Strategy. The Fund normally invests at least 80% of its net assets in the following types of U.S. dollar-denominated debt obligations: Obligations of U.S. government and other public-sector entities Asset-backed and mortgage-backed obligations of U.S. and foreign issuers Corporate debt of U.S. and foreign issuers Th e Fund invests primarily in investment-grade debt obligations, rated at the time of purchase by at least one major rating agency, but may invest up to 20% of its net assets in non-investment grade debt obligations (sometimes referred to as high yield or junk bonds). The Fund may also invest in unrated debt obligations that are determined by Robert W. Baird & Co. Incorporated (the Advisor) to be comparable in quality to the rated obligations. … Show more… The Fund normally invests at least 80% of its net assets in the following types of U.S. dollar-denominated debt obligations: Obligations of U.S. government and other public-sector entities Asset-backed and mortgage-backed obligations of U.S. and foreign issuers Corporate debt of U.S. and foreign issuers Th e Fund invests primarily in investment-grade debt obligations, rated at the time of purchase by at least one major rating agency, but may invest up to 20% of its net assets in non-investment grade debt obligations (sometimes referred to as high yield or junk bonds). The Fund may also invest in unrated debt obligations that are determined by Robert W. Baird & Co. Incorporated (the Advisor) to be comparable in quality to the rated obligations. After purchase, a debt obligation may cease to be rated or may have its rating reduced below the minimum rating required by the Fund for purchase. In such cases, the Advisor will consider whether to continue to hold the debt obligation. The Fund may hold debt obligations with a D or similar credit rating indicating at least a partial payment default. The Advisor attempts to keep the duration of the Funds portfolio substantially equal to that of its benchmark, the Bloomberg U.S. Universal Index. The duration of the Funds benchmark as of March 31, 2025 was 5.86 years. The dollar-weighted average portfolio effective maturity of the Fund will normally be more than five years but less than 10 years during normal market conditions. Effective maturity takes into account the possibility that a bond may have prepayments or may be called by the issuer before its stated maturity date. The Fund may invest in debt obligations of all maturities. The Advisor attempts to diversify the Funds portfolio by holding debt obligations of many different issuers and choosing issuers in a variety of sectors. In determining which debt obligations to buy for the Fund, the Advisor attempts to achieve returns that exceed the Funds benchmark primarily in three ways: Yield curve positioning: The Advisor selects debt obligations with maturities and yields that it believes have the greatest potential for achieving the Funds objective, while attempting to match the average duration of the debt obligations in the Fund with the average duration of the debt obligations in the Funds benchmark. Sector allocation: The Advisor invests in debt obligations in those sectors which it believes represent the greatest potential for achieving the Funds objective. Security selection: The Advisor determines which issuers it believes offer the best relative value within each sector and then decides which available debt obligations of that issuer to purchase. The Fund may invest in foreign debt obligations as well as money market instruments. The Advisor generally will sell a debt obligation when, on a relative basis and in the Advisors opinion, it will no longer help the Fund attain its objectives. Show less