The Short Term Fixed Income strategy seeks to benefit from opportunities arising from changes in interest rates, volatility, credit and sector spreads, and the shape of the yield curve in constructing a portfolio that seeks to outperform the Barclays U.S. 1-3 Year Government/Credit Index over time. Our process is based on the belief that fixed income markets are inefficient and active management which emphasizes sector and security selection can generate superior long-term results.
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.