An Optimized Approach to Core Plus Portfolios

Over the last decade, low interest rates and reduced expectations for potential returns in traditional asset classes have helped increase the popularity of fixed income Core Plus funds. These investment strategies, which typically combine a “Core” fixed income portfolio with alternative assets such as Global Bonds, Emerging Debt or Preferred Shares (the “Plus” component of the Core Plus), are designed to bring investors the additional yield that cannot be found within a traditional bond universe portfolio.