Western Asset Premier Bond Fund

Frequently Asked Questions About WEA

What does WEA invest in?

Western Asset Premier Bond Fund is a closed-ended fixed income mutual fund launched and managed by Western Asset Management Company. The fund is co-managed by Western Asset Management Company Limited, Western Asset Management Company Pte. Ltd., and Western Asset Management Company Ltd. It invests in the fixed income markets of the United States. The fund primarily invests in investment grade bonds, including corporate bonds, U.S. government and agency securities, and mortgage related securities. It seeks to maintain an average duration of around two to three years with an average credit quality of BBB. The fund benchmarks the performance of its portfolio against the Barclays Capital U.S. Corporate High Yield Index and the Barclays Capital U.S. Credit Index. Western Asset Premier Bond Fund was formed on March 28, 2002 and is domiciled in the United States.

What is the expense ratio of WEA?

Western Asset Premier Bond Fund (WEA) charges an expense ratio of 3.55%. This is the annual fee deducted from fund assets to cover management and operations.

What is WEA's dividend yield?

WEA's trailing-twelve-month yield is 8.69%, calculated from the sum of dividends over the past year divided by the current price.

What is the duration of WEA?

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

What is the credit quality of WEA?

WEA'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 WEA?

Yield to maturity (YTM) is the total return you'd earn from WEA if every bond in the portfolio is held to maturity at the current price. WEA'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.