The fund has an investment objective of high total return from both current income and capital appreciation.
The tables below illustrate the fees and expenses that you may pay if you buy, hold and sell shares of the fund. You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the tables and examples below. You may qualify for sales charge discounts in Class A Shares if you and your family invest, or agree to invest in the future, at least $50,000 in Virtus Funds. More information on these and other discounts is available: (i) from your financial professional or other financial intermediary; (ii) under “Sales Charges” on page 108 of the fund’s prospectus; and (iii) with respect to purchase of shares through specific intermediaries, in Appendix A to the fund’s prospectus, entitled “Intermediary Sales Charge Discounts and Waivers.”
Shareholder Fees - Virtus Newfleet Senior Floating Rate Fund |
Class A Shares |
Class C Shares |
Class I Shares |
Class R6 Shares |
|
|---|---|---|---|---|---|
| Maximum Sales Charge Imposed on Purchases (as a percentage of Offering Price) | 2.75% | none | none | none | |
| Maximum Deferred Sales Charge (as a percentage of Offering Price) | none | 1.00% | [1] | none | none |
| [1] | The deferred sales charge is imposed on Class C Shares redeemed during the first year only. |
Annual Fund Operating Expenses - Virtus Newfleet Senior Floating Rate Fund |
Class A Shares |
Class C Shares |
Class I Shares |
Class R6 Shares |
|
|---|---|---|---|---|---|
| Management Fees | 0.45% | 0.45% | 0.45% | 0.45% | |
| Distribution and Shareholder Servicing (12b-1) Fees | 0.25% | 1.00% | none | none | |
| Interest Expense on Borrowings | 0.03% | 0.03% | 0.03% | 0.03% | |
| Remaining Other Expenses | 0.32% | 0.33% | 0.32% | 0.25% | |
| Total Other Expenses | 0.35% | 0.36% | 0.35% | 0.28% | |
| Total Annual Fund Operating Expenses | 1.05% | 1.81% | 0.80% | 0.73% | |
| Less: Fee Waiver and/or Expense Reimbursement | [1] | (0.12%) | (0.13%) | (0.12%) | (0.15%) |
| Total Annual Fund Operating Expenses After Fee Waiver and/or Expense Reimbursement | [1] | 0.93% | 1.68% | 0.68% | 0.58% |
| [1] | The fund’s investment adviser has contractually agreed to limit the fund’s total operating expenses (excluding certain expenses, such as front-end or contingent deferred sales charges, taxes, leverage and borrowing expenses (such as commitment, amendment and renewal expenses on credit or redemption facilities), interest, brokerage commissions, expenses incurred in connection with any merger or reorganization, unusual or infrequently occurring expenses (such as litigation), acquired fund fees and expenses, and dividend expenses, if any) so that such expenses do not exceed 0.90% for Class A Shares, 1.65% for Class C Shares, 0.65% for Class I Shares and 0.55% for Class R6 Shares through January 31, 2026. Prior to January 31, 2026, only the fund’s Board may modify or terminate the expense limitation agreement. Following the contractual period, the adviser may discontinue these expense reimbursement arrangements at any time. Under certain conditions, the adviser may recapture operating expenses reimbursed and/or fees waived under these arrangements for a period of three years following the date such waiver or reimbursement occurred, provided that the recapture does not cause the fund to exceed its expense limit in effect at the time of the waiver or reimbursement, and any in effect at the time of recapture, after repayment is taken into account. |
This example is intended to help you compare the cost of investing in the fund with the cost of investing in other mutual funds. The example assumes that you invest $10,000 in the fund for the time periods indicated and then redeem all of your shares at the end of those periods or continued to hold them. The example also assumes that your investment has a 5% return each year, that the fund’s operating expenses remain the same and that the expense reimbursement agreement remains in place for the contractual period. Although your actual costs may be higher or lower, based on these assumptions your costs would be:
Expense Example - Virtus Newfleet Senior Floating Rate Fund - USD ($) |
Class A Shares |
Class C Shares |
Class I Shares |
Class R6 Shares |
|---|---|---|---|---|
| 1 Year | $ 367 | $ 271 | $ 69 | $ 59 |
| 3 Years | 588 | 557 | 243 | 218 |
| 5 Years | 827 | 968 | 432 | 391 |
| 10 Years | $ 1,512 | $ 2,116 | $ 979 | $ 892 |
Expense Example, No Redemption - Virtus Newfleet Senior Floating Rate Fund - USD ($) |
Class A Shares |
Class C Shares |
Class I Shares |
Class R6 Shares |
|---|---|---|---|---|
| 1 Year | $ 367 | $ 171 | $ 69 | $ 59 |
| 3 Years | 588 | 557 | 243 | 218 |
| 5 Years | 827 | 968 | 432 | 391 |
| 10 Years | $ 1,512 | $ 2,116 | $ 979 | $ 892 |
The fund pays transaction costs, such as commissions, when it buys and sells securities (or “turns over” its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when fund shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the example, affect the fund’s performance. During the most recent fiscal year, the fund’s portfolio turnover rate was 93% of the average value of its portfolio.
