Fund Detail

Ivy Bond Fund

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$6.26 NAV as of 11/24/2017
$0.00 / 0.00% Daily NAV Change
YTD (NAV) as of 11/24/2017 i

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Fund Summary

The Ivy Bond Fund seeks to provide current income consistent with preservation of capital.
Credit Quality
Holds primarily investment-grade debt securities.
Diversification
A portfolio of corporate, government and mortgage-backed securities that seeks to provide current income.
Experienced Management
Rick Perry has 24 years experience in the industry managing both high yield and investment-grade credit portfolios.
Morningstar Style Box
LTD MOD EXT
High
Medium
Low
Portfolio Management
  • Rick Perry, CFA , CPA

    • — Ivy Investment Management Company
    • — <1 Years with Fund
    • — 24 Years in Industry
Growth of a $10,000 Investment through 10/31/2017

Assumes an investment over 10 years or life of the share class, reinvestment of dividends and capital gains, and does not include the effect of sales charges or taxes.

Documents
Fact Sheet
Prospectus
Summary Prospectus
Statement of Additional Information
Annual Report
Semi-Annual Report
Quarterly Commentary
XBRL
Daily Prices as of 11/24/2017
Net Asset Value (NAV) $6.26  
Daily NAV Change $0.00 0.00%
Weekly NAV Change $0.02 0.32%
Public Offering Price (POP) $6.26
Fund Facts
Ticker Symbol IBJRX
CUSIP 46600G705
Fund Code 831
Fund Type Fixed Income Funds
Fund Inception 3/30/1964
Class Inception 10/16/2017
Fiscal Year End September
Dividends Paid Monthly
Fund Assets
(as of 10/31/2017)
$1.1 bil
Total Holdings
(as of 10/31/2017)
308
Lipper Category Corporate Debt Funds A Rated
Morningstar Category Corporate Bond
BenchmarkBloomberg Barclays US Agg Bond TR USD

Fund Performance

Data quoted is past performance and current performance may be lower or higher. Past performance is no guarantee of future results. Investment return and principal value of an investment will fluctuate, and shares, when redeemed, may be worth more or less than their original cost.

Performance does not include the effect of sales charges as Class R shares are not subject to sales charges.

Monthly Rates of Return Average Annual Total Returns as of 10/31/2017

(Returns for periods of less than 1-yr are not annualized)
YTD 1YR 3YR 5YR 10YR LIFE
Fund at NAV N/A N/A N/A N/A N/A -0.16%
Bloomberg Barclays US Agg Bond TR USD 3.20% 0.90% 2.40% 2.04% 4.19% -0.27%
Lipper Corporate Debt Funds A Rated 4.67% 2.15% 3.02% 2.63% 4.67% -0.16%

Quarterly Rates of Return Average Annual Total Returns as of 9/30/2017

(Returns for periods of less than 1-yr are not annualized)
YTD 1YR 3YR 5YR 10YR LIFE
Fund at NAV N/A N/A N/A N/A N/A N/A
Bloomberg Barclays US Agg Bond TR USD 3.14% 0.07% 2.71% 2.06% 4.27% N/A
Lipper Corporate Debt Funds A Rated 4.42% 0.91% 3.26% 2.73% 4.73% N/A

Morningstar Ratings as of 10/31/2017

Category: Corporate Bond

Overall out of 175
3 Year out of 175 ★★
5 Year out of 145
10 Year out of 85

Ratings are based on risk-adjusted returns

Expense Ratios as of 10/16/2017

Net 1.28%
Gross 1.28%

Growth of a $10,000 Investment through 10/31/2017

Assumes an investment over 10 years or life of the share class, reinvestment of dividends and capital gains, and does not include the effect of sales charges or taxes.

