Western Asset Core Bond Fund: A Detailed Exploration

Understanding the Western Asset Core Bond Fund

Western Asset Core Bond Fund (NYSE: WACRX) is an actively managed bond fund that seeks to provide investors with a high level of current income and capital preservation. The fund invests primarily in investment-grade bonds, which are considered to be of high quality and less risky than other types of bonds. WACRX has a long history of strong performance, having outperformed its benchmark, the Bloomberg US Aggregate Bond Index, in most years since its inception in 1971.

Key Features of the Western Asset Core Bond Fund

• High Income: WACRX offers a high level of current income, with a yield of 3.14% as of March 31, 2023.
• Capital Preservation: The fund invests primarily in investment-grade bonds, which are considered to be of high quality and less risky than other types of bonds.
• Active Management: WACRX is actively managed by a team of experienced portfolio managers who make investment decisions based on their own research and analysis.
• Long History of Performance: WACRX has a long history of strong performance, having outperformed its benchmark in most years since its inception in 1971.

Investing in the Western Asset Core Bond Fund

Investors can purchase shares of WACRX through a variety of channels, including mutual fund companies, discount brokerages, and financial advisors. The fund has a minimum investment requirement of $2,500 for new investors.

Benefits of Investing in the Western Asset Core Bond Fund

There are a number of benefits to investing in WACRX, including:

• Consistent Income: WACRX provides a high level of current income, which can be used to supplement retirement income or other financial goals.
• Diversification: Bonds are a different asset class than stocks, so adding WACRX to a portfolio can help to diversify risk.
• Capital Preservation: WACRX invests primarily in investment-grade bonds, which are considered to be of high quality and less risky than other types of bonds.
• Professional Management: WACRX is actively managed by a team of experienced portfolio managers who make investment decisions based on their own research and analysis.

Risks of Investing in the Western Asset Core Bond Fund

As with any investment, there are risks associated with investing in WACRX, including:

• Interest Rate Risk: Bonds are sensitive to interest rate changes. If interest rates rise, the value of WACRX could decline.
• Credit Risk: WACRX invests in corporate bonds, which carry the risk that the issuer could default on its obligations.
• Inflation Risk: Inflation can erode the value of the income generated by WACRX.

Comparing the Western Asset Core Bond Fund to Other Bond Funds

WACRX is just one of many bond funds available to investors. When comparing WACRX to other bond funds, it is important to consider the following factors:

• Yield: The yield is the annual rate of return that a bond fund pays to its shareholders. WACRX has a yield of 3.14% as of March 31, 2023.
• Expense Ratio: The expense ratio is the annual fee that a bond fund charges its shareholders. WACRX has an expense ratio of 0.37%.
• Performance: The performance of a bond fund is measured by its total return, which includes both income and capital appreciation. WACRX has outperformed its benchmark, the Bloomberg US Aggregate Bond Index, in most years since its inception in 1971.

Conclusion

The Western Asset Core Bond Fund is a well-managed bond fund that offers a high level of current income, capital preservation, and diversification. WACRX is a good option for investors who are seeking a conservative investment that can help them meet their financial goals.

Additional Information

For more information on the Western Asset Core Bond Fund, please visit the following websites:

• Western Asset Core Bond Fund
• Morningstar
• Lipper

Tables

Table 1: Western Asset Core Bond Fund Key Statistics

Table 2: Western Asset Core Bond Fund Holdings

Table 3: Western Asset Core Bond Fund Performance

Table 4: Western Asset Core Bond Fund Fees

FAQs

1. What is the Western Asset Core Bond Fund?

The Western Asset Core Bond Fund is an actively managed bond fund that seeks to provide investors with a high level of current income and capital preservation.

2. How do I invest in the Western Asset Core Bond Fund?

You can purchase shares of WACRX through a variety of channels, including mutual fund companies, discount brokerages, and financial advisors. The fund has a minimum investment requirement of $2,500 for new investors.

3. What are the benefits of investing in the Western Asset Core Bond Fund?

There are a number of benefits to investing in WACRX, including:

• Consistent Income
• Diversification
• Capital Preservation
• Professional Management

4. What are the risks of investing in the Western Asset Core Bond Fund?

As with any investment, there are risks associated with investing in WACRX, including:

• Interest Rate Risk
• Credit Risk
• Inflation Risk

5. How can I compare the Western Asset Core Bond Fund to other bond funds?

When comparing WACRX to other bond funds, it is important to consider the following factors:

• Yield
• Expense Ratio
• Performance

6. How do I get more information on the Western Asset Core Bond Fund?

For more information on the Western Asset Core Bond Fund, please visit the following websites:

• Western Asset Core Bond Fund
• Morningstar
• Lipper