Risk Managed: We aim to deliver low volatility, absolute returns in a long-only fixed income portfolio. We manage the portfolio to be impartial to economic factors, such as interest rates. By seeking to deliver performance independent of market direction, we believe we help investors diversify their fixed income so no single risk overwhelms a portfolio.
Fundamental: “Short-duration credit meets Benjamin Graham” best describes our strategy. We apply deep fundamental research to carefully select companies with defensive characteristics. We invest in securities from these companies which have short timeframes and are available at attractive valuations with a margin of safety. The result is a portfolio with low correlation to traditional fixed income – the risk profile for which our clients hire us.
Long Term: Our approach emphasizes investing through market cycles. We are infrequent traders, and we adhere to our risk-managed, fundamental process to maintain a consistent portfolio across changing market environments. We aim to offer a long-term strategic way for investors to diversify their existing investment risks and preserve capital while maintaining purchasing power and producing income.
Flexible: Our focus on addressing our clients’ fixed income goals with a low volatility portfolio provides flexibility if their needs change unexpectedly. We seek to deliver a solution to minimize the chances of “buyer’s remorse” in case changes result in shorter or longer than expected investment horizons.
Capacity-Constrained: We target a niche market segment that is overlooked and underrepresented in most portfolios. We embrace the resulting capacity constraint, which we believe is an advantage for our clients.