The investment seeks high current income and capital appreciation, secondarily.
The fund invests primarily in high-yield, high-risk bonds, with varying maturities, including distressed securities that are in default. Under normal circumstances, it will invest at least 80% of its net assets (including borrowings for investment purposes) in high yield, high risk bonds, also known as "junk" bonds. The fund also may invest in trust preferred securities, taxable municipal securities, leveraged loans, asset-backed securities ("ABS"), including commercial mortgage-backed securities. In addition, it may invest in foreign debt securities.
The investment seeks high current income; as a secondary investment objective, it seeks capital appreciation.
Under normal market conditions, the High Yield Bond Fund invests at least 80% of its assets (plus any borrowings for investment purposes) in high-yield, fixed income securities (such as bonds, notes or debentures) that are rated below BBB-by Standard & Poor's Ratings Group or below Baa3 by Moody's Investors Service, similarly rated by another major rating service, or unrated and determined by the High Yield Bond Fund's investment adviser to be of comparable quality.