Short Term US Municipal Bond

The Short Term US Municipal Bond strategy is designed to provide investors with tax-exempt income via portfolio exposure to high quality, short duration municipal bonds. The strategy’s inherent diversified exposure provides investors with income exempt from federal, and in some instances state and local, personal income tax.

Objective

The strategy seeks to maximize current income exempt from federal tax to the extent consistent with a secondary goal of capital preservation with a focus on shorter-maturity municipal bonds.

Approach

We take a pragmatic, long-term approach to municipal bond investing, utilizing a combination of bottom-up and top-down processes, which allows us to identify bonds that are attractive on a risk adjusted basis. This approach has the potential to result in an emphasis on essential purpose revenue bonds that are fundamentally stable to improving, and may provide meaningful income with attractive yields.

Through our research expertise and trading acumen we seek to achieve best execution on relative value opportunities rather than relying on interest rate forecasting to deliver excess return. We focus on sectors and securities with stable, investment grade credit characteristics. We avoid bonds with deteriorating credit fundamentals or poor relative valuations as well as those that deliver excessive volatility to portfolio returns.