Issue link: https://info.seic.com/i/1445430
SEI Portfolio Update: First Quarter 2023 | SEI Daily Income Trust (SDIT) SDIT-3 Portfolio Manager: Rich Bamford The performance data shown is past performance. Past performance is no guarantee of future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost and current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, please call 1-800-DIAL-SEI. Fee waivers are voluntary and may be discontinued at any time. Q. HOW DID THE FUND PERFORM AGAINST ITS INDEX FOR THE QUARTER, RICH? A. The Fund returned 1.22% versus 1.23% for the Bloomberg Short US Treasury 9-12 Month Index. Q. WHAT EFFECT DID YOUR POSITIONING AT THE END OF LAST QUARTER HAVE ON PERFORMANCE? A. Performance within asset-back securities (ABS) was mixed, as autos generally detracted and AAA collateralized loan obligations (CLO) was a positive as was selection within credit cards. The consumer has remained resilient in spite of rising interest rates. Managers favor higher quality more liquid, prime tranches. An allocation to non-agency mortgage-backed securities (MBS) hurt performance given concerns over affordability and slowing growth. Positioning within commercial mortgage-backed securities (CMBS) contributed. The Fund's small off-benchmark allocation to agency MBS detracted from performance as the sector generated negative excess returns. A neutral duration posture had minimal impact on performance. Wellington outperformed owing to an allocation to corporate credit. A slightly long duration posture aided while an allocation to non-agency MBS detracted. Metropolitan Life outperform as it benefitted from a corporate allocation and positioning within CMBS, while a slightly short duration posture detracted. Q. WHAT IS YOUR OUTLOOK GOING FORWARD AND HOW IS THIS REFLECTED IN THE FUND POSITIONING? A. From a duration perspective, the Fund has remained neutral to slightly long as the Fed gets closer to the top of its tightening cycle. Within corporates, managers prefer issuers with healthy balance sheets that can withstand slowing growth and a potential recession. Managers have generally viewed current valuations as unattractive and prefer to accumulate low risk, highly liquid securities in order to enter at a better entry point. Within securitized bonds, managers continue to prefer high quality, more liquid tranches such as traditional consumer-based ABS and senior tranches within ABS. INVESTMENT STRATEGY: The Ultra Short Duration Bond Fund seeks to provide a higher current income than that typically offered by a money market fund, while maintaining a high degree of liquidity and a correspondingly higher risk of principal volatility. Under normal circumstances, the Fund will invest at least 80% of its net assets in investment-grade U.S. dollar denominated debt instruments. The Fund is expected to maintain a portfolio duration of 18 months or less under normal market conditions. Ultra Short Duration Bond Fund (SDIT) Apr-23 ###### Jan-00 Jan-00 Feb-00 Jan-00 Jan-00 Feb-00 Feb-00 Feb-00 Jan-00 Fund Since Inception 1 Mo 3 Mo Ytd Qtr 1 Yr 3 Yr 5 Yr 10 Yr Incept 2022 2021 Bond Funds SDIT GNMA Fund 3/20/87 2.15 2.72 2.72 2.72 -4.72 -3.24 -0.02 0.74 4.96 -10.98 -1.95 Bloomberg GNMA Index (USD) 1.88 2.59 2.59 2.59 -4.48 -3.17 0.26 0.87 5.32 -10.76 -1.45 Expenses before waivers (%) = 0.62 Expenses after waivers (%) = 0.62 SDIT Short-Duration Government Fund 2/17/87 1.33 1.49 1.49 1.49 -0.23 -1.01 0.77 0.59 3.84 -4.21 -1.14 ICE BofA 1-3 Year US Treasury Index (USD) 1.60 1.55 1.55 1.55 0.20 -0.81 1.11 0.81 3.97 -3.65 -0.55 Expenses before waivers (%) = 0.56 Expenses after waivers (%) = 0.48 SDIT Ultra Short Duration Bond Fund 9/28/93 0.40 1.22 1.22 1.22 1.39 1.28 1.37 1.15 2.77 -0.86 0.01 0.75 1.23 1.23 1.23 1.45 0.33 1.40 0.93 2.71 -0.40 0.00 Expenses before waivers (%) = 0.61 