We manage our corporate bonds using a similar approach to our equity stock picking, which we refer to as ‘bond picking’. Through the fundamental credit analysis of corporate issuers, we seek bonds which offer a higher return potential than no-risk sovereign issues.

We believe that obtaining significant added value on this market depends upon the manager’s ability to evaluate the quality and pricing of the issues, and to react quickly to any opportunities.

Our investment process focuses on:

• Credit risk analysis: by regularly monitoring the quality of corporate issues, our managers/analysts seek to optimise the risk/yield ratio by selecting the issues with the best yield within in each rating category.


• Macro-economic analysis: our in-house economist provides regular economic updates and forecasts, enabling the managers to anticipate/manage variations in the interest rate yield curve.


• An opportunistic policy: our managers react quickly to benefit from inefficient markets which over-value or under-value issues over a short, limited period.