The fixed income team adopts a four-step approach to investing.
Fair value analysis
Macroeconomic and market research determine our investment outlook and ascertain the fair value of broad interest rate, credit and currency markets.
During this stage, we delve deeper into the fundamental, technical and valuation factors of the interest rate, credit and currency markets. This interest rate strategy establishes the duration and yield curve positioning within a portfolio. The credit strategy determines a portfolio's allocation into credit / credit sectors, followed by "bottom-up" credit selection. The currency strategy is about taking active currency positions where valuations, fundamentals, and/or changes in price momentum support a currency direction or trend. For our single-country portfolios, value add from the currency strategy tends to be limited. When currency flexibility is permitted (particularly for multi-currency portfolios), it can be a significant source of value add.
The team's strongest conviction become candidates for inclusion in a portfolio. Portfolios are constructed in accordance with the client's objectives, risk preferences and the team's investment views. In order to establish accountability, the lead portfolio manager assumes responsibility for final investment decisions.
Risk control and review
Ongoing monitoring of market development and portfolio adjustments are undertaken to ensure that we capture the prevailing market opportunities.
FIXED INCOME Strategies
The fixed income team manages single country and regional Asian fixed income strategies in local and hard currencies, as well as capabilities in G7 government bond portfolios and customised fixed income solutions. The strategies are formulated on a dynamic, multi-factorial investment approach aimed towards exploiting market inefficiencies within the broad and varied Asian bond opportunity set.
The fixed income team seeks to deliver consistent, value-added investment returns through active interest rate positioning, credit selection and currency allocation. We include “top-down” and “bottom-up” analysis within our analytical framework, and make use of both quantitative and qualitative measures which have stood the test of time.
Fixed income Team
Backed by a 20-year history of investing in Asian fixed income, Eastspring is a major asset manager in the Asian bond segment. Our fixed income expertise is guided by a highly experienced and cohesive team based in Singapore, fully dedicated to fixed income portfolio management and research.
The team’s in-depth knowledge of Asian bonds and close proximity to local markets strengthens the ability to identify and optimise value opportunities. Our Asian fixed income capabilities have garnered a number of awards over the years; a testament to the depth and stability of the investment team, and their robust performance track record.
Assets under management
USD 33 billion
(as at 31 December 2016)
Our specialist teams include: