Strategy. Under normal circumstances, we invest: at least 80% of the Funds net assets in U.S. Government obligations and repurchase agreements collateralized by U.S. Government obligations; and up to 20% of the Funds net assets in non-government investment-grade debt securities. We invest principally in U.S. Government obligations, including debt securities issued or guaranteed by the U.S. Treasury, U.S. Government agencies or government-sponsored entities. These securities may have fixed, floating or variable rates and also include mortgage-backed securities. As part of our mortgage-backed securities investment strategy, we may enter into dollar rolls. We may also use futures for duration and yield curve management. We employ a top-down, macroeconomic outlook to determine the portfolios duration, yield curve positioning and sector allocation. Macroeconomic factors … Show more… Under normal circumstances, we invest: at least 80% of the Funds net assets in U.S. Government obligations and repurchase agreements collateralized by U.S. Government obligations; and up to 20% of the Funds net assets in non-government investment-grade debt securities. We invest principally in U.S. Government obligations, including debt securities issued or guaranteed by the U.S. Treasury, U.S. Government agencies or government-sponsored entities. These securities may have fixed, floating or variable rates and also include mortgage-backed securities. As part of our mortgage-backed securities investment strategy, we may enter into dollar rolls. We may also use futures for duration and yield curve management. We employ a top-down, macroeconomic outlook to determine the portfolios duration, yield curve positioning and sector allocation. Macroeconomic factors considered may include, among others, the pace of economic growth, employment conditions, inflation, monetary and fiscal policy, as well as the influence of international economic and financial conditions. In combination with our top-down, macroeconomic approach, we employ a bottom-up process of fundamental securities analysis to select the specific securities for investment. Elements of this evaluation may include duration measurements, historical yield spread relationships, volatility trends, mortgage refinance rates, as well as other factors. We may sell a security due to changes in our outlook, as well as changes in portfolio strategy or cash flow needs. A security may also be sold and replaced with one that presents a better value or risk/reward profile. Show less