INVESTMENT OBJECTIVE
Seeks total return with an emphasis on current income, but also considering capital appreciation.
INVESTMENT FOCUS
Emphasizes credit rather than duration in order to add value
Employs extensive risk management techniques (i.e. fundamental and quantitative, micro and macro)
Focuses on corporate bonds believed to have solid/improving fundamentals
Fund Information
- Fund Commencement 05/08/1974
- Net Assets ($ M) As of 11/30/24 $4711.78
- Fiscal Year End APRIL
-
Benchmark
Bloomberg U.S. Credit Index
Bloomberg U.S. Credit Bond Index is a market capitalization-weighted index that measures the performance of publicly issued, SEC-registered, U.S. corporate and specified foreign debentures and secured notes that meet specified maturity, liquidity, and quality requirements.
Share Class Information
- Class Inception 05/08/1974
- Net Asset Value (NAV) As of 12/27/24 $12.20
- Most Recent NAV Change As of 12/27/24 $0.03 | 0.25%
- Fund Number 11
- Maximum Sales Charge 4.25%
-
Gross Expense Ratio
0.78%
Gross Expense Ratio: The Gross Expense Ratio is the fund's total operating expense ratio from the fund's most recent prospectus.
-
Net Expense Ratio
0.77%
Net Expense Ratio: The Net Expense Ratio reflects the reduction of expenses from contractual fee waivers and reimbursements. Elimination of these reductions will result in higher expenses and lower performance.
These reductions will continue until at least 08/31/25
MANAGERS
Top 10 Holdings
- Us 2yr Note Future Mar 31 25
- Us Long Bond Future Mar 20 25
- Us Ultra Bond Future Mar 20 25
- US Treasury Bond 2.375% FEB 15 42
- UBS Group AG 144A FRB AUG 13 30
- JPMorgan Chase & Co FRB NOV 08 32
- Boeing Co 5.805% MAY 01 50
- US Treasury Bond 3.875% MAY 15 43
- Us 5yr Note Future Mar 31 25*
- Us 10yr Ultra Future Mar 20 25*
Important Risk Considerations
The fund may not achieve its objective and/or you could lose money on your investment in the fund.
Bond: Investments in debt instruments may decline in value as the result of, or perception of, declines in the credit quality of the issuer, borrower, counterparty, or other entity responsible for payment, underlying collateral, or changes in economic, political, issuer-specific, or other conditions. Certain types of debt instruments can be more sensitive to these factors and therefore more volatile. In addition, debt instruments entail interest rate risk (as interest rates rise, prices usually fall). Therefore, the portfolio's value may decline during rising rates. Portfolios that consist of debt instruments with longer durations are generally more sensitive to a rise in interest rates than those with shorter durations. At times, and particularly during periods of market turmoil, all or a large portion of segments of the market may not have an active trading market. As a result, it may be difficult to value these investments and it may not be possible to sell a particular investment or type of investment at any particular time or at an acceptable price. The price of an instrument trading at a negative interest rate responds to interest rate changes like other debt instruments; however, an instrument purchased at a negative interest rate is expected to produce a negative return if held to maturity.
International: Investments in foreign markets can involve greater risk and volatility than U.S. investments because of adverse market, currency, economic, industry, political, regulatory, geopolitical, or other conditions.
Derivatives: Investments in derivatives can be used to take both long and short positions, be highly volatile, involve leverage (which can magnify losses), and involve risks in addition to the risks of the underlying indicator(s) on which the derivative is based, such as counterparty and liquidity risk.
High Yield: Investments in below investment grade quality debt instruments can be more volatile and have greater risk of default, or already be in default, than higher-quality debt instruments.
Please see the prospectus for further information on these and other risk considerations.
Alexander Mackey, CFA
Portfolio Manager
Alexander M. Mackey, CFA, is co-chief investment officer of Fixed Income at MFS Investment Management® (MFS®). As co-CIO, he has joint oversight of MFS' global fixed income team and works collaboratively with the firm's investment leadership team to ensure its fixed income investors have the tools and skill sets necessary to serve clients globally. He is also a fixed income portfolio manager on several strategies, including the firm's multisector fixed income strategies, with oversight of dedicated US credit portfolios. Alexander assumed his current role in 2023. Prior to taking on portfolio management responsibilities in 2017, he worked as a credit research analyst for 13 years and a fixed income research associate for three years. He joined MFS as a financial control assistant in 1998. Alexander has a bachelor's degree from Trinity College and holds the Chartered Financial Analyst (CFA) designation. He is a member of CFA Society Boston.
