Thornburg Limited Term U.S. Government Fund
Listed below is a month-by-month percentage breakdown of sources of interest income earned by Thornburg Limited Term U.S. Government Fund (the “Fund”) in 2007. Pension fund and IRA accounts should have no federal or state taxes due on these distributions. For accounts that are subject to federal income taxes on their income from Thornburg Limited Term U.S. Government Fund, some states and/or localities do not require you to pay state or local income tax on income derived from certain federal agency bonds. Generally speaking, these agencies are listed under the section Non-taxable by Certain States and Localities. Please consult your tax advisor as to the extent and effect of such tax treatment in your state of residence.
The Fund did not declare capital gains distributions in 2007.
Taxable
| Jan | Feb | Mar | Apr | May | June | July | Aug | Sep | Oct | Nov | Dec | Avg 07 | |
| Mortgage Backed Securities | 15.83% | 15.77% | 14.88% | 14.40% | 15.75% | 27.00% | 29.61% | 34.59% | 38.43% | 38.72% | 38.57% | 39.21% | 27.19% |
| Agencies | 7.43% | 7.25% | 7.30% | 7.30% | 6.93% | 7.18% | 4.85% | 4.71% | 4.78% | 4.82% | 4.68% | 4.57% | 5.95% |
| Other | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
| Sub-total | 23.26% | 23.02% | 22.18% | 21.70% | 22.68% | 34.18% | 34.46% | 39.30% | 43.21% | 43.54% | 43.25% | 43.78% | 33.14% |
Non-Taxable by Certain States and Localities
| U.S. Treasury Notes | 39.38% | 43.57% | 52.58% | 55.70% | 52.60% | 44.19% | 44.16% | 42.17% | 39.21% | 38.40% | 36.64% | 37.15% | 43.72% |
| Agencies | 37.36% | 33.41% | 25.24% | 22.60% | 24.72% | 21.63% | 21.38% | 18.53% | 17.58% | 18.06% | 20.11% | 19.07% | 23.14% |
| Other | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
| Sub-total | 76.74% | 76.98% | 77.82% | 78.30% | 77.32% | 65.82% | 65.54% | 60.70% | 56.79% | 56.46% | 56.75% | 56.22% | 66.86% |
| Total | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% |
Tax Rules are complex. Please consult your tax advisor.
Investments in the Fund carry risks including possible loss of principal. The Fund invests a portion of the assets in Mortgage Backed Securities which are subject to pre-payment risk. This may reduce the potential for capital appreciation and may cause greater volatility in the Fund. 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 principal value of bond funds will fluctuate relative to changes in interest rates; decreasing when interest rates rise. Unlike bonds, bond funds have ongoing fees and expenses Investments in the Fund are not FDIC insured, nor are they deposits of or guaranteed by a bank or any other entity.
Carefully consider the Fund’s investment objectives, risks, sales charges, and expenses; these are found in the prospectus, which is available from your financial advisor or from our download library. Read it carefully before you invest or send money.