Fund Distributions

Historical Prices Inception 10/16/2017

Date Price Dividend Reinvest Date Capital Gain Reinvest Date

Fund Documents

Top 10 Holdings as a % of net assets as of 10/31/2017

Federal Home Loan Mortgage Corp. Agency REMIC/CMO, 4.3%, 12/25/2044 1.70%
American Tower Corp., 3.1%, 1/15/2027 1.18%
Province de Quebec, 7.1%, 2/27/2026 1.08%
Berkshire Hathaway, Inc., 3.1%, 3/15/2026 0.96%
Federal Home Loan Mortgage Corp. Agency REMIC/CMO, 4.9%, 7/25/2044 0.95%
USAA Capital Corp., 2.5%, 8/1/2020 0.91%
Duke Energy Carolinas LLC, 3.8%, 6/1/2045 0.83%
Medtronic, Inc., 4.4%, 3/15/2035 0.83%
Sprint Spectrum L.P., 3.4%, 9/20/2021 0.83%
Citigroup, Inc., 4.5%, 9/29/2027 0.81%
Total Portfolio Holdings DOWNLOAD (as of 9/30/2017)
updated quarterly, upon availability
Maturity as a % of fixed income assets as of 10/31/2017
<1 Year 6.70%
1-5 Years 35.70%
5-10 Years 47.30%
10-20 Years 4.50%
>20 Years 5.90%
Average Maturity 7.14 years
Effective Duration 5.73 years
Fixed Income Country Allocation (as a % of bond holdings as of 10/31/2017)
United States 86.4%
Canada 3.8%
Japan 2.3%
Australia 2.1%
United Kingdom 1.5%
Ireland 0.9%
Sweden 0.7%
Netherlands 0.5%
Denmark 0.5%
Spain 0.4%
Norway 0.4%
Luxembourg 0.3%
Guernsey 0.2%
Quality as a % of fixed income assets as of 10/31/2017
Government Bonds 6.80%
NonRated 0.90%
AAA 1.50%
AA 15.30%
A 28.30%
BBB 44.60%
BB 2.60%

Quality: Our preference is to always use ratings obtained from Standard & Poor's. For securities not rated by Standard & Poor's, ratings are obtained from Moody's. We do not evaluate these ratings, but simply assign them to the appropriate credit quality category as determined by the rating agency.

Portfolio Composition as a % of net assets as of 10/31/2017
Corporate Bonds 85.68%
Government Bonds 6.72%
Asset-Backed Securities 2.40%
Cash and Cash Equivalents 1.87%
Revenue Bonds 1.37%
Other Government Securities 1.26%
General Obligation Bonds 0.56%
Mortgage-Backed Securities 0.09%
Preferred Stock 0.05%
Total Portfolio Holdings
DOWNLOAD (as of 9/30/2017)

Fund Documents

Documents

Fact Sheet
Prospectus
Summary Prospectus
Statement of Additional Information
Annual Report
Semi-Annual Report
Quarterly Commentary
XBRL

Additional Fund Literature

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Data quoted is past performance and current performance may be lower or higher. Past performance is no guarantee of future results. Investment return and principal value of an investment will fluctuate, and shares, when redeemed, may be worth more or less than their original cost.

Risk Factors: The value of the Fund's shares will change, and you could lose money on your investment. An investment in the Fund is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Fixed income securities are subject to interest rate risk and, as such, the net asset value of the fund may fall as interest rates rise. Investing in below investment grade securities may carry a greater risk of nonpayment of interest or principal than higher-rated bonds. These and other risks are more fully described in the Fund's prospectus. Not all funds or fund classes may be offered at all broker/ dealers.

Index Description: The Bloomberg Barclays U.S. Aggregate Bond TR USD Index - A market capitalization-weighted index, representing most U.S. traded investment grade bonds. It is not possible to invest directly in an index.

Performance results include the effect of expense reduction arrangements for some or all of the periods shown. If those arrangements had not been in place, the performance results for those periods would have been lower. WRA Bond Fund did not have Class E, Class N or Class R shares, or their equivalents. Accordingly, there is limited history for any of these share classes. In addition, as part of the reorganization, Class Y shares of WRA Bond Fund were reorganized into Class I shares of Ivy Bond Fund; therefore, Ivy Bond Fund's Class Y shares also will have limited performance history.

Waddell & Reed Advisors (WRA) Bond Fund merged into Ivy Bond Fund on Oct. 16, 2017. The returns shown prior to this date reflect the performance of WRA Bond Fund, which was incepted on March 30, 1964. Ivy Bond Fund adopted that performance as the result of a reorganization in which it acquired all assets and liabilities of WRA Bond Fund. Prior to the reorganization, the Ivy Bond Fund had no assets and had not commenced operations. Performance shown after Jan. 31, 2012, may significantly differ from prior performance due to changes made on that date to WRA Bond Fund's investment strategies. WRA Bond Fund's past performance does not necessarily indicate how Ivy Bond Fund will perform in the future.

