I'm hard pressed to make an intelligent comparison, in order to decide whether to move money into BLADX.
BLADX is put into "Conserv. Alloc" by Morningstar. Same category as WBALX. But BLADX emphasizes income over growth. Most of the AUM are not in equities at all. WBALX holds about 50-50 equity to bonds. And WCPNX is an I.G. Core-Plus fund. WBALX pays 2X per year. June and Dec. The other two pay monthly.
I wonder if anyone has the time and inclination to assist and help me sort it out? Thank you.
Comments
1. Equity 0-30%, fixed-income 70-100%, so allocation may vary. Morningstar's category is based on the current snapshot and that is conservative-allocation.
2. Meaning of "managed income" isn't clear. A more clear term is "managed distribution" often used for CEFs that may cause ROC's. All I found in prospectus is this wishy-washy language that could apply to BLADX but it isn't mentioned specifically (my underlining):
"n addition, the Fund’s distribution policy may, in certain situations, cause the Fund to make distributions to shareholders in excess of the minimum amounts of such distributions required to avoid liability for federal income and excise taxes. As a result, there is a possibility that the Fund may make total distributions during a fiscal year in an amount that exceeds the Fund’s earnings and profits for U.S. federal income tax purposes. In such situations, the amount by which the Fund’s distributions exceed current and accumulated earnings and profits would generally be treated as a return of capital for U.S. federal income tax purposes and would reduce your basis in your shares, with any amounts exceeding such basis treated as gain from the sale of shares. Fund distributions in excess of the Fund’s minimum distribution requirements but not in excess of the Fund’s current and accumulated earnings and profits will not be treated as returns of capital but will be treated as dividends."
IMO, the SEC should ban these multi-fund prospectus atrocities in this day and age of online documents. Each fund deserves its own self-standing prospectus.
Edit/Add. M* Categories now are:
Conservative Allocation 15-30% equity
Moderately Conservative Allocation 30-50% equity
(Some time ago, both used to be Conservative Allocation 20-50% equity)
Moderate Allocation 50-70% equity
Moderately Aggressive Allocation 70-85% equity
Aggressive Allocation >85% equity (it just used to be within Equity subcategories - LV, LB, LG,...)