WESTERN ASSET FUNDS, INC.
SUPPLEMENT DATED MAY 20, 2022
TO THE SUMMARY PROSPECTUS, PROSPECTUS AND
STATEMENT OF ADDITIONAL INFORMATION (SAI)
EACH DATED SEPTEMBER 30, 2021 OF
WESTERN ASSET TOTAL RETURN UNCONSTRAINED FUND (THE FUND)
Effective immediately, the Funds Summary Prospectus, Prospectus and SAI are amended as follows.
The sentence on the cover page of the Funds Prospectus that reads The Securities and Exchange Commission has not approved or disapproved these securities or determined whether this Prospectus is accurate or complete. is deleted in its entirety and replaced with the following:
The Securities and Exchange Commission and the Commodity Futures Trading Commission have not approved or disapproved these securities or determined whether this Prospectus is accurate or complete.
In the Funds Summary Prospectus and Prospectus, the section entitled Principal risks and in the Funds Prospectus, the section entitled More on the funds investment strategies, investments and risksMore on risks of investing in the fund are amended to add the following:
Commodity regulatory risk. The fund is a commodity pool and the funds manager is registered as a commodity pool operator under the Commodity Exchange Act with respect to the fund. As a result, additional disclosure, reporting and recordkeeping obligations mandated by the U.S. Commodity Futures Trading Commission (CFTC) apply with respect to the fund. The funds manager is therefore subject to dual regulation by the Securities and Exchange Commission and the CFTC. Notwithstanding the foregoing, the CFTC has adopted rules that allow for substituted compliance with certain CFTC disclosure and shareholder reporting requirements based on compliance with comparable SEC requirements. This means that for most of the CFTCs disclosure and shareholder reporting applicable to the manager as the funds commodity pool operator, the managers and the funds compliance with SEC disclosure and shareholder reporting requirements will be deemed to fulfill the managers CFTC compliance obligations. The CFTC has neither reviewed nor approved the fund, its investment strategies, or this prospectus.
As it pertains to the Fund, the section entitled Investment PoliciesCommodity Exchange Act RegulationExclusion from Commodity Pool Operator Definition in the Funds SAI is deleted in its entirety and replaced with the following:
Commodity Exchange Act Regulation Commodity Pool Operator- Total Return Unconstrained Fund
Based on the Funds investment strategy, the Fund is deemed a commodity pool and the Manager is registered as a commodity pool operator with respect to the Fund. The Manager is therefore subject to dual regulation by the SEC and the CFTC. Compliance with applicable CFTC disclosure, reporting, and recordkeeping regulations may increase Fund expenses. Notwithstanding the foregoing, the CFTC has adopted rules that allow for substituted compliance with certain CFTC disclosure and shareholder reporting requirements based on compliance with comparable SEC requirements. This means that for most of the CFTCs disclosure and shareholder reporting applicable to the Manager as the Funds commodity pool operator, the Managers and the Funds compliance with
SEC disclosure and shareholder reporting requirements will be deemed to fulfill the Managers CFTC compliance obligations. The CFTC has neither reviewed nor approved the Fund, its investment strategies, or this SAI.
In the Funds SAI, the following information is added immediately below the section entitled Investment Management and Service Provider InformationCustodian and Transfer Agent:
Books and Records Commodity Pool Operator
Books and records that are required to be maintained by the Total Return Unconstrained Funds commodity pool operator with respect to the Fund in accordance with applicable CFTC recordkeeping requirements may be kept with the Funds custodian and transfer agent at the following locations:
Custodian: BNY Mellon, 240 Greenwich Street, New York, NY 10286
Transfer Agent: Investor Services, 3344 Quality Drive, Rancho Cordova, California 95670-7313
Please retain this supplement for future reference
WASX910865
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