AIG Strategic Bond Fund

Class A: SDIAX • Class B: SDIBX • Class C: NAICX

A Dynamic, Flexible Approach to Global Bond Investing

In 1990, 65% of the fixed-income market was in the U.S. Today, the market has shifted dramatically, with 60% of all fixed-income capitalization located abroad.1 The AIG Strategic Bond Fund takes advantage of this changing bond environment by investing in four key areas of the global fixed-income markets:

  • U.S. investment grade bonds
  • U.S. high yield bonds
  • Non-U.S. investment grade bonds
  • Emerging market bonds

By making strategic and tactical allocations among these bond sectors and capitalizing on changing market conditions and credit opportunities, the Fund may help generate positive returns through all market cycles. For example, consider what happened from 2004-2006, when Fed Funds Rate increased by more than 4%. During this period, the Fund generated a cumulative return of 26.8%, or an average of 8.2% per year!

Deliver Strong Return Potential Regardless Interest Rates Move

Strategic Bond Performance Chart 

3 Key Reasons to Invest Now in the Fund

  • Attractive current income: The corporate, high-yield and global debt markets continue to offer significantly higher yields than U.S. Treasuries. As of September 30, 2012, the Fund generated a 30-day SEC yield of 2.92%, compared to short-term Treasury yields near zero. The Fund’s foreign positions and emerging market debt also offer additional opportunities for growth and greater income protection if U.S. interest rates rise.
  • Potential for capital appreciation: In addition to providing current income, the Fund invests across the full credit spectrum and in both the U.S. and global markets to help bolster total return.
  • Diversification across fixed income markets: The merits of a professionally managed, globally diversified bond fund results in an all-weather fixed income product that can perform well in any market, no matter which way interest rates are headed.

Contact your financial advisor today to find out more about the benefits of adding the SunAmerica Strategic Bond Fund to your portfolio. You can also visit the Fund Fact Sheet page to obtain more detailed information on the SunAmerica Strategic Bond Fund.



1As measured by the Barclays Capital Global Aggregate Index.

Past performance is no guarantee of future results.

Interest rates and bond prices typically move inversely to each other; therefore, as with any bond fund, the value of an investment in this Fund may go up or down in response to changes in interest rates.  High-yield bonds tend to have lower interest rate risk than higher-quality bonds of similar maturity but carry greater credit and default risk. Investing internationally involves special risks, such as currency fluctuations, and economic and political instability.