Strategy. The Fund is designed to provide the potential to generate stable, above average fixed-income returns, with a reduced risk of drawdown ( i.e. , the risk of a decline in investment value during a decline in the U.S. equity markets). Kensington Asset Management, LLC (the Adviser) seeks to achieve the Funds investment objective by investing the Funds assets to gain exposure to (i) higher-yielding, fixed income securities, or to (ii) cash, cash equivalents, and U.S. Treasury securities. The portfolio managers use a proprietary Managed Income Model that looks at trends and patterns in the high-yield, equity and broader fixed income markets. The Managed Income Model uses daily inputs related to the prices of certain U.S. high-yield and long-term Treasury bond … Show more… The Fund is designed to provide the potential to generate stable, above average fixed-income returns, with a reduced risk of drawdown ( i.e. , the risk of a decline in investment value during a decline in the U.S. equity markets). Kensington Asset Management, LLC (the Adviser) seeks to achieve the Funds investment objective by investing the Funds assets to gain exposure to (i) higher-yielding, fixed income securities, or to (ii) cash, cash equivalents, and U.S. Treasury securities. The portfolio managers use a proprietary Managed Income Model that looks at trends and patterns in the high-yield, equity and broader fixed income markets. The Managed Income Model uses daily inputs related to the prices of certain U.S. high-yield and long-term Treasury bond funds, U.S. equity market indices, and the number of NYSE-listed companies whose prices have increased and decreased each day to evaluate whether market conditions favor a Risk-On portfolio exposed to predominantly higher-yielding securities or a Risk-Off portfolio exposed to cash, cash equivalents, or U.S. Treasury securities. Specifically, the model uses the following inputs: Returns of certain U.S. high-yield bond funds Returns of long-term U.S. Treasury bonds The level of the NASDAQ Composite Index, a market capitalization weighted index of approximately 3,000 common equities listed on the NASDAQ stock exchange The level of the Value Line Geometric Composite Index, an index of approximately 1,700 companies representing approximately 90% of the market capitalization of all U.S.-listed stocks with returns weighted to account for compounding of returns of time; and The daily number of NYSE-listed companies with prices increasing or decreasing (the Advance/Decline Line). The Managed Income Model looks for trends developing over multiple time periods ( e.g. , weeks, months, years) to signal a change from Risk-On to Risk-Off or vice versa, and the Adviser will generally turn over approximately 100% of the portfolios exposures when the Managed Income Model signals a change. Depending on market conditions, such turnover from Risk-On to Risk-Off or vice versa may take up to several weeks, and the Fund may have significant portfolio turnover from year to year. The Adviser generally expects such changes to occur infrequently (e.g., fewer than five times annually) based on historic trends in the high-yield fixed income market. Generally, when the Adviser believes high-yield market conditions are favorable, the Fund seeks exposure to longer maturity and lower quality high-yield securities. When the Adviser believes high-yield market conditions are somewhat less favorable (but still Risk-On), the Fund may diversify its holdings by seeking exposure to shorter maturity and better quality fixed income securities. In its Risk-On position, the Fund will gain exposure to fixed-income securities primarily by investing in one or more of the following investment types (1) other mutual funds and exchange-traded funds (ETFs) (collectively, underlying funds) that invest in higher-yielding, income-producing securities, (2) individual bonds, including high-yield bonds, (3) credit default swaps and credit default index swaps, and options on such instruments, and/or (4) index futures and bond futures. The types of investments used to gain the Funds exposures to fixed-income securities ( i.e. , other mutual funds and ETFs, individual bonds, derivatives, etc .), and the allocation to each, is determined by several factors related to each investment type when the investment is made, including but not limited to, capacity constraints, the expected duration of the trade, fees or commissions, and the quality of beta ( i.e. , sensitivity to the securities markets) offered by the investment type. The use of derivative instruments is just one option that the Fund may use and such use is determined in the same manner as the other investments. The fixed-income securities to which the Fund may have exposure, either directly or indirectly, include bills, notes, bonds, debentures, bank loans, loan participations, syndicated loan assignments and other evidence of indebtedness and are not restricted as to issuer credit quality, country, capitalization, security maturity, currency, or leverage. The specific fixed-income securities in which the Fund invests or has exposure to is determined by the Advisers systematic investment approach, which takes into account several key elements, including but not limited to, the evaluation of relative value and trends across the spectrum of fixed-income opportunities, and the risks related to credit and duration for those opportunities in the current market environment. In its Risk-On position, a majority of the Funds portfolio is typically exposed to high-yield securities, which are debt instruments rated lower than Baa3 by Moodys Investors Service, Inc. (Moodys) or lower than BBB- by Standard and Poors Rating Group (S&P), or, if unrated, determined by the Adviser, or underlying funds adviser where applicable, to be of similar credit quality. High-yield securities are also known as junk bonds. The Fund may have exposure to junk bonds that are in default, subject to bankruptcy or reorganization. The Fund may also take short positions from time to time to hedge or offset existing long positions. In its Risk-Off position, the Fund will primarily hold cash or cash equivalents or invest directly or indirectly in underlying funds that invest in U.S. Treasury securities of various maturities. The Fund may also take short positions in the Risk-Off position to offset existing long holdings from when the Fund was in the Risk-On position. In selecting underlying funds, the Adviser considers the performance, relative fees, management experience, and underlying portfolio composition and strategy of such underlying funds. The Fund is non-diversified, which means it may invest a high percentage of its assets in a limited number of securities. The Fund will typically limit its investment in a single underlying fund to three percent of such underlying funds net assets, although the percentage of such underlying fund owned by the Fund may change over time as the value of such investment changes and the Funds overall portfolio changes. The Fund may lend its portfolio securities to brokers, dealers, and other financial organizations. These loans, if and when made, may not exceed 33 1/3% of the total asset value of the Fund (including the loan collateral). By lending its securities, the Fund may increase its income by receiving payments from the borrower. Show less