Fixed Income

Introducing our fixed income process

We've used the same process for fixed income management since the 1980s. At its core is a focus on proprietary research, identifying opportunities that have an attractive balance of risks and rewards, and combining different and uncorrelated investment opportunities.

Key ingredients in our process

• Active management, operating globally, aiming to deliver outperformance
• Using diversified sources of added value to improves the risk-return profile
• Specialist decision makers, working within allocated risk budgets.
• Local presence in London, Philadelphia, Singapore and Sydney
• Strong derivatives capability for both active and liability management

Our discrete alpha teams cover five areas of expertise, all operating independently. These areas are:

• Investment grade credit
• High yield
• Emerging market debt
• Interest rates
• Currency

Our fixed income investment process

Fixed income key values

Active management

We give our client added value by exploiting market inefficiencies in interest rates, currency, investment grade credit, emerging market debt and high yield.

We have dedicated portfolio managers and analysts in the three main time zones. They operate as close-knit teams, delegating investment decision-making to specialists depending on their knowledge and expertise.

Team Approach

There are more than 139 investment professionals working across our international teams. They make investments according to clearly defined parameters, and work within clear reporting structures based on transparency and accountability.

Flexible and disciplined investment process

Our investment process is clear and structured. It’s also flexible – we can adapt our portfolio management for a wide variety of client requirements. For example, one client might need strategies which employ multiple sources of uncorrelated returns, while another might require us to focus on a particular specialist area.

Diverse solutions

Fixed income is not a static area. Many clients are moving to higher performance or core plus mandates, with others moving away from market-based indices and the use of liability driven benchmarks.

We aim to deliver superior performance across the full range of our fixed income capabilities. We also use derivatives, such as interest rate and credit default swaps, to add value and match liability exposures.

Guide to Fixed Income

Fixed Income investing explained