Bradley Camden, CFA<SUP>&#174;</SUP>

Bradley Camden, CFA®

With Northern Trust since 2005
Began Career in 2002


Daniel J. Personette, CFA<SUP>&#174;</SUP>

Daniel J. Personette, CFA®

With Northern Trust since 1996
Began Career in 1995


ALT TEXT HERE
Fact Sheet Acrobat Reader

Review fund performance
View fund performance for equity, fixed income and money market funds.

Choosing a Fund
Use our Risk/Reward spectrum to navigate your way to the mutual fund that is right for you.

This Fund is a good choice for those long-term, income-oriented investors who are looking to diversify their investments by gaining a broad exposure to the investment-grade U.S. bond market (excluding high yield). The Core Bond Fund seeks to maximize total return consistent with reasonable risk by investing primarily in a broad range of bonds and other fixed income securities. This Fund maintains a dollar-weighted average maturity between three and 15 years. Dividends, if any, are declared and paid monthly. Capital gains, if any, are distributed at least annually.

Fund Objective: Total Return
Ticker SymbolDistribution Rate
Daily as of 07/30/14
30-Day SEC Yield
Monthly as of June 30, 2014
NOCBX1.83%2.02%
morningstar heading
http://www-ac.northerntrust.com/content//media/attachment/data/image/0906/document/black_star4.gif

Among 931 intermediate-term bond funds derived from a weighted average of the fund's 3-, 5- and 10-year risk-adjusted returns as of 06/30/14.

Core Bond received 3 stars for the 3-year rating among 931 intermediate-term bond funds, 3 stars for the 5-year rating among 797 funds and 4 stars for the 10-year rating among 576 funds.

Past performance is no guarantee of future results. Ratings reflect fee waivers in effect; in their absence, ratings may have been lower.

Star ratings are based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a fund’s monthly performance (including the effects of sales charges and redemption fees), placing more emphasis on downward variations and rewarding consistent performance. The overall rating is a weighted average of the 3-, 5-, and 10-year (if applicable) returns. 5 stars = top 10% of funds in an asset category; 4 stars = next 22.5% of funds; 3 stars = next 35%; 2 stars = next 22.5% and 1 star = next 10%. A fund must be in existence three years to be rated. Ratings are subject to change monthly.

©2014 Morningstar, Inc. All Rights Reserved. Morningstar and/or its content providers are the proprietors of this information; do not permit its unauthorized copying or distribution; do not warrant it to be accurate, complete or timely; and are not responsible for damages or losses arising from its use.

Updated Daily as of July 30, 2014
SymbolNOCBX Distribution Rate*1.83%
CUSIP665162376 Tax-Equivalent Distribution Rate* N/A
Share Price$ 10.39 Updated Monthly as of June 30, 2014
Share Price Change$ -0.05Total Net Assets$162,935,401
YTD Total Return3.79% Updated Monthly as of June 30, 2014
Inception Date3/29/200130-Day SEC
Yield*
2.02%
  Tax-Equivalent
30-Day SEC
Yield*
N/A
Total Returns for Quarter Ended June 30, 2014
 Core Bond FundBarclays U.S. Aggregate Bond IndexMorningstar Intermediate-Term Bond Category Average
Month–0.03%0.05%0.17%
3-Month2.09%2.04%2.09%
Year to Date4.02%3.93%4.10%
1 Year5.04%4.37%5.07%
3-Year Avg. Annual4.42%3.66%4.08%
5-Year Avg. Annual5.63%4.85%6.02%
10-Year Avg. Annual5.18%4.93%4.77%
Avg. Annual
Since Inception
5.13%5.20% N/A
 
Performance quoted represents past performance and does not guarantee future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than that shown here.

