Eaton Vance Floating Rate Advantage Fund for Savvy Investors

The Eaton Vance Floating Rate Advantage Fund is a great option for savvy investors looking to diversify their portfolios. The fund is a type of bond fund that invests in floating rate loans.

These loans are secured by collateral, such as real estate or equipment, and offer a floating interest rate that adjusts based on market conditions. The fund's investment objective is to provide a high level of income and total return.

By investing in floating rate loans, the fund aims to reduce interest rate risk and provide a more stable source of income. This can be especially appealing to investors who are concerned about rising interest rates.

The fund's portfolio typically consists of a mix of senior secured loans and high-yield bonds.

The Eaton Vance Floating-Rate Advantage Fund has a unique feature that sets it apart from traditional equity and fixed income markets. It has typically performed with low correlation to these markets, providing important diversification benefits for investor portfolios.

The fund's floating-rate structure and low duration may help reduce interest rate risk and lower portfolio volatility. This can be a big advantage in a market where interest rates are fluctuating rapidly.

The fund's performance has been impressive, with an annualized return of 5.354% from 2008 to 2025. This is a compound annualized total return that includes dividend reinvestment.

Here are some key statistics that highlight the fund's performance:

The fund's expense ratio is a bit higher than average, at 2.82%. This is 160% higher than its category average, which is a drawback for investors.

The Eaton Vance Advantage Fund Class A is a fund that has been around since 2008, and its performance has been tracked over the years. It has a compound annualized total return of 5.354% since its inception.

The fund's Sharpe Ratio is 0.97, which is a measure of its risk-adjusted return. This means that for every unit of risk taken, the fund has earned a return of 0.97 units.

High portfolio turnover can be a negative factor for a fund, but Eaton Vance Advantage Fund Class A has a relatively low portfolio turnover rate of 35%. This suggests that the fund's manager is not making frequent trades, which can help keep expenses low.

The fund's beta is 0.76, which is lower than the market average. This means that the fund is less volatile than the market, and it tends to move in the same direction as the market but with less intensity.

Here's a summary of the fund's key statistics:

The fund's performance has been decent, but it's essential to remember that past performance is not a guarantee of future results.

The Eaton Vance Floating Rate Advantage Fund has been a solid performer over the years, with a compound annualized total return of 5.354% from March 2008 to February 2025.

Its cumulative total return over this period is a notable 141.087%, which is a testament to the fund's ability to generate consistent returns for investors.

The Sharpe Ratio of the fund is 0.97, indicating that it has provided a relatively high return per unit of risk taken.

A Sharpe Ratio of 0.97 is a good sign, suggesting that the fund has been able to balance risk and return effectively.

The fund's Annualized Standard Deviation is 4.5%, which is a relatively low level of volatility compared to other investments.

This low volatility makes the fund a good option for investors who want to minimize their risk exposure.

Here's a summary of the fund's key statistics:

The fund's Beta of 0.76 indicates that it has historically been less volatile than the overall market, which can be a desirable trait for investors.