Portfolio Construction

Portfolios are constructed with high-quality; U.S. dollar-denominated securities rated investment grade or better at time of purchase. Primary consideration is given to numerous and diverse value-adding opportunities using duration management, yield curve positioning, sector allocation and security selection. We can and do make major shifts in our sector allocations to take advantage of short-term market conditions. Duration is closely monitored but not restricted to the benchmark. We believe this allows us to take advantage of opportunities while managing volatility. No single non-government security will be more than 5 percent of the portfolio value at the time of purchase.

Portfolio Characteristics

Inception DateJanuary 1, 2003
Assets Under Management (in millions)$84.70
Investment StyleCore - Specialized
Decision MakingOpportunistic
BenchmarkBarclays U.S. Aggregate Bond Index

Portfolio Statistics as of 6/30/19

Strategic Fixed IncomeBarclays U.S. Aggregate Bond Index
Average Credit QualityAa1Aa1
Duration6.2 yrs5.7 yrs
Current Yield3.4%3.1%
Number of Holdings7510610

Sector Diversification as of 6/30/19

Strategic Fixed IncomeBarclays U.S. Aggregate Bond Index
Governments33.6040.50
Asset-Backed12.900.50
Mortgage-Backed39.9029.30
Corporates10.4029.00
Taxable Municipals0.000.70
Cash3.300.00