Overview

The GMO Multi-Sector Fixed Income Fund seeks to achieve total return in excess of that of its benchmark, the Bloomberg Barclays U.S. Aggregate Index, by extracting alpha opportunities without taking any secular bias in duration, maturity, rating, and overall aggregate composition. The Fund’s investment program has two principal components. One component seeks to achieve a return commensurate with that of the Fund’s benchmark. The second component seeks to add value relative to the Fund’s benchmark by making investments that often will not track its benchmark.

Representing the “best of” GMO’s public fixed income markets capabilities, the Fund employs a suite of alpha and systematic credit strategies to integrate investment-grade and high yield credit, emerging market debt, structured products, and a quantitative relative value rates and currency overlay into a robust portfolio.

Facts

Doc Table
Fund Inception Date April 30, 1997
Fund Total Assets as of 8/31/2020 $364mm USD
Benchmark Bloomberg Barclays U.S. Aggregate

Share Class III

Inception Date April 30, 1997
Ticker Symbol GUGAX
CUSIP 362008609
NAV as of 9/18/2020 22.23
Net Expense Ratio 1 0.45
Gross Expense Ratio 2 0.61
Minimum Investment Size $5mm in GMO

1 Net Expense Ratio reflects the reduction of expenses from fee reimbursements. The fee reimbursements will continue until at least June 30, 2021. Elimination of this reimbursement will result in higher fees and lower performance.

2 Gross Expense Ratio is equal to the Funds Total Annual Operating Expenses set forth in the Funds most recent prospectus dated June 30, 2020.

Performance

Quarter-End as of June 30, 2020(USD, %) | Multi-Sector Fixed Income Fund-III

Table Caption
1-Year 3-Year 5-Year 10-Year ITD
Multi-Sector Fixed Income Fund 8.38 6.27 4.62 5.43 5.47
Bloomberg Barclays U.S. Aggregate 8.74 5.32 4.30 3.82 5.31
  • Multi-Sector Fixed Income Fund 1
  • Bloomberg Barclays U.S. Aggregate

Inception Date: April 30, 1997

Returns shown for periods greater than one year are on an annualized basis.

If certain expenses were not reimbursed, performance would be lower. Transaction costs, if any, are paid to the fund to offset the cost of portfolio transactions to invest or raise cash.

Performance data quoted represents past performance and is not indicative of future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance data may be lower or higher than the performance data provided herein.

1 Formerly Core Plus Bond Fund.

Quarter-End as of June 30, 2020(USD, %) | Multi-Sector Fixed Income Fund-III

Table Caption
QTD YTD 1-Year 3-Year 5-Year 10-Year ITD
Multi-Sector Fixed Income Fund 4.47 5.84 8.38 6.27 4.62 5.43 5.47
Bloomberg Barclays U.S. Aggregate 2.90 6.14 8.74 5.32 4.30 3.82 5.31
  • Multi-Sector Fixed Income Fund 1
  • Bloomberg Barclays U.S. Aggregate

Inception Date: April 30, 1997

Returns shown for periods greater than one year are on an annualized basis.

Net of all fees and expenses after reimbursement by the Manager, but not transaction costs, if any. If certain expenses were not reimbursed, performance would be lower.

Performance data quoted represents past performance and is not indicative of future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance data may be lower or higher than the performance data provided herein.

1 Formerly Core Plus Bond Fund.

Quarter-End as of June 30, 2020(USD, %) | Multi-Sector Fixed Income Fund-III

Table Caption
QTD YTD 1-Year 3-Year 5-Year 10-Year ITD
Multi-Sector Fixed Income Fund 4.58 6.05 8.82 6.70 5.04 5.86 5.89
Bloomberg Barclays U.S. Aggregate 2.90 6.14 8.74 5.32 4.30 3.82 5.31
  • Multi-Sector Fixed Income Fund 1
  • Bloomberg Barclays U.S. Aggregate

Inception Date: April 30, 1997

Returns shown for periods greater than one year are on an annualized basis.

Gross of fees, expenses and transaction costs, if any. If these fees, expenses and costs were included, performance would be lower.

Performance data quoted represents past performance and is not indicative of future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance data may be lower or higher than the performance data provided herein.

1 Formerly Core Plus Bond Fund.

Month-End as of August 31, 2020(USD, %) | Multi-Sector Fixed Income Fund-III

Table Caption
MTD QTD YTD 1-Year 3-Year 5-Year 10-Year ITD
Multi-Sector Fixed Income Fund -0.67 1.05 6.95 6.11 6.17 4.80 5.19 5.48
Bloomberg Barclays U.S. Aggregate -0.81 0.67 6.85 6.47 5.09 4.33 3.65 5.30
  • Multi-Sector Fixed Income Fund 1
  • Bloomberg Barclays U.S. Aggregate

Inception Date: April 30, 1997

Returns shown for periods greater than one year are on an annualized basis.

