Fund Evaluator:
Northern Short Bond (BSBAX)
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Fund Details
Northern Short Bond Overview
Northern Short Bond (BSBAX) is an actively managed Taxable Bond Short-Term Bond fund. Northern Funds launched the fund in 1993.
The investment seeks to maximize total return (capital appreciation and income) with minimal reasonable risk. The fund will invest, under normal circumstances, at least 80% of its net assets in bonds and other fixed-income securities. Although the fund primarily invests in investment grade domestic debt obligations, it may also invest up to 20% of its total assets in domestic and foreign debt obligations that are rated below-investment grade. The fund's dollar-weighted average maturity, under normal circumstances, will range between one and three years.
About Northern Short Bond (BSBAX)
There are 4 members of the management team with an average tenure of 2.52 years: Bilal Memon (2019), Benjamin Gord (2026), Chaitanya (Chaitu) Mandavakuriti (2024), Dmitri Artemiev (2025). 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%. Northern Short Bond has 259 securities in its portfolio. The top 10 holdings constitute 80.5% 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.
Northern Short Bond is part of the Fixed Income global asset class and is within the Taxable Bond fund group. Northern Short Bond has 13.1% 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 0.6% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 118.6% (105.5% domestic bond, 13.1% foreign bond and 0.0% convertible bond). Northern Short Bond has -19.3% of the portfolio in cash.
Assets Under Management
The fund has $187 million in total assets, which is below the $893 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.
BSBAX 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 Northern Short Bond expense ratio is average compared to funds in the Short-Term Bond category. Northern Short Bond has an expense ratio of 0.41%, which is 38% lower than its category average, making the fund expense ratio grade a B. 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. Northern Short Bond 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 134% for the Short-Term Bond category.
Recently, in the month of June 2026, Northern Short Bond returned 0.1%, which earned it a grade of D, as the Short-Term Bond category had an average return of 0.1%. 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.
Northern Short Bond has a trailing yield of 4.36%, which is above the 4.15% 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.
Northern Short Bond Grades
Year to date, the fund has returned 1.0%, 0.1 percentage points better than the category, which translates into a grade of C. The fund has returned 3.6% over the past year (grade of B), 4.9% over the past three years (grade of D) and 2.2% per year over the past five years (grade of C) and 2.2% per year over the past 10 years (grade of C).
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BSBAX Trailing NAV Total Returns Data as of 6/30/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| BSBAX Return (NAV) | 0.1% | 0.7% | 3.6% | 4.9% | 2.2% | 2.2% |
| BSBAX Grade | D | C | B | D | C | C |
| +/- Category | -0.0% | -0.0% | 0.1% | -0.3% | -0.1% | -0.1% |
| Short-Term Bond Avg | 0.1% | 0.8% | 3.5% | 5.2% | 2.3% | 2.3% |
| BSBAX Tax Cost Ratio | na | na | 1.7% | 1.6% | 1.3% | 1.1% |
BSBAX Annual NAV Total ReturnsData as of 6/30/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| BSBAX Return (NAV) | 1.0% | 5.6% | 4.4% | 5.0% | -4.3% | -0.4% | 3.6% | 5.1% | 0.7% | 1.4% | 1.8% |
| BSBAX Grade | C | D | D | D | B | C | C | B | D | D | C |
| +/- Category | 0.1% | -0.3% | -0.5% | -0.5% | 0.8% | -0.3% | -0.6% | 0.3% | -0.0% | -0.5% | -0.7% |
| Short-Term Bond Avg | 0.9% | 5.9% | 4.9% | 5.6% | -5.0% | -0.0% | 4.2% | 4.8% | 0.7% | 1.8% | 2.5% |
| Risk Measures | |
| Standard Deviation: | 1.5% |
| Total Risk Index: | 0.13 - Low |
| Category Risk Index: | 0.78 - Low |
| Category Risk Grade: | A (14% Rank) |
| Beta: | 0.25 |
| R-Squared: | 82% |
| Leveraged Fund: | No |
| Inverse Fund: | No |
| Portfolio Characteristics | |
| Equity Investment Style: | na |
| Bond Investment Style: | High Quality Limited Sensitivity |
| Yield: | 4.4% |
| Dividend Distribution: | Monthly |
| Cap Gains Distribution: | Annually |
| Total Assets: | $187 Mil |
| Fund Total Assets: | $ 188 Mil |
| Share Class Type: | No Load |
| Portfolio Turnover: | 105% |
Management Team
| Number of Managers: 4 | |||
| Longest Tenure: 6.9 years | |||
| Average Tenure: 2.5 years | |||
| Managers (Year): Memon Bilal (2019), Mandavakuriti Chaitanya (Chaitu) (2024), Artemiev Dmitri (2025), Gord Benjamin (2026) | |||
Portfolio Composition (as of 3/31/26)
| # of Holdings: | 259 |
| % in Top 10 Holdings: | 80.5% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 13.1% |
Portfolio Allocation |
|
| Domestic Stock: | 0.0% |
| Foreign Stock: | 0.0% |
| Preferred Stock: | 0.6% |
| Domestic Bond: | 105.5% |
| Foreign Bond: | 13.1% |
| Convertible Bond: | 0.0% |
| Other: | 0.0% |
| Cash: | -19.3% |
Purchase Information
| Fund Family: | Northern Funds |
| Phone Number: | 800-595-9111 |
| Website: | www.northernfunds.com |
| Status: | Open |
| Inception Date: | January 11, 1993 |
| Min. Initial Purchase: | $2,500 |
| Min. Initial IRA Purchase: | $ 500 |
| True No-Load: | Yes |
| Front Load Maximum: | 0.00% |
| Deferred Charge Maximum: | 0.00% |
| Redemption Charge Maximum: | 0.00% |
| 12b-1 Fee: | na |
Expenses and Fees | |
| Expense Ratio (%): | 0.41% ( Rating : Avg ) |
| Category Average Expense Ratio (%): | 0.66% |
| Share Class: | Northern Short Bond |
| Min. Subsequent Purchase: | $ 50 |
| Min. Subsequent IRA Purchase: | $ 50 |
