ZSRIX — Zeo Sustainable Credit Fund

ZSRIX Fund Overview

ZSRIX — Zeo Sustainable Credit Fund is a US mutual fund managed by Northern Lights Fund Trust, categorised as Emerging Markets Thematic Equity. ABC INVEST provides holdings, performance, costs, cashflows, risk data, prospectus documents and SEC filings, sourced from SEC filings.

• Type: US mutual fund
• Manager: Northern Lights Fund Trust
• Category: Emerging Markets Thematic Equity
• Assets under management: $5.56M
• 1-year return: -5.8%
• Ticker: ZSRIX
• SEC CIK: 0001314414
• SEC series ID: S000065167
• Share class ID: C000210955

ZSRIX Investment Objective and Strategy

Zeo Sustainable Credit Fund describes its objective and strategy as follows, from its latest prospectus filed with the SEC by Northern Lights Fund Trust.

Investment objective

The Fund seeks risk-adjusted total returns consisting of income and moderate capital appreciation.

Principal investment strategy

The Fund?s adviser seeks to achieve the Fund?s investment objective by investing primarily in fixed income securities and by actively managing interest rate and default risks. The Fund takes a sustainable credit approach to investment analysis, combining rigorous fundamental analysis with an in-depth evaluation of sustainable investing factors to identify investments. In doing so, the Fund?s strategy is managed with a focus on delivering risk-adjusted total returns consistent with capital preservation by constructing a portfolio consisting primarily of carefully selected fixed-income securities issued by companies who prioritize intentional progress in key areas of sustainable business practices. Relative sustainable practices and exclusions based on specific environmental, social and governance (ESG) risks are both considerations in the adviser?s fundamental and sustainable credit research process.

Under normal circumstances, the Fund invests at least 80% of its assets, defined as net assets plus any borrowings for investment purposes, in fixed income securities that meet the adviser?s sustainable business practices criteria. The Fund defines fixed income securities to include: bills, notes, bonds, debentures, convertible bonds, loan participations, syndicated loan assignments and other evidence of indebtedness issued by U.S. or foreign corporations, governments, government agencies or government instrumentalities, including floating-rate securities. Convertible bonds provide interest income as well as capital appreciation if the value of equity conversion feature increases, though the Fund primarily considers convertible bonds in which the equity conversion feature is not a significant portion of the bond?s value.

Floating-rate securities provide interest income that can increase or decrease with interest rates. The Fund invests in individual fixed income securities without restriction as to issuer credit quality, capitalization or security maturity. The Fund can invest in securities domiciled in foreign countries (including emerging markets) and denominated in foreign currencies. The Fund considers emerging market countries to be those represented in the MSCI Emerging Markets Index. The Fund may invest a majority of its assets in lower-quality fixed income securities commonly known as ?high yield? or ?junk? bonds. Junk bonds are generally rated lower than Baa3 by Moody?s Investors Service (?Moody?s?) or lower than BBB- by Standard and Poor?s Rating Group (?S&P?). The Fund may invest in junk bonds that are in default, subject to bankruptcy or reorganization.

High yield bonds have a higher expected rate of default than higher quality bonds. The adviser seeks to preserve the Fund?s principal by managing default, interest rate, and currency risks. The adviser manages default risk by selecting securities of issuers that it believes will pay interest and principal regardless of their credit rating, based upon the adviser?s credit analysis of each issuer. The adviser seeks investments whose total return derives from company fundamentals through market cycles where the impact of external economic factors on creditworthiness or the need to time markets is limited. The adviser may also select securities that are in default, subject to bankruptcy or reorganization where the adviser believes the risks to be consistent with capital preservation, based on the adviser?s analysis of an issuer?s liquidation value or post-bankruptcy or post-reorganization value.

The adviser further manages default risk by considering whether an issuer?s management is making deliberate business decisions around the environmental, social and governance (ESG) factors most relevant to its operations. By considering these risk factors, the adviser aims to evaluate if a business is operating in a sustainable and responsible way to preserve its competitive advantage and maintain its staying power. In seeking to invest in companies who are leaders in their sectors in key areas of sustainable business practices or who are making or are likely to make visible progress toward appropriate sustainable practices. Specific key areas will vary by industry, and the weight of consideration can vary by company. The adviser believes that both credit risk factors and sustainability factors contribute to an issuer?s creditworthiness and the combination of fundamental credit research and sustainable and responsible business practices result in a risk profile that is more likely to preserve capital and deliver attractive risk-adjusted total returns .

The adviser manages interest rate risk primarily by varying the average duration of the Fund?s portfolio. Duration is a measure of the expected life of a fixed income security that is used to determine the sensitivity of a security?s price to changes in interest rates. For example, the value of a portfolio of fixed income securities with an average duration of one year would generally be expected to decline by approximately 1% if interest rates rose by one percentage point. The adviser manages foreign currency risk by seeking securities denominated in US dollars. If the Fund invests in foreign currency denominated securities, the Fund may purchase or sell foreign currencies if the adviser determines that hedging the currency risk is appropriate. The Fund is ?non-diversified? for purposes of the Investment Company Act of 1940, as amended (the ?1940 Act?), which means that the Fund may invest in fewer securities at any one time than a diversified fund.

However, the adviser manages the impact of the risk of each investment by a considered analysis of appropriate sizing and portfolio diversification. The adviser buys fixed income securities that meet its credit and sustainability analysis standards which it believes have the highest expected risk-adjusted return among issuers of similar credit quality and to adjust portfolio-level exposure such as duration. The adviser sells a security when its expected return declines or issuer credit quality or sustainability deteriorates. The Fund may engage in frequent trading of its portfolio, resulting in a higher turnover rate.

ZSRIX Performance

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

ZSRIX Risk Information

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

• 1-year volatility (annualised): 5.8%

ZSRIX Costs and Fees

ZSRIX costs about $99 per $10,000 invested per year in fund expenses.

• Net expense ratio: 0.99%
• Gross expense ratio: 2.32%
• Portfolio turnover: 69%
• Brokerage commissions: 0.00 bps of average net assets (SEC N-CEN)

ZSRIX Cashflows

Over the 12 months to 2022-07, Zeo Sustainable Credit Fund had net inflows of $3.43M, from monthly SEC N-PORT filings.

ZSRIX Debt Constituents

No individual debt constituents are reported in Zeo Sustainable Credit Fund's latest SEC N-PORT filing.

ZSRIX Prospectus and SEC Filings

Official Zeo Sustainable Credit Fund filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.

• Prospectus (485BPOS) — filed 2022-08-10
• Prospectus (485BPOS) — filed 2021-09-08
• Prospectus supplement (497) — filed 2022-04-19
• Portfolio holdings (N-PORT) — filed 2022-09-28
• Portfolio holdings (N-PORT) — filed 2022-06-24
• Portfolio holdings (N-PORT) — filed 2022-03-25
• Annual census (N-CEN) — filed 2022-07-14
• Annual census (N-CEN) — filed 2021-07-14

Related Funds

Related funds tracked on ABC INVEST:

• Navigator Tactical Fixed Income Fund (NTBAX)
• Ocean Park Tactical Bond Fund (STBNX)
• PFG American Funds Growth Strategy Fund (PFGGX)
• Ocean Park Tactical Core Income Fund (SSIZX)
• Navigator Tactical Investment Grade Bond Fund (NTIIX)

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.