Jay Mitchell, CFA
Portfolio Manager
Jay Mitchell, CFA, is an investment officer and fixed income portfolio manager at MFS Investment Management® (MFS®). In this role, he collaborates with the full MFS global investment organization to develop and implement portfolio strategies that seek to achieve long-term performance objectives. His responsibilities encompass all aspects of portfolio construction, including risk budgeting, asset allocation, security selection and risk management. Jay joined MFS in 2000, first serving in the firm's retirement services division. In 2003, he was named fixed income trading associate and in 2004 was named fixed income research associate. In 2007, he was promoted to research analyst and in 2017 was named director of emerging market corporate research. He added portfolio responsibilities in 2020, and in 2023 was named portfolio manager on the US and global credit strategies. Jay earned a bachelor's degree in finance and a Master of Business Administration degree from Boston College. He holds the Chartered Financial Analyst designation from the CFA Institute and is a member of the CFA Society Boston.
Performance
Average Annual Total Returns (%)
Important Performance Information
Sales Charges
Class A shares ("A") results include the maximum sales charge.
Annual Rate of Return (%)
As of 12/31/23 | Benchmark: Bloomberg U.S. Credit Index| 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | |
|---|---|---|---|---|---|---|---|---|---|---|
| At NAV | 5.69 | -0.36 | 5.81 | 6.06 | -3.20 | 14.41 | 10.99 | -1.48 | -16.61 | 8.84 |
| With Sales Charge | 1.20 | -4.60 | 1.31 | 1.55 | -7.31 | 9.55 | 6.27 | -5.67 | -20.15 | 4.22 |
| Bloomberg U.S. Credit Index | 7.53 | -0.77 | 5.63 | 6.18 | -2.11 | 13.80 | 9.35 | -1.08 | -15.26 | 8.18 |
| At NAV | With Sales Charge | Bloomberg U.S. Credit Index | |
|---|---|---|---|
| 2023 | 8.84 | 4.22 | 8.18 |
| 2022 | -16.61 | -20.15 | -15.26 |
| 2021 | -1.48 | -5.67 | -1.08 |
| 2020 | 10.99 | 6.27 | 9.35 |
| 2019 | 14.41 | 9.55 | 13.8 |
| 2018 | -3.2 | -7.31 | -2.11 |
| 2017 | 6.06 | 1.55 | 6.18 |
| 2016 | 5.81 | 1.31 | 5.63 |
| 2015 | -0.36 | -4.6 | -0.77 |
| 2014 | 5.69 | 1.2 | 7.53 |
Pricing History
- NAV at Close of Trading on: 12/27/24
- Net Asset Value (NAV): $12.20
- Change ($) (since 12/26/24 ): 0.03
- Change (%) (since 12/26/24 ): 0.25
- Market Price (MP):
Historical NAV may not be available for all dates.
Historical MP may not be available for all dates.
Distribution Rates (%)
The distribution rates are computed by annualizing the current distribution rate per share (excluding short-term capital gains), and dividing the result by the public offering price (for the distribution rate including sales charge) or net asset value (for the distribution rate not including sales charge) at the end of the business day.
The distribution rates are computed by annualizing the current distribution rate per share (excluding short-term capital gains), and dividing the result by the public offering price (for the distribution rate including sales charge) or net asset value (for the distribution rate not including sales charge) at the end of the business day.
As of 11/30/24
| Charges | Distribution Rate |
| Not Including Sales Charges | 4.42 |
| Including Sales Charges | 4.23 |
30-Day SEC Yield (%)
The fund's 30-day yield is based on the yield of a fund's investments over a 30-day period and not on the dividend paid by the fund, which may differ.
As of 11/30/24
| Wavier | Yield Value |
| Without Waiver | 4.44 |
| With Waiver | 4.45 |
Distributions
The Record Date is the date on which a fund declares a distribution. To receive the distribution, an investor must be a shareholder of record on that date.The Payable Date is the date on which the distribution is paid to shareholders.
Dividend Rate per Share is the amount of dividend that a shareholder will receive for each share held. It can be calculated by taking the total amount of dividends paid and dividing it by the total shares outstanding.
Dividend Reinvestment at NAV is the automatic reinvestment of shareholder dividends in more shares at net asset value.
Ex-Dividend Date is the date on which a fund goes ex-dividend. The interval between the announcement and the payment of the next dividend. An investor must own the fund before the ex-dividend date to be eligible for the dividend payout.
Long-term Capital Gain
The gain on the sale of a capital asset where the holding period was more than 12 months and the profit was subject to the long-term capital gains tax.
