MISSION WOODS, Kan., March 21, 2017 /PRNewswire/ -- Palmer Square Capital Management is pleased to announce that its Palmer Square Income Plus Fund (PSYPX) has received Morningstar's highest rating, 5-stars, for the overall period as of February 28, 2017. PSYPX is included in the Ultra Short Bond Morningstar Category which is comprised of 134 funds. The rating is based upon risk-adjusted returns.
Morningstar's 5-star rating provides compelling validation of our experienced corporate and structured credit investment team and our disciplined and repeatable investment processes," said Palmer Square President, Christopher D. Long. "And, most importantly, it underscores our ongoing commitment to deliver attractive risk-adjusted returns for our clients."
Added Chief Investment Officer, Angie Long, "Our team is focused on exploiting absolute and relative value opportunities across US credit with the goal of strong risk- adjusted returns over a market cycle. Core to this philosophy is an ability to not only do cross-asset relative value and top down industry analysis, but also granular bottom-up company and trade specific work. Ultimately, we believe our investment approach is designed to provide downside protection and maximize risk-adjusted returns so we are so pleased with this recognition."
Palmer Square Income Plus Fund (PSYPX) is an opportunistic fixed income strategy that seeks to achieve its income investment objective by maintaining low interest rate and credit spread duration, high credit quality, and solid yields. PSYPX invests primarily in bank loans, CLOs, traditional ABS/MBS, and short-duration corporate bonds. As such, it has historically provided traditional 'fixed rate' fixed income portfolios with diversification as it may help hedge interest rate and inflation exposure. Finally, PSYPX provides a diversified stream of income as the strategy primarily invests in areas not traditionally associated with traditional fixed income.
About Palmer Square Capital Management
Based right outside Kansas City, MO, Palmer Square Capital Management manages portfolios of corporate and structured credit for a diverse set of clients across institutional investors, registered investment advisory firms, broker-dealers and high net worth individuals. As of February 28, 2017, Palmer Square managed approximately $4.0 billion in assets.
The risks of an investment in a collateralized debt obligation depend largely on the type of the collateral securities and the class of the debt obligation in which the Fund invests. Collateralized debt obligations are generally subject to credit, interest rate, valuation, prepayment and extension risks. These securities are also subject to risk of default on the underlying asset, particularly during periods of economic downturn. Defaults, downgrades, or perceived declines in creditworthiness of an issuer or guarantor of a debt security held by the Fund, or a counterparty to a financial contract with the Fund, can affect the value of the Fund's portfolio. Credit loss can vary depending on subordinated securities and non-subordinated securities. If interest rates fall, an issuer may exercise its right to prepay their securities. If this happens, the Fund will not benefit from the rise in market price, and will reinvest prepayment proceeds at a later time. The Fund may lose any premium it paid on the security. If interest rates rise, repayments of fixed income securities may occur more slowly than anticipated by the market which may result in driving the prices of these securities down. The Fund is "non-diversified," meaning the Fund may invest a larger percentage of its assets in the securities of a smaller number of issuers than a diversified fund. Investment in securities of a limited number of issuers exposes the Fund to greater market risk and potential losses than if its assets were diversified among the securities of a greater number of issuers. Foreign investments present additional risk due to currency fluctuations, economic and political factors, government regulations, differences in accounting standards and other factors. Investments in emerging markets involve even greater risks. High yield securities, commonly referred to as "junk bonds", are rated below investment grade by at least one of Moody's, S&P or Fitch (or if unrated, determined by the Fund's advisor to be of comparable credit quality high yield securities). The Fund is new and has a limited history of operations.
Please read the prospectus carefully before investing. For a prospectus, or summary prospectus, that contains this and other information about the Funds, call 866-933-9033 or visit our website at www.palmersquarefunds.com.Please read the prospectus, or summary prospectus carefully before investing.
The Palmer Square Income Plus Fund is distributed by IMST Distributors, LLC.
For each fund with at least a three-year history, Morningstar calculates a Morningstar RatingTM based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a fund's monthly performance (including the effects of sales charges, loads and redemption fees), placing more emphasis on downward variations and rewarding consistent performance. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star. (Each share class is counted as a fraction of one fund within the scale and rated separately, which may cause slight variations in the distribution percentages.) The Overall Morningstar Rating for a fund is derived from a weighted average of performance figures associated with its three-, five- and 10-year (if applicable) Morningstar Rating metrics. In the U.S.-domiciled Ultra Short Bond category, the Palmer Square Income Plus Fund was rated 5 stars out of 134 funds overall. Past performance is no guarantee of future results.
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This update is limited to the dissemination of general information pertaining to Palmer Square Capital Management's services and general economic market conditions. The information contained herein is not intended to be personal legal or investment advice or a solicitation to buy or sell any security or engage in a particular investment strategy.
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SOURCE Palmer Square Capital Management