Investment Focus

We see a silver lining in the cloud that has hung over the bond market over the past year: the cumulative interest rate increases that drove record annual losses have simultaneously returned the asset class to greater relevance going forward. Additionally, the elevated uncertainty and volatility in the current environment create the potential for active managers employing deep research to generate outperformance.  

As an active investment manager, we seek investment opportunities with the potential to create long-term value for our clients. As part of our time-tested investment process, we carefully consider many factors, including financially material environmental, social, and governance (ESG) factors. In this paper, we share our approach to ESG integration and stewardship—both in how we invest our clients’ assets and manage our firm.

In recent months, surging inflation, rising interest rates, and geopolitical issues have roiled the capital markets. Recently, members of our Macro and Client Service teams discussed some of these issues and the role macro analysis plays as an input in our evaluation of equity and fixed income securities’ fundamentals.