Toggle navigation

Virginia Intermediate Tax-Free Fund

Virginia Intermediate Tax-Free Fund    Fact Sheet


Morningstar Style Box

A Shares (BVAAX)
Inception: 05.17.1999
C Shares (BVACX)
Inception: 02.01.2012
Inst'l Shares (BVATX)
Inception: 05.17.1999

Philosophy and Process

The Fund seeks current income exempt from federal and Virginia income taxes consistent with preservation of capital.

In managing the Fund, the team specializes in actively building and managing a high credit quality fixed income portfolio focused on the intermediate segment of the yield curve offering. The team employs a top-down investment process that focuses on: duration management, yield curve strategy and finding the best relative value with limited amount of risk in order to maximize the risk-adjusted total return.

Buy Strategy: We buy high quality, liquid issues and seek the best relative sector and security values available. We attempt to maximize total return and current income while reducing price volatility.

Sell Strategy: We will consider selling a security we own in order to reposition the Fund along the yield curve and adjust the Fund's average maturity or duration. In addition, we might replace a security with one that offers greater potential for total return or when its credit fundamentals are deteriorating.

Investment Considerations

The funds are subject to the same risks as the underlying bonds in the portfolios such as credit, prepayment and interest rate risk. As interest rates rise, the value of bond prices will decline and an investor may lose money. The funds are non-diversified and may invest a greater percentage of its assets in a single issuer than funds that are more diversified. Furthermore, the funds invest primarily in state-specific municipal obligations of issuers and therefore will be affected by economic, political or other events affecting municipal issuers.

Fund Facts

Type Class A Shares Class C Shares Class Inst'l Shares
Inception Date 05.17.199902.01.201205.17.1999
Investment Min. $1,000.00$1,000.00$1,000,000.00
Subsequent Investment Min.* $0.00$0.00$0
Max. Up Front Sales Charge 2.00%N/AN/A
Max. Deferred Sales Charge N/A1.00%N/A
*If subsequent investments are made as part of an AIP, the minimum is $25.


Robert F. Millikan, CFA®
Robert F. Millikan, CFA®

Co-Portfolio Manager

Michael P. McVicker
Michael P. McVicker

Co-Portfolio Manager


Fund Performance as of 09.30.2022

Share QTR YTD 1 Year 3 Years 5 Years 10 Years Since
A Shares with 2.00% Sales Charge -4.55% -10.66% -10.51% -2.60% -0.44% 0.47% 2.81%
A Shares without Sales Charge -2.57% -8.87% -8.72% -1.95% -0.03% 0.67% 2.90%
Institutional Shares -2.51% -8.69% -8.41% -1.68% 0.22% 0.93% 3.08%
Lipper Other States Intermediate Municipal Median -2.57% -9.72% -9.37% -1.91% 0.14% 0.94% N/A

The total expense ratios for Class A, C and I Shares are 0.81%, 1.56% and 0.56%, respectively.

Past performance does not guarantee future results. The performance data quoted represents past performance and current returns may be lower or higher. 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 the original cost. To obtain performance information current to the most recent month end, please visit the performance summary.

The performance of the Virginia Intermediate Tax-Free Fund reflects the deduction of fees for value-added services associated with a mutual fund, such as investment management and fund accounting fees. The inception date for Class A Shares is 05/17/1999. The inception date for Class C Shares is 02/01/2012. The inception date for Class Inst'l Shares is 05/17/1999. Performance reflects 12b-1 fees and applicable expenses. Performance for Class C Shares for periods prior to inception is based on the performance of Class A Shares of the Fund.  The performance shown reflects the reinvestment of all dividend and capital gains distributions.


Quality Breakdown as of 09.30.2022

Credit quality ratings using Moody's rating symbols reflect the credit quality of the underlying bonds in the fund portfolio and not of the Fund itself. Moody's assigns a range of ratings from Aaa being the highest quality to C being the lowest rated class of bonds. Securities not rated by Moody's may be rated by S&P, Fitch or if no agency rating is available, the Fund will assign a rating of not rated. Bond quality ratings are subject to change.

