INCORE Total Return Fixed Income strategy delivers superior risk-adjusted returns by taking advantage of bond market inefficiencies in three key ways: sector allocation, active interest rate and yield curve positioning, and credit selection. At the core of our fixed income philosophy is the view economic cycles create capital market inefficiencies, valuations are cyclical and revert to the mean over time, and value can be consistently added by exploiting these opportunities.
Philosophy & Process
The team starts the analytical process with a top-down view of the world that is complemented with thorough fundamental credit analysis and a collaborative and institutionalized decision making process. To this end we have separate modeling capabilities for risk exposure (top-down) and security selection (bottom-up) decisions, as well as the Investment Strategy and Credit Committees that meet on a weekly basis to discuss the results thereof. All of these efforts are complemented by extensive risk control measures to assure benchmark-relative tracking error is efficiently controlled.
Strategy assets include both discretionary and non-discretionary assets under management that are managed in a similar style.