(Source: Barron's Dictionary of Finance and Investment Terms)
Short-term Capital Gain
For tax purposes the profit realized from the sale of securities or other capital assets held for less than 12 months. Short-term gains are taxable at ordinary income rates to the extent they are not reduced by offsetting capital losses.
(Source: Barron's Dictionary of Finance and Investment Terms)
The Payable Date is the date on which the distribution is paid to shareholders.
Dividend Rate per Share is the amount of dividend that a shareholder will receive for each share held. It can be calculated by taking the total amount of dividends paid and dividing it by the total shares outstanding.
Dividend Reinvestment at NAV is the automatic reinvestment of shareholder dividends in more shares at net asset value.
Ex-Dividend Date is the date on which a fund goes ex-dividend. The interval between the announcement and the payment of the next dividend. An investor must own the fund before the ex-dividend date to be eligible for the dividend payout.
Long-term Capital Gain The gain on the sale of a capital asset where the holding period was more than 12 months and the profit was subject to the long-term capital gains tax. (Source: Barron's Dictionary of Finance and Investment Terms)
Short-term Capital Gain For tax purposes the profit realized from the sale of securities or other capital assets held for less than 12 months. Short-term gains are taxable at ordinary income rates to the extent they are not reduced by offsetting capital losses. (Source: Barron's Dictionary of Finance and Investment Terms)
Updated Daily As of 12/27/24
| Record Date | Ex-Date | Payable Date | Type of Earnings | Rate per Share (US$) | Reinvestment NAV (US$) |
|---|---|---|---|---|---|
| 11/29/24 | 11/29/24 | 12/02/24 | Dividend | 0.04599 | 12.50 |
| 10/31/24 | 10/31/24 | 11/01/24 | Dividend | 0.04600 | 12.40 |
| 09/30/24 | 09/30/24 | 10/01/24 | Dividend | 0.04599 | 12.74 |
| 08/30/24 | 08/30/24 | 09/03/24 | Dividend | 0.04600 | 12.58 |
| 07/31/24 | 07/31/24 | 08/01/24 | Dividend | 0.04600 | 12.43 |
| 06/28/24 | 06/28/24 | 07/01/24 | Dividend | 0.04599 | 12.19 |
| 05/31/24 | 05/31/24 | 06/03/24 | Dividend | 0.04600 | 12.15 |
| 04/30/24 | 04/30/24 | 05/01/24 | Dividend | 0.04599 | 11.97 |
| 03/28/24 | 03/28/24 | 04/01/24 | Dividend | 0.04500 | 12.31 |
| 02/29/24 | 02/29/24 | 03/01/24 | Dividend | 0.04499 | 12.20 |
| 01/31/24 | 01/31/24 | 02/01/24 | Dividend | 0.04400 | 12.40 |
| 12/29/23 | 12/29/23 | 12/29/23 | Dividend | 0.04300 | 12.44 |
-
Overview
INVESTMENT OBJECTIVE
Seeks total return with an emphasis on current income, but also considering capital appreciation.
INVESTMENT FOCUS
Emphasizes credit rather than duration in order to add value
Employs extensive risk management techniques (i.e. fundamental and quantitative, micro and macro)
Focuses on corporate bonds believed to have solid/improving fundamentals
Fund Information
- Fund Commencement 05/08/1974
- Net Assets ($ M) As of 11/30/24 $4711.78
- Fiscal Year End APRIL
-
Benchmark
Bloomberg U.S. Credit Index
Bloomberg U.S. Credit Bond Index is a market capitalization-weighted index that measures the performance of publicly issued, SEC-registered, U.S. corporate and specified foreign debentures and secured notes that meet specified maturity, liquidity, and quality requirements.
Share Class Information
- Class Inception 05/08/1974
- Net Asset Value (NAV) As of 12/27/24 $12.20
- Most Recent NAV Change As of 12/27/24 $0.03 | 0.25%
- Fund Number 11
- Maximum Sales Charge 4.25%
-
Gross Expense Ratio
0.78%
Gross Expense Ratio: The Gross Expense Ratio is the fund's total operating expense ratio from the fund's most recent prospectus.
-
Net Expense Ratio
0.77%
Net Expense Ratio: The Net Expense Ratio reflects the reduction of expenses from contractual fee waivers and reimbursements. Elimination of these reductions will result in higher expenses and lower performance.
These reductions will continue until at least 08/31/25
MANAGERS
Top 10 Holdings
As of 11/30/24- Us 2yr Note Future Mar 31 25
- Us Long Bond Future Mar 20 25
- Us Ultra Bond Future Mar 20 25
- US Treasury Bond 2.375% FEB 15 42
- UBS Group AG 144A FRB AUG 13 30
- JPMorgan Chase & Co FRB NOV 08 32
- Boeing Co 5.805% MAY 01 50
- US Treasury Bond 3.875% MAY 15 43
- Us 5yr Note Future Mar 31 25*
- Us 10yr Ultra Future Mar 20 25*
Important Risk Considerations
The fund may not achieve its objective and/or you could lose money on your investment in the fund.
