Please be advised you are now leaving the Northern Financial Intermediary section and being directed to a site maintained by Northern Trust. Please click OK to continue.
Northern Trust Logo
 
Fixed Income Municipal

Short-Intermediate Tax-Exempt

 
.
 
 
 
.
TickerNAV AS OF 08/03/15
NSITX$10.42 $0.00 Same Icon
.

Find A Fund

 
Search go

  • Snapshot
  • Performance
  • Portfolio
  • Management
  • Fund Documents
Snapshot
You may find this Fund attractive if you are in investor who is seeking higher current income, but potentially less price volatility than the Intermediate Tax-Exempt Fund, with income exempt from regular federal income tax. It is well suited for income-oriented investors in higher tax brackets who are willing to accept some risk of principal in exchange for higher yield potential. Income from the Fund may be subject to federal alternative minimum tax (AMT), state and local taxes. We focus on producing conservative tax-free income while managing portfolio risk. The Fund's average maturity ranges from one year to less than six years. We believe investing in a broad range of municipal securities with short to intermediate-term maturities can provide greater stability of principal than is generally available from longer-term, higher-yielding bonds.
Fund Objective
Current Tax-Exempt Income
Fund Strategy
  • Maintain a dollar-weighted average maturity range, under normal circumstances, between one and six years.
  • Invest in high-quality securities, primarily investment-grade debt.
  • Select investments on the basis of their relative value with a focus on total return.
Investor Profile
If you are an investor seeking higher current income, but potentially less price volatility than the Intermediate Tax-Exempt Fund, with income exempt from regular federal income tax, you may find this Fund attractive. It is well suited for income-oriented investors in higher tax brackets who are willing to accept some risk of principal in exchange for higher yield potential. Income from the Fund may be subject to federal alternative minimum tax (AMT), state and local taxes.
Risk/Reward Potential
”Risk/Reward
Institutional investor award winners are chosen by the editorial staff of Institutional Investor magazine based on their market intelligence, performance data and additional information received from the industry following a public call for nominations. Manager winners are also selected by the editors of the magazine based on the results of a survey conducted of U.S. institutional investors. Award noted above is not indicative of future performance.
Important risk information can be found on the Portfolio tab.
CUSIP665162525
YTD Total Return0.44% (as of 08/03/15)
Distribution Rate*1.32% (as of 08/03/15)
30-Day SEC Yield w/ Waivers*0.81% (as of 06/30/15)
30-Day SEC Yield w/o Waivers*0.71% (as of 06/30/15)
Inception Date08/22/07
Total Net Assets$1,338,171,905 (as of 06/30/15)
Tax-Equivalent Distribution Rate*2.02% (as of 08/03/15)
Tax-Equivalent 30-Day SEC Yield*1.44% (as of 06/30/15)
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, 56.7% for California and 43.4% for national municipal funds.

Total Returns

Total Returns for Quarter Ending 06/30/15
 Annualized
    Month   3-Month     YTD  1-Year  3-Year  5-Year  10-Year Since
Incept.
Short-Intermediate Tax-Exempt0.10%-0.27%0.14%0.41%0.73%1.24%N/A2.32%
Barclays 1-5 Yr Blend
Muni Bond Index
0.20%-0.07%0.42%0.84%1.32%1.98%N/A3.30%
Morningstar Cat. Avg.
Muni National Short
0.03%-0.26%-0.05%-0.01%0.67%1.50%N/AN/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.

Northern Trust Investments, Inc. has contractually agreed to reimburse a portion of the operating expenses of the Fund (other than certain excepted expenses, i.e., acquired fund fees and expenses; the compensation paid to each Independent Trustee of the Trust; expenses of third party consultants engaged by the Board of Trustees; membership dues paid to the Investment Company Institute and Mutual Fund Directors Forum; expenses in connection with the negotiation and renewal of the revolving credit facility; and extraordinary expense and interest) to the extent the "Total Annual Fund Operating Expenses" exceed 0.45%. The "Total Annual Fund Operating Expenses After Expense Reimbursement" may be higher than the contractual limitation as a result of the excepted expenses that are not reimbursed. This contractual limitation may not be terminated before July 31, 2016 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.

Annual Expense Ratios

 
 Gross Expense RatioNet Expense Ratio
Short-Intermediate Tax-Exempt0.48%0.46%
Includes contractual expense reimbursements that, if not extended, will end on July 31, 2016.

