Corporate bonds are an important foundation for all sectors of the insurance industry, including Property & Casualty, Health and Captive. They are especially appropriate for yield-oriented investors, such as Life and Annuity companies seeking additional spreads over their liabilities.
At AAM, we pursue a disciplined, research-intensive approach to corporate bond management. Our seasoned team of industry specialists continually evaluates opportunities in their sectors. We couple this with top-down research on macroeconomic factors that may drive performance in various parts of the corporate bond market.
We also carefully monitor valuation, both in the corporate sector as a whole and in various industry segments. Using proprietary tools, we continually measure risk versus return at the sector, industry and individual credit levels. Using this research, our portfolio managers construct diversified portfolios of bonds that meet client guidelines for risk, duration, yield and total return targets. We shift our exposures to various sectors of the corporate bond market, depending on risk and opportunity at any given time.