Thornburg Investment Income Builder has an experienced team and its high-octane approach produces an attractive yield for investors. However, its large overweight in value stocks combined with a bond sleeve that provides an insufficient ballast has exposed investors to more-volatile returns and larger drawdowns than peers and the index, warranting a downgrade of its Morningstar Analyst Rating to Neutral from Bronze for its cheapest share classes. Its more-expensive shares remain Neutral.
Will TIBAX outperform in future?
Get our overall rating based on a fundamental assessment of the pillars below.
The Process Pillar is our assessment of how sensible, clearly defined, and repeatable TIBAX’s performance objective and investment process is for both security selection and portfolio construction.
The People Pillar is our evaluation of the TIBAX management team’s experience and ability. We find that high-quality management teams deliver superior performance relative to their benchmarks and/or peers.
The Parent Pillar is our rating of TIBAX’s parent organization’s priorities and whether they’re in line with investors’ interests.