The Multi Asset strategy has the full flexibility to invest across the breadth of opportunities generated by Guggenheim’s $204 billion* investment platform. The strategy seeks to deliver attractive absolute returns while reducing volatility and drawdowns over full market cycles. The strategy seeks to invest across the full spectrum of the fixed income markets and tactically allocates to equities and alternatives as changing market conditions generate undervalued investment opportunities.
The Multi Asset strategy employs a flexible, dynamic investment approach designed to incorporate Guggenheim’s rigorous bottom-up security research and extensive macroeconomic insight.
Our fixed income investment professionals use a fundamental credit-intensive research process that incorporates our deep knowledge of security types, industries, structures, and issuers.
We invest across the full spectrum of the fixed income market, including asset-backed securities, investment grade and high yield corporates, bank loans, residential and commercial mortgage-backed securities, and municipals. Many of the securities we research are complex and underfollowed by other market participants.
To capitalize on inefficiencies across different markets and align the strategy’s positioning with our macroeconomic and capital markets views, we use a combination of common stocks, ETFs, and derivatives to gain long and/or short exposure to equities and alternatives across global markets.
Derivative instruments are also used to provide downside protection or take advantage of specific market events like changing interest rates and credit spreads.
Solution for Current Environment
Currently, yields for traditional fixed income securities are at historically low levels while many investors are concerned about interest rate volatility and equity valuations. Combining rigorous bottom-up research in underfollowed fixed income segments with the opportunistic use of equities and alternatives enables the strategy to deliver attractive absolute and risk-adjusted returns with a high current yield in this challenging market environment.