Our philosophy in
managing intermediate fixed income accounts is to add
value above a benchmark index utilizing U.S. Governments
and Agencies, high quality corporate bonds, and mortgage-backed
securities within a duration band of 75% to 125% of
the benchmark index.
We have a strategic commitment to corporate bonds within our intermediate
fixed income portfolios to capture the performance advantage
that corporates have historically achieved over governments
and mortgages. In addition, through yield curve and
yield spread strategies, we identify other attractive
sector and issue opportunities among Governments, Agencies
and mortgage-backed securities. This approach minimizes
market timing and emphasizes attractive sector and issue
spread opportunities within the universe of fixed income
securities we utilize.