Multi-Sector Multi-Asset Credit
The Multi-Asset Credit Strategy is an actively managed, diversified strategy that seeks +350 bps of annualized gross excess return over the ICE BofAML 3-Month LIBOR Index over a full market cycle.1,2 The Strategy seeks to capitalize on the Firm’s ‘best ideas in global credit’ by allocating assets across the full spectrum of global fixed income sectors and derivatives with a greater focus on credit opportunities. The Strategy incorporates active sector and security selection across geographies and tactical duration, credit quality, yield curve and currency management.
1 There is no guarantee that these objectives will be met.
2 On average, over a full market cycle defined as three to five years.
PGIM Fixed Income employs a disciplined, three-step investment process to manage Multi-Asset Credit Portfolios:
Senior investment team assesses global market environment:
- Economic research
- Sector analysis
Senior portfolio managers construct portfolio with sector specialists and analysts
- Establish risk targets within client's risk budget
- Capture thresholds for systematic and idiosyncratic risks
- Determine risk, sector, and term structure positioning
- Incorporate themes given current market dynamics
- Ideas from sector specialists are emphasized
- Sector specialists and research analysts aligned by industry determine individual securities
- Research-based approach
Senior portfolio managers and risk managers oversee risk positions