Core Plus Strategy (with Funds)

Why Choose This Strategy?

• As a core fixed income allocation that is benchmark aware and focused on relative returns
• To seek competitive return and yield advantage by tactically allocating to non-benchmark fixed income allocations
• To serve as a potential complement to more “core” fixed income mandates

Investment Strategy

• The portfolio is constructed with benchmark-aware risk and return, but uses tactical investments in non-benchmark sectors as a key source of potential return, when determined appropriate by PM team
• The investment process is driven by top-down macro analysis, combined with bottom-up security selection
• The strategy invests primarily in high-quality corporate and US government securities
• The strategy manages interest rate risk by generally maintaining duration +/- 2 years relative to the benchmark
• The strategy can pursue higher returns than core fixed income by tactically investing in non-benchmark areas of the fixed income universe, including up to 20% in High Yield Credit.