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Columbia Strategic Income Fund

Any opinions on this bond fund?


  • TedTed
    edited March 2017
    @Bobpa For your information COSIX is ranked #1 in the Nontraditional Bond Fund category by U.S. News & World Report.
  • Hi @Bobpa

    Yikes on the front load of 4.75% and the 1.02 E.R. for a bond fund.
    It ranks well in the non-traditional bond area, but if I were looking for long term performance I would have to remain directed to PONDX and their management team.
    PONDX remains much ahead of COSIX or any other non-traditional bond fund.

    What is the draw to COSIX for you???

  • I would also choose PONDX, but COSIX is load waived at Schwab and I'm sure other supermarket brokerages. Also, PONDX is not listed as non-traditional FWIW. It's listed as multisector, but I couldn't explain the difference.
  • Hi Bob!
    I will go along with Catch and MikeM. PONDX is the only bond fund I own. Also, if you must invest in bonds right now, use a balanced fund: VWINX, GLRBX,'ll do better if stocks go up. Big if I know. If you must use it for ballast, PONDX is it.
    God bless
    the Pudd
    p.s. Duke gives his paw of approval. That's gotta count for something!
  • Are any of you concerned about asset bloat in PONDX?
  • Hi Chinfist,
    No, not's a PIMCO fund. It's what they do. Were it a smaller house or one that was more into equity, then, ... maybe. The fund seems to have a lot of flexibility. Having said that, could it stumble due to size or PM choices? Yes. At some point it's to be expected. Their annual report should soon be coming out. You might get their point of view then.
    God bless
    the Pudd
  • Trends in total returns will answer the question 'is PONDX to bloated'. So far the answer is no, but as is the case for all funds, that is worth watching. I actually don't own it right now, but if I were looking for a diversified multi-sector fund I'd choose that one.
  • I replaced The Total Return fund with PIMIX, the institutional shares of PONDX. Have been very please with Mr. Ivascyn management.
  • Would it be bad timing to make a large investment in PIMIX now?
  • edited March 2017
    I have made a major overhaul. I no longer need/want to take *any* risk. But before I go the CD laddering and money market route thought I would try something first. I hold 8 bond funds the most funds I have ever held. Sort of a fund of funds approach. Based on performance hope to winnow that down to three or four funds. PONDX is my largest holding because of its persistency of trend. Another holding is IOFIX. Don't believe it has ever been mentioned but a real persistent trender. If I can beat a CD and money market return will just stick with this in retirement. I believe the normalizing of rates by the Fed could be a boon for retirees. 3% or more in money market rates down the road? Sign me up!

    Edit: I should add I am really stymied by Scottrade's limited offerings and/or advisor only funds and will be glad when their merger is complete with TD Ameritrade.
  • Anyone know anything about counterparty risk for PONDX/PIMIX's derivatives? That would be my only fear about its size.
  • How about PDI or PCI?
  • @ Junkster: Did you give up on floating rate funds ?
  • @Derf no not at all. Two of my 8 funds are floating rate. I hope to consolidate that down to one most likely EIFAX. But the returns in that sector have been very muted this year.
  • everyone please thank me for not investing in PONDX. The moment I do it will stink.
  • Derf said:

    @ Junkster: Did you give up on floating rate funds ?

    Not sure about @junkster, but I did give up on DLRFX. I need to find another.
  • @Junkster - Thanks for mentioning IOFIX. I owned DPFNX recently, but IOFIX looks even better.

    TDA has superior municipal high yield funds NHMAX and ORNAX. And OOSAX and EAFAX are excellent bank loan funds offered at TDA.
  • Columbia Strategic Income is one of these funds that has a share class for every possible selling opportunity, 10 classes that I count. I put NO store in where it ranks in the Non-Traditional Bond category, since that is a garbage bin created to stick funds that don't fit some company's box. It has actually raised its expense ratio over the years (COSIX was 0.95% in 2008, now at 1.02%, which is very odd). And turnover went from 41% to 168% now. It is really a multi-sector fund, similar to TSIIX, PONDX, and even LSBDX). And it looks pretty weak compared to PONDX.

    We would advocate a broad mix of bonds, with an emphasis on short durations and maturities, and concentrate on downside risk. As most of you know, I really like OSTIX and would consider it a core holding for almost every client. Also like PONDX, THIIX, and TGBAX. Perhaps a bit of FFRHX and maybe a pinch of KIFYX, and you have a very diversified mix of fixed-income offerings.
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