The fund offers the potential for attractive total return and income by investing primarily in non-investment grade bank loans with a focus on higher quality companies within a rating tier. Using extensive credit and company analysis and monitoring, the subadviser looks for those securities with strong total return potential while maintaining an emphasis on managing risk.
Under normal circumstances, the fund will invest at least 80% of its net assets (plus the amount of any borrowings for investment purposes) in a portfolio of senior floating rate loans (“Senior Loans”), including both secured loans and “covenant lite” loans which have few or no financial maintenance covenants that would require a borrower to maintain certain financial metrics. The fund may invest up to 15% of total assets in U.S. and non-U.S. dollar denominated foreign securities and foreign Senior Loans, including Yankee bonds. The fund may purchase derivative instruments, including, but not limited to, options, futures contracts, credit-linked notes, and swaps.
The fund may borrow an amount up to 33 1/3% of its total assets (including the amount borrowed). The fund may borrow for investment purposes, to meet repurchase requests and for temporary, extraordinary or emergency purposes.
Risk Table - Virtus Newfleet Senior Floating Rate Fund |
Risk [Text Block] |
|---|---|
| Risk Lose Money [Member] | If between the time you purchase shares and the time you sell shares the value of the fund’s investments decreases, you will lose money. |
| Credit Risk | > Credit Risk: If the issuer of a debt instrument fails to pay interest or principal in a timely manner, or negative perceptions exist in the market of the issuer’s ability to make such payments, the price of the security may decline. |
| Interest Rate Risk | > Interest Rate Risk: The values of debt instruments may rise or fall in response to changes in interest rates, and this risk may be enhanced for securities with longer maturities. |
| Bank Loan Risk | > Bank Loan Risk: In addition to the risks typically associated with high-yield/high-risk fixed income securities, bank loans may be unsecured or not fully collateralized, may be subject to restrictions on resale, may be less liquid and may trade infrequently on the secondary market. Bank loans settle on a delayed basis; thus, sale proceeds may not be available to meet redemptions for a substantial period of time after the sale of the loan. |
| High-Yield/High-Risk Fixed Income Securities (Junk Bonds) Risk | > High-Yield/High-Risk Fixed Income Securities (Junk Bonds) Risk: There is a greater risk of issuer default, less liquidity, and increased price volatility related to high-yield/high-risk securities than investment grade securities, and high-yield/high-risk securities are generally considered to be speculative. |
| Liquidity Risk | > Liquidity Risk: Certain instruments may be difficult or impossible to sell at a time and price beneficial to the fund. |
| Leverage Risk | > Leverage Risk: When the fund leverages its portfolio by borrowing or by engaging in certain types of transactions or instruments, including derivatives, the fund may be less liquid, may liquidate positions at an unfavorable time, and the volatility of the fund’s value may increase. |
| Market Volatility Risk | > Market Volatility Risk: The value of the securities in the fund may go up or down in response to the prospects of individual companies and/or general economic conditions. Price changes may be short- or long-term. Local, regional or global events such as war or military conflict (e.g., Russia’s invasion of Ukraine), acts of terrorism, the spread of infectious illness or other public health issue, recessions, or other events could have a significant impact on the fund and its investments, including hampering the ability of the fund’s portfolio manager(s) to invest the fund’s assets as intended. |
| Covenant Lite Loans Risk | > Covenant Lite Loans Risk: The lack of financial maintenance covenants in covenant lite loans increases the risk that the fund will experience difficulty or delays in enforcing its rights on its holdings of such loans, which may result in losses, especially during a downturn in the credit cycle. |
| Prepayment/Call Risk | > Prepayment/Call Risk: Issuers may prepay or call their fixed rate obligations when interest rates fall, forcing the fund to reinvest in obligations with lower interest rates and the fund may not benefit fully from the increase in value that other fixed income investments experience when interest rates decline. |
