Questions?

1-800-582-6757

Monday - Friday
9 a.m. - 6 p.m. EST

Send us an email

Domini Impact Bond Fund sm

Fund Information

$10.93
Daily Price (NAV)
as of 02/22/2018
Symbol DSBIX
Daily NAV Change $0.01 (0.09%)

Key Documents

Overview

Institutional Shares Overview​

Institutional shares are available to qualified endowments, foundations, religious organizations, nonprofit entities, individuals and certain corporate or similar institutions that meet the minimum investment requirements.

Investment Objective

The Fund seeks to provide its shareholders with a high level of current income and total return.  

Investment Strategy

As a primary strategy, the Fund’s investment approach incorporates Domini’s social and environmental standards. 

The Fund normally invests at least 80% of its assets in investment-grade fixed-income securities, including government, corporate, mortgage-backed and asset-backed securities, and U.S. dollar-denominated bonds issued by non-U.S. entities.  The Fund maintains an effective duration within two years (plus or minus) of the portfolio duration of the securities comprising the Barclays U.S. Aggregate Bond Index­­.

Domini evaluates potential corporate debt instruments against social and environmental standards based on:

  • the businesses in which the issuer engages
  • the quality of its relations with key stakeholders, including communities, customers, ecosystems, employees, investors, and suppliers

With respect to noncorporate debt instruments, the Fund seeks to focus on three key themes:

  • Increasing access to capital for those historically underserved by the mainstream financial community
  • Creating public goods for those most in need
  • Filling capital gaps left by current financial practice

In particular, the Fund seeks noncorporate debt instruments that support:

  • Affordable housing
  • Small business development
  • Community revitalization
  • Rural Development
  • Education
  • The environment
  • Healthcare

Domini may determine that a security is eligible for investment even if its profile reflects a mixture of positive and negative social and environmental characteristics. Please see Domini’s Impact Investment Standards for further details.

Management

The Fund is managed through a two-step process designed to capitalize on the strengths of Domini Impact Investments and Wellington Management Company. Domini sets social and environmental guidelines and objectives for each asset class, and develops an approved universe of companies, and Wellington utilizes proprietary analytical tools to manage the portfolio. Wellington Management Company has been serving as submanager of the Fund since January 7, 2015.  Campe Goodman, CFA, is primarily responsible for the day-to-day management of the Fund, assisted by other members of Wellington Management's US broad market team.

Investor Profile

Who Should Invest

  • The Institutional share class of the Domini Impact Bond Fund is available to investors that meet the minimum investment requirements, have been approved by the distributor, and fall within the following categories: endowments, foundations, religious organizations and other nonprofit entities, individuals, retirement plan sponsors, family office clients, private trusts, certain corporate or similar institutions, or omnibus accounts maintained by financial intermediaries.**
  • Investors seeking a high level of current income and total return
  • Investors seeking exposure to the bond market to diversify their portfolio
  • Investors who wish to support the Fund's responsible investment standards 

Who Should Not Invest

  • Investors unwilling or unable to accept fluctuations in share price due to risks associated with the bond market

Performance

Institutional Shares Performance
 

Month-End Returns as of 1/31/18
YTD1 Yr3 Yr*5 Yr*10 Yr*Since Inception (6/1/00)*
DSBIX-1.20%2.71%1.48%1.77%2.95%4.13%
Bloomberg Barclays U.S. Aggregate-1.15.%2.15%1.14%2.01%3.71%5.04%

Quarter-End Returns as of 12/31/17
YTD1 Yr3 Yr*5 Yr*10 Yr*Since Inception (6/1/00)*
DSBIX4.16%4.16%2.53%1.92%3.28%4.23%
Bloomberg Barclays U.S. Aggregate3.54%3.54%2.24%2.10%4.01%5.13%

Calendar Year Returns
DSBIXBBUSA
20174.16%3.54%
20163.66%2.65%
2015-0.17%0.55%
20143.87%5.97%
2013-1.76%-2.02%
20122.89%4.21%
20115.85%7.84%
20104.74%6.56%
20095.77%5.93%
20085.69%5.24%
20076.00%6.96%
20063.38%4.33%
20051.56%2.43%
20042.81%4.34%
20032.31%4.11%
20028.85%10.27%
20018.34%8.42%

Quarterly Returns
DSBIXBBUSA
4th Qtr 20170.56%0.39%
3rd Qtr 20170.98%0.85%
2nd Qtr 20171.60%1.45%
1st Qtr 20170.96%0.82%
4th Qtr 2016-3.15%-2.98%
3rd Qtr 20161.24%0.46%
2nd Qtr 20162.43%2.21%
1st Qtr 20163.21%3.03%
4th Qtr 2015-0.53%-0.57%
3rd Qtr 20151.32%1.23%
2nd Qtr 2015-2.00%-1.68%
1st Qtr 20151.08%1.61%
4th Qtr 20141.06%1.79%
3rd Qtr 2014-0.02%0.17%
2nd Qtr 20141.43%2.04%
1st Qtr 20141.36%1.84%
4th Qtr 2013-0.22%-0.14%
3rd Qtr 20130.66%0.57%
2nd Qtr 2013-2.16%-2.32%
1st Qtr 2013-0.03%-0.12%

*Average annual total returns.

