Forward Looking Fixed Income Investing
Breckinridge Capital Advisors manages investment grade fixed income investment strategies.
Our multi-sector and sector-focused bond portfolios are managed with the intention of providing
safe, reliable, risk-adjusted returns. Our mission is to provide the highest caliber of fixed income management, thereby facilitating a sustainable flow of capital from long-term investors to responsible bond issuers.
As of September 30, 2020, Breckinridge assets under management exceeded $42 billion, including more than $5.5 billion for investors who seek to align their investments with their values via our sustainable offerings. Our company is a Massachusetts Benefit Corporation and a certified B Corp. that believes in:
• Focusing on investment grade fixed income assets
• Operating as an independently owned firm
• The value of independent bottom-up credit research
• Customized separate accounts
• Ongoing innovation of our proprietary technology platform
Managing Investments and Our Business for the Long Term
Over the course of nearly 30 years, we developed and integrated our philosophy, process, people and technology to deliver fixed income solutions and services that align with the long-term goals of our clients.
We work with a network of financial advisors, consultants and family offices as well, managing money for large institutions and high net worth individuals. In each relationship, we work to understand the investor’s goals. We develop and execute strategic solutions intended to reach those goals, working in an integrated and collaborative approach across our organization.
Our consultant relations team works with our investment teams to provide a comprehensive client experience. Members of the consultant relations team average 16 years of industry experience. They leverage the power of our proprietary technology, the accessibility of our investment team and their commitment to proactive support and insightful communications to deliver customized solutions, reports and services. Breckinridge welcomes the opportunity to discuss with you our approach to tailoring investment solutions intended to meet our clients’ investment goals.
Breckinridge offers multi-sector, sector-focused, and sustainable bond strategies in short, limited, intermediate, long and broad durations.
Our multi-sector strategies invest across a variety of investment grade bond sectors. These strategies are benchmarked against the Bloomberg Barclays U.S. Government/Credit or U.S. Aggregate Indexes. Each index has a variety of duration-based components that we use. Other benchmarks may be available upon request.
Our sector-focused strategies invest predominately in municipal and government bonds. These strategies are benchmarked against Bloomberg Barclays Municipal Bond or Managed Money Indexes. Each index has a variety of duration-based components that we use.
Our sustainable strategies emphasize ESG performance by targeting issuers with above average and/or improving ESG profiles. Values aligned solutions are also available. Breckinridge’s sustainable strategies are available across most of our multi-sector and sector-focused strategies.
Our Investment Approach
Our disciplined and consistent approach to investing is based on the following processes:
Top-Down Outlook – Our top-down outlook is determined by our Investment Committee. The members bring a diversity of views to our outlook from the perspectives of their roles in portfolio management and analysis, research, and trading.
Rigorous Bottom-Up Research – Rigorous, bottom-up research is grounded in our view that the risks
to investment grade bonds are asymmetrical and the downside to investing in a problematic security can be significant. The goal is to develop a comprehensive perspective on whether a bond can compensate investors for risk relative to return. Our research team uses proprietary credit algorithms, a risk-based credit matrix, and quantitative and qualitative data to generate internal ratings and opinions on a broad universe of investment grade issuers.
ESG Integration – ESG integration combines a quantitative assessment of ESG factors alongside a rigorous review of qualitative ESG considerations to derive a composite sustainability rating. Proprietary quantitative ESG frameworks draw on external data from a range of highly respected non-profit organizations, governmental agencies and sustainability ratings providers. Our qualitative ESG assessment is based on internal analysis, including engagement discussions with issuers.
Customizing Separate Accounts – Customizing separate accounts affords our investment teams significant flexibility in managing portfolios in accordance with long-term client objectives. Fixed income separate accounts allow investors to collect interest payments and hold bonds to maturity. Separate account investors can receive principal repayment in full and earn a predictable return no matter what broader market volatility might ensue.
Technology Innovations – Technology innovations allow our investment teams to efficiently manage client-centric customizations across a substantial client base. We align portfolios with each client’s objectives, risk tolerances and liquidity requirements and customize by benchmark, sector weightings, maturity and duration targets, minimum and average credit quality, tax-status, sector and security-level screens and values aligned screens (e.g. fossil fuel free). Our proprietary technology enables high levels of customization at competitive fees.
We welcome the opportunity to learn more about your goals.
Please contact our Consultant Relations team at CR@breckinridge.com or 617-443-0779 for more information.