Short Duration - Investment Grade
Strategy Overview
Account Minimum: $250,000 | Launch of Strategy: December 1, 2008
The strategy is designed for investors interested in a shorter maturity profile which has a fixed allocation of 100% Investment Grade securities in the portfolio. A bottom-up approach identifies investment opportunities that represent the most attractive value with strong prospects for consistent income and growth. The overall average credit rating objective is A3 with a targeted maturity range of 3 – 5 years. The portfolio is diversified across more than 20 issues and generally limited to a maximum of 15% per industry group.
Liquidity and safety are enhanced by investing only in bonds with an initial issue size generally in excess of $100,000,000. We access over 30 institutional broker/dealers seeking competitive bids and offerings. This trading network provides all of our clients with best pricing. A strict sell discipline is employed within the strategy.
Portfolio Statistics
(as of 6/30/2024)
Resources
Short Duration – Investment Grade Brochure
Short Duration – Investment Grade Profile
Short Duration – Investment Grade Client Agreement
CAM Strategy Guide
Short Term
Portfolios are fully invested in the shorter term range (3 – 5 years). We avoid interest rate anticipation or market timing.
Investment Grade
An investment grade (A3 minimum) average credit rating is the constant target. BAA/BA bonds are purchased to enhance cash flow, reduce interest rate sensitivity and provide greater potential capital appreciation.
ENHANCED LIQUIDITY & SAFETY
Liquidity and safety are enhanced by investing only in bonds with an initial issue size generally in excess of $100,000,000.
Strict Sell Discipline
A strict sell discipline is employed. Issues and issuers are analyzed regularly to ensure that gains are captured, relative value is optimized, and capital is preserved.
Diversified
The portfolio is diversified across more than 20 issues and generally limited to a maximum of 15% per industry group.
Low Turnover
A historical low turnover of the portfolio, on average less than 35% per year.
Strategy Data
Calendar Year Returns (Gross)
Annualized Returns
(period ended 6/30/2024)
Risk Statistics
(period ended 6/30/2024)
Annualized Returns
(period ended 6/30/2024)
| wdt_ID | Period | CAM Gross | CAM Net | Bloomberg US Corporate 1-5 Year |
|---|---|---|---|---|
| 1 | YTD | 1.58 | 1.46 | 1.56 |
| 2 | 1 Year | 5.32 | 5.07 | 6.00 |
| 3 | 3 Years | -0.25 | -0.49 | 0.40 |
| 4 | 5 Years | 1.37 | 1.12 | 1.75 |
| 5 | 10 Years | 1.95 | 1.69 | 2.14 |
| 6 | Inception | 4.11 | 3.86 | 3.72 |
Risk Statistics
(period ended 6/30/2024)
| wdt_ID | name | Standard Deviation CAM SD-IG | Standard Deviation Bloomberg US Corporate 1-5 Index | Sharpe Ratio CAM SD-IG | Sharpe Ratio Bloomberg US Corporate 1-5 Index |
|---|---|---|---|---|---|
| 1 | 3 Yrs. | 4.01 | 3.94 | -1.01 | -0.83 |
| 2 | 5 Yrs. | 4.21 | 4.10 | -0.20 | -0.11 |
| 3 | 10 Yrs. | 3.36 | 3.16 | 0.12 | 0.19 |
| 4 | Inception | 4.03 | 3.44 | 0.75 | 0.77 |
Maturity Distribution
Duration Distribution
Industry Distribution
Credit Quality Distribution
| wdt_ID | Type | Value |
|---|---|---|
| 1 | AAA | 0.0 |
| 2 | AA | 9.6 |
| 3 | A | 62.9 |
| 4 | BAA | 26.6 |
| 5 | BA | 0.2 |
| 6 | B | 0.0 |
| 7 | CAA | 0.0 |
| 8 | CA | 0.0 |
| 9 | < C | 0.0 |
| 10 | NR | 0.7 |
*Bloomberg Index Rating