The structure, organization, and decision-making process of our investment team can help explain performance.

 

 

Inside Guggenheim’s Team of Investment Teams

In his book, “Team of Teams: New Rules of Engagement for a Complex World,” General Stanley McChrystal explained how, as head of the U.S. Joint Special Operations Command (JSOC) operating in Iraq and Afghanistan, he created an organizational model that could contend with a new kind of unconventional adversary that was decentralized, fast-moving, and networked. McChrystal called the organizational structure that he developed “The Team of Teams.”

This phrase also aptly describes the dynamics of the Guggenheim investment process. For an organization to respond to a complex system like the intertwined global economy and financial markets, our team-based investment process must be able to evaluate dense data patterns and a diverse array of linkages and connections to make investment decisions. The same process is followed for all of our actively managed fixed-income vehicles, from institutional separate accounts to packaged investment products.

 

Report Highlights:

  • We created our team-based approach in order to make better decisions and express our best ideas in actively managed portfolios.
  • The dynamism of this process is captured in the formal and informal interaction of our four specialized teams: Macroeconomic Research, Sector Teams, Portfolio Construction, and Portfolio Management.
  • Constant communication within each of the investment teams, as well as between and among the teams, is essential.
  • Similarly, Gen. McChrystal created a process that fostered constant communication between teams of specialists.
  • Whether markets are moving quickly, like during the pandemic market volatility, or when they are less volatile, the same disciplined process is called upon to make investment decisions.
  • We believe that our investment process is predictable, repeatable, and scalable.

 

About Guggenheim Investments

$246 Billion
Total Assets*

$217 Billion**
Fixed Income Assets

300+ Investment
Professionals**

900+ Guggenheim
Investments Employees**

10 Investment
Sector Teams***

 

 

Important Notices and Disclosures

This material is distributed or presented for informational or educational purposes only and should not be considered a recommendation of any particular security, strategy or investment product, or as investing advice of any kind. This material is not provided in a fiduciary capacity, may not be relied upon for or in connection with the making of investment decisions, and does not constitute a solicitation of an offer to buy or sell securities. The content contained herein is not intended to be and should not be construed as legal or tax advice and/or a legal opinion. Always consult a financial, tax and/or legal professional regarding your specific situation.

This material contains opinions of the author, but not necessarily those of Guggenheim Partners, LLC or its subsidiaries. The opinions contained herein are subject to change without notice. Forward looking statements, estimates, and certain information contained herein are based upon proprietary and non-proprietary research and other sources. Information contained herein has been obtained from sources believed to be reliable, but are not assured as to accuracy. Past performance is not indicative of future results. There is neither representation nor warranty as to the current accuracy of, nor liability for, decisions based on such information. No part of this material may be reproduced or referred to in any form, without express written permission of Guggenheim Partners, LLC.

Past performance is not indicative of future results. There is neither representation nor warranty as to the current accuracy or, nor liability for, decisions based on such information.

Investing involves risk, including the possible loss of principal. The potential impacts of the COVID-19 outbreak are increasingly uncertain, difficult to assess and impossible to predict, and may result in significant losses. Any adverse event could materially and negatively impact the value and performance of our strategies and their ability to achieve their investment objectives. Investments in fixed-income instruments are subject to the possibility that interest rates could rise, causing their values to decline. High yield and unrated debt securities are at a greater risk of default than investment grade bonds and may be less liquid, which may increase volatility.

 
*Assets under management as of 12.31.2020 and include leverage of $13.7bn. Guggenheim Investments represents the following affiliated investment management businesses of Guggenheim Partners, LLC: Guggenheim Partners Investment Management, LLC, Security Investors, LLC, Guggenheim Funds Distributors, LLC, Guggenheim Funds Investment Advisors, LLC, Guggenheim Corporate Funding, LLC, Guggenheim Partners Europe Limited, GS GAMMA Advisors, LLC, and Guggenheim Partners India Management.

** 12.31.2020

*** Investment-Grade Corporate Credit, High-Yield Corporate bonds, Bank Loans, ABS & CLOs, Non-Agency RMBS, CMBS, CRE Debt, Municipals, Agency RMBS, Rates
 


© Guggenheim Investments. All rights reserved.

Guggenheim Investments represents the following affiliated investment management businesses of Guggenheim Partners, LLC: Guggenheim Partners Investment Management, LLC, Security Investors, LLC, Guggenheim Funds Distributors, LLC, Guggenheim Funds Investment Advisors, LLC, Guggenheim Corporate Funding, LLC, Guggenheim Partners Europe Limited, GS GAMMA Advisors, LLC, and Guggenheim Partners India Management.