Fund Evaluator:
Western Asset Short-Term Bond A (SBSTX)
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Fund Details
Western Asset Short-Term Bond A Overview
Western Asset Short-Term Bond A (SBSTX) is an actively managed Taxable Bond Short-Term Bond fund. Franklin Templeton Investments launched the fund in 1991.
The investment seeks current income, preservation of capital and liquidity. The fund normally invests at least 80% of its assets in "investment grade" fixed income securities. Securities in which the fund invests include corporate debt securities, bank obligations, mortgage- and asset-backed securities and securities issued by the U.S. government and its agencies and instrumentalities. It may invest up to 25% of its assets in U.S. dollar denominated securities of non-U.S. issuers. The adviser may also engage in a variety of transactions using derivatives in order to change the investment characteristics of its portfolio and for other purposes.
About Western Asset Short-Term Bond A (SBSTX)
There are 7 members of the management team with an average tenure of 4.69 years: Julien Scholnick (2018), Amit Chopra (2026), Nicholas Mastroianni (2021), Rafael Zielonka (2026), Mark Lindbloom (2018), Michael Buchanan (2024), Frederick Marki (2018). Management tenure is more important for actively managed funds than passive index funds.
The fund has 2 primary benchmarks: Bloomberg US Agg Bond TR USD index with a weighting of 100% and Bloomberg US Govt/Credit 1-3 Yr TR USD index with a weighting of 100%. Western Asset Short-Term Bond A has 513 securities in its portfolio. The top 10 holdings constitute 13.2% 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.
Western Asset Short-Term Bond A is part of the Fixed Income global asset class and is within the Taxable Bond fund group. Western Asset Short-Term Bond A has 16.3% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 0.0%. There is 0.0% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 94.7% (78.4% domestic bond, 16.3% foreign bond and 0.0% convertible bond). Western Asset Short-Term Bond A has 5.3% of the portfolio in cash.
Assets Under Management
The fund has $121 million in total assets, which is below the $904 million average for the Short-Term 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.
SBSTX 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 Western Asset Short-Term Bond A expense ratio is above average compared to funds in the Short-Term Bond category. Western Asset Short-Term Bond A has an expense ratio of 0.70%, which is 6% higher than its category average, making the fund expense ratio grade a D. 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. Western Asset Short-Term Bond A has a portfolio turnover rate of 44%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 135% for the Short-Term Bond category.
Recently, in the month of July 2026, Western Asset Short-Term Bond A returned 0.1%, which earned it a grade of B, as the Short-Term Bond category had an average return of -0.0%. 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.
Western Asset Short-Term Bond A has a trailing yield of 4.21%, which is above the 4.16% category average. The fund normally distributes its income monthly and its capital gains annually.
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.
Western Asset Short-Term Bond A Grades
Year to date, the fund has returned 1.1%, 0.2 percentage points better than the category, which translates into a grade of B. The fund has returned 3.4% over the past year (grade of C), 4.6% over the past three years (grade of D) and 1.9% per year over the past five years (grade of D) and 2.1% per year over the past 10 years (grade of C).
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SBSTX Trailing NAV Total Returns Data as of 7/31/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| SBSTX Return (NAV) | 0.1% | 0.2% | 3.4% | 4.6% | 1.9% | 2.1% |
| SBSTX Grade | B | D | C | D | D | C |
| +/- Category | 0.1% | -0.1% | -0.0% | -0.4% | -0.4% | -0.2% |
| Short-Term Bond Avg | -0.0% | 0.3% | 3.4% | 5.0% | 2.2% | 2.3% |
| SBSTX Tax Cost Ratio | na | na | 1.7% | 1.6% | 1.4% | 1.1% |
SBSTX Annual NAV Total ReturnsData as of 7/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| SBSTX Return (NAV) | 1.1% | 5.3% | 4.3% | 5.0% | -5.0% | -0.6% | 3.7% | 4.5% | 1.3% | 2.2% | 1.8% |
| SBSTX Grade | B | D | D | D | C | D | C | C | B | B | C |
| +/- Category | 0.2% | -0.5% | -0.6% | -0.6% | 0.0% | -0.5% | -0.5% | -0.3% | 0.6% | 0.4% | -0.7% |
| Short-Term Bond Avg | 0.9% | 5.9% | 4.9% | 5.6% | -5.0% | -0.0% | 4.2% | 4.8% | 0.7% | 1.9% | 2.5% |
| Risk Measures | |
| Standard Deviation: | 1.9% |
| Total Risk Index: | 0.16 - Low |
| Category Risk Index: | 0.97 - Above Average |
| Category Risk Grade: | D (65% Rank) |
| Beta: | 0.31 |
| R-Squared: | 85% |
| Leveraged Fund: | No |
| Inverse Fund: | No |
| Portfolio Characteristics | |
| Equity Investment Style: | na |
| Bond Investment Style: | High Quality Limited Sensitivity |
| Yield: | 4.2% |
| Dividend Distribution: | Monthly |
| Cap Gains Distribution: | Annually |
| Total Assets: | $232 Mil |
| Fund Total Assets: | $ 121 Mil |
| Share Class Type: | A |
| Portfolio Turnover: | 44% |
Management Team
| Number of Managers: 7 | |||
| Longest Tenure: 8.3 years | |||
| Average Tenure: 4.7 years | |||
| Managers (Year): Scholnick Julien (2018), Lindbloom Mark (2018), Marki Frederick (2018), Mastroianni Nicholas (2021), Buchanan Michael (2024), Chopra Amit (2026), Zielonka Rafael (2026) | |||
Portfolio Composition (as of 6/30/26)
| # of Holdings: | 513 |
| % in Top 10 Holdings: | 13.2% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 16.3% |
Portfolio Allocation |
|
| Domestic Stock: | 0.0% |
| Foreign Stock: | 0.0% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 78.4% |
| Foreign Bond: | 16.3% |
| Convertible Bond: | 0.0% |
| Other: | 0.0% |
| Cash: | 5.3% |
Purchase Information
| Fund Family: | Franklin Templeton Investments |
| Phone Number: | 877-656-3863 |
| Website: | www.leggmason.com |
| Status: | Open |
| Inception Date: | November 11, 1991 |
| Min. Initial Purchase: | $1,000 |
| Min. Initial IRA Purchase: | $ 250 |
| True No-Load: | No |
| Front Load Maximum: | 2.25% |
| Deferred Charge Maximum: | 0.00% |
| Redemption Charge Maximum: | 0.00% |
| 12b-1 Fee: | 0.25% |
Expenses and Fees | |
| Expense Ratio (%): | 0.70% ( Rating : Above Avg ) |
| Category Average Expense Ratio (%): | 0.66% |
| Share Class: | Western Asset Short-Term Bond A |
| Min. Subsequent Purchase: | $ 50 |
| Min. Subsequent IRA Purchase: | $ 50 |
