 |
Intermediate Term Fixed Income
Performance Objective
The objective of the Intermediate Term Fixed Income strategy is to provide a high relative rate of return while reducing portfolio volatility over the credit cycle.
Investment Philosophy
Utilizing a proactive strategy, the firm's fixed-income management team evaluates the likely impact of forthcoming events and positions the portfolio accordingly, in order to provide higher relative returns.
Investment Strategy
This strategy adds value primarily through yield curve and fixed income sector positioning. Maturities are generally limited to one-to-ten years and portfolio duration will remain within one year shorter or two years longer than that of the Barclays Capital Government/Credit - Intermediate Bond Index. Securities at the time of purchase are of investment grade (A/BBB) or better.
Portfolio Profile
- U.S. Treasury and Federal Agency securities
- Investment grade securities rated 'A' or better
- Corporate securities limited to maximum 5% per corporate bond issuer
- Maximum 50% corporate bonds of total portfolio
- Average portfolio credit quality of 'Aa'
- Bond maturities 10 years or less
- Bullet and barbell trades to achieve desired duration
- No private placements
- No foreign securities or derivatives
- Fixed Income EFTs (Exchange Traded Funds) where authorized by client
|
|
|
