Balanced Income Strategy

As of 9/30/20

Assets Under Management

  • $20.3 million

Objectives

  • Seeks current income and, secondarily, total return consistent with the preservation of capital.

Available Vechicles

Portfolio Management Team

George J. Cipolloni III Photo

George J. Cipolloni III
Portfolio Manager

Scott Ellis Photo

Scott Ellis
Portfolio Manager

Mark J. Saylor Photo

Mark J. Saylor
Portfolio Manager

Greg Zappin Photo

Greg Zappin
Managing Director & Portfolio Manager

View Full Team

Characteristics

  • Opportunistically invest within the income investable universe across asset classes (equity and fixed income) to create a diversified portfolio of high-conviction ideas.
  • Flexible asset allocation with a 40% common stock limit (at purchase) driven by a bottom-up investment process.
  • Identify the most attractive value opportunities across a company’s capital structure.
  • Credit Quality: Typically focused on triple-B to single-B corporate securities
  • Number of Positions: Typically 60-80
  • Position Size: Typically 1-2% (3% max at purchase)
57 Number of Holdings
BB Average Quality
1.3 yrs Duration
3.1 yrs Years to Maturity
3.3% Yield to Maturity

Unless otherwise indicated, all data is reported as of September 30, 2020 and is not a representation of current or future data. Holdings and allocations are subject to change. Data is based on a representative portfolio, which is an account in the composite that PMAM believes most closely reflects portfolio management style for this strategy.

Key Asset Classes

Common and Preferred Stocks
High Yield Corporate
Investment-Grade Corporate
Convertible Bonds
Treasury/Agency
Mortgage-Backed Securities (MBS)
Asset-Backed Securities (ABS)

Asset Class Allocation

High Yield Corporate 53.1%
Investment-Grade Corporate 4.3%
Equity 25.7%
Treasury 16.9%
  • 53.1%
    High Yield Corporate
  • 4.3%
    Investment-Grade Corporate
  • 25.7%
    Equity
  • 16.9%
    Treasury

Unless otherwise indicated, all data is reported as of September 30, 2020 and is not a representation of current or future data. Holdings and allocations are subject to change. The chart does not include cash. Data is based on a representative portfolio, which is an account in the composite that PMAM believes most closely reflects portfolio management style for this strategy. 

Bond Quality Allocation

Unless otherwise indicated, all data is reported as of September 30, 2020 and is not a representation of current or future data. Holdings and allocations are subject to change. Data is based on a representative portfolio, which is an account in the composite that PMAM believes most closely reflects portfolio management style for this strategy. 

Source: Independent Rating Agencies such as Moody’s, S&P, Fitch, etc.

Note: When a security is rated differently by three rating agencies, the median rating is used; when rated differently by two rating agencies, the lower rating is used. 

NR category consists of five convertible bonds.

Composite Performance

1 Month Since Inception1
Balanced Income Strategy - Gross -0.64% -0.57%
Balanced Income Strategy - Net -0.73% -0.73%
Blended Benchmark2 -1.30% -0.05%

Unless otherwise indicated, all data is reported as of September 30, 2020 and is not a representation of current or future data. Holdings and allocations are subject to change. Past performance is no guarantee of future results. 

1Inception date 7/31/2020.

2Equal blend of the following indices:

Russell 3000 Value Index - An index that measures the performance of the broad value segment of the US equity value universe. It includes those Russell 3000® companies with lower price-to-book ratios and lower forecasted growth values.

Bloomberg Barclays U.S. Corporate Investment Grade Index - An index that measures the investment grade, fixed-rate, taxable corporate bond market. It includes USD denominated securities publicly issued by US and non-US industrial, utility and financial issuers.

Bloomberg Barclays U.S. High Yield 2% Issuer Capped Index - An issuer-constrained version of the flagship US Corporate High Yield Index, which measures the USD-denominated, high yield, fixed-rate corporate bond market. The index follows the same rules as the uncapped version, but limits the exposure of each issuer to 2% of the total market value and redistributes any excess market value indexwide on a pro rata basis.

 

Disclosure Statement

Past performance is not indicative of future results. Investors should be aware of the additional risks associated with investments in non-diversification, undervalued or overlooked companies and investments in specific industries. In addition, investors should be aware of the additional risks associated with investments in non-investment grade (high yield) debt securities and structured securities, which are subject to greater fluctuations in value and risk of loss of income and principal as a result of interest rate risk and economic risk. There is no guarantee that dividend-paying equities will pay or continue to offer their dividends. Diversification neither assures a profit nor eliminates the risk of loss.

The information herein does not constitute investment advice and the strategy described may not be available to, or suitable for, all investors.

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