Fund Evaluator:

Destinations Global Fixed Income Opps Z Overview

Destinations Global Fixed Income Opps Z (DGFZX) is an actively managed Taxable Bond Global Bond fund. Destinations Funds launched the fund in 2018.

The investment seeks to maximize total return. The fund will invest at least 80% of its net assets (plus the amount of any borrowing for investment purposes) in fixed income securities. It invests primarily in investment grade and non-investment grade debt, preferred stock, convertible bonds, bank loans, high yield bonds, municipal bonds and SPACs. The fund will invest in securities of various credit qualities and maturities. It is expected that, under normal market conditions, at least 40% of its assets will be invested in the securities of companies that are tied economically to at least three countries outside the U.S.

About Destinations Global Fixed Income Opps Z (DGFZX)

There are 11 members of the management team with an average tenure of 4.92 years: Timothy Holland (2022), Mark Christensen (2017), Su Koo (2017), David Sherman (2017), Michael Scott (2024), Brian Storey (2022), Paul Kamenski (2024), Luz Padilla (2017), Andrew Goins (2023), Robert Lam (2024), Spencer Rolfe (2025). Management tenure is more important for actively managed funds than passive index funds.

The fund has 2 primary benchmarks: ICE BofA Gbl Brd Mkt TR HUSD index with a weighting of 100% and ICE BofA US High Yield TR USD index with a weighting of 100%. Destinations Global Fixed Income Opps Z has 550 securities in its portfolio. The top 10 holdings constitute 10.2% of the fund’s assets. The fund meets the SEC requirement of being classified as a diversified fund. The fund is not considered to have an ESG focus with its investment selection and management.

Destinations Global Fixed Income Opps Z is part of the Fixed Income global asset class and is within the Taxable Bond fund group. Destinations Global Fixed Income Opps Z has 44.6% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 3.9%. There is 0.5% allocated to foreign stock, and 1.2% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 83.6% (39.5% domestic bond, 44.1% foreign bond and 1.6% convertible bond). Destinations Global Fixed Income Opps Z has 8.6% of the portfolio in cash.

Assets Under Management

The fund has $56 million in total assets, which is below the $419 million average for the Global Bond category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.

DGFZX Performance and Fees

The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Destinations Global Fixed Income Opps Z expense ratio is high compared to funds in the Global Bond category. Destinations Global Fixed Income Opps Z has an expense ratio of 0.93%, which is 3% lower than its category average, making the fund expense ratio grade a C. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.

High portfolio turnover can translate to higher expenses and lower aftertax returns. Destinations Global Fixed Income Opps Z has a portfolio turnover rate of 104%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 158% for the Global Bond category.

Recently, in the month of June 2026, Destinations Global Fixed Income Opps Z returned 0.3%, which earned it a grade of A, as the Global Bond category had an average return of -0.4%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all funds in that category.

Destinations Global Fixed Income Opps Z has a trailing yield of 6.81%, which is above the 4.15% category average. The fund normally distributes its income monthly.

It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.

Destinations Global Fixed Income Opps Z Grades

Year to date, the fund has returned 2.8%, 2.7 percentage points better than the category, which translates into a grade of A. The fund has returned 6.3% over the past year (grade of A), 8.1% over the past three years (grade of A) and 4.7% per year over the past five years (grade of A).

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