Is JFR a good long term, stable investment to buy now with low expense ratio

Nuveen Floating Rate Income Fund (JFR) is not an ideal long-term, stable investment with a low expense ratio based on the following analysis:

1. High Volatility in Net Income: The fund's net income has shown a significant decline over the past three years, with a CAGR of -37.83%. This indicates that the fund's income stability is weak, which is inconsistent with a stable investment profile.

2. Strong Revenue Growth: However, the fund's revenue has grown robustly, with a CAGR of 32.73%. This suggests that the fund's asset base is expanding, which could be attractive for long-term investors.

3. Expense Ratio Unavailable: The expense ratio for JFR is not provided, which makes it difficult to assess the cost of investing in the fund. A low expense ratio is typically a desirable feature for long-term investors as it reduces the impact of fees on investment returns.
4. Investment Strategy: The fund's investment strategy focuses on high-yield, below investment-grade loans, which inherently involve higher risk and volatility. This risk profile is not typically associated with stable investments.
5. Market Conditions: The performance of floating rate funds like JFR is sensitive to interest rate changes. While they may offer potential hedging against rising short-term rates, they also carry the risk of underperformance during periods of falling interest rates.
6. Leverage and Credit Quality: The fund uses leverage, which can amplify returns but also increases the risk of default and market volatility. The credit quality of the fund's portfolio is below investment grade, which further adds to the risk profile.
7. Historical Performance: The fund's historical performance shows that it has not been a consistently stable investment. The average annual total returns data suggests that past performance is not indicative of future results.

In conclusion, while JFR shows strong revenue growth, its high volatility in net income, the unavailability of the expense ratio, and the inherent risks in its investment strategy make it difficult to classify as a good long-term, stable investment with a low expense ratio. Investors should carefully consider these factors and their own risk tolerance before making an investment decision.