Pricing: All prices and year-to-date returns are based on closing quotes unless noted, as supplied to the NASDAQ by 6:00 p.m. Eastern time. YTD Prices can be updated 3 to 4 hours after the Daily Pricing information which can result in mismatching data.

Style Analysis: The Morningstar Style Box reveals a fund's investment style. For equity funds the vertical axis shows the market capitalization of the stocks owned and the horizontal axis shows investment style (value, blend, or growth). For fixed-income funds, the vertical axis shows the credit quality of the bonds owned and the horizontal axis shows interest rate sensitivity as measured by a bond's effective duration. Morningstar seeks credit rating information from fund companies on a periodic basis (e.g., quarterly). In compiling credit rating information, Morningstar instructs fund companies to only use ratings that have been assigned by the following Nationally Recognized Statistical Rating Organizations (NRSROs): Moody's, Standard & Poor's, Fitch, and Egan-Jones. If two NRSROs have rated a security, fund companies are to report the lowest rating; if three or more NRSROs have rated the same security differently, fund companies are to report the rating that is in the middle. For example, if NRSRO X rates a security AA-, NRSRO Y rates the same security an A and NRSRO Z rates it a BBB+, the fund company should use the credit rating of 'A' in its reporting to Morningstar. PLEASE NOTE: Morningstar, Inc. is not itself an NRSRO nor does it issue a credit rating on the fund. An NRSRO rating on a fixed-income security can change from time-to-time. For credit quality, Morningstar combines the credit rating information provided by the fund companies with an average default rate calculation to come up with a weighted-average credit quality. The weighted-average credit quality is currently a letter that roughly corresponds to the scale used by a leading NRSRO. Bond funds are assigned a style box placement of "low", "medium", or "high" based on their average credit quality. Funds with a low credit quality are those whose weighted-average credit quality is determined to be less than "BBB-"; medium are those less than "AA-", but greater or equal to "BBB-"; and high are those with a weighted-average credit quality of "AA-" or higher. When classifying a bond portfolio, Morningstar first maps the NRSRO credit ratings of the underlying holdings to their respective default rates (as determined by Morningstar's analysis of actual historical default rates). Morningstar then averages these default rates to determine the average default rate for the entire bond fund. Finally, Morningstar maps this average default rate to its corresponding credit rating along a convex curve. For interest-rate sensitivity, Morningstar obtains from fund companies the average effective duration. Generally, Morningstar classifies a fixed-income fund's interest-rate sensitivity based on the effective duration of the Morningstar Core Bond Index (MCBI), which is currently three years. The classification of Limited will be assigned to those funds whose average effective duration is between 25% to 75% of MCBI's average effective duration; funds whose average effective duration is between 75% to 125% of the MCBI will be classified as Moderate; and those that are at 125% or greater of the average effective duration of the MCBI will be classified as Extensive. For municipal bond funds, Morningstar also obtains from fund companies the average effective duration. In these cases static breakpoints are utilized. These breakpoints are as follows: (i) Limited: 4.5 years or less; (ii) Moderate: more than 4.5 years but less than 7 years; and (iii) Extensive: more than 7 years. In addition, for non-US taxable and non-US domiciled fixed income funds static duration breakpoints are used: (i) Limited: less than or equal to 3.5 years; (ii) Moderate: greater than 3.5 and less than equal to 6 years; (iii) Extensive: greater than 6 years.

When a fund's share class has less than a year of performance to report, the returns shown are cumulative.

The Morningstar Rating™ 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, and does not include the effects of sales charges. 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.

© 2017 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar; (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.

Quality: Ratings obtained from Standard & Poor's. For securities not rated by Standard & Poor's, ratings are obtained from Moody's. We do not evaluate these ratings, but simply assign them to the appropriate credit quality category as determined by the rating agency.

Information is subject to change and is not intended to represent any past or future investment recommendations.