Overview
Investment Strategy
The Fund offers California investors double tax-free yields (income is exempt from regular federal and California state income tax but may be subject to alternative minimum tax) in a laddered municipal bond portfolio with an average maturity of less than five years. Investments with shorter average maturities, such as the Thornburg California Limited Term Municipal Fund, are less exposed to interest rate risk than investments with longer average maturities.
Fund Objective
Obtain as high a level of current income exempt from federal and California state individual income taxes as is consistent, in the view of the Fund's investment advisor, with preservation of capital. A secondary objective is to reduce expected changes in its share price compared to longer intermediate and long-term bond portfolios.
There is no guarantee that the Fund will meet its investment objectives. A portion of the Fund's dividends could be subject to the federal Alternative Minimum Tax.
Laddered Portfolio Strategy
Laddering involves building a portfolio of bonds with staggered maturities so that a portion of the portfolio will mature each year. To maintain the ladder, cash from maturing bonds is typically invested in bonds with longer maturities at the far end of the ladder. The strategy is a good compromise for managing different types of risk. Read More...
Fact Sheet (PDF)
Portfolio Manager Market Commentary
| Share Class |
Symbol |
| Fund Numbers | CUSIP | Inception Date | ||||
|---|---|---|---|---|---|---|---|---|---|
| A | LTCAX |
|
141 | 885-215-426 | 2/19/87 | ||||
| C | LTCCX |
|
641 | 885-215-418 | 9/1/94 | ||||
| Net Assets as of 5/31/09: $137.1 M | |||||||||
| Capital Gains Paid Annually: No 2008 Capital Gains Paid | |||||||||
| Dividends: Paid Monthly | |||||||||
Performance and Expenses
Average Annualized Total ReturnsImportant Information: Performance data shown represents past performance and is no guarantee of future results. Investment return and principal value will fluctuate so shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than quoted.
Month Ended - 6/30/09
| A Shares (LTCAX) | 1-Year | 3-Year | 5-Year | 10-Year | Inception* |
| Without sales charge | 3.33 % | 3.53 % | 2.83 % | 3.31 % | 4.68 % |
| With sales charge | 1.80 % | 3.01 % | 2.51 % | 3.16 % | 4.61 % |
| C Shares (LTCCX) | |||||
| Without sales charge | 3.06 % | 3.27 % | 2.57 % | 3.00 % | 3.45 % |
| With sales charge | 2.56 % | 3.27 % | 2.57 % | 3.00 % | 3.45 % |
Quarter Ended - 6/30/09
| A Shares (LTCAX) | 1-Year | 3-Year | 5-Year | 10-Year | Inception* |
| Without sales charge | 3.33 % | 3.53 % | 2.83 % | 3.31 % | 4.68 % |
| With sales charge | 1.80 % | 3.01 % | 2.51 % | 3.16 % | 4.61 % |
| C Shares (LTCCX) | |||||
| Without sales charge | 3.06 % | 3.27 % | 2.57 % | 3.00 % | 3.45 % |
| With sales charge | 2.56 % | 3.27 % | 2.57 % | 3.00 % | 3.45 % |
The maximum sales charge for the Fund's A shares is 1.50%. C shares include a 0.50% contingent deferred sales charge (CDSC) for the first year only.
*Inception date for Class A Shares -2/19/87; Class C Shares - 9/1/94.
Fund Operating Expenses
| Class A | Class C | |
| Gross Annual Operating Expenses (as reported in the most recent Prospectus) | 1.00 % |
1.78 % |
| Net Annual Operating Expenses (as reported in the most recent Prospectus)* | 0.99 % |
1.24 % |
| Actual Annualized Operating Expenses (fiscal year to date, as of 3/31/09) | 0.98 % |
1.24 % |
*Thornburg Investment Management intends to waive fees and reimburse expenses so that actual expenses do not exceed the net expense ratio, which reflects the annual operating expenses of the fund minus any fee waivers or expense reimbursements. The fee waivers and expense reimbursements are voluntary and may be terminated at any time. Without these waivers, total returns and yields would be lower.
For more information regarding fund expenses, please see the fund prospectus.|
30-day SEC Yield
with sales charge as of 5/31/09
|
Annualized Distribution Yield
with sales charge as of 5/31/09
|
Net Asset Value (NAV) History Inception to 5/31/09
| A Shares NAV since inception 2/19/87 | C Shares NAV since inception 9/1/94 | |||
| Beginning NAV: | $12.16 | Beginning NAV: | $12.56 | |
| NAV as of 6/30/09: | $12.63 | NAV as of 6/30/09: | $12.64 | |
The annualized distribution rate is calculated by multiplying the sum of the fund's total distributions for the month by twelve and dividing by the month-ending NAV with sales charge.
The SEC Yield is computed in accordance with SEC standards measuring the net investment income per share over a specified 30-day period expressed as a percentage of the maximum offering price of the Fund's shares at the end of the period.
Attributes
|
Key Portfolio Attributes
as of 5/31/09
|
Credit Quality Breakdown
as of 5/31/09
|
| % of bonds maturing in each year |
 |
Management
Portfolio Management Team
For biographies on the portfolio managers, click on their photo above.
More Info
Related Links and DownloadsInvestments in the Funds carry risks including possible loss of principal. As with direct bond ownership, funds that invest in bonds are subject to certain risks including interest-rate risk, credit risk, and inflation risk. The value of a bond will fluctuate relative to changes in interest rates; as interest rates rise, the overall price of bonds fall. Unlike bonds, bond funds have ongoing fees and expenses. Investments in the funds are not deposits or obligations of, or guaranteed or endorsed by, any bank, the Federal Deposit Insurance Corporation, the Federal Reserve Board or any governmental agency.
There is no guarantee that the Fund will meet its investment objectives.
Before investing, carefully consider the Fund’s investment goals, risks, charges, and expenses. For a prospectus containing this and other information, contact your financial advisor or visit our literature library. Read it carefully before investing.
Lipper’s large firm universe is comprised of fund families with more than $28 billion in total net assets. Only fund families with at least five bond funds were eligible. Risk-adjusted returns are calculated with dividends reinvested and without sales charges. Past performance does not guarantee future results. The individual funds may not have ranked number one in their categories.
Lipper ratings for Preservation reflect the funds’ historical loss avoidance relative to other funds within the fixed income asset class. The ratings are subject to change every month and are based on an equal-weighted average of percentile ranks for the Preservation metric over three-, five-, and ten-year periods (if applicable). The highest 20% of funds in each peer group are named Lipper Leader, or a score of 5, for Preservation, the next 20% receive a score of 4, the middle 20% are scored 3, the next 20% are scored 2, and the lowest 20% are scored 1. Preservation ratings are relative, rather than absolute, measures, and funds named Lipper Leaders for Preservation may still experience losses periodically; those losses may be larger for equity and mixed equity funds than for fixed income funds. Lipper ratings are not intended to predict future results, and Lipper does not guarantee the accuracy of this information. More information is available at www.lipperweb.com. Lipper Leader Copyright 2009, Reuters, All Rights Reserved.
The Fund rated a 5 for the 3-, 5-, and 10-year periods among 4,134; 3,661; and 2,404 funds respectively.
