U.S. Treasury Inflation Protection Fund (USTPF)

Fund Characteristics
Fund Performance (Net)
Risk and Disclosures

Fund Objective, Strategy and Holdings

U.S. Treasury Inflation Protection Fund (USTPF) seeks to provide investors with current income and to protect principal from long-term loss of purchasing power due to inflation by investing primarily in U.S. Treasury Inflation Protected Securities (TIPS).
 

Management

Neuberger Berman Investment Advisers is the primary subadviser of USTPF. The fund employs a passive investment strategy. The performance benchmark for USTPF is the Bloomberg Barclays U.S. Inflation Linked Bond Index. USTPF may use a sampling approach as an efficient and cost-effective alternative for creating a portfolio that closely matches the overall characteristics of the performance benchmark without investing in all of the fixed income securities in the benchmark.

Asset Manager

* Signatory to the United Nations Principles for Responsible Investment

U.S. TIPS Performance in Wespath’s Inflation Protection Fund

Neuberger Berman Investment Advisers LLC has managed a portfolio of U.S. TIPS in Wespath’s Inflation Protection Fund since January 31, 2004 (“U.S. Treasury Inflation Linked Assets“).

Fund Characteristics as of June 30, 2018

  USTPF USTPF
Benchmark
Effective Duration 8.22 8.36
Effective Convexity 1.22 1.27
Yield to Worst1 0.81% 0.77%
Effective Maturity 8.99 9.03
Average Quality Aaa Aaa

1 Does not reflect the deduction of fees.

 

Performance Review

The U.S. Treasury Inflation Protection Fund is a passively-managed fund designed to closely match the fund benchmark less fees and expenses. In 2017, the fund performed in-line with the benchmark.

Performance, Net of Fees - June 30, 2018

  3 mo YTD 1 yr 3 yr 5 yr 10 yr
U.S. Treasury Inflation
Protection Fund
0.63%
-0.26%
2.05%
N/A
N/A
N/A
USTPF Benchmark*
0.80%
-0.07%
2.26% N/A
N/A
N/A

*The performance benchmark for USTPF is the Bloomberg Barclays U.S. Inflation Linked Bond Index.


See Risk and Disclosures for more information regarding net-of-fees performance.

 

´╗┐Fund Distribution by Credit Quality as of June 30, 2018

USTPF chart 3


Expense Ratio

All expenses of the Fund are deducted from the Fund’s net asset value. The expenses include investment management fees, operating expenses, bank custodial fees and miscellaneous fund administration expenses. These expenses are paid directly by the Fund, and are reflected in the unit price calculated for the fund. The unit price is multiplied by the number of units held in each client’s account to determine the total value of the client’s holdings in the Fund.

USTPF’s inception date is June 30, 2017. Expenses from June 30, 2017 through December 31, 2017 were annualized. For 2017, the Fund’s expenses were equal to approximately 0.32% of the Fund’s total assets.

Risk and Disclosures

All investments carry some degree of risk that will affect the value of the fund’s holdings, its investment performance and the price of its units. As a result, loss of money is a risk of investing in the fund. USTPF is subject to the following principal investment risks: credit risk, deflation risk, interest rate risk, market risk, security-specific risk and yield curve risk.

Historical returns are not indicative of future performance. For further discussion of the Fund’s investments strategies and risks, please refer to Supplement #2 to the Wespath Investment Funds Description. This is not an offer to purchase securities. Offers will only be made through the Investment Funds Description.

Lending of Portfolio Securities

The fund seeks to earn additional income by lending a portion of its portfolio securities to brokers, dealers and other financial institutions. The loans are secured at all times by cash and liquid high-grade debt obligations. As with any extension of credit, there are risks of delay in recovery and in some cases even loss of rights in the collateral should the borrower fail financially. In addition, losses could result from the reinvestment of the cash collateral received on loaned securities.

Fund Facts

Inception June 30, 2017
Exp. Ratio 0.32% for 2017
Benchmark Bloomberg Barclays U.S. Inflation Linked Bond Index
Fund Assets $0.72 Billion as of July 31, 2018
Holdings June 30, 2018
Unit Price History Wespath Funds Price History
For More Information Summary Prospectus (USTPF) and Investment Funds Description (All Funds)

 

Fund Managers

frank-holsteen

Frank Holsteen

Director, Fixed Income
With Wespath since 2012
B.A. from Lake Forest College
 
 
constance-christian

Constance Christian, CFA

Manager, Fixed Income
With Wespath since 2016
BSBA and MBA from Xavier University
MA from DePaul University
 
 
 
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