PPM Long Short Credit Fund
Data updated: 2020-11-24
C000198337 — PPM Long Short Credit Fund. Money Market · $41.76M AUM · 1.20% expense ratio. Holdings, fees, performance and SEC filings.
C000198337 Fund Overview
PPM Long Short Credit Fund is a US mutual fund managed by PPM Funds, categorised as Money Market. ABC INVEST provides holdings, performance, costs, cashflows, risk data, prospectus documents and SEC filings, sourced from SEC filings.
- Type: US mutual fund
- Manager: PPM Funds
- Category: Money Market
- Assets under management: $41.76M
- SEC CIK: 0001722478
- SEC series ID: S000061239
- Share class ID: C000198337
C000198337 Investment Objective and Strategy
PPM Long Short Credit Fund describes its objective and strategy as follows, from its latest prospectus filed with the SEC by PPM Funds.
Investment objective
The Fund seeks to maximize total return through a combination of current income and capital appreciation, consistent with capital preservation.
Principal investment strategy
The Fund seeks to maximize total return under a variety of market conditions and economic cycles through a long/short strategy that utilizes sector allocation, security selection, interest rate risk management and various other strategies. Long positions are taken to establish credit exposure to a single issuer, industry or sector where PPM identifies relative value opportunities. Short positions are generally established to match long positions in an effort to isolate and capture credit-specific risk opportunities or to take credit risk in securities or sectors with poor credit outlooks or perceived overvaluations. The Fund may also seek to capture relative price dislocations between or within sectors, ratings and an issuers capital structure. The Fund may establish long and short positions in investments in securities or through the use of derivatives.
The Fund seeks to achieve its investment objective by investing under normal circumstances at least 80% of its assets (net assets plus the amount of any borrowings made for investment purposes) in credit-related instruments. For this purpose, credit-related instruments include, but are not limited to, corporate bonds, mortgage-related securities and asset-backed securities, senior secured floating rate and fixed rate loans or debt, and second lien or other subordinated or unsecured floating rate and fixed rate loans or debt. The Fund may invest in securities sold pursuant to Rule 144A of the Securities Act of 1933, as amended. Rule 144A securities are restricted securities that can be resold to qualified institutional buyers but not to the general public. The Fund may invest in fixed, variable and floating rate credit-related instruments, which may be of any duration or maturity.
The Fund may invest in fixed income securities of US and non-US issuers located in developed and emerging market countries. The Fund may invest in credit-related instruments (i) rated investment grade or, if unrated, determined by PPM to be of comparable quality, and (ii) rated below investment grade (sometimes referred to as high yield or junk bonds) or, if unrated, deemed equivalent by PPM. Below investment grade securities typically offer a higher yield, but generally carry more risks than higher rated securities with similar maturities. As a result, an investment in below investment grade securities is considered speculative. For purposes of satisfying the 80% requirement, the Fund may also invest without limit in derivative or other synthetic instruments that have economic characteristics similar to the fixed income instruments mentioned above such as treasury futures contracts , credit default swaps, or credit default swap indices subject to applicable law and any other restrictions described in the Funds prospectus or Statement of Additional Information.
The Fund may use derivatives for hedging or non-hedging purposes. The Fund intends to use derivatives to earn income and enhance returns, to manage or adjust the risk profile of the Fund, to replace more traditional direct investments, or to obtain exposure to certain markets. The Fund also may use derivatives to establish net short positions for individual markets, currencies and securities or to adjust the Funds portfolio duration. In addition, the Fund may establish short positions in fixed income securities through the use of derivative instruments to achieve a negative portfolio duration in an effort to take advantage of periods of rising interest rates and provide the potential for appreciation. The Fund may invest, without limitation, in securities denominated in foreign currencies and in US dollar-denominated securities of foreign issuers, including emerging market issuers.
Based on PPMs assessment of the Funds foreign currency exposure, PPM may (but is not required to) hedge a portion of the Funds exposure relative to the US dollar through the use of currency futures and forwards and other derivatives. The Fund may invest in equity instruments, including common stocks, depositary receipts, rights, warrants and other instruments whose price is linked to the value of common stocks. The Fund may hold long or short positions in equity instruments, and may invest in equity instruments of issuers of any market capitalization. The Fund may engage in short sales for hedging purposes or to enhance total return. The Fund may engage in active and frequent trading of portfolio securities to achieve its primary investment strategies. The Fund also has the ability to invest in money market funds.
C000198337 Costs and Fees
C000198337 costs about $120 per $10,000 invested per year in fund expenses.
- Net expense ratio: 1.20%
- Gross expense ratio: 1.30%
- Portfolio turnover: 74%
- Brokerage commissions: 0.44 bps of average net assets (SEC N-CEN)
C000198337 Cashflows
Over the 12 months to 2020-09, PPM Long Short Credit Fund had net inflows of $1.41M, from monthly SEC N-PORT filings.
| Month | Net flow |
|---|---|
| 2020-09 | $83.48K |
| 2020-08 | $96.04K |
| 2020-07 | $85.56K |
| 2020-06 | $95.90K |
| 2020-05 | $105.66K |
| 2020-04 | $632.25K |
C000198337 Debt Constituents
No individual debt constituents are reported in PPM Long Short Credit Fund's latest SEC N-PORT filing.
C000198337 Prospectus and SEC Filings
Official PPM Long Short Credit Fund filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.
- Prospectus (485BPOS) — filed 2020-05-14
- Prospectus (485BPOS) — filed 2019-05-14
- Prospectus (485BPOS) — filed 2018-05-08
- Portfolio holdings (N-PORT) — filed 2020-11-24
- Portfolio holdings (N-PORT) — filed 2020-08-28
- Portfolio holdings (N-PORT) — filed 2020-05-29
- Annual census (N-CEN) — filed 2020-03-13
- Annual census (N-CEN) — filed 2019-03-15
Related Funds
Other Money Market 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.