How Bond Investors Can Also Jump on the ESG Train
Reshaping Buildings: Opportunity in Plain Sight
Alexandra Wilson-Elizondo on Barron’s MarketBrief
2021 Mid-Year Municipal Market Insights Update
Janelle Woodward on Bloomberg Podcast
MacKay Shields' Purpose
Partner with clients to help them meet their investment goals through high quality products and exceptional service.
Autonomous Investment Teams
By utilizing their individual philosophy, process and expertise, our investment teams add value across capital markets.
Flexible Client Solutions
Within an environment that promotes creativity, curiosity and collaboration among our professionals, we are able to provide a variety of opportunities to support client objectives.
Attract and Retain Talent
Our unique structure attracts outstanding talent drawn to a dynamic investment culture that combines investment independence, with financial strength that fosters professional success.
For more information please contact:
John W. Akkerman, CFA, CAIA
Global Head of Distribution
Investment Strategies
All Investment StrategiesInvestment GradeLeveraged CreditMunicipalsConvertiblesEquityMulti-Sector Fixed IncomeDefined Contribution
Investment Grade
Leveraged Credit - High Yield Team
Leveraged Credit - Global Credit Team
Municipals
Equity
Core
Objective
Core seeks to outperform the benchmark by eliminating or reducing uncompensated risk while allocating across Core sectors. The strategy strives to achieve an information ratio greater than 1.
Investment Universe
Securities are typically found in the Barclays U.S. Aggregate Index, although additional high grade off-benchmark investments may be permitted, including but not limited to Rule 144A securities without registration rights, mortgage dollar roles, TIPS, and floating rate notes.
Core Plus
Objective
Core Plus seeks to outperform the benchmark by eliminating or reducing uncompensated risk while opportunistically allocating investments across a range of core and off-benchmark sectors. The strategy strives to achieve an information ratio of greater than 1.
Investment Universe
Typically invests in the same sectors represented by the Barclays U.S. Aggregate Bond Index, as well as high yield (20%), emerging market debt (10%) and non-US Dollar exposure (10%).
Core Plus Opportunities
Objective
Core Plus Opportunities seeks to outperform the benchmark by eliminating or reducing uncompensated risk while opportunistically allocating investments across a range of core and off-benchmark sectors. The strategy strives to achieve an information ratio of greater than 1.
Investment Universe
Typically invests in the same sectors represented by the Barclays U.S. Aggregate Bond Index, as well as high yield including bank loans (30%), emerging market sovereigns and corporates (10%) and non-US Dollar exposure (10%).
Investment Grade Credit
Objective
Investment Grade Credit seeks to outperform the benchmark by eliminating or reducing uncompensated risk from investments in corporate credit securities. The strategy strives to achieve an information ratio of greater than 1.
Investment Universe
Typically invests in the universe of securities represented by the Barclays Credit Index.
Structured Product Opportunistic
Objective
Structured Product Opportunistic is unconstrained, seeking to outperform Libor through top-down analysis and bottom-up security selection.
Investment Universe
Typically invests in securitized assets, including agency and non-agency mortgage-backed securities (MBS), asset-backed securities (ABS) and commercial mortgage-backed securities (CMBS).
Structured Product Total Return
Objective
Structured Product Total Return seeks to outperform the benchmark through top-down analysis and bottom-up security selection.
Investment Universe
Typically invests in securitized assets, including agency and non-agency mortgage-backed securities (MBS), asset-backed securities (ABS) and commercial mortgage-backed securities (CMBS).
Bank Loans
Objective
Bank Loans seeks to outperform the benchmark by eliminating uncompensated risk from investments in bank loans, sometimes referred to as leveraged loans or bank debt. The strategy strives to achieve an information ratio of greater than 1.
Investment Universe
Typically invests in bank loans of below investment grade issuers.
High Yield
Objective
High Yield seeks to identify securities that will minimize defaults and maximize yield and capital appreciation.
Investment Universe
The High Yield universe generally consists of below investment grade corporate securities identified through a bottom-up investment approach.
Floating Rate High Yield
Objective
Floating Rate High Yield seeks to provide a high level of current income. The strategy also seeks to minimize interest rate risk through its emphasis on variable rate debt and investments with short and intermediate maturities.
Investment Universe
The strategy is comprised of a diversified portfolio of leveraged loans and high yield bonds. Securities are typically found in the Credit Suisse Leveraged Loan Index.
Global High Yield
Objective
Global High Yield seeks to outperform the benchmark by eliminating uncompensated risk from investments in below investment grade securities. The strategy strives to achieve an information ratio of greater than 1.
Investment Universe
Typically invests in below investment grade securities using an integrated top down and bottom up approach to management.
High Yield Active Core
Objective
High Yield Active Core seeks to outperform the benchmark by eliminating uncompensated risk from investments in below investment grade securities. The strategy strives to achieve an information ratio of greater than 1.
Investment Universe
Typically invests in below investment grade securities using an integrated top down and bottom up approach to management.
Low Volatility High Yield
Objective
Low Volatility High Yield seeks to earn attractive, risk-adjusted income through a combination of safety and yield.
Investment Universe
The Low Volatility High Yield universe consists solely of higher quality, shorter duration high yield corporate bonds identified through a bottom-up investment approach.
Select Credit Opportunities
Objective
Select Credit Opportunities strategy has two primary objectives:
- Seeks to earn a yield higher than the broad high yield market.
- Seeks to maintain a significantly stronger credit profile than the average CCC bond.
Investment Universe
The Select Credit Opportunities universe generally consists of below investment grade corporate securities identified through a bottom-up investment approach.
