One of Asia's largest fixed income managers
We have over 50 years’ experience in fixed income, making us not only one of the longest serving, but also one of the largest fixed income managers in Asia. Our key strengths in this area include our well-resourced credit capability and our long-established proprietary method of using quantitive foundation to analyse the global macro economy.
We have a strong track record in active credit and rates management and deploy a sophisticated range of risk management systems and processes. Combined with a diverse team of investment specialists, we use our team to both generate returns in a range of market conditions and design fixed income solutions tailored to our client goals.
We are collaborative and seek to capitalise on research and insights across AMP Capital to make the most informed investment decisions. Our investment philosophy adheres to the following 4 key principles: fixed income has multiple sources of risk premia and inefficiencies, fixed income plays many roles in an investment portfolio, a robust framework grounded in theory leads to superior outcomes, and a risk management is critical.
AUD $41.8 billion
Assets under management
As at 31 December 2020
- Over 40 Investment professionals
- 4 Global locations
Why fixed income?
A well-diversified, actively managed fixed income fund plays an important role in an investment strategy regardless of the market environment. Fixed income can offer:
Capital protection: A diversified portfolio of fixed income securities tends to be much less volatile than an equity portfolio, which means it is less likely to incur large losses in the short term. Investors are repaid the amount of money they originally invested at the end of the agreed period.
Income generation: As well as attractive and reliable income streams, a diversified fixed income portfolio can provide income with a lower level of risk than equities, and may offer higher income than money market funds or term deposits.
Diversification: Over the long-term, diversification can provide better risk-adjusted returns. Bonds can also help reduce volatility and preserve capital, especially for investors with exposure to equities.
Why consider AMP Capital?
We have a strong, well-resourced team of 35 investment professionals, with an average of 15 years’ industry experience, in four global locations. Our people have diverse backgrounds, specialised knowledge, and a depth and breadth that is globally admired.
AMP Capital makes great investment decisions because it has exclusive access to deals and a credit research universe of about 400 issuers, including asset-backed securities and other private-public partnerships.
We use a sophisticated suite of risk management systems which includes BlackRock’s Aladdin and GreenPackage. We have a robust investment process and conduct thorough due diligence. Our mantra is to use transparent and repeatable processes that generate consistent outcomes.
Risks of fixed income investing
Risks specific to fixed income investments may include credit risk (including counterparty default), interest rate risk, and risks associated with sovereign default, derivatives, international investments, currency exchange rates, short selling, gearing, hybrid securities, gearing, liquidity and movements in share markets. Please refer to the relevant fund’s Information Memorandum or Product Disclosure Statement for more information.
THE GLOBAL EVENTS ON OUR RADAR IN 2020
For those who recognise the utility of bonds in a broader investment portfolio, they should take note of the big picture items on our radar in 2020.
Featured in Fixed IncomeMORE PUBLICATIONS
The large global banks with European and North American origin have entered the COVID-19 pandemic in better conditions since the last major financial market event given the decade long clean-up from the fall-out of the Global Financial Crisis (GFC). The banks’ capitalisation, funding and liquidity positions, as well as asset quality have been the strongest since the GFC. However, earnings were challenged especially for those banks based in jurisdictions with prolonged low and negative interest rates and less diversified business models. Nevertheless, we believe most banks are expected to remain profitable in 2020 despite large credit impairment charges in preparation of the expected asset quality deterioration once fiscal stimulus and bank-specific support measures will be withdrawn.