Our process for managing fixed income investments begins with an assessment of the trends exhibited by each market sector.  Our primary focus is on capturing the beneficial effects of long-term trend, rather than making short-term tactical realignments.  The factors we assess include:

• Structural risk/return trade-offs,

• Credit trends,

• Historical yield spreads,

• Shape of the yield curve,

• Supply/demand.

Once we have identified sectors offering the best long-term value, we focus on selecting individual issues that offer sufficient liquidity, a meaningful return/risk trade-off, and the likelihood of increasing portfolio income.