Fund Overview
The CrossingBridge Nordic High Income Fund seeks high current income and capital appreciation consistent with the preservation of capital.
WHY INVEST IN THIS FUND
Under normal market conditions, the Fund seeks to achieve its investment objective by investing at least 80% of its net assets (plus the amount of any borrowings for investment purposes) in income producing bonds that are issued, originated, or underwritten out of the Nordic Countries (as defined below). The Adviser considers the Nordic Countries to be Denmark, Finland, Iceland, Norway and Sweden. The Adviser will construct the Fund’s portfolio by investing in corporate bonds including, but not limited to, fixed or floating rate bonds, zero-coupon bonds and convertible bonds, and bonds issued by governments, government agencies or government instrumentalities of the Nordic Countries. The Adviser will actively hedge foreign currency exposure to mitigate currency risk. The Fund is focused on bottom-up investing opportunities, taking into consideration an issuer's business model, quantitative, and qualitative factors.
In what may seem like a nichey and esoteric market in which to invest, the Nordics are an established, diversified, and fast growing segment of the high yield market. Not only do we believe that the market has matured and grown to a size that would support launching a standalone strategy dedicated to the Nordics, the market continues to quickly grow as a public alternative to direct lending, where smaller and mid-sized issuers can syndicate out their debt rather than being tied to one or few direct lenders. Compared to the U.S. high yield bond and leverage loan market, we believe the Nordic high yield market offers a much more attractive value proposition, generally offering debt with better credit profiles (less leverage), wider spreads (more yield), and strong covenants - which have all but diminished here in the U.S. as too much money chases too few opportunities, resulting in lower yields and weakened bondholder protections.
| Inception Date | 9/30/2024 |
| Ticker | NRDCX |
| CUSIP | 89834G554 |
| Distribution Frequency | Monthly |
| Gross Expense Ratio | 1.06% |
| Net Expense Ratio | 0.95% |
| SEC Yield Subsidized (as of 10/31/2024) | 2.00% |
| SEC Yield Unsubsidized (as of 10/31/2024) | 0.24% |
| Primary Index | ICE BofA Global Floating Rate Index |
Fund Managers
DAVID K. SHERMAN
Founder & CIO
SPENCER ROLFE
Portfolio Manager
CHEN LING
Assistant Portfolio Manager