Fixed Income Management
WCB's primary goal in managing fixed income portfolios is to achieve or exceed each client's investment objectives and service expectations. One distinguishing characteristic of the firm, and an important strategy in meeting this goal, involves the initial construction and on-going active management of customized portfolios. The portfolios are constructed and managed to comply with individual client guidelines, as opposed to using predetermined master portfolio methodologies, approved lists, or commingled funds. At WCB, portfolios are managed based on specific client directives in order to meet their particular requirements for liquidity, risk tolerance, credit quality and a host of other variables. In addition, at WCB the professional management team makes a special effort to know each client and understand their needs.
The principal objective in fixed income management at WCB is to preserve and enhance the purchasing power of the assets. This process is driven by the philosophy that the firm must protect the client's capital and make it grow at a rate that exceeds the rate of inflation as well as an applicable benchmark, while staying within the stated guidelines. The approach is a blend of top-down and sector/security-specific analysis which is thorough and balanced. WCB utilizes elements from fundamental, quantitative and technical analysis in order to maximize returns within a client-specified duration band while minimizing market, sector and credit risk. All portfolios are managed according to a disciplined investment strategy that employs three primary steps (Yield Enhancement, Valuation Analysis, and Maturity and Risk Management) to tactically position portfolios relative to the yield curve, and to over-weight selected market sectors such as high quality corporate bonds, mortgage backed securities, assets backed notes and, if client directed, to a much lesser degree private placements (144-A’s) and high yield debt.