Private fixed income: strengthening income in Sun Life Granite Index+ Target Date Funds

Higher yields with reduced correlation

Investment-grade private fixed income represents a strategic component of Sun Life Granite Index+ Target Date Funds. Unlike publicly traded bonds, private fixed income can offer meaningfully higher yields, while maintaining a lower correlation to traditional equity markets—a powerful combination for diversifying your retirement investments.

Enhanced income

Private fixed income provides plan members with access to income-generating investments at higher yields than comparable public market investments. These instruments are sourced through SLC Management's established relationships and experienced private fixed income team, delivering high quality lending opportunities across corporate and institutional borrowers.

The allocation to private fixed income within Granite Index+ delivers three key advantages:

• Higher yield generation compared to publicly available fixed income investments
• Lower correlation that reduces portfolio volatility during equity market downturns
• Investment grade credit quality with rigorous underwriting standards and risk management

Why private fixed income belongs in Granite Index+

For plan members seeking higher yields as they approach and enter retirement, private fixed income can play a supportive role. When combined with traditional public market investments, Granite Index+ adds a measured allocation to investment-grade private fixed income to help enhance income potential and diversification.