1 MORNINGSTAR RATING:
The Morningstar RatingTM for funds, or "star rating", is calculated for managed products
(including mutual funds, variable annuity and variable life subaccounts,
exchange-traded funds, closed-end funds, and separate accounts) with at least a
three-year history. Exchange-traded funds and open-ended mutual funds are
considered a single population for comparative purposes. It is calculated based
on a Morningstar Risk-Adjusted Return measure that accounts for variation in a
managed product's monthly excess performance, placing more emphasis on downward
variations and rewarding consistent performance. The top 10% of products in
each product category receive 5 stars, the next 22.5% receive 4 stars, the next
35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive
1 star. The Overall Morningstar Rating for a managed product is derived from a
weighted average of the performance figures associated with its three-, five-, and
10-year (if applicable) Morningstar Rating metrics. The weights are: 100%
three-year rating for 36-59 months of total returns, 60% five-year rating/40%
three-year rating for 60-119 months of total returns, and 50% 10-year
rating/30% five-year rating/20% three-year rating for 120 or more months of
total returns. While the 10-year overall star rating formula seems to give the
most weight to the 10-year period, the most recent three-year period actually
has the greatest impact because it is included in all three rating periods.
As of Mar. 31, 2017, the Scout Unconstrained Bond Fund - Institutional Class received the following star ratings among U.S. domiciled Nontraditional Bond Funds for the following time periods: 2 stars (among 248 funds) for the 3 year and 4 stars (among 164 funds) for the 5 year periods.The Fund may have experienced negative performance during one or more of the time periods represented by the Morningstar Analyst rating shown.
© 2016 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. The Morningstar Rating may differ among share classes of a mutual fund as a result of different sales loads and/or expense structures. It may be based, in part, on the performance of a predecessor Fund.
2 MORNINGSTAR ANALYST RATING:
3Lipper RatingsLipper ratings for Expense
The Morningstar Analyst RatingTM is not a credit or risk rating. It is a subjective evaluation performed
by the manager research analysts of Morningstar. Morningstar evaluates
funds based on five key pillars, which are process, performance, people,
parent, and price. Analysts use this five pillar evaluation to determine
how they believe funds are likely to perform relative to a benchmark, or in the
case of exchange-traded funds and index mutual funds, a relevant peer group,
over the long term on a risk-adjusted basis. They consider quantitative
and qualitative factors in their research, and the weight of each pillar may
vary. The Analyst Rating scale is Gold, Silver, Bronze, Neutral, and
Negative. A Morningstar Analyst Rating of Gold, Silver, or Bronze reflects an
analyst’s conviction in a fund’s prospects for outperformance. Analyst Ratings
are continuously monitored and reevaluated at least every 14 months.
For more detailed information about Morningstar’s Analyst Rating, including its
methodology, please click here.
The Morningstar Analyst Rating should not be used as the sole basis in evaluating a fund. Morningstar
Analyst Ratings involve unknown risks and uncertainties which may cause Morningstar’s expectations not to occur or to differ significantly from what we
reflect funds' expense minimization relative to peers with similar load structures as of March 31, 2017. The Scout Unconstrained Bond Fund - Institutional Class, in Lipper's Alternative Credit Focus Funds classification, received the following ratings for the 3- and 5-year periods, respectively: a Lipper Leader rating (among 53 funds) and a Lipper Leader rating (among 37 funds).Lipper ratings for Tax Efficiency
identifies a fund that has been successful at deferring taxes over the measurement period relative to peers as of March 31, 2017. The Scout Unconstrained Bond Fund - Institutional Class, in Lipper's Alternative Credit Focus Funds classification, received the following ratings for the 3- and 5-year periods, respectively: a Lipper Leader rating (among 177 funds) and a Lipper Leader rating (among 115 funds). Tax Efficiency offers no benefit to investors in tax-sheltered accounts such as 401(k) plans. The designation of Lipper Leader does not imply the best performance in a particular category.
Unconstrained risk considerations:
The Fund employs an unconstrained investment approach, which creates considerable exposure to certain types of securities that present significant volatility in the Fund’s performance, particularly over short periods of time. The return of principal in a fixed income fund is not guaranteed. Fixed income funds have the same interest rate, inflation, issuer, maturity and credit risks that are associated with underlying fixed income securities owned by the Fund. Foreign investments present additional risks due to currency fluctuations, economic and political factors, government regulations, differences in accounting standards and other factors. Mortgage- and Asset-Backed Securities are subject to prepayment risk and the risk of default on the underlying mortgages or other assets. High yield securities involve greater risk than investment grade securities and tend to be more sensitive to economic conditions and credit risk. Investments in emerging markets involve even greater risks.
Derivatives such as options, futures contracts, currency forwards or swap agreements may involve greater risks than if the Fund invested in the referenced obligation directly. Derivatives are subject to risks such as market risk, liquidity risk, interest rate risk, credit risk and management risk. Derivative investments could lose more than the principal amount invested. The Fund may use derivatives for hedging purposes or as part of its investment strategy. The use of leverage, derivatives and short sales could accelerate losses to the Fund. These losses could exceed the amount originally invested.
The Fund may, at times, experience higher-than-average portfolio turnover, which may generate significant taxable gains and increased trading expenses, which, in turn, may lower the Fund’s return.