Core Investment Grade

Discipline

Our investment process combines a top-down assessment of the climate for risk and the outlook for the economy, while security selection represents the bottom-up element of our investment process. Active sector rotation is an activity that stems from our top-down approach. Our macro views are shaped by economic trends, broad emerging themes, investor risk appetite, and general market tone. We are also further dedicated to five key dimensions of risk that we believe impacts all fixed income portfolios: interest rates, curves, volatility, credit and currency. An analysis of return expectations and portfolio position recommendations evolves from our investment process.

The Fixed Income Team utilizes a rigorously applied sell discipline. A bond becomes a sell candidate when it becomes "fully-priced" due to narrowing yield spreads, adverse trends in credit quality or certain supply/demand factors.