We launched our first fixed income product in 1984 in the form of the Limited Term Municipal Fund — a laddered portfolio of municipal bonds from throughout the country. Between then and 1995, we began a series of similar, actively managed laddered portfolios, both taxable and tax-free, that can serve as core components of a diversified portfolio. From the Intermediate Municipal Strategy to the Limited Term Income Strategy, each of these conservative portfolios has followed the same tested strategy since inception, which are defined by their flexibility.
We seek the best relative value across a broad array of asset classes. Our strategies are typically simple and straightforward. We don’t reach for yield; we conduct rigorous credit research and invest only when the risk/reward tradeoff appears tilted decidedly in the shareholder’s favor. Our portfolios are run on a cash-only basis, meaning that we don’t employ leverage or complex trading tactics to try to grab return.
Thornburg’s structure as a global manager means that each of our portfolio managers and analysts works across a broad array of geographies, sectors, asset classes, and security types, and is conducive to a free exchange of ideas in the pursuit of the best relative-value opportunities.