Bond: Investments in debt instruments may decline in value as the result of, or perception of, declines in the credit quality of the issuer, borrower, counterparty, or other entity responsible for payment, underlying collateral, or changes in economic, political, issuer-specific, or other conditions. Certain types of debt instruments can be more sensitive to these factors and therefore more volatile. In addition, debt instruments entail interest rate risk (as interest rates rise, prices usually fall). Therefore, the portfolio's value may decline during rising rates. Portfolios that consist of debt instruments with longer durations are generally more sensitive to a rise in interest rates than those with shorter durations. At times, and particularly during periods of market turmoil, all or a large portion of segments of the market may not have an active trading market. As a result, it may be difficult to value these investments and it may not be possible to sell a particular investment or type of investment at any particular time or at an acceptable price. The price of an instrument trading at a negative interest rate responds to interest rate changes like other debt instruments; however, an instrument purchased at a negative interest rate is expected to produce a negative return if held to maturity.
International: Investments in foreign markets can involve greater risk and volatility than U.S. investments because of adverse market, currency, economic, industry, political, regulatory, geopolitical, or other conditions.
Derivatives: Investments in derivatives can be used to take both long and short positions, be highly volatile, involve leverage (which can magnify losses), and involve risks in addition to the risks of the underlying indicator(s) on which the derivative is based, such as counterparty and liquidity risk.
High Yield: Investments in below investment grade quality debt instruments can be more volatile and have greater risk of default, or already be in default, than higher-quality debt instruments.
Please see the prospectus for further information on these and other risk considerations.
Alexander Mackey, CFA
Portfolio Manager
VIEW FULL PROFILE26YEARS WITH INDUSTRY
8YEARS WITH PORTFOLIOAlexander M. Mackey, CFA, is co-chief investment officer of Fixed Income at MFS Investment Management® (MFS®). As co-CIO, he has joint oversight of MFS' global fixed income team and works collaboratively with the firm's investment leadership team to ensure its fixed income investors have the tools and skill sets necessary to serve clients globally. He is also a fixed income portfolio manager on several strategies, including the firm's multisector fixed income strategies, with oversight of dedicated US credit portfolios. Alexander assumed his current role in 2023. Prior to taking on portfolio management responsibilities in 2017, he worked as a credit research analyst for 13 years and a fixed income research associate for three years. He joined MFS as a financial control assistant in 1998. Alexander has a bachelor's degree from Trinity College and holds the Chartered Financial Analyst (CFA) designation. He is a member of CFA Society Boston.
Jay Mitchell, CFA
Portfolio Manager
25YEARS WITH INDUSTRY
2YEARS WITH PORTFOLIOJay Mitchell, CFA, is an investment officer and fixed income portfolio manager at MFS Investment Management® (MFS®). In this role, he collaborates with the full MFS global investment organization to develop and implement portfolio strategies that seek to achieve long-term performance objectives. His responsibilities encompass all aspects of portfolio construction, including risk budgeting, asset allocation, security selection and risk management. Jay joined MFS in 2000, first serving in the firm's retirement services division. In 2003, he was named fixed income trading associate and in 2004 was named fixed income research associate. In 2007, he was promoted to research analyst and in 2017 was named director of emerging market corporate research. He added portfolio responsibilities in 2020, and in 2023 was named portfolio manager on the US and global credit strategies. Jay earned a bachelor's degree in finance and a Master of Business Administration degree from Boston College. He holds the Chartered Financial Analyst designation from the CFA Institute and is a member of the CFA Society Boston.
-
Performance
Performance
Average Annual Total ReturnsAverage Annual Total Returns (%)
These results represent the percent change in net asset value.Monthly | Quarterly As of 09/30/24 (*YTD Updated Daily, As of 12/26/24 , subject to revision and not annualized.)The performance shown is attributable in part to unusual market conditions. These conditions may not be repeated in the future.Performance data shown represents past performance and is no guarantee of future results. Investment return and principal value fluctuate so your shares, when sold, may be worth more or less than the original cost; current performance may be lower or higher than quoted.Important Performance Information
Performance results reflect any applicable expense subsidies and waivers in effect during the periods shown. Without such subsidies and waivers the fund's performance results would be less favorable. All results are historical and assume the reinvestment of dividends and capital gains.Sales Charges
Class A shares ("A") results include the maximum sales charge.
