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Floating Rate Fund

Investment Adviser: Foresters Investment Management Company, Inc. is the Fund's investment adviser and Muzinich & Co., Inc. serves as subadviser of the Fund.

Portfolio Managers: Bryan Petermann and Clinton Comeaux

Investment Objective and Strategy

The Fund seeks a high level of current income.

Sector Allocation (%)

As of 09/30/2018

This information is for illustrative purposes only and includes only invested cash; therefore, the sum of all sectors as a percentage of net assets may not equal 100%

Top Holdings (%)

As of 09/30/2018
Top Holdings (%)
Security% of Total Net Assets
USI Holdings Corp., 5.334%, 05/16/20241.6%
Atlantic Broadband Finance, LLC, 4.617%, 08/11/20241.5%
Brand Energy & Infrastructure Services, Inc., 6.597%, 06/16/20241.4%
Envision Healthcare Corp., 0.000%, 09/28/20251.4%
Hearthside Group Holdings, LLC, 5.242%, 05/17/20251.4%
Calpine Corp., 4.890%, 01/15/20241.4%
Digicert Holdings, Inc., 6.825%, 10/31/20241.3%
Dexko Global, Inc., 5.575%, 07/12/20241.2%
Avantor Performance Materiasls Holdings, Inc., 6.242%, 09/22/20241.2%
Boyd Gaming Corp., 4.417%, 09/15/20231.2%
Total13.6%

This information is solely for illustrative purposes. The portfolio as of the date of this report may or may not be the same as the portfolio on the date this material is used.

Returns as of 11/30/2018 09/30/2018
Gross/Net Exp as of 09/30/2017 Gross/Net Exp as of 09/30/2017
Average Annual Total Returns
Class 1 Yr. % 3 Yr. % 5 Yr. % 10 Yr. % Since inception* Inception date Gross/Net Exp %
Average Annual Total Returns
Aat NAV3.823.67N/AN/A2.4210/18/20131.24/1.10
w/ sales charge1.212.79N/AN/A1.8910/18/20131.24/1.10
Advisorat NAV4.033.88N/AN/A2.6710/18/20130.92/0.90
Institutionalat NAV4.204.07N/AN/A2.8210/18/20130.80/0.70
Average Annual Total Returns
ClassA
at NAV
1 Yr. %3.82
3 Yr. %3.67
5 Yr. %N/A
10 Yr. %N/A
Since inception*2.42
Inception date10/18/2013
Gross/Net Exp %1.24/1.10
Average Annual Total Returns
ClassA
w/ sales charge
1 Yr. %1.21
3 Yr. %2.79
5 Yr. %N/A
10 Yr. %N/A
Since inception*1.89
Inception date10/18/2013
Gross/Net Exp %1.24/1.10
Average Annual Total Returns
ClassAdvisor
at NAV
1 Yr. %4.03
3 Yr. %3.88
5 Yr. %N/A
10 Yr. %N/A
Since inception*2.67
Inception date10/18/2013
Gross/Net Exp %0.92/0.90
Average Annual Total Returns
ClassInstitutional
at NAV
1 Yr. %4.20
3 Yr. %4.07
5 Yr. %N/A
10 Yr. %N/A
Since inception*2.82
Inception date10/18/2013
Gross/Net Exp %0.80/0.70
Average Annual Total Returns
Class 1 Yr. % 3 Yr. % 5 Yr. % 10 Yr. % Since inception* Inception date Gross/Net Exp %
Average Annual Total Returns
Aat NAV2.573.542.21N/A2.1810/18/20131.24/1.10
w/ sales charge-0.012.681.69N/A1.6710/18/20131.24/1.10
Advisorat NAV2.663.702.39N/A2.4110/18/20130.92/0.90
Institutionalat NAV2.983.932.64N/A2.5910/18/20130.80/0.70
Average Annual Total Returns
ClassA
at NAV
1 Yr. %2.57
3 Yr. %3.54
5 Yr. %2.21
10 Yr. %N/A
Since inception*2.18
Inception date10/18/2013
Gross/Net Exp %1.24/1.10
Average Annual Total Returns
ClassA
w/ sales charge
1 Yr. %-0.01
3 Yr. %2.68
5 Yr. %1.69
10 Yr. %N/A
Since inception*1.67
Inception date10/18/2013
Gross/Net Exp %1.24/1.10
Average Annual Total Returns
ClassAdvisor
at NAV
1 Yr. %2.66
3 Yr. %3.70
5 Yr. %2.39
10 Yr. %N/A
Since inception*2.41
Inception date10/18/2013
Gross/Net Exp %0.92/0.90
Average Annual Total Returns
ClassInstitutional
at NAV
1 Yr. %2.98
3 Yr. %3.93
5 Yr. %2.64
10 Yr. %N/A
Since inception*2.59
Inception date10/18/2013
Gross/Net Exp %0.80/0.70

*For funds with less than 1, 3, 5 or 10 year performance data.

