Baird Ultra Short Bond Fund
The Fund is managed through a duration-neutral, risk-controlled approach with a strong emphasis on the long-term perspective. The investment objective of the Fund is to seek current income consistent with preservation of capital. The Fund’s benchmark is the Barclays U.S. Short-Term Government/Corporate Index. The Fund normally invests at least 80% of its net assets in the following types of U.S. dollar-denominated debt securities:
- U.S. government and other public-sector entities
- Asset-backed and mortgage-backed obligations of U.S. and foreign issuers
- Corporate debt of U.S. and foreign issuers
- Money market instruments
The Fund invests primarily in investment-grade debt securities, but may invest up to 10% of its net assets in non-investment-grade securities.
The advisor has contractually agreed to waive management fees in an amount equal to an annual rate of 0.15% of the average daily net assets for the Fund until April 30, 2018. The agreement may only be terminated prior to the end of this term by or with the consent of the board of directors of Baird Funds, Inc.
You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share it cannot guarantee it will do so. The Fund may impose a fee upon sale of your shares or may temporarily suspend your ability to sell shares if the Fund’s liquidity falls below required minimums because of market conditions or other factors. An investment in the fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund’s sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.
Performance data quoted represents past performance. Past performance does not guarantee future results. Investment return and principal value of an investment in the fund will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. The funds' current performance may be lower or higher than the performance data quoted.
The Fund may invest in mortgage- and asset-backed securities which may be subject to prepayment risk and thus may be more sensitive to interest rate changes than other types of debt securities. The Fund may also invest in U.S. dollar-denominated securities issued by foreign issuers which involve additional risks including political and economic instability, differences in financial reporting standards and less regulated securities markets. Non-investment-grade bonds involve greater risk of default and bankruptcy than investment-grade securities. While the U.S. government has historically provided financial support to various U.S. government-sponsored agencies, no assurance can be given that it will do so in the future if it is not obligated by law. A bond's market value may be affected signifcantly by changes in interest rates – generally, when interest rates rise, the bond's market value declines and when interest rates decline, its market value rises ("interest rate risk").
The advisor has contractually agreed to waive management fees in an amount equal to an annual rate of 0.15% of the average daily net assets for the Fund until April 30, 2018. The agreement may only be terminated prior to the end of this term by or with the consent of the board of directors of Baird Funds, Inc.
The U.S. Bloomberg Barclays Short-Term Government/Corporate Index contains securities that have fallen out of the U.S. Government/Credit Bond Index because of the standard minimum one-year-to-maturity constraint. Indices are unmanaged and are not available to direct investment.

Mary Ellen Stanek, CFA
Managing Director
Chief Investment Officer
Mary Ellen has over 38 years of investment experience managing a broad range of fixed income portfolios. She is responsible for the formulation of fixed income strategy as well as the development and implementation of all fixed income asset management services. Mary Ellen serves on the board of Baird Financial Group, as President of the Baird Funds and as chair of the Baird Diversity Steering Committee. Mary Ellen obtained her undergraduate degree from Marquette University and her MBA from the University of Wisconsin-Milwaukee. She received the Chartered Financial Analyst designation in 1983. Mary Ellen is currently a member of the CFA Institute and the CFA Society of Milwaukee. Prior to joining Baird Advisors, Mary Ellen was president and CEO of Firstar Investment Research and Management Company (FIRMCO) and was director of fixed income..

Gary A. Elfe, CFA
Managing Director
Research Director Emeritus/Senior Portfolio Manager
Gary has over 38 years of investment experience managing a broad range of fixed income portfolios. He plays a lead role in fixed income research, oversees credit-related decisions and is responsible for setting and implementing investment strategy. Gary obtained his undergraduate degree and MBA from the University of Wisconsin-Milwaukee, and received the Chartered Financial Analyst designation in 1982. Gary is currently a member of the CFA Institute and is a member of the CFA Society of Milwaukee. Prior to joining Baird Advisors, Gary was a senior vice president and research director with Firstar Investment Research and Management Company (FIRMCO).

Charles B. Groeschell
Managing Director
Senior Portfolio Manager
Charlie has over 37 years of investment experience managing a broad range of fixed income portfolios. His responsibilities include setting investment policy and implementing the long-term investment strategy of Baird Advisors. He also plays a lead role in the management of institutional client relationships. Charlie received his undergraduate degree from Texas Christian University and his MBA from the University of Wisconsin-Milwaukee. Prior to joining Baird Advisors, Charlie was a senior vice president and senior portfolio manager with Firstar Investment Research & Management Company (FIRMCO).

Warren D. Pierson, CFA
Managing Director
Senior Portfolio Manager
Warren has over 31 years of investment experience managing a broad range of fixed income portfolios. He plays a lead role in the formulation of fixed income strategy as well as the development and implementation of Baird Advisors’ fixed income asset management services. Warren received his undergraduate degree from Lawrence University and was awarded the Chartered Financial Analyst designation in 1990. Warren is currently a member of the CFA Institute and is past president of the CFA Society of Milwaukee. Prior to joining Baird Advisors, Warren was a senior vice president and senior portfolio manager with Firstar Investment Research and Management Company (FIRMCO), where he managed municipal bond portfolios and intermediate taxable bond portfolios.

Daniel A. Tranchita, CFA
Managing Director
Senior Portfolio Manager
Dan has over 27 years of investment experience managing a broad range of fixed income portfolios. He plays a lead role in research and strategy development in the mortgage- and asset-backed sectors. Dan received his undergraduate degree and his MBA from Marquette University and the Chartered Financial Analyst designation in 1993. Dan is currently a member of the CFA Institute and the CFA Society of Milwaukee. Prior to joining Baird Advisors, Dan was a senior vice president and senior portfolio manager with Firstar Investment Research and Management Company (FIRMCO).

M. Sharon deGuzman
Managing Director
Senior Portfolio Manager
Sharon has over 26 years of investment experience managing a broad range of fixed income portfolios. She plays a lead role in risk management and portfolio construction focusing on managing short and intermediate taxable portfolios and tax-exempt portfolios. She received her undergraduate degree from Eastern Illinois University. Sharon is currently a member of the CFA Institute and the CFA Society of Milwaukee. Prior to joining Baird Advisors, Sharon was an assistant vice president and portfolio manager with Firstar Investment Research and Management Company (FIRMCO), where she did quantitative fixed income analysis and portfolio management.