
|7/31/2016 12:00:00 AM||11192.816|
|8/31/2016 12:00:00 AM||11256.63|
|9/30/2016 12:00:00 AM||11281.957|
|10/31/2016 12:00:00 AM||11134.37|
|11/30/2016 12:00:00 AM||10611.481|
|12/31/2016 12:00:00 AM||10639.208|
|1/31/2017 12:00:00 AM||10734.961|
|2/28/2017 12:00:00 AM||10874.653|
|3/31/2017 12:00:00 AM||10929.341|
|4/30/2017 12:00:00 AM||11038.506|
|5/31/2017 12:00:00 AM||11220.195|
|6/30/2017 12:00:00 AM||11221.992|
|7/31/2017 12:00:00 AM||11286.519|
|8/31/2017 12:00:00 AM||11436.071|
|9/30/2017 12:00:00 AM||11426.224|
|10/31/2017 12:00:00 AM||11384.768|
|11/30/2017 12:00:00 AM||11412.439|
|12/31/2017 12:00:00 AM||11538.72|
|1/31/2018 12:00:00 AM||11516.636|
|2/28/2018 12:00:00 AM||11500.442|
|3/31/2018 12:00:00 AM||11610.376|
|4/30/2018 12:00:00 AM||11649.932|
|5/31/2018 12:00:00 AM||11836.249|
|6/30/2018 12:00:00 AM||11898.377|
|7/31/2018 12:00:00 AM||11968.141|
|8/31/2018 12:00:00 AM||12043.171|
|9/30/2018 12:00:00 AM||11968.727|
|10/31/2018 12:00:00 AM||11809.375|
|11/30/2018 12:00:00 AM||11854.761|
|12/31/2018 12:00:00 AM||11949.35|
|1/31/2019 12:00:00 AM||12006.854|
|2/28/2019 12:00:00 AM||12137.099|
|3/31/2019 12:00:00 AM||12404.898|
|4/30/2019 12:00:00 AM||12501.578|
|5/31/2019 12:00:00 AM||12682.33|
|6/30/2019 12:00:00 AM||12747.215|
|7/31/2019 12:00:00 AM||12817.577|
|8/31/2019 12:00:00 AM||13039.291|
|9/30/2019 12:00:00 AM||13004.562|
|10/31/2019 12:00:00 AM||13015.773|
|11/30/2019 12:00:00 AM||13061.056|
|Ex-Date||Income Dividend||Capital Gains - Short Term||Capital Gains - Long Term|
Performance information is historical and does not guarantee future results. Investment return and principal value will fluctuate so that redeemed shares may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Current to the most recent month-end performance for Russell Investment Company mutual funds is available by visiting: https://russellinvestments.com/us/funds/performance-prices
Holdings, sector weights, and quality ratings (where applicable) are share class agnostic.
Top 10 Holdings✝
As of 11/30/2019
|East Baton Rouge Parish Industrial Development Boa||1.28%|
|Puerto Rico Sales Tax Financing Corp. Sales Tax Re||1.13%|
|Mississippi Business Finance Commission Revenue Bo||1.02%|
|Puerto Rico Highways & Transportation Authority Revenue Bonds 5.250% 01-Jul-2038||0.79%|
|Connecticut State Health & Educational Facility Au||0.79%|
|PUERTO RICO SALES TAX FING COR PRCGEN 07/40 FIXED||0.73%|
|California Municipal Finance Authority Revenue Bon||0.59%|
|Massachusetts Development Finance Agency Revenue B||0.51%|
|Golden State Tobacco Securitization Corp. Revenue||0.50%|
|COLORADO ST HLTH FACS AUTH HOS COSMED 08/49 FIXED||0.50%|
As of 11/30/2019
|Health Care Revenue||15.70%|
|Refunded and Special Obligations||1.30%|
|Pollution Control Revenue||1.10%|
†The top ten holdings list excludes shares of the investment vehicles in which the Fund invests its cash. The % of Portfolio value is subject to change.
✻Sector allocations and credit quality exposures may not equal 100 percent as a result of the fund's use of certain financial instruments such as futures, forwards, options, swaps and when issued transactions or forward commitments. Managers utilize these instruments as a substitute for holding securities directly, for hedging purposes, to take a net short position in certain markets or to adjust the interest rate sensitivity and duration of the portfolio. In the event short positions are created, they may be reflected as negative weightings in sector allocations and credit quality exposures.
ƩThe sum of the debt instrument quality ratings is based upon the Barclays index methodology, which reflects the ratings of S&P and Moody's such that if both S&P and Moody's rate an instrument, the lower of the two ratings is used, and if only one rates the instrument, that rating is used. If the debt instrument has not been rated by any of these two ratings agencies, the security is classified as "Unrated."
Fund objectives, risks, charges and expenses should be carefully considered before investing. A summary prospectus, if available, or a prospectus containing this and other important information can be obtained by calling 800-787-7354 or by visiting the prospectus and reports page to download one. Please read the prospectus carefully before investing.
Please remember that all investments carry some level of risk, including the potential loss of principal invested. They do not typically grow at an even rate of return and may experience negative growth. As with any type of portfolio structuring, attempting to reduce risk and increase return could, at certain times, unintentionally reduce returns.
Diversification and multi-asset solutions do not assure a profit and do not protect against loss in declining markets.
Securities products and services offered through Russell Investments Financial Services, LLC, member FINRA, part of Russell Investments.
For information on the Financial Industry Regulatory Authority, go to www.finra.org.