Calendar Year Returns

 
       2014      2013      2012      2011      2010
Short-Intermediate Tax-Exempt1.38%0.08%1.25%3.30%1.16%
Barclays 1-5 Yr Blend Muni Bond Index1.78%1.02%2.00%4.18%2.20%
Morningstar Category Avg. Muni National Short1.44%-0.07%1.92%3.60%1.61%
Performance quoted represents past performance and does not guarantee future results.
Important risk information can be found on the Portfolio tab.
.
Portfolio Composition
   
Maturity DistributionFund
0 - 1 Year23.0%
2 - 5 Years45.3%
6 - 10 Years31.4%
11 - 20 Years0.3%
TOTAL100.0%
As of 06/30/15
Quality DistributionFundBenchmark
AAA36.3%18.5%
AA58.2%53.6%
A2.8%25.1%
BBB0.0%2.8%
SP1+/MIG10.8%0.0%
Not rated0.3%0.0%
Committed Cash1.6%0.0%
TOTAL100.0%100.0%
Sector WeightingsFundBenchmark
General Obligation55.7%28.6%
Revenue34.8%48.4%
Government-Backed6.0%22.9%
Insured1.9%0.1%
Committed Cash1.6%0.0%
TOTAL100.0%100.0%
DateHoldings File
As of 06/30/15Insert Icon
As of 03/31/15Insert Icon

Fund Characteristics

Number of Holdings611
Average Duration2.7 YRS
Average Maturity3.1 YRS
Weighted Average Coupon4.61%
Income**$0.009260
Dividend ScheduleMonthly
Dividend Income Last Quarter$0.0320
Capital Gain Income Last QuarterN/A
BenchmarkBarclays 1-5 Year Blend Municipal Bond Index
Morningstar CategoryMunicipal National Short
All data is as of date indicated and subject to change.
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.
Tax-Free/AMT Risk: Tax-exempt funds’ income may be subject to certain state and local taxes and, depending on your tax status, the federal alternative minimum tax.
Barclays 1-5 Year Blend Municipal Bond Index is an unmanaged index of investment grade (Baa3 or better) tax-exempt bonds with maturities of at least one year and less than six years. It is not possible to invest directly in an index.
Quality Distribution: Credit quality ratings are based on converting the available Moody's, Standard & Poor's, and/or Fitch ratings to a common numerical basis and averaging that result. 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). The Standard & Poor's short-term municipal rating of SP1 reflects a strong capacity to pay principal and interest (an issue determined to possess a very strong capacity to pay debt service is given a plus (+) designation). The Moody's short-term municipal rating of MIG1 denotes superior credit quality (excellent protection is afforded by established cash flows, highly reliable liquidity support or demonstrated broad-based access to the market for refinancing). 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.
†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.
**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.
.
Timothy P. Blair, CFA<sup>&reg;</sup>

Timothy P. Blair, CFA®

Portfolio Manager

Northern Short-Intermediate Tax-Exempt Fund (NSITX)

With Northern Trust Since 1992
Began Career in 1992

Timothy P. Blair, Vice President of Northern Trust, is a portfolio manager in the municipal fixed income group and manages the Northern Short-Intermediate Tax-Exempt Fund. In addition to managing the Fund, he also manages individual accounts.

Mr. Blair joined Northern Trust in 1992 as an IMLG representative in Corporate & Institutional Services. In 1996, he became a municipal bond trader for the fixed income group. He began managing individual accounts in 2000 and from September 2004 to November 2006, Mr. Blair co-managed the Northern Florida Intermediate Tax-Exempt Fund until the Fund was merged with the Northern Intermediate Tax-Exempt Fund.

Mr. Blair received a B.S. in business management from Northern Illinois University. He is an active CFA® charterholder and a member of the CFA Institute and the CFA Society Chicago.

.
CommentaryFact SheetHoldingsSummary ProspectusProspectus    Statement of Additional InformationAnnual ReportSemi Annual Report
CommentaryDownload PDFDownload ExcelDownload PDFDownload PDFDownload PDFDownload PDFDownload PDF
View AllView All View AllView AllView AllView AllView All

Not FDIC insured | May lose value | No bank guarantee

View investment terms definitions

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.

©2015 Northern Funds | Northern Funds are distributed by Northern Funds Distributors, LLC, not affiliated with Northern Trust.