Expenses after waivers (%) = 0.38 The performance data shown is past performance. Past performance is no guarantee of future results. The investment return and principal value of an investment will an investor's shares, when redeemed, may be worth more or less than their original cost and current performance may be lower or higher than the performance quoted. data current to the most recent month end, please call 1-800-DIAL-SEI. as of 03/31/2023 as of 03/31/2023 as Bloomberg Short US Treasury 9-12 Month Index (USD) Performance Performance Performance Cumulative Total Return Annualized Total Return Calendar Funds' Summary Performance Trend Report SEI Daily Income Trust - Class F (formerly Class A) Apr-23 ###### Jan-00 Jan-00 Feb-00 Jan-00 Jan-00 Feb-00 Feb-00 Feb-00 Jan-00 Fund Since Inception 1 Mo 3 Mo Ytd Qtr 1 Yr 3 Yr 5 Yr 10 Yr Incept 2022 2021 Bond Funds SDIT GNMA Fund 3/20/87 2.15 2.72 2.72 2.72 -4.72 -3.24 -0.02 0.74 4.96 -10.98 -1.95 Bloomberg GNMA Index (USD) 1.88 2.59 2.59 2.59 -4.48 -3.17 0.26 0.87 5.32 -10.76 -1.45 Expenses before waivers (%) = 0.62 Expenses after waivers (%) = 0.62 SDIT Short-Duration Government Fund 2/17/87 1.33 1.49 1.49 1.49 -0.23 -1.01 0.77 0.59 3.84 -4.21 -1.14 ICE BofA 1-3 Year US Treasury Index (USD) 1.60 1.55 1.55 1.55 0.20 -0.81 1.11 0.81 3.97 -3.65 -0.55 Expenses before waivers (%) = 0.56 Expenses after waivers (%) = 0.48 SDIT Ultra Short Duration Bond Fund 9/28/93 0.40 1.22 1.22 1.22 1.39 1.28 1.37 1.15 2.77 -0.86 0.01 0.75 1.23 1.23 1.23 1.45 0.33 1.40 0.93 2.71 -0.40 0.00 Expenses before waivers (%) = 0.61 Expenses after waivers (%) = 0.38 The performance data shown is past performance. Past performance is no guarantee of future results. The investment return and principal value of an investment an investor's shares, when redeemed, may be worth more or less than their original cost and current performance may be lower or higher than the performance quoted. data current to the most recent month end, please call 1-800-DIAL-SEI. as of 03/31/2023 as of 03/31/2023 as Bloomberg Short US Treasury 9-12 Month Index (USD) Performance Performance Performance Cumulative Total Return Annualized Total Return Calendar Funds' Summary Performance Trend Report SEI Daily Income Trust - Class F (formerly Class A) Apr-23 ###### Jan-00 Jan-00 Feb-00 Jan-00 Jan-00 Feb-00 Feb-00 Feb-00 Jan-00 Fund Since Inception 1 Mo 3 Mo Ytd Qtr 1 Yr 3 Yr 5 Yr 10 Yr Incept 2022 2021 Bond Funds SDIT GNMA Fund 3/20/87 2.15 2.72 2.72 2.72 -4.72 -3.24 -0.02 0.74 4.96 -10.98 -1.95 Bloomberg GNMA Index (USD) 1.88 2.59 2.59 2.59 -4.48 -3.17 0.26 0.87 5.32 -10.76 -1.45 Expenses before waivers (%) = 0.62 Expenses after waivers (%) = 0.62 SDIT Short-Duration Government Fund 2/17/87 1.33 1.49 1.49 1.49 -0.23 -1.01 0.77 0.59 3.84 -4.21 -1.14 ICE BofA 1-3 Year US Treasury Index (USD) 1.60 1.55 1.55 1.55 0.20 -0.81 1.11 0.81 3.97 -3.65 -0.55 Expenses before waivers (%) = 0.56 Expenses after waivers (%) = 0.48 SDIT Ultra Short Duration Bond Fund 9/28/93 0.40 1.22 1.22 1.22 1.39 1.28 1.37 1.15 2.77 -0.86 0.01 0.75 1.23 1.23 1.23 1.45 0.33 1.40 0.93 2.71 -0.40 0.00 Expenses before waivers (%) = 0.61 Expenses after waivers (%) = 0.38 The performance data shown is past performance. Past performance is no guarantee of future results. The investment return and principal value of an investment an investor's shares, when redeemed, may be worth more or less than their original cost and current performance may be lower or higher than the performance quoted. data current to the most recent month end, please call 1-800-DIAL-SEI. as of 03/31/2023 as of 03/31/2023 as Bloomberg Short US Treasury 9-12 Month Index (USD) Performance Performance Performance Cumulative Total Return Annualized Total Return Calendar Funds' Summary Performance Trend Report SEI Daily Income Trust - Class F (formerly Class A)