The Advisor has agreed to reimburse certain expenses of the Fund (excluding acquired fund fees and expenses; a portion of the compensation paid to each Trustee who is not an officer, director or employee of Northern Trust Corporation or its subsidiaries; expenses related to third-party consultants engaged by the Board of Trustees of the Trust; membership dues paid to the Investment Company Institute and Mutual Fund Directors Forum; extraordinary expenses; and interest, if any) to the extent the "Total Annual Fund Operating Expenses" exceed 0.40%. The contractual limitation may not be terminated before July 31, 2015 without the approval of the Board of Trustees. In the absence of fee waivers, yield, total return, growth since inception and dividends would have been reduced. Total return is based on net change in NAV assuming reinvestment of distributions.
Disclosure
 Gross Expense RatioNet Expense Ratio
Core Bond
(NOCBX)
0.57%0.42%
Includes contractual expense reimbursements that, if not extended, will end on July 31, 2014.
 20132012201120102009
Core Bond-2.08%6.69%7.91%6.58%9.42%
Barclays U.S. Aggregate Bond Index-2.02%4.21%7.84%6.54%5.93%
Morningstar Category Avg.
Intermediate-Term Bond
-1.42%7.01%5.86%7.72%13.97%
Performance quoted represents past performance and does not guarantee future results.
Number of Holdings332
Average Duration†5.1 YRS
Average Maturity7.1 YRS
Weighted Average Coupon3.46%
Yield to Maturity2.07%
Income**$0.0158
Dividend ScheduleMonthly
Dividend Income Last Quarter$0.0557
Capital Gain Income Last QuarterN/A
BenchmarkBarclays U.S. Aggregate Bond Index
Morningstar CategoryIntermediate-Term Bond
Maturity Distribution    Fund
0-1yr    12.6%
1yr-2yrs    9.8%
2yrs-3yrs    22.2%
3yrs-5yrs    18.6%
5yrs-7yrs    6.8%
7yrs-10yrs    13.6%
10yrs-15yrs    1.9%
15yrs-20yrs    3.0%
20yrs-25yrs    2.2%
25yrs-30yrs    7.3%
30yrs-35yrs    0.9%
35yrs+    1.1%
TOTAL 100.0%
Quality DistributionFundBenchmark
US Tsy (incl GNMA MBS)19.5% 43.1%
US Agcy (incl FN/FH MBS)19.4% 25.2%
AAA8.7% 4.2%
AA2.2% 3.9%
A13.1% 11.5%
BBB25.3% 12.1%
BB0.5% 0.0%
Committed Cash11.3% 0.0%
TOTAL100.0% 100.0%
Sector WeightingsFundBenchmark
Industrial19.8%13.9%
Mortgage-Backed19.5%28.9%
Treasury18.9%35.3%
Financial17.4%7.6%
Committed Cash11.3%0.0%
Commercial MBS9.9%2.1%
Utilities2.0%1.8%
Asset-Backed0.5%0.5%
Foreign Agencies0.5%1.8%
Covered0.2%0.0%
Agency0.0%3.6%
Foreign Local Govt0.0%0.4%
Municipals0.0%1.0%
Sovereign0.0%1.5%
Supranational0.0%1.6%
TOTAL100.0% 100.0%
Bond Risk: Bond funds will tend to experience smaller fluctuations in value than stock funds. However, investors in any bond fund should anticipate fluctuations in price, especially for longer-term issues and in environments of rising interest rates.

Mortgage-Backed Securities Risk: Mortgage-backed investments involve risk of loss due to prepayments and, like any bond, due to default. Because of the sensitivity of mortgage-related securities to changes in interest rates, the Fund’s performance may be more volatile than if it did not hold these securities.

Barclays U.S. Aggregate Bond Index is an unmanaged index of prices of U.S. dollar-denominated, fixed rate, taxable, investment-grade fixed income securities with remaining maturities of one year and longer. It is not possible to invest directly in an index.

Quality Distribution: Credit quality ratings are based on the conservative average of Moody's, Standard & Poor’s and Fitch ratings. If ratings from all three rating agencies disagree, the model assigns the middle rating to the security. If two of the three agree, the model assigns the rating from those two to the security. If none of these three rating agencies has assigned a rating, the Fund will assign a rating of not rated. The ratings, expressed in Standard & Poor’s nomenclature, range from AAA (extremely strong capacity to meet its financial commitment) to D (in default). Short-term ratings, expressed in Standard & Poor’s nomenclature, range from A-1 (obligor’s capacity to meet its financial commitment on the obligation is strong) to A-3 (exhibits adequate protection parameters). Committed Cash includes any traded cash (forward settling trades), the sweep vehicle and commercial paper. The ratings represent the rating agencies' opinions of the quality of the securities they rate. Ratings are relative and subjective and are not absolute standards of quality.

Distribution Calculations: All distribution calculations (Maturity Distribution, Sector Weightings and Quality Distribution) are measured on a trade date basis and are adjusted for uninvested cash from the market value used to compute the percentage calculations.

Characteristics: Benchmark and Fund analytics have been calculated using a third party vended model. All material has been obtained from sources believed to be reliable, but the accuracy, completeness and interpretation cannot be guaranteed. Information contained herein is current as of the date appearing in this material only and is subject to change without notice. Certain benchmark calculations may not match the published benchmark characteristics.

 
©2014 Northern Funds
Home  |   Prospectuses  |   Proxy Voting  |   Privacy  |   Site Map

©2014. This content is for your personal use only, subject to Terms and Conditions. No redistribution allowed.

Not FDIC insured | May lose value | No bank guarantee

†Northern tax-exempt fixed income funds' and Northern High Yield Fixed Income Fund's Average Duration is calculated using the modified duration formula. Other Northern fixed income funds show the option-adjusted duration. Duration is a measure of a bond fund's sensitivity to changes in interest rates.

*Distribution rate and tax-equivalent distribution rate represent the annualization of the Fund's distributions for the prior month ending on the date shown, including capital gain distributions. The 30-day SEC yield and tax-equivalent 30-day SEC yield represent the annualization of the Fund's net investment income, excluding capital gain income. The tax-equivalent distribution rate and tax-equivalent 30-day SEC yield are based on an assumed tax rate of 47.9% for Arizona, 55.7% for California and 43.4% for national municipal funds.

**Per share paid out June 24 with a record date of June 23. The amount shown represents dividends paid for net investment income and excludes distributions from capital gain income.

Please carefully read the prospectus and summary prospectus and consider the investment objectives, risks, charges and expenses of Northern Funds before investing. Call 800-595-9111 to obtain a prospectus and summary prospectus, which contains this and other information about the funds.

©2014 Northern Funds | Northern Funds are distributed by Northern Funds Distributors, LLC, not affiliated with Northern Trust.