We employ a three-step process to identify and monitor the fixed income securities that we place in our clients’ portfolios.

•     Integrate investable themes that we identify as an initial step in our equity process with our assessment of those industries having stable or improving fundamentals. 

•     Narrow the field byanalyzing companies in those industries that meet the following criteria:

1. Two sources of repayment: Predictable and ample cash flows, and sufficient assets. 
2. Satisfactory capital structure and/or a plan to reduce debt.
3. A senior position, if possible.

•     Determine an appropriate price to pay to own a debt security by comparing its current and historic spread in yield over U.S. government securities and to comparable corporate bonds.  Effective trade execution can have a pronounced impact on an investment's rate of return.

Experience. Insights. Ideas. 

We seek to identify companies and/or municipalities with predictable cash flows and/or substantial assets to back their indebtedness. 

We are willing to accept limited, manageable credit risk. 

We shun interest rate risk, however, preferring not to project the future direction of interest rates. 

Therefore, the average duration of our clients’ fixed income investments is normally meaningfully shorter than the benchmark.