Global Investment Grade Strategy
- AUM $77 million
(June 30, 2019)
- Inception Date 2018
- Benchmark 3-Month LIBOR +250 bps
- Vehicles Available
- Separate Account
We believe that risk-adjusted returns should be consistent over time and not cycle-dependent. We further believe that such returns can be achieved by constructing portfolios using a disciplined investment process centered on risk management.
Our team’s investment approach is guided by the following key portfolio tenets:
- A commitment to adding alpha via Barings’ fundamental, bottom-up credit research capabilities
- A team-based approach utilizing a multi-dimensional, repeatable portfolio construction and risk management framework
Our Value Add
- We have a highly experienced, collaborative investment culture utilizing a team-based approach led by a senior portfolio management team.
- Our actively managed, investment grade multi-asset strategy invests primarily in a diversified portfolio of global investment grade fixed income assets, including: global corporate credit, securitized products, structured credit CLOs and emerging markets debt, with opportunistic allocations to high yield debt.
- Barings’ global footprint provides an advantage as we seek the best relative value opportunities across geographies, with investment professionals located in the U.S., Europe, the U.K. and Asia.
- Integrated risk management is an important component of our value add. Since 2001, we have followed a risk management process that utilizes both qualitative and quantitative measurements to construct and review portfolios from a risk and volatility perspective.
Rates, Rallies & Risks
Investment grade credit markets posted a banner year in 2019; can the good times continue to roll?View
CLOs: Triple C's and Market Unease
Taryn Leonard and Melissa Ricco, Co-Heads of Barings’ Structured Credit Investment Team, discuss the recent loan market weakness, and how technical pressures are creating value opportunities in the CLO market.View
ABS: Uncovering Opportunities Beyond the (IG) Index
Amid an ongoing search for yield, with several potential risks on the horizon, there may be benefits to exploring opportunities outside of traditional corporate and government bonds—such as parts of the ABS universe.View
Investment Grade: Stable Fundamentals with Hints of Wear & Tear
IG fundamentals held up relatively well in Q3, despite dampened sentiment and growing macro uncertainty. Spreads were unchanged, but may move wider before year-end.View
Fixed Income: Upending the Conventional Approach
Michael Freno, Head of Global Markets, shares his view on where value can still be found in fixed income, despite the uncertain current environment—and why investors may need to look beyond traditional indexes in high yield, investment grade and emerging markets debt.View