VESDX — VELA Short Duration Fund

VESDX Fund Overview

VESDX — VELA Short Duration Fund is a US mutual fund managed by VELA Funds, categorised as Short 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: VELA Funds
• Category: Short Corporate Bond
• Assets under management: $46.65M
• 1-year return: 4.0%
• Ticker: VESDX
• SEC CIK: 0001815493
• SEC series ID: S000083352
• Share class ID: C000246926

VESDX Investment Objective and Strategy

VELA Short Duration Fund describes its objective and strategy as follows, from its latest prospectus filed with the SEC by VELA Funds.

Investment objective

The primary investment objective of the VELA Short Duration Fund (the Fund) is to provide current income while the secondary objectives are protection of principal and competitive total return.

Principal investment strategy

The fund, under normal market conditions, invests at least 80% of its assets in fixed income securities across a broad group of industries, geographies, and company market capitalizations. These securities, in the opinion of VELA Investment Management, LLC (the Adviser), will offer the opportunity for current income, protection of principal, and competitive total return. To achieve these goals, the fund will primarily own corporate bonds of U.S. domiciled companies (both investment grade and below-investment grade, i.e., high yield or junk bonds) and can also own securities issued or guaranteed by the U.S. Government, its agencies or government-sponsored enterprises, money market instruments, mortgage-backed and asset-backed securities, loans, non-rated securities. While the Adviser will maintain discretion as to the weighting of below-investment grade bonds included in the fund at any point in time, the Adviser expects that under normal market conditions the overall weighted average credit rating of the fund will be investment grade.

Investment grade securities are those rated in the Baa3 or higher categories by Moodys Investors Service, Inc. (Moodys), or in the BBB- or higher categories by Standard & Poors Ratings Services, (S&P), or Fitch Ratings Ltd. (Fitch) or, if unrated, determined to be of comparable credit quality by the Adviser. Further, under normal market conditions, the funds portfolio will maintain an average aggregate modified duration of between zero and three. Modified duration is a measure of a bond prices sensitivity to a given change in interest rates. Generally, the longer the duration of a bond or portfolio of bonds, the greater the price sensitivity to changing interest rates. As an example, a bond with a modified duration of three is expected to experience a 3% drop in price for every 1% increase in interest rates; conversely, a 1% decline in interest rates is expected to lead to a 3% increase in the price of a bond with duration of three.

The fund attempts to manage its interest rate risk through its management of dollar-weighted average modified duration of the securities in the fund, as well as manage the overall risk of the fund through credit analysis focused on company assets, free cash flow, earnings, economic prospects, and a companys overall capital structure. The latter includes an understanding of types and maturities of debt, preferred equity, solvency and liquidity ratios, and other metrics and obligations of issuers of bonds held in the fund. Consistent with the goals of current income, capital preservation and competitive overall total return, the Adviser does not anticipate a high amount of turnover of fund holdings. In most cases, the Adviser will purchase securities intending to hold them to maturity to achieve the outcome expected at the time of investment.

However, the Adviser may elect to sell a security based on a similar analysis used prior to an initial investment primarily, examining the creditworthiness of the issuer and valuation of the security, or to take advantage of what the Adviser believes are better investment opportunities, to raise cash for expenses or redemptions, or to reduce the funds exposure to a particular issuer, industry, sector or other factor.

VESDX Holdings

Top 10 holdings of VELA Short Duration Fund by percentage of net assets, from the fund's latest SEC N-PORT filing.

View all VESDX holdings

VESDX Portfolio Allocation

Asset-class allocation of VELA Short Duration Fund by percentage of net assets, from the latest SEC N-PORT filing.

VESDX Performance

Total returns for VESDX (as of 2026-10-01), from SEC filings.

VESDX Risk Information

Risk metrics for VESDX, derived from monthly returns in SEC filings.

• 1-year volatility (annualised): 1.0%

VESDX Costs and Fees

VESDX costs about $64 per $10,000 invested per year in fund expenses.

• Net expense ratio: 0.64%
• Gross expense ratio: 0.64%
• Portfolio turnover: 45%
• Brokerage commissions: 0.08 bps of average net assets (SEC N-CEN)

VESDX Cashflows

Over the 12 months to 2026-06, VELA Short Duration Fund had net inflows of $11.74M, from monthly SEC N-PORT filings.

VESDX Debt Constituents

Largest debt holdings of VELA Short Duration Fund by percentage of net assets, from the latest SEC N-PORT filing.

VESDX Prospectus and SEC Filings

Official VELA Short Duration Fund filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.

• Prospectus (485BPOS) — filed 2026-01-27
• Prospectus (485BPOS) — filed 2025-01-27
• Prospectus supplement (497) — filed 2025-09-02
• Portfolio holdings (N-PORT) — filed 2026-08-27
• Portfolio holdings (N-PORT) — filed 2026-05-29
• Portfolio holdings (N-PORT) — filed 2026-02-27
• Annual census (N-CEN) — filed 2025-12-12
• Annual census (N-CEN) — filed 2024-12-13

Related Funds

Other Short Corporate Bond funds tracked on ABC INVEST:

• Vanguard Short-Term Investment-Grade Fund (VFSTX)
• Vanguard Short-Term Corporate Bond Index Fund (VSCSX)
• American High Income Trust (AHITX)
• Vanguard High-Yield Corporate Fund (VWEHX)
• PGIM High Yield Fund (JDYRX)

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.