Fixed income portfolio construction
Course
In
Description
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Type
Course
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Start date
Different dates available
Background
The recent good performance of Fixed Income Markets combined with the poor performance in general of Equity markets has resulted in substantially increased interest in Fixed Income Portfolios.
This one-day course provides a guide to Fixed Income Portfolio Construction for those with no previous experience. It does assume a good basic knowledge of fixed income investments.
Delegates
Trainee Fund Managers
Brokers
Private Bankers
Institutional Salespeople
Experienced Fund Managers switching to Fixed Income
Facilities
Location
Start date
Start date
Reviews
Subjects
- Risk
- Monitoring
- Market
- Fixed Income
- Investment
- Construction
- Private
- IT risk
- Fund Manager
- Construction Training
Course programme
Overview and Definition of the Fund Parameters
-Benchmark Selection and the Varieties Available
-Target Return Relative to the Benchmark
-Investment Horizon
-Permitted Investment Range by Type of Product
-Selection Universe
Investment Process
Determine the Key Drivers of the Bond Markets over the Investment Horizon
Example as to How the Market View is translated into Bond Yield Forecasts concerning:
Yield Curves
Regional Variations
Investment Horizons
Compare Investment View to Market Expectations
Alpha Generation: What to do to generate Fund Manager Value:
Duration
Market Selection
Yield Curve Slope and Convexity. What Parts will generate the most Return
Asset Allocation re, for example:
Credit
Emerging Markets
High Yield
Currency Hedging and Overlay Considerations
Tools available: Forwards, Futures, Options, Loans
Swaps
Risks, Costs and Time Horizon of Each
Minimise Risk or Take on Additional Active Risk?
Portfolio Construction
Build up a Portfolio to Implement the Views Adopted
Determine:
Active Interest Rate Exposure (Duration) by Country
And at a Total Portfolio Level
Active Yield Curve Risk by Country
Allocation to Non Government Bonds
Currency Exposure
Security Selection Considerations
Managing Risk
Sources of Risk
Measuring and monitoring Risk: Tracking Error and Value at Risk (VaR)
Todays Date: 8 September 2017
Duration 1 day
Fixed income portfolio construction