Thornburg Limited Term U.S. Government Fund Class R5 is a mutual fund that invests primarily in short-duration, high-quality U.S. government securities. The fund is actively managed, focusing on generating income and capital preservation with lower volatility by holding bonds backed by the U.S. government or government-linked agencies. Its portfolio consists chiefly of U.S. Treasury notes and agency mortgage-backed securities, maintaining a high credit quality with a significant portion of assets rated AAA. By concentrating on bonds with shorter maturities—typically resulting in effective durations between 1.0 and 3.5 years—the fund aims to minimize interest rate sensitivity and credit risk, providing a stable vehicle for investors seeking income and capital protection. Thornburg Limited Term U.S. Government Fund Class R5 is benchmarked against the Bloomberg U.S. Government Intermediate Index and categorized within the short-government bond sector. Its diversified holdings and regular distribution schedule position it as a core fixed-income offering for clients interested in stability and liquidity, particularly during uncertain or rising interest rate environments.
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