Net of all fees and expenses after reimbursement by the Manager, but not transaction costs, if any. If certain expenses were not reimbursed, performance would be lower.

Performance data quoted represents past performance and is not indicative of future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance data may be lower or higher than the performance data provided herein.

1 Formerly Core Plus Bond Fund.

Month-End as of August 31, 2020(USD, %) | Multi-Sector Fixed Income Fund-III

Table Caption
MTD QTD YTD 1-Year 3-Year 5-Year 10-Year ITD
Multi-Sector Fixed Income Fund -0.64 1.12 7.25 6.54 6.60 5.23 5.62 5.90
Bloomberg Barclays U.S. Aggregate -0.81 0.67 6.85 6.47 5.09 4.33 3.65 5.30
  • Multi-Sector Fixed Income Fund 1
  • Bloomberg Barclays U.S. Aggregate

Inception Date: April 30, 1997

Returns shown for periods greater than one year are on an annualized basis.

Gross of fees, expenses and transaction costs, if any. If these fees, expenses and costs were included, performance would be lower.

Performance data quoted represents past performance and is not indicative of future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance data may be lower or higher than the performance data provided herein.

1 Formerly Core Plus Bond Fund.

Year Ending December 31 (USD, %) | Multi-Sector Fixed Income Fund-III

Calendar
Multi-Sector Fixed Income Fund Bloomberg Barclays U.S. Aggregate
2019 9.64 8.72
2018 2.11 0.01
2017 4.45 3.54
2016 1.37 2.65
2015 -1.55 0.55
2014 9.54 5.97
2013 0.49 -2.03
2012 9.98 4.22
2011 8.76 7.84
2010 13.27 6.54
  • Multi-Sector Fixed Income Fund 1
  • Bloomberg Barclays U.S. Aggregate

Inception Date: April 30, 1997

Returns shown for periods greater than one year are on an annualized basis.

Net of all fees and expenses after reimbursement by the Manager, but not transaction costs, if any. If certain expenses were not reimbursed, performance would be lower.

Performance data quoted represents past performance and is not indicative of future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance data may be lower or higher than the performance data provided herein.

1 Formerly Core Plus Bond Fund.

Year Ending December 31 (USD, %) | Multi-Sector Fixed Income Fund-III

Calendar
Multi-Sector Fixed Income Fund Bloomberg Barclays U.S. Aggregate
2019 10.08 8.72
2018 2.53 0.01
2017 4.87 3.54
2016 1.80 2.65
2015 -1.14 0.55
2014 9.98 5.97
2013 0.90 -2.03
2012 10.41 4.22
2011 9.19 7.84
2010 13.72 6.54
  • Multi-Sector Fixed Income Fund 1
  • Bloomberg Barclays U.S. Aggregate

Inception Date: April 30, 1997

Returns shown for periods greater than one year are on an annualized basis.

Gross of fees, expenses and transaction costs, if any. If these fees, expenses and costs were included, performance would be lower.

Performance data quoted represents past performance and is not indicative of future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance data may be lower or higher than the performance data provided herein.

1 Formerly Core Plus Bond Fund.

Documents

Literature

Fact Sheet Download
Prospectus Download
Summary Prospectus Download
Statement of Additional Information Download
XBRL 485(b) Download
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Downloads

Performance Download
Portfolio Composition Download
Holdings Download
Holdings - Enhanced Download
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Commentary & Attribution

Commentary - Quarterly Download
Attribution - Quarterly Download
Attribution - YTD Download
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Investor Information

Annual Report Download
Semiannual Report Download
NAVs and Distributions Download
Distribution Dates Download
Tax-Related Distribution Information Download
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Risks

Risks associated with investing in the Fund may include those as follows. (1) Market Risk - Fixed Income Investments: The market price of a fixed income investment can decline due to a number of market-related factors, including rising interest rates and widening credit spreads or decreased liquidity stemming from the market's uncertainty about the value of a fixed income investment (or class of fixed income investments). (2) Credit Risk: The risk that the issuer or guarantor of a fixed income investment or the obligor of an obligation underlying an asset-backed security will be unable or unwilling to satisfy its obligation to pay principal and interest or otherwise to honor its obligations in a timely manner. (3) Management and Operational Risk: The risk that GMO's investment techniques will fail to produce desired results.

Disclosures

An investor should consider the fund’s investment objectives, risks, charges and expenses before investing. This and other important information can be found in the fund’s prospectus. Read the prospectus carefully before investing. Please see prospectus above.

The GMO Trust funds are distributed in the United States by Funds Distributor LLC. GMO and Funds Distributor LLC are not affiliated.