Multi-Asset Global

The portfolio may invest in U.S. equity, international equity, emerging market equity, convertible bonds, U.S. and international core government bonds, mortgage and municipal bonds, high yield corporate and emerging debt and cash equivalent securities. The asset allocation between fixed income and equity reflects the investment team's analysis of the relative risk/reward balance offered by individual securities within the asset classes. Asset allocation shifts significantly, albeit incrementally, in response to changes in the relative prospective returns of the asset classes. The fixed income process seeks to provide a core of stability and income through the very high credit quality and U.S. dollar denominated holdings of U.S. Treasury and Agency issues. Additionally, the fixed income portfolio pursues individual securities that may offer higher returns on a risk-adjusted basis. The holdings are selected based upon individual considerations of credit quality, yield, duration, currency exposure, and sector diversification.

The equity process is the same as that for all our global equity strategy, and the equity portion of the portfolio mirrors the Global Equity product. The equities reflect businesses that are under-priced relative to our estimate of their intrinsic value. We manage portfolio risk through prudent diversification across dimensions of geography, industry sector, currency, and size. The fixed income portion is constructed from instruments that appear to provide attractive risk/return profiles consistent with the objectives of the product. The portfolio usually holds 45-55 equity investments and 10-20 fixed income investments across 15-20 markets, 6-8 industry sectors, and several currencies. An investment is sold, in whole or part, when fundamentals deteriorate or the portfolio can be improved.

For further information on this product, please contact us.