The Core Fixed Income strategy seeks to capture market inefficiencies predominantly through sector allocation and security selection decisions in the context of robust risk management controls. We seek to minimize volatility through strict limits on relative sector exposures and duration decisions and manage idiosyncratic risk through individual issuer limits. Through our consistently applied philosophy and process, we seek to generate above market returns over market cycles with volatility of performance at or below our primary index.
Seek to maintain a durable income advantage as compounding interest is an essential component of value-added fixed income investment returns.
FUNDAMENTAL RESEARCH & MEAN REVERSION
Independent, in-depth fundamental research helps us capture an income advantage and have confidence in our investment decisions during periods of volatility. Mean reversion is a critical component in developing investment ideas and maintaining a sell discipline.
AVOID ASYMMETRIC RISK
Given that fixed income instruments may provide limited upside and maximum downside return potential, careful attention to issue- and issuer-level analysis is critical to portfolio construction.
EMPHASIZE RISK MANAGEMENT
Control risk by using a consistent, disciplined investment process as well as maintaining strict limits on individual issuer exposure, sector allocation, and duration positioning.
Focusing on a long-term investment horizon enables us to capture market inefficiencies.