Preservation of Capital
Cincinnati Asset Management is a boutique, fixed income manager specializing in U.S. Corporate Bonds. Established in 1989 to build and manage high performance fixed income portfolios for individuals and institutions, our conservative and disciplined approach stresses preservation of capital, diversification, and high investment income. We have specialized in the management of corporate fixed income securities for our clients for over 30 years. We are an independent investment adviser registered with the SEC and structured as a corporation that is employee owned. The strength of our Firm lies with our niche focus, commitment to our investment process and depth of experience of our Portfolio Teams, Managing Directors and employees.
Fund Flows & Issuance: According to a Wells Fargo report, flows week to date were +$1.6 billion and year to date flows stand at -$0.1 billion. New issuance for the week was $7.0 billion and year to date issuance is at $105.6 billion. (Bloomberg) High Yield Market Highlights S. junk bonds are poised to […]
Spreads got back on the tightening track this week after finishing the prior week slightly wider. The Bloomberg Barclays US Corporate Index closed Thursday at an OAS of 202 after closing the prior week at 209. The market was mixed throughout the day on Friday but softer equities weighed on credit spreads pushing them wider […]
Fund Flows & Issuance: According to a Wells Fargo report, flows week to date were +$2.2 billion and year to date flows stand at -$1.7 billion. New issuance for the week was $17.3 billion and year to date issuance is at $98.6 billion. (Bloomberg) High Yield Market Highlights The junk bond market is likely […]
The streak of tighter spreads for the past four weeks is in jeopardy. The Bloomberg Barclays US Corporate Index closed Thursday at an OAS of 208 after closing the prior week at 206. The tone is mixed as we go to print on Friday morning so unless something changes throughout the day it looks unlikely […]
Investment grade credit spreads were tighter for the fourth consecutive week. The Bloomberg Barclays US Corporate Index closed Thursday at an OAS of 210 after closing the prior week at 233. The tone midway through the day on Friday is mixed but spreads look as though they will finish the day tighter as stocks drift […]
(Bloomberg) Fed to Buy Junk Bonds Among Other Support The Fed said it will invest up to $2.3 trillion in loans to aid small and mid-sized businesses and state and local governments as well as fund the purchases of some types of high-yield bonds, collateralized loan obligations and commercial mortgage-backed securities. The money comes on top of the massive […]
Fund Flows & Issuance: According to a Wells Fargo report, flows week to date were +$2.9 billion and year to date flows stand at -$16.0 billion. New issuance for the week was $4.3 billion and year to date issuance is at $76.5 billion. (Bloomberg) High Yield Market Highlights The robust demand for new issuance, […]
Spreads ripped tighter during the week as risk assets of all stripes performed well on the back of extraordinary support from the Federal Reserve. The Bloomberg Barclays US Corporate Index closed the holiday shortened week at an OAS of 233, a whopping 50 basis points tighter from the previous Friday close and over the course […]
Fund Flows & Issuance: According to a Wells Fargo report, flows week to date were +$5.9 billion and year to date flows stand at -$18.9 billion. New issuance for the week was $0.6 billion and year to date issuance is at $72.1 billion. (Bloomberg) High Yield Market Highlights The U.S. junk bond market is […]
The investment grade credit markets experienced another week that was largely positive in nature, although spreads are still wide to historical averages. Bright spots included tighter spreads and higher commodity prices. The spread on the Bloomberg Barclays US Corporate Index closed Thursday at 279, 16 basis points tighter from the end of the week prior. […]
Individual investors benefit from the same disciplined approach we apply to the management of portfolios of our institutional clients. We buy/sell securities in institutional size that typically is more efficient than smaller retail purchases. The individual investor participates in these larger trades and enjoys the same pricing that the institutional client receives.
We focus on the needs of institutional clients, including pension plans, endowments, charitable organizations, and insurance companies. Our strategic investment philosophy, rather than a tactical trading approach, assures that the longer term requirements of these institutions are being met through disciplined investing. We are also able to tailor a portfolio to meet specific investment objectives.
Our investment process concentrates in the U.S. Corporate Bond market and offers solutions to investors which span the entire spectrum of credit quality from Investment Grade to High Yield. In all cases fundamental credit research is a primary element of our portfolio management process. Our approach stresses preservation of capital, diversification and high investment income.
CAM follows a conservative “bottom-up value” investment discipline that seeks out companies that are currently out of favor with investors, but poised to improve. The primary focus is preservation of capital with a secondary, but extremely important, emphasis on total return. Our portfolios are not managed to a benchmark from a portfolio construction perspective, but do look to outperform respective benchmarks over a full market cycle with less volatility. We do not utilize interest rate anticipation tactics. We look to minimize the impact of macro-economic factors, such as interest rate risk, from the investment process by employing defensive maturity structure within the portfolio
View our research materials, like white papers and yield-spread analysis, as well as our weekly insight.
For investors seeking potentially greater returns, this strategy focuses on bonds rated in the top two rating categories (Ba & B). Securities rated Caa and lower are not eligible for purchase.
Designed for the more conservative investor interested in an intermediate, investment grade corporate strategy that provides a premium yield to Treasury securities.
For investors interested in a shorter maturity profile which targets an allocation of 50% Investment Grade and 50% High Yield securities in one portfolio.
Combines the Investment Grade and High Yield strategies in an approximate 2/3 – 1/3 blend. It is designed for the investor who desires to achieve greater returns than the Investment Grade strategy while incurring less volatility than the High Yield strategy.
Designed for investors interested in a shorter maturity profile but do not wish to hold any non-investment grade securities. The average maturity of the portfolio, once seasoned, is less than half of that of our core Investment Grade strategy.
The CAM Broad Market Strategic Income Fund provides an opportunity for long-term investors to find a conservative risk/reward balance that focuses on downside protection and total return.