Institutional shares were not offered prior to 11/30/11. All performance information for time periods beginning prior to that date is the performance of the Investor shares, which has not been adjusted to reflect the lower expenses of the Institutional shares.

Annual Expense RatioGross: 0.96% / Net: 0.56%. Per current prospectus. Domini has contractually agreed to waive certain fees and/or reimburse certain ordinary operating expenses in order to limit Institutional share expenses to 0.57% of its average daily net assets per annum until 11/30/18, absent an earlier modification by the Fund’s Board.. See prospectus for details. The Fund’s performance would have been lower had these fees not been waived.

Holdings

Ten Largest Holdings as of 1/31/18
ISSUER% OF PORTFOLIO
Fannie Mae (5.625% due 07/15/2037)4.3%
Ginnie Mae II TBA 30 YR (3.5% due 02/21/2048)3.1%
Fannie Mae (1.5% due 06/22/2020)3.0%
Fed Home LN Discount NT (0.01% due 03/21/2018)1.9%
Ginnie Mae II TBA 30 YR (3.0% due 02/21/2048)1.9%
Freddie Mac TBA 30 YR (3.5% due 02/13/2048)1.7%
Fannie Mae TBA 15 YR (3.0% due 02/16/2033)1.5%
Federal Farm Credit Bank (2.78% due 11/02/2037)1.4%
Fannie Mae Pool BE4435 (3.0% due 11/01/2046)1.3%
Fannie Mae Pool BC1171 (3.5% due 06/01/2046)1.3%
TOTAL21.5%
Sector Weightings as of 12/31/17
SECTOR% OF PORTFOLIO
Mortgage Backed Securities51.3%
Investment Grade Credit30.8%
Commercial Mortgage Backed Securities8.8%
U.S. Govt Agencies5.8%
Bank Loans5.6%
High Yield Credit4.0%
Tax Exempt Municipal2.4%
Developed Non U.S. Dollar Denom.2.1%
Asset Backed Securities0.6%
Emerging Market Debt0.3%
Cash & Cash Equivalents-11.6%
Total100%

View the most recent quarterly holdings report filed with the Securities and Exchange Commission.

Characteristics

All data as of 9/30/2017 unless otherwise noted.

Portfolio Composition by Credit Quality1

Aaa 5.82%
Aa 65.17%
A 8.54%
Baa 19.03%
Ba 6.45%
B 4.82%
Below B 0.24%
Cash & Cash Offsets2 -13.32%
Not Rated3 3.26%

Portfolio Statistics

  DSBIX BUSA4
Total Number of Holdings5 384 9,461
Years to Worst 8.10 7.84
Effective Duration (years) 6.05 5.84
 
1. Credit-quality ratings are measured on a scale that generally ranges from AAA (highest) to D (lowest). Credit-quality ratings for each issue are obtained from Moody's Investors Service (Moody's) and Standard & Poor's (S&P). When two bonds receive different ratings from Moody’s and S&P, we take the lower of the two ratings into consideration.  Ratings do not apply to the Fund itself or to Fund shares. Ratings may change.
2. May include Cash, Cash Equivalents (defined as issued with 1 year to maturity), Trade Receivables/Payables as of the trade date (not settlement date), STIF Instruments, and derivative cash offsets.
3. Securities that are not rated by either agency are listed as "Not Rated."
4. Barclays U.S. Aggregate Index
5. Excludes currency forwards, currency futures, currency options and cash offsets.
 

Commentary

Institutional Shares Performance Commentary

The Fund is managed through a two-step process designed to capitalize on the strengths of Domini Impact Investments and Wellington Management Company. Domini sets social and environmental guidelines and objectives for each asset class, and develops an approved universe of companies, and Wellington utilizes proprietary analytical tools to manage the portfolio. Wellington Management Company has been serving as submanager of the Fund since January 7, 2015.

Download Commentary as a PDF.

Making a Difference

Domini Impact Investments pursues two long-term goals: universal human dignity and ecological sustainability.

Our Impact Investment Standards are a fundamental part of our investment approach. The Domini Impact Bond Fund uses the same social and environmental standards applied across all of our mutual funds.

There are many opportunities within fixed income for lasting impact. When evaluating investment opportunities, it is important to ask two questions: To whom am I loaning my money? For what purpose?

When answering these questions, we keep three key goals in mind:

  • Increasing access to capital, especially for those historically underserved by the mainstream financial community
  • Creating public goods for those most in need
  • Filling capital gaps unmet by current financial practices

These goals stem from our belief that healthy economies must be built on a strong foundation of fairness and opportunity for all.

While all of our fixed-income investments meet our Impact Investment Standards, we consider many to be especially high impact. These include investments that support a ordable housing, economic development, public education, nonprofit healthcare, and climate change mitigation and adaptation, among others.