The performance data quoted represents past performance. Past performance does not guarantee future results. Investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance and expense ratios may be higher or lower than the data quoted. Performance of share classes will differ because each class is sold pursuant to different sales arrangements and bears different expenses. The Class A returns shown with sales charges are based on the maximum sales charge of 5.75% for Equity Funds, 4% for the Municipal Funds and Bond Funds, except First Investors Limited Duration, High Quality Bond Fund and First Investors Floating Rate Fund, which are 2.5%. The Class B returns shown with sales charges are adjusted for the applicable deferred sales charge (maximum of 4% in the first year). The Advisor Class and Institutional Class returns are shown as NAV only returns since these classes are sold without sales charges. Redemptions of Class B shares may be subject to a deferred sales charge. Returns may reflect waivers or reimbursements of certain expenses. Absent of these waivers or reimbursements, returns may be lower.

For more complete information on any First Investors fund, you may obtain a free prospectus by downloading it here,  contacting your registered representative, or calling 800 423 4026. You should consider the investment objectives, risks, fees or charges, and expenses of the fund carefully before investing. The prospectus and summary prospectus contain this and other information about the fund, and should be read carefully before you invest or send money.

Annual Performance before Sales Charge (%)

All distributions reinvested
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 YTD 2018
Credit Suisse Leveraged Loan Index N/A N/A N/A N/A N/A N/A 1.72 1.22 8.57 4.25 4.36
A Shares N/A N/A N/A N/A N/A N/A -0.92 0.36 6.21 2.83 3.11
Annual Performance before Sales Charge (%)
Credit Suisse Leveraged Loan Index
2008 N/A
2009 N/A
2010 N/A
2011 N/A
2012 N/A
2013 N/A
2014 1.72
2015 1.22
2016 8.57
2017 4.25
YTD 2018 4.36
Annual Performance before Sales Charge (%)
A Shares
2008 N/A
2009 N/A
2010 N/A
2011 N/A
2012 N/A
2013 N/A
2014 -0.92
2015 0.36
2016 6.21
2017 2.83
YTD 2018 3.11

Sector Allocation (%)

As of 09/30/2018

This information is for illustrative purposes only and includes only invested cash; therefore, the sum of all sectors as a percentage of net assets may not equal 100%

Top Holdings (%)

As of 09/30/2018
Top Holdings (%)
Security% of Total Net Assets
USI Holdings Corp., 5.334%, 05/16/20241.6%
Atlantic Broadband Finance, LLC, 4.617%, 08/11/20241.5%
Brand Energy & Infrastructure Services, Inc., 6.597%, 06/16/20241.4%
Envision Healthcare Corp., 0.000%, 09/28/20251.4%
Hearthside Group Holdings, LLC, 5.242%, 05/17/20251.4%
Calpine Corp., 4.890%, 01/15/20241.4%
Digicert Holdings, Inc., 6.825%, 10/31/20241.3%
Dexko Global, Inc., 5.575%, 07/12/20241.2%
Avantor Performance Materiasls Holdings, Inc., 6.242%, 09/22/20241.2%
Boyd Gaming Corp., 4.417%, 09/15/20231.2%
Total13.6%

This information is solely for illustrative purposes. The portfolio as of the date of this report may or may not be the same as the portfolio on the date this material is used.

Credit Quality (%)

As of 09-30-2018

The Credit Quality table depicts the composite ratings of the Fund's portfolio holdings. The composite ratings reflect an average of the ratings assigned to a security by up to three major credit rating agencies, typically Standard and Poor's Rating Services, Moody's Investors Services, Inc., and Fitch Ratings, Inc. The ratings are converted into their numeric equivalents before being averaged to allow for rounding when necessary. The average is then converted back to the equivalent alphabetical rating reflected in the table. The Fund's subadviser performs its own credit analysis of securities that are unrated and assigns comparable ratings that are used for compliance with the Fund's investment policies.

Risk Measure 3 Year

As of 09/30/2018
3 Year *
Alpha** -0.14
Beta** 0.64
R-Squared** 89.68
Sharpe Ratio 1.62
Standard Deviation 1.66
* Calculations measured against Class A shares
** Measured against the Fund's benchmark
Class A Advisor Class Institutional Class
Shareholder Fees (fees paid directly from your investment)
Maximum sales charge (load) imposed on purchases (as a percentage of offering price) 2.50%1 None None
Maximum deferred sales charge (load) (as a percentage of the lower of purchase price or redemption price) 1.00%2 None None
Class A Advisor Class Institutional Class
Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
Management Fees 0.60% 0.60% 0.60%
Distribution and Service (12b-1) Fees 0.30% None None
Other Expenses 0.34% 0.32% 0.20%
Total Annual Fund Operating Expenses 1.24% 0.92% 0.80%
Fee Limitation and/or Expense Reimbursement3 0.14%   0.02% 0.10% 
Total Annual Fund Operating Expenses After Fee Limitation and/or Expense Reimbursement 1.10%   0.90%  0.70%

1Due to rounding of numbers in calculating a sales charge, you may pay more or less than what is shown above.

2A CDSC of 1.00% will be assessed on certain redemptions of Class A shares that are purchased without a sales charge.