| Currency Rate Risk | > Currency Rate Risk: Fluctuations in the exchange rates between the U.S. dollar and foreign currencies may negatively affect the value of the fund’s shares. |
| Derivatives Risk | > Derivatives Risk: Derivatives and other similar instruments (collectively referred to in this section as “derivatives”) may include, among other things, futures, options, forwards and swap agreements and may be used in order to hedge portfolio risks, create leverage or attempt to increase returns. Investments in derivatives may result in increased volatility and the fund may incur a loss greater than its principal investment. |
| Foreign Investing Risk | > Foreign Investing Risk: Investing in foreign securities subjects the fund to additional risks such as increased volatility; currency fluctuations; less liquidity; less publicly available information about the foreign investment; and political, regulatory, economic, and market risk. |
| Income Risk | > Income Risk: Income received from the fund may vary widely over the short- and long-term and/or be less than anticipated if the proceeds from maturing securities in the fund are reinvested in lower-yielding securities. |
| Redemption Risk | > Redemption Risk: One or more large shareholders or groups of shareholders may redeem their holdings in the fund, resulting in an adverse impact on remaining shareholders in the fund by causing the fund to take actions it would not otherwise have taken. |
The bar chart and table below provide some indication of the potential risks of investing in the fund. The fund’s past performance, before and after taxes, is not necessarily an indication of how the fund will perform in the future.
The bar chart shows changes in the fund’s performance from year to year over a 10-year period. The table shows how the fund’s average annual returns compare to those of a broad-based securities market index and a style-specific index that reflects the market sectors in which the fund invests. Updated performance information is available at virtus.com or by calling 800-243-1574.
Best Quarter: | 2020, Q2: | 9.44% | Worst Quarter: | 2020, Q1: | -14.85% |
Average Annual Total Returns - Virtus Newfleet Senior Floating Rate Fund |
Label |
1 Year |
5 Years |
10 Years |
Since Inception |
Inception Date |
|---|---|---|---|---|---|---|
| Class A Shares | Return Before Taxes | 4.89% | 4.12% | 3.80% | ||
| Class C Shares | Return Before Taxes | 7.05% | 3.91% | 3.31% | ||
| Class I Shares | Return Before Taxes | 8.24% | 4.97% | 4.35% | ||
| Class I Shares | After Taxes on Distributions | Return After Taxes on Distributions | 4.61% | 2.53% | 2.15% | ||
| Class I Shares | After Taxes on Distributions and Sales | Return After Taxes on Distributions and Sale of Fund Shares | 4.80% | 2.72% | 2.33% | ||
| Class R6 Shares | Return Before Taxes | 8.35% | 5.09% | 4.70% | Nov. 03, 2016 | |
| Bloomberg U.S. Aggregate Bond Index | Bloomberg U.S. Aggregate Bond Index | 1.25% | (0.33%) | 1.35% | 0.98% | Nov. 03, 2016 |
| Credit Suisse Leveraged Loan Index | Credit Suisse Leveraged Loan Index | 9.05% | 5.73% | 5.13% | 5.37% | Nov. 03, 2016 |
The Bloomberg U.S. Aggregate Bond Index measures the U.S. investment grade fixed rate bond market. The index is calculated on a total return basis. The index is unmanaged and not available for direct investment.
The Credit Suisse Leveraged Loan Index is a market-weighted index that tracks the investable universe of the U.S. dollar-denominated leveraged loan market. The index is calculated on a total return basis. The index is unmanaged and not available for direct investment.
After-tax returns are calculated using the historical highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes. After-tax returns are shown only for Class I Shares; after-tax returns for other classes will vary. Actual after-tax returns depend on the investor’s tax situation and may differ from those shown. After-tax returns are not relevant to investors who hold fund shares in tax-deferred accounts or to shares held by non-taxable entities. In certain cases, the Return After Taxes on Distributions and Sale of Fund Shares for a period may be higher than other return figures for the same period. This will occur when a capital loss is realized upon the sale of fund shares and provides an assumed tax benefit that increases the return.