Tax-Exempt High Yield Bond Fund
Data updated: 2026-09-25
C000155370 — Tax-Exempt High Yield Bond Fund. Long Corporate Bond · $2.17B AUM · 0.89% expense ratio. Holdings, fees, performance and SEC filings.
C000155370 Fund Overview
Tax-Exempt High Yield Bond Fund is a US mutual fund managed by Russell Investment CO, categorised as Long Corporate Bond. ABC INVEST provides holdings, performance, costs, cashflows, risk data, prospectus documents and SEC filings, sourced from SEC filings.
- Type: US mutual fund
- Manager: Russell Investment CO
- Category: Long Corporate Bond
- Assets under management: $2.17B
- SEC CIK: 0000351601
- SEC series ID: S000049244
- Share class ID: C000155370
C000155370 Investment Objective and Strategy
Tax-Exempt High Yield Bond Fund describes its objective and strategy as follows, from its latest prospectus filed with the SEC by Russell Investment CO.
Investment objective
The Fund seeks to provide a high level of current income that is exempt from federal tax,
Principal investment strategy
The Fund has a fundamental policy to invest, under normal circumstances, at least 80% of the value of its net assets plus borrowings for investment purposes in fixed income investments the income from which is exempt from federal income tax. The Fund invests principally in municipal debt obligations providing federal tax-exempt interest income, but may invest up to 20% of the value of its net assets plus borrowings for investment purposes in municipal debt securities, the interest on which is subject to the alternative minimum tax. The Fund generally intends to invest a substantial portion of its assets in medium- to low-quality municipal debt securities including municipal debt securities that are the subject of bankruptcy proceedings, that are in default as to the payment of principal or interest, or that are rated in the lowest rating category by a nationally recognized statistical rating organization (NRSRO).
The Fund generally expects to invest between 30% and 60% of its assets in municipal debt securities that are rated below investment grade by one or more NRSROs (commonly referred to as high-yield or junk bonds), including those in default, or in unrated securities judged to be of comparable quality. The Fund may invest in industrial development bonds. Russell Investment Management, LLC (RIM) provides or oversees the provision of all investment advisory and portfolio management services for the Fund. The Funds assets are managed by RIM and multiple money managers unaffiliated with RIM pursuant to a multi-manager approach. RIM manages Fund assets not allocated to money manager strategies and utilizes quantitative and/or rules-based processes and qualitative analysis to assess Fund characteristics and invest in securities and instruments which provide the desired exposures.
RIM may use strategies based on indexes. RIM also manages the Funds cash balances. The Fund invests in derivative instruments and may use derivatives to take both long and short positions. A portion of the Funds net assets may be illiquid securities. The Fund may invest in commercial paper. The Fund may also invest in puts, stand-by commitments and demand notes (including variable rate demand notes). The Fund may enter into repurchase agreements. The Fund may seek to limit the effect of holding cash reserves on the Funds exposures by investing in pre-refunded municipal bonds to provide the Fund with longer duration exposure. Duration is a measure of sensitivity to interest rate changes and not time. RIM may choose to invest in pre-refunded municipal bonds to manage Fund exposures. Please refer to the Investment Objective and Investment Strategies section in the Funds Prospectus for further information.
C000155370 Holdings
Top 10 holdings of Tax-Exempt High Yield Bond Fund by percentage of net assets, from the fund's latest SEC N-PORT filing.
| Holding | % of net assets |
|---|---|
| Russell Investments Trust Company Commingled Employee Benefit Funds Trust-U.S. Cash Management Fund | 5.70% |
| Buckeye Tobacco Settlement Financing Authority | 0.88% |
| Puerto Rico Sales Tax Financing Corp Sales Tax Revenue | 0.82% |
| Puerto Rico Sales Tax Financing Corp Sales Tax Revenue | 0.64% |
| New York State Dormitory Authority | 0.57% |
| Skyfall Infrastructure Financing District | 0.55% |
| San Francisco City & County Airport Comm-San Francisco International Airport | 0.49% |
| Salt River Project Agricultural Improvement & Power District | 0.48% |
| Puerto Rico Commonwealth Aqueduct & Sewer Authority | 0.47% |
| Indiana Housing & Community Development Authority | 0.46% |
C000155370 Portfolio Allocation
Asset-class allocation of Tax-Exempt High Yield Bond Fund by percentage of net assets, from the latest SEC N-PORT filing.
| Asset class | Allocation |
|---|---|
| Fixed Income | 93.6% |
| Cash & Equivalents | 5.7% |
C000155370 Costs and Fees
C000155370 costs about $89 per $10,000 invested per year in fund expenses.
- Net expense ratio: 0.89%
- Gross expense ratio: 1.06%
- Portfolio turnover: 22%
- Brokerage commissions: 0.02 bps of average net assets (SEC N-CEN)
C000155370 Cashflows
Over the 12 months to 2026-04, Tax-Exempt High Yield Bond Fund had net inflows of $310.62M, from monthly SEC N-PORT filings.
| Month | Net flow |
|---|---|
| 2026-04 | $31.31M |
| 2026-03 | −$25.33M |
| 2026-02 | $42.44M |
| 2026-01 | $40.76M |
| 2025-12 | $20.01M |
| 2025-11 | $24.33M |
C000155370 Debt Constituents
Largest debt holdings of Tax-Exempt High Yield Bond Fund by percentage of net assets, from the latest SEC N-PORT filing.
| Debt holding | % of net assets |
|---|---|
| Buckeye Tobacco Settlement Financing Authority | 0.88% |
| Puerto Rico Sales Tax Financing Corp Sales Tax Revenue | 0.82% |
| Puerto Rico Sales Tax Financing Corp Sales Tax Revenue | 0.64% |
| New York State Dormitory Authority | 0.57% |
| Skyfall Infrastructure Financing District | 0.55% |
| San Francisco City & County Airport Comm-San Francisco International Airport | 0.49% |
| Salt River Project Agricultural Improvement & Power District | 0.48% |
| Puerto Rico Commonwealth Aqueduct & Sewer Authority | 0.47% |
| Indiana Housing & Community Development Authority | 0.46% |
| GDB Debt Recovery Authority of Puerto Rico | 0.45% |
C000155370 Prospectus and SEC Filings
Official Tax-Exempt High Yield Bond Fund filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.
- Prospectus (485BPOS) — filed 2026-02-27
- Prospectus (485BPOS) — filed 2025-02-28
- Prospectus (485BPOS) — filed 2024-02-28
- Portfolio holdings (N-PORT) — filed 2026-09-25
- Portfolio holdings (N-PORT) — filed 2026-06-22
- Portfolio holdings (N-PORT) — filed 2026-03-26
- Annual census (N-CEN) — filed 2026-01-09
- Annual census (N-CEN) — filed 2025-01-10
Related Funds
Other Long Corporate Bond funds tracked on ABC INVEST:
Data Sources
ABC INVEST compiles this page from public filings made to the U.S. Securities and Exchange Commission (SEC) through EDGAR: portfolio holdings and monthly cashflows from Form N-PORT, expenses and returns from fund prospectuses (Form 485BPOS) and the SEC DERA Risk/Return Summary data sets, annual data from Form N-CEN, and shareholder reports from Form N-CSR.