3The Adviser has contractually agreed to limit fees and/or reimburse expenses of the Fund until at least January 31, 2019, to the extent that Total Annual Fund Operating Expenses (exclusive of interest expenses, taxes, brokerage commissions, acquired fund fees and expenses, dividend costs related to short sales, and extraordinary expenses, such as litigation expenses, if any) exceed 1.10% for Class A, 0.90% for Advisor Class and 0.70% for Institutional Class shares.  The Adviser can be reimbursed by the Fund within three years after the date the fee limitation and/or expense reimbursement has been made by the Adviser, provided that such repayment does not cause the expenses of the Fund’s Class A, Advisor Class or Institutional Class shares to exceed the applicable expense ratio in place at the time expenses were waived or assumed or the current limits established under the Expense Limitation Agreement.  The fee limitation and/or expense reimbursement may be terminated or amended prior to January 31, 2019, only with the approval of the Fund’s Board of Trustees.

Managers

The Fund is managed primarily by a team of investment professionals at Muzinich.  Bryan Petermann has served as Portfolio Manager of the Fund since the Fund’s inception in 2013 and Clinton Comeaux has served as Portfolio Manager of the Fund since December 2014.

How to obtain a prospectus

For more complete information on any First Investors fund, you may obtain a free prospectus by downloading it here, contacting your registered representative, or calling 800 423 4026. You should consider the investment objectives, risks, fees or charges, and expenses of the fund carefully before investing. The prospectus and summary prospectus contain this and other information about the fund, and should be read carefully before you invest or send money. An investment in a fund is not a bank deposit and is not insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency.

Principal Risks:  You can lose money by investing in the Fund.  There is no guarantee that the Fund will meet its investment objective. 

Here are the principal risks of investing in the Fund:

Credit Risk.  A debt issuer may become unable or unwilling to pay interest or principal when due.  The prices of debt securities are affected by the credit quality of the issuer.

Floating Rate Loan RiskThe value of any collateral securing a floating rate loan may decline, be insufficient to meet the borrower’s obligations, or be difficult or costly to liquidate.  It may take significantly longer than 7 days for investments in floating rate loans to settle, which can adversely affect the Fund’s ability to timely honor redemptions.  In the event of a default, it may be difficult to collect on any collateral and a floating rate loan can decline significantly in value. The Fund’s access to collateral may also be limited by bankruptcy or other insolvency laws.  Although senior loans may be senior to equity and debt securities in the borrower’s capital structure, the loans may be subordinated to other obligations of the borrower or its subsidiaries. If a floating rate loan is acquired through an assignment, the Fund may not be able to unilaterally enforce all rights and remedies under the loan and with regard to any associated collateral.  High yield floating rate loans usually are more credit sensitive.  Floating rate loans may not be considered “securities” for certain purposes of the federal securities laws and purchasers, such as the Fund, therefore, may not be entitled to rely on the anti-fraud protections of the federal securities laws.

Foreign Loan Risk.  A loan and/or bond issued by a foreign corporation or its subsidiary may be subject to risks associated with certain regulatory, economic and political conditions of the issuer’s foreign country and, in event of default, it may be difficult for the Fund to pursue its rights against the issuer in that country’s courts.

High Yield Securities Risk.  High yield debt securities (commonly known as “junk bonds”), including floating rate loans, have greater credit risk than higher quality debt securities because their issuers may not be as financially strong.  High yield securities are inherently speculative due to the risk associated with the issuer’s ability to make principal and interest payments.  During times of economic stress, high yield securities issuers may be unable to access credit to refinance their bonds or meet their credit obligations.

Interest Rate Risk.  In general, when interest rates rise, the market value of a debt security declines, and when interest rates decline, the market value of a debt security increases.  Interest rates across the U.S. economy have recently increased and may continue to increase, thereby heightening the Fund’s exposure to the risks associated with rising interest rates.  Floating rate loans and bonds may be less sensitive than fixed-rate instruments to interest rate changes, but they could remain sensitive over the short-term to interest rate changes.  The interest rates on floating rate securities adjust periodically and may not correlate to prevailing interest rates during the periods between rate adjustments.  Securities with longer maturities and durations are generally more sensitive to interest rate changes.

Liquidity Risk.  Certain investments may be difficult or impossible to sell at a favorable time or price.  Market developments may cause the Fund’s investments to become less liquid and subject to erratic price movements. High yield securities and loans tend to be less liquid.  Floating rate loans generally are subject to legal or contractual restrictions on resale and may trade infrequently.  Assignments of bank loans and bonds also may be less liquid at times because of potential delays in the settlement process or restrictions on resale.

Market Risk.  The floating rate loan, high yield loan and bond market can experience sharp price swings due to a variety of factors, including changes in economic forecasts, stock market volatility, large sustained sales of high yield bonds by major investors, high-profile defaults or the market’s psychology.  Adverse market events may lead to increased redemptions, which could cause the Fund to experience a loss or difficulty in selling securities to meet redemptions.

Security Selection Risk.  Securities selected by the portfolio manager may perform differently than the overall market or may not meet expectations.

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.