Annual Rate of ReturnAnnual Rate of Return (%)
As of 12/31/23 | Benchmark: Bloomberg U.S. Credit Indexannual rate of return table 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 At NAV 5.69 -0.36 5.81 6.06 -3.20 14.41 10.99 -1.48 -16.61 8.84 With Sales Charge 1.20 -4.60 1.31 1.55 -7.31 9.55 6.27 -5.67 -20.15 4.22 Bloomberg U.S. Credit Index 7.53 -0.77 5.63 6.18 -2.11 13.80 9.35 -1.08 -15.26 8.18 At NAV With Sales Charge Bloomberg U.S. Credit Index 2023 8.84 4.22 8.18 2022 -16.61 -20.15 -15.26 2021 -1.48 -5.67 -1.08 2020 10.99 6.27 9.35 2019 14.41 9.55 13.8 2018 -3.2 -7.31 -2.11 2017 6.06 1.55 6.18 2016 5.81 1.31 5.63 2015 -0.36 -4.6 -0.77 2014 5.69 1.2 7.53 Pricing & DistributionsPricing History
- NAV at Close of Trading on: 12/27/24
- Net Asset Value (NAV): $12.20
- Change ($) (since 12/26/24 ): 0.03
- Change (%) (since 12/26/24 ): 0.25
- Market Price (MP):
Maximum data displayed is for the most recent 10 yearsHistorical NAV LookupEnter date for which you wish to obtain a Historical NAV for this fundHistorical NAV may not be available for all dates.
Historical MP LookupEnter date for which you wish to obtain a Historical MP for this fundHistorical MP may not be available for all dates.
Distribution Rates (%)
The distribution rates are computed by annualizing the current distribution rate per share (excluding short-term capital gains), and dividing the result by the public offering price (for the distribution rate including sales charge) or net asset value (for the distribution rate not including sales charge) at the end of the business day.
As of 11/30/24
Charges Distribution Rate Not Including Sales Charges 4.42 Including Sales Charges 4.23 30-Day SEC Yield (%)
The fund's 30-day yield is based on the yield of a fund's investments over a 30-day period and not on the dividend paid by the fund, which may differ.As of 11/30/24
Wavier Yield Value Without Waiver 4.44 With Waiver 4.45 Distributions
The Record Date is the date on which a fund declares a distribution. To receive the distribution, an investor must be a shareholder of record on that date.The Payable Date is the date on which the distribution is paid to shareholders.
Dividend Rate per Share is the amount of dividend that a shareholder will receive for each share held. It can be calculated by taking the total amount of dividends paid and dividing it by the total shares outstanding.
Dividend Reinvestment at NAV is the automatic reinvestment of shareholder dividends in more shares at net asset value.
Ex-Dividend Date is the date on which a fund goes ex-dividend. The interval between the announcement and the payment of the next dividend. An investor must own the fund before the ex-dividend date to be eligible for the dividend payout.
Long-term Capital Gain The gain on the sale of a capital asset where the holding period was more than 12 months and the profit was subject to the long-term capital gains tax. (Source: Barron's Dictionary of Finance and Investment Terms)
Short-term Capital Gain For tax purposes the profit realized from the sale of securities or other capital assets held for less than 12 months. Short-term gains are taxable at ordinary income rates to the extent they are not reduced by offsetting capital losses. (Source: Barron's Dictionary of Finance and Investment Terms)
Updated Daily As of 12/27/24
Record Date Ex-Date Payable Date Type of Earnings Rate per Share (US$) Reinvestment NAV (US$) 11/29/24 11/29/24 12/02/24 Dividend 0.04599 12.50 10/31/24 10/31/24 11/01/24 Dividend 0.04600 12.40 09/30/24 09/30/24 10/01/24 Dividend 0.04599 12.74 08/30/24 08/30/24 09/03/24 Dividend 0.04600 12.58 07/31/24 07/31/24 08/01/24 Dividend 0.04600 12.43 06/28/24 06/28/24 07/01/24 Dividend 0.04599 12.19 05/31/24 05/31/24 06/03/24 Dividend 0.04600 12.15 04/30/24 04/30/24 05/01/24 Dividend 0.04599 11.97 03/28/24 03/28/24 04/01/24 Dividend 0.04500 12.31 02/29/24 02/29/24 03/01/24 Dividend 0.04499 12.20 01/31/24 01/31/24 02/01/24 Dividend 0.04400 12.40 12/29/23 12/29/23 12/29/23 Dividend 0.04300 12.44 Past performance is no guarantee of future results. Please consult your tax advisor for further information.