Employee-owned Baird announced today Baird Core Plus Bond Fund (BCOIX/BCOSX) has been selected to join Baird Short-Term Bond Fund (BSBIX/BSBSX) on Morningstar’s annual Fantastic 40 mutual fund list.
To develop the list, Morningstar’s Russel Kinnel, Director Manager Research and Editor, pared the universe of more than 8,000 mutual funds to just 40. Kinnel used a quantitative test that screens for funds in the cheapest quintile of their category and that have manager investment of more than $1 million in the fund, a Morningstar Risk rating below the high level, a Morningstar Analyst Rating of bronze or higher, a Parent Rating of Positive, and returns above the fund’s benchmark over the manager’s tenure, among other things. While Kinnel looked only at individual share classes, both Baird funds offer an institutional class that is available to investors with $25,000 or more.
While Baird Short-Term Bond Fund was first included last year, Baird Core Plus Bond Fund is new to the list this year. About Core Plus Bond Fund, Kinnel wrote “manager Mary Ellen Stanek has done a nice job with a fairly cautious investment-grade strategy. With low fees, it hasn’t had to stretch to produce income.”
“It is a considerable accomplishment to have two of our eight bond funds included,” said Mary Ellen Stanek, Managing Director, Chief Investment Officer and President of Baird Funds, “We are honored to be on this esteemed list.”
