OIM Bond Managers Earn Top Gun Ranking
OIM Corporate Core Plus ranked among Informa’s top 10 fixed-income performers in the first quarter
The OIM Corporate Core Plus strategy, managed by Leo Dierckman and Michael Richman, was named to the Informa Investment Solutions Plan Sponsor Network Top Guns list for the first quarter of 2021. For Corporate Core Plus, that marks its twelfth appearance in the Top Gun rankings since the end of 2016.
Informa’s quarterly ranking recognizes the top 10 performers—before fees—within various asset class peer groups. Among the Core Plus peer group, which includes 138 products across 105 firms, OIM Corporate Core Plus was ranked No. 6 based on one-year performance. In a separate peer category, Long Maturity, OIM Corporate Core Plus was ranked No. 4 out of 220 products across 113 firms based on one-year performance.
Through an extensive, bottom-up research process, the portfolio management team focuses on optimal bond selection of approximately 60% BB high-yield corporate bonds and 40% BBB corporate bonds. The team employs a tightly controlled duration discipline and closely manages all portfolio risk factors.
While this top-ranked strategy is only available to institutional investors, retail clients can access the team’s expertise through Oppenheimer Investment Advisers. To learn more about the Corporate Core Plus strategy, view the product profile.
Awards Criteria
© 2021 Oppenheimer Asset Management Inc. This commentary is intended for informational purposes only. The information and statistical data contained herein have been obtained from sources we believe to be reliable. Oppenheimer Investment Advisers (OIA) is a division of Oppenheimer Asset Management Inc. The opinions expressed are those of Oppenheimer Asset Management Inc. (“OAM”) and its affiliates and are subject to change without notice. No part of this commentary may be reproduced in any manner without the written permission of OAM or any of its affiliates. Any securities discussed should not be construed as a recommendation to buy or sell and there is no guarantee that these securities will be held for a client’s account nor should it be assumed that they were or will be profitable. Past performance does not guarantee future comparable results.
PSN Top Guns performance rankings are tabulated for thousands of strategies across 75 peer groups subdivided by increasingly rigorous screens and reported in ascending classes from 1-6 stars. Distinct rankings are created for Separate Accounts, Managed Accounts and Managed ETF products. OIM’s PSN Top Guns Products for 2Q included the OIM Corporate Core Plus.
PSN Informa Top Gun Awards: Managers eligible for the Top Gun Awards are categorized into one of six “star” categories; within those categories, managers are ranking according to the below criteria. All Belle Haven Strategies are currently classified as 2 star and above and subject to the below analysis. For more information on other categories or rankings, please see http://psn.informais.com/topguns/topguns.asp:
Criteria: The PSN universes were created using the information collected through the PSN investment manager questionnaire and use only gross of fee returns. Mutual fund and commingled fund products are not included in the universe. PSN Top Guns investment managers must claim that they are GIPS compliant. Products must have an R-Squared of 0.80 or greater relative to the style benchmark for a five year period. Moreover, products must have returns greater than the style benchmark for the three latest three-year rolling periods. At this point, the top ten performers for the latest 3 year period become the 4 STAR TOP GUNS. Products are then selected which have a standard deviation for the five year period equal or less than the median standard deviation for the peer group. The top ten performers for the latest 3 year period become the 5 STAR TOP GUNS. The top ten information ratios for the latest five-year period ending then become the 6 STAR TOP GUNS.
1-Star Category: Products with this rating were top ten performers within their respective universes, based on quarterly returns.
2-Star Category: These products were top ten performers within their respective universes, based on returns for the one-year period.
3-Star Category: These products were top ten performers within their respective universes, based on returns for the three-year period.
4-Star Category: Products with this rating must have an R-Squared of 0.80 or greater relative to the style benchmark for the recent five-year period. Moreover, products must have returns greater than the style benchmark for the three latest three-year rolling periods. The top ten returns for the latest three-year period then become the TOP GUNS.
5-Star Category: Products must have an R-Squared of 0.80 or greater relative to the style benchmark for the recent five-year period. Moreover, products must have returns greater than the style benchmark for the three latest three-year rolling periods. After that they select only the products which standard deviation for the five-year period is equal or less than the median standard deviation for the peer group. The top ten returns for the latest three-year period then become the TOP GUNS.
6-Star Category: Products must have an R-Squared of 0.80 or greater relative to the style benchmark for the recent five-year period. Moreover, products must have returns greater than the style benchmark for the three latest three-year rolling periods. After that they select only the products which standard deviation for the five-year period is equal or less than the median standard deviation for the peer group. The top ten information ratios for the latest five-year period then become the TOP GUNS.
Special Risks of Fixed Income Securities: there is a risk that the price of these securities will go down as interest rates rise. Another risk of fixed income securities is credit risk, which is the risk that an issuer of a bond will not be able to make principal and interest payments on time. Liquidity risk refers to the risk that investors won’t find an active market for a bond, potentially preventing them from buying or selling when they want and obtaining a certain price for the bond. Many investors buy bonds to hold them rather than to trade them, so the market for a particular bond or a small position in a bond may not be especially liquid and quoted prices for the same bond may differ.
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This material is not a recommendation as defined in Regulation Best Interest adopted by the Securities and Exchange Commission. It is provided to you after you have received Form CRS, Regulation Best Interest disclosure and other materials. 3632488.1