Short Duration High Yield
Objective
Short Duration High Yield seeks to provide an attractive risk adjusted return through eliminating uncompensated risk with investments in below investment grade
securities. The strategy strives to achieve an information ratio of greater than 1.
Investment Universe
Typically invests in below investment grade securities and can also use cash and derivatives to lower the duration of the portfolio, pursuant to client guidelines.
Municipal High Yield
Objective
Municipal High Yield seeks to generate attractive after tax returns by investing primarily in lower investment grade and non-investment grade municipal securities.
Investment Universe
Our Municipal High Yield portfolios may invest in the entire municipal bond universe, including, but not limited to, U.S. Tax-Exempt and/or Taxable investment grade and non-investment grade Municipal Bonds, exchange traded funds, common or preferred shares of closed-end funds and municipal CDS. Portfolios focus on BBB and below rated instruments.
Municipal Investment Grade
Objective
Municipal Investment Grade seeks to generate attractive after-tax returns by investing primarily in investment grade municipal securities.
Investment Universe
Our Municipal Investment Grade portfolios may invest in the entire municipal bond universe, including, but not limited to, U.S. Tax-Exempt and/or Taxable investment grade Municipal Bonds, exchange traded funds, common or preferred shares of closed-end funds and municipal CDS. Portfolios focus on BBB and above rated instruments.
Municipal Short Term
Objective
Municipal Short Term seeks to generate attractive after tax returns by investing primarily in tax-exempt and taxable municipal securities with a maximum portfolio duration of three years.
Investment Universe
Our Municipal Short Term portfolios typically invest in the same sectors represented by the Barclays Municipal Bond 3 Year (2-4) Index, including, but not limited to tax-exempt and taxable municipal securities. Portfolios focus on BBB and above rated instruments.
Municipal Taxable
Objective
Municipal Taxable seeks to uncover compelling opportunities with a focus on investment grade securities which offer potential for attractive income and enhanced total return relative to investment grade corporates and other fixed income sectors.
Investment Universe
Our Municipal Taxable portfolios principally invest in high quality taxable municipal bonds. Portfolios are both buy and hold and actively traded, high credit quality with a bias toward longer duration. Some portfolios may allocate between taxable and tax-exempt municipal bonds based on relative value considerations.
US Convertibles
Objective
Our Convertible Bond strategy seeks to maximize total return by outperforming the market and our competition while protecting against downside risk.
Investment Universe
The entire US Convertible Universe, 400 to 500 companies.
International Equity All Country
Objective
The Fundamental International Equity All Country Strategy is a bottom-up investment strategy, incorporating individual company fundamental analysis, industry competitive dynamics, and analysis on secular trends to identify long-term holdings in companies that have the potential for sustainable growth.
Investment Universe
The team seeks investable ideas across all sectors, geographies (except the US), and market capitalizations. The Strategy’s investable universe is not constrained by the benchmark (the MSCI All Country World ex-US Index), therefore research can be conducted on any non-US company, so long as the stock meets the team’s strict fundamental investment criteria regarding sustainability.
International Equity
Objective
The Fundamental International Equity Strategy seeks to generate excess returns over a full market cycle against the MSCI EAFE Index by investing in sustainable growth companies that are attractively valued. The Strategy invests 100% long and employs a fundamental, bottom-up stock selection strategy.
Investment Universe
The team seeks investable ideas across all sectors, geographies (except the US), and market capitalizations. The Strategy’s investable universe is not constrained by the benchmark (the MSCI EAFE Index), therefore research can be conducted on any non-US company, so long as the stock meets the team’s strict fundamental investment criteria regarding sustainability.
Unconstrained Bond
Objective
Unconstrained Bond seeks to exploit opportunities in the global fixed income markets through a process of multi-sector asset allocation to achieve the highest absolute and risk adjusted return.
Investment Universe
Typically invests in a diversified portfolio of debt or debt-related securities in sovereign, and securitized and credit assets to mitigate risk.
European Collateralized Loan Obligations (CLOs)
Objective
Euro CLO portfolios seek to generate above market spread and below market risk measured by weighted average rating factor (WARF) and exhibit resilience during periods of volatility. Focus is on capital preservation and distributions.
Investment Universe
Securitizations of diversified portfolios of high yielding secured, corporate loans. Typically invests in asset-rich companies in stable industries with good operating margins and producing strong free cash flow.
US Collateralized Loan Obligations (CLOs)
Objective
US CLOs seek to provide investors with superior risk-adjusted returns via active portfolio management and trading with a focus on capital preservation and distributions.
Investment Universe
Securitizations of diversified portfolios of high yielding secured, corporate loans. Typically invests in asset-rich companies in stable industries with good operating margins and producing strong free cash flow.
Defined Contribution
Mutual
Fund
Fund
Collective Investment Trust
Separate Account
Convertible Bonds
Core Fixed Income
Core Plus
Core Plus Opportunities
High Yield Bond
Unconstrained Bond
Economic Insights
FAIT Accompli? Fiscal Policy and Inflation Are Reshaping the Monetary Policy Outlook
August 20, 2021
August 20, 2021
Featured Insights
Infrastructure Bonds Webinar Replay
Municipal Managers
|
June 22, 2021
June 22, 2021
|
Municipal Managers
ESG Engagement Part 3 - Negative and Positive Engagement Examples
Global Fixed Income Team
|
March 28, 2021
March 28, 2021
|
Global Fixed Income Team
ESG Engagement Part 1 - Alpha Generation Opportunities
Global Fixed Income Team
|
March 28, 2021
March 28, 2021
|
Global Fixed Income Team
For more information please contact:
John W. Akkerman, CFA, CAIA
Global Head of Distribution