Effective Duration Breakdown as of 09.30.2022

Name Value
0-1 Yr. 8.2
1-2 Yr. 8.0
2-3 Yr. 11.7
3-5 Yr. 29.4
5-10 Yr. 42.7
10+ Yrs.

Summary Statistics as of 09.30.2022

Name Value
Number of Holdings 52
Average Life 5.11 Years
Effective Duration 4.29 Years
Annual Turnover 39%

Current and future portfolio holdings are subject to change and risk. Based on Market Value of securities.

Portfolio Composition as of 09.30.2022

Composition Fund Index
General Obligation 46.9% 28.8%
Pre-Refunded 10.6% 5.7%
Revenue 37.3% 65.5%
Cash 5.2% 0.0%

Top Ten Holdings as of 09.30.2022

Name Value
Virginia Beach Va Storm Wtr Util Rev 5.0% 15-Nov-2031 3.20%
Loudoun Cnty Va 5.0% 01-Dec-2029 2.78%
Fairfax Cnty Va 5.0% 01-Oct-2031 2.76%
Norfolk Va 5.0% 01-Oct-2030 2.69%
Fairfax Cnty Va 5.0% 01-Oct-2027 2.65%
Virginia Commlth Transn Brd Fed Transn Grnt Antic Rev 5.0% 15-Sep-2031 2.64%
Virginia College Bldg Auth Va Edl Facs Rev 21Stcenty Colleg E & Equip Prog 5.0% 01-Feb-2031 2.58%
Virginia St 4.0% 01-Jun-2026 2.56%
Richmond Va 5.0% 01-Mar-2028 2.53%
Chesapeake Va 5.0% 01-Aug-2030 2.36%

Current and future portfolio holdings are subject to change and risk. Based on Market Value of securities.

Growth of $10,000 as of 09.30.2022

The Growth of $10,000 chart is hypothetical based upon the performance of A Shares at NAV for the period ended 09/30/2022. It includes the reinvestment of dividends and capital gains.

Glossary of Terms


Monthly Dividend Distribution as of 11.30.2022

Month Class A Shares Class C Shares Class Inst'l Shares
November 2022 $0.0156 $0.0088 $0.0178
October 2022 $0.0160 $0.0091 $0.0183
September 2022 $0.0147 $0.0080 $0.0169
August 2022 $0.0156 $0.0085 $0.0180
July 2022 $0.0154 $0.0083 $0.0178
June 2022 $0.0145 $0.0076 $0.0167
May 2022 $0.0148 $0.0078 $0.0172
April 2022 $0.0131 $0.0062 $0.0154
March 2022 $0.0132 $0.0056 $0.0156
February 2022 $0.0112 $0.0046 $0.0135
January 2022 $0.0125 $0.0049 $0.0150
December 2021 $0.0126 $0.0050 $0.0151

30-Day SEC Yield as of 10.31.2022

Class A 2.73%
Class C 2.04%
Class I 3.04%


Fact Sheet
Quarterly Holdings
Fund Reports
Fund Reports

© 2022 Morningstar. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.

The Morningstar Rating™ for funds, or "star rating", is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods.


Not a deposit - Not FDIC insured - Not guaranteed by the bank - Not insured by any government agency - May lose value

An investor should consider a fund's investment objectives, risks, and charges and expenses carefully before investing or sending money. This and other important information about the Sterling Capital Funds can be found in the Funds' prospectus. To obtain a prospectus, please call 1 (888) 228-1872 or view our fund information here. Please read the prospectus carefully before investing.

Sterling Capital Management LLC, a separate subsidiary of Truist Financial Corporation, serves as investment adviser to the Sterling Capital Funds and is paid a fee for its services as described in the prospectus. Shares of the Sterling Capital Funds are not deposits or obligations of, or guaranteed or endorsed by, Truist Bank or its affiliates. The Funds are not insured by the FDIC or any other government agency. The Funds are distributed by Sterling Capital Distributors LLC, which is not affiliated with Truist Bank or its affiliates.