MFS Charter Income Trust

Frequently Asked Questions About MCR

What does MCR invest in?

MFS Charter Income Trust is a closed ended fixed income mutual fund launched and managed by Massachusetts Financial Services Company. The fund invests in the fixed income markets across the globe. It invests primarily in corporate bonds of U.S. or foreign issuers, U.S. Government securities, foreign government securities, mortgage-backed, and other asset-backed securities of U.S. or foreign issuers, or debt instruments of issuers located in emerging market countries. The fund employs a combination of fundamental and quantitative analysis with bottom-up stock picking approach to create its portfolio. It seeks to benchmarks the performance of its portfolio against a combination of the Barclays U.S. High-Yield Corporate Bond 2% Issuer Capped Index, MFS Charter Income Trust Blended Index, Barclays U.S. Credit Bond Index, Barclays U.S. Government/Mortgage Bond Index, Citigroup World Government Bond Non-Dollar Hedged Index, and JPMorgan Emerging Markets Bond Index Global. MFS Charter Income Trust was formed on July 20, 1989 and is domiciled in the United States.

What is the expense ratio of MCR?

MFS Charter Income Trust (MCR) charges an expense ratio of 0.79%. This is the annual fee deducted from fund assets to cover management and operations.

What is MCR's dividend yield?

MCR's trailing-twelve-month yield is 9.02%, calculated from the sum of dividends over the past year divided by the current price.

What is the duration of MCR?

Effective duration measures MCR's sensitivity to interest-rate changes — a duration of 6 means a 1% rate move shifts NAV by roughly 6% in the opposite direction. MCR's current duration is published on the fund's factsheet on the issuer's website.

What is the credit quality of MCR?

MCR's credit quality breakdown — the share of holdings rated AAA through CCC and below — is published on the fund's factsheet. Higher-quality (investment-grade) funds yield less but carry less default risk than high-yield / junk bond funds.

What is the yield to maturity of MCR?

Yield to maturity (YTM) is the total return you'd earn from MCR if every bond in the portfolio is held to maturity at the current price. MCR's YTM is published on the fund's factsheet on the issuer's website — it differs from the trailing-12-month yield because YTM reflects current bond prices rather than historical income paid.