DoubleLine Total Return Bond Fund Reaches 5-Year Anniversary

LOS ANGELES, April 9, 2015 /PRNewswire/ -- The DoubleLine Total Return Bond Fund (I shares DBLTX/N shares DLTNX), which launched on April 6, 2010, as of this week has a five-year track record.

The $46 billion DoubleLine Total Return Bond Fund ("the Fund") is managed by Jeffrey Gundlach, CEO and chief investment officer of DoubleLine Capital LP, and Philip Barach, president of DoubleLine. DoubleLine Capital LP, investment adviser for the Fund, was founded December 14, 2009.

Five-Year Total Return

For the five-year period from its April 6, 2010 inception through April 6, 2015, the Fund (I shares) delivered an annualized total return of 8.68%. The Fund's benchmark, the Barclays U.S. Aggregate Bond Index ("Barclays Aggregate"), had an annualized total return of 4.57%. The average annualized total return for the I Shares of the funds in Morningstar's intermediate-term bond fund category was 5.06%. Total return represents a fund or asset's generation of income plus its capital appreciation (or minus its capital depreciation), expressed as a percentage of invested principal.

Performance data quoted represents past performance; past performance does not guarantee future results.  The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than the original cost. Current performance of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month-end may be obtained by calling 213-633-8200 or by visiting www.doublelinefunds.com.

"The team managing the Fund strives to deliver excess total return within a context of rigorous risk management," said Ron Redell, president of the DoubleLine Funds. "Our investment and risk management professionals will continue to work diligently in our ongoing effort to meet that standard."

Volatility and Risk-Adjusted Return

From April 6, 2010 through April 6, 2015, the Fund delivered the previously referenced 8.68% annualized total return with volatility, as measured by standard deviation, of 3.21%, resulting in a Sharpe ratio of 3.73.

The Sharpe ratio is a measure of the excess return per unit of risk for an investment asset or a portfolio. By comparison, the Barclays Aggregate had a standard deviation of 3.97%, resulting in a Sharpe ratio of 1.62. The average standard deviation for the peer funds was 3.68%, resulting in a Sharpe ratio of 1.96.

Maximum Drawdown

Over the same five-year period, the Fund had a maximum drawdown of -3.97%. Maximum drawdown is an asset or fund's largest peak-to-trough decline over a given time period, calculated as the percentage from peak to trough. By comparison, the Barclays Aggregate had a maximum drawdown of -4.87% while the Morningstar peer fund category averaged a maximum drawdown of -4.99%.

Investment Teams

DoubleLine Capital LP, including affiliates, has 136 employees and managed $73 billion in assets as of the March 31 end of the first quarter of 2015. DoubleLine has investment professionals specialized in mortgage-backed securities, U.S. government securities, municipal bonds, developed markets corporate and sovereign debt, emerging markets corporate and sovereign debt, commodities and equities, as well  as cross-asset class allocation. Investment vehicles managed by DoubleLine include various mutual, exchanged-traded and closed-end funds; separate accounts; hedge funds; variable annuities; and other vehicles.

As portfolio managers of the DoubleLine Total Return Bond Fund, Mr. Gundlach and Mr. Barach head a 19-member team responsible for the Fund's investments in residential and commercial mortgage-backed securities, collateralized loan obligations and U.S. government securities. The senior members of the MBS team have worked together for approximately two decades, including at a prior employer.

Historically, the Fund has invested primarily in Agency and non-Agency residential mortgage-backed securities with smaller allocations to commercial mortgage-backed securities, collateralized loan obligations and U.S. Treasuries. By prospectus, the Fund can invest in other sectors of the fixed income universe. By prospectus, the Fund must have at least 50% of net assets in mortgage-backed securities rated AA-/Aa3 at the time of investment.

For more information on the Fund's portfolio composition and characteristics, please access the Fund's Statistics page at following web address:

http://doublelinefunds.com/funds/total_return/statistics.html

Share Class Information

DBLTX (I shares): Minimum initial investment is $100,000 for regular accounts and $5,000 for Individual Retirement Accounts (IRAs). There is no annual 12b-1 fee.

DLTNX (N shares): Minimum initial investment is $2,000 for regular accounts and $500 for IRAs. There is an annual 12b-1 fee of 0.25%.

About DoubleLine Capital LP

DoubleLine Capital LP, a registered investment adviser under the Investment Advisers Act of 1940, acts as the investment adviser for the Fund. DoubleLine and its affiliates managed $73 billion in assets held in closed- and open-end 1940 Act fund, separate account, hedge fund, variable annuity and UCIT vehicles as of the March 31 end of the first quarter of 2015. DoubleLine's headquarters is in Los Angeles, CA. Its offices can be reached by telephone at (213) 633-8200 or by e-mail at [email protected]. Media can reach DoubleLine by e-mail at [email protected]. DoubleLine® is a registered trademark of DoubleLine Capital LP.

Disclosures:
The fund's investment objectives, risks, charges and expenses must be considered carefully before investing. The statutory and summary prospectus contains this and other important information about the fund and may be obtained by calling 1 (877) 354-6311 / 1 (877) DLINE11 or visiting www.doublelinefunds.com. Please read the prospectus carefully before investing.
Mutual fund investing involves risk; Principal loss is possible.
Investments in debt securities typically decrease in value when interest rates rise. This risk is usually greater for longer-term debt securities. Investments in lower-rated and non-rated securities present a greater risk of loss to principal and interest than higher-rated securities. Investments in Asset-Backed and Mortgage-Backed Securities include additional risks that investors should be aware of such as credit risk, prepayment risk, possible illiquidity and default, as well as increased susceptibility to adverse economic developments.
The Fund may use certain types of investment derivatives. Derivatives involve risks different from, and in certain cases, greater than the risks presented by more traditional investments. Derivatives may involve certain costs and risk such as liquidity, interest rate, market, credit, management and the risk that a position could not be closed when most advantageous. Investing in derivatives could lose more than the amount invested. The Fund may also invest in securities related to real estate, which may decline in value as a result of factors affecting the real estate industry.
The DoubleLine Total Return Bond Fund intends to invest more than 50% of its net assets in mortgage-backed securities of any maturity or type. The Fund therefore, potentially is more likely to react to any volatility or changes in the mortgage-backed securities marketplace. These risks are greater for investments in emerging markets.

Standard Deviation is a statistical measure that is used by investors as a gauge for the amount of expected volatility.

Morningstar Intermediate-Term Bond Fund Category Average represents a universe of funds with similar investment objectives.

The Barclays Aggregate Bond Index is an index that covers the U.S. investment grade fixed rate bond market, with index components for government and corporate securities, mortgage pass-through securities and asset-backed securities.
One may not directly invest in an index.

Credit distribution is determined from the highest available credit rating from any Nationally Recognized Statistical Rating Organization (NRSRO) generally S&P, Moody's and Fitch.  DoubleLine chooses to display credit ratings using S&P's rating convention, although the rating itself might be sourced from another NRSRO.

DoubleLine Capital, LP is the Advisor to the DoubleLine Funds which are distributed by Quasar Distributors, LLC.

SOURCE DoubleLine

Related Links

http://www.doublelinefunds.com