Investment Grade Corporates

A customizable approach to investment grade corporates using fundamental credit analysis.

The Investment Grade Corporates strategy seeks to add value through industry sector rotation and active security selection. Depending on client preference, portfolios are constructed with either a USD market focus or a broader developed market currency focus. Whether the portfolios are USD focused or multi-currency, they typically contain a geographically diverse selection of issuers.

We utilize a disciplined investment process that emphasizes credit quality, technicals, valuation and risk management. The team couples sector, industry, duration and curve views with credit analysis to determine investment opportunities. We believe rigorous fundamental credit analysis is the key driver of both downside protection and alpha generation.

Risk management for our Investment Grade Corporates strategy involves an ongoing review of both portfolio strategy and individual holdings. As a result of the comprehensive proprietary tools developed by our internal team, the investment team is able to monitor relative exposure to changes in factors such as interest rate levels, yield curve shape, credit spreads, prepayment rates and exchange rates. Also, we project future portfolio risk by comparing multiple risk environments, segmenting risk components by sector, and examining the overall complexity of risk in the portfolio.

We offer a flexible range of options within our Investment Grade Corporates strategy. The strategy is available as a portfolio that is wholly invested in USD-denominated corporate debt or as a portfolio that invests more broadly in corporate debt denominated in other developed market currencies. Portfolios can be dedicated Investment Grade Corporates portfolios or incorporate the strategy as a component of broader Investment Grade or Multi-Sector Credit strategies.