Increased stability and confidence in uncertain times.
Fixed Income holdings can reduce overall portfolio volatility through diversification and provide stable, predictable cash flows. We design bond portfolios to meet income needs and preserve capital. However, we also look to add to incremental returns primarily through duration, credit spread, and currency management.
At Whittier Trust, we recognize that fixed income instruments are not risk free; principal value can be negatively impacted during a rising interest rate environment. We work with you to help ensure you avoid the unnecessary risks that are often inherent in each asset class.
Our fixed income approach includes:
- Analyzing issuers to identify cash flows, maturity concentrations, and interest coverage
- Comparing historic credit spreads among various fixed income instruments to find relative outperformers
- Taking advantage of different credit structures and features depending on market conditions
- Capitalizing on inefficiencies along the yield curve to enhance cash flows and returns