Expertise and Experience to Tackle a Complex Market
The municipal bond market can overwhelm investors, with over 50,000 issuers and more than a million individual securities. We have built and refined our investment process over decades to tackle this complexity, seek to manage risk, and uncover opportunities for outperformance
Benefits
Managed Risk: Diversified Portfolio Backed by Quality Issuers
Compelling Risk-Adjusted Returns and After-Tax Income
Active and Efficient Investment Process
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Principles of Investing
Leverage Size and Scale to Move Swiftly and Create Cost Efficiencies
The differentiated nature of the municipal bond market presents opportunities to managers with experience and scale due to inefficiencies that continue to persist.
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Effective Spread for Fixed Rate Municipal Securities
Help Improve Risk-Adjusted Returns by Integrating a High-Quality Foundation
High quality bonds have historically shown to improve risk-adjusted returns over time, especially during times of market stress.
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Improvements in Sharpe Ratio Driven by High Quality
Source: eVestment Analytics, Northern Trust. As of June 2023. Bear markets lasting less than 3 months are not included.
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How it Works
Establish Client Goals and Risk Tolerance
Select the benchmark and mandate type to match specific rate sensitivity and volatility objectives.
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How it Works
Select Bonds Based on Comprehensive, Proprietary Research
Analyze credit, yield curve, sector, interest-rate and economic factors. Select issuers based on management skills, finances, debt levels and policies.
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How it Works
Active Management Balances Risk and Return
Assess relative value to build a portfolio designed to achieve strategy objectives.
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Who it's for
Investors Seeking to Preserve Principal and Receive Tax-Free Income*
Our process seeks to deliver total return with tax free yield in a risk‑controlled approach.
Investors Seeking an Experienced Team
Decades of municipal‑bond investing gives us insights into risks and opportunities.
Investors Seeking to Manage Risk
Diversification across the municipal bond investment universe that seeks to deliver consistent total returns over full market cycles.
Portfolio
Select a Strategy
Strategy Name
eVestment Universe
Benchmark
Inception Date
Investment Vehicles Available
Team Expertise
We measure success as achieving investor outcomes and delivering an exceptional client experience.
U.S. investment grade fixed income gained 2% on cooling inflation and comments from the Federal Reserve. Scheduled economic indicators in China expected to show disinflation and weak trade.
The Fed extended its pause, but emphasized that the potential for future rate hikes will depend on subsequent data. Head of Global Macro for Global Fixed Income Antulio Bomfim, Ph.D., examines what it means for investors.
Beyond the human tragedy unfolding in Israel, we acknowledge the risk of escalation in the region and what it could mean for oil prices. Chief Investment Strategist for EMEA and APAC Wouter Sturkenboom, CFA, analyzes why the potential spread of war could strain an already tight oil market and damage a vulnerable global economy.
Interested in learning more about our investment strategies?
*This information is general in nature and should not be construed as tax advice. Please consult a tax advisor or professional as to how this information may affect your particular circumstance.
All securities investing and trading activities risk the loss of capital. Each portfolio is subject to substantial risks including market risks, strategy risks, advisor risk, and risks with respect to its investment in other structures. There can be no assurance that any portfolio investment objectives will be achieved, or that any investment will achieve profits or avoid incurring substantial losses. No investment strategy or risk management technique can guarantee returns or eliminate risk in any market environment. Risk controls and models do not promise any level of performance or guarantee against loss of principal. Any discussion of risk management is intended to describe NTAM’s efforts to monitor and manage risk but does not imply low risk. This information is general in nature and should not be construed as tax advice. Please consult a tax advisor or professional as to how this information may affect your particular circumstance.
Not FDIC Insured | May Lose Value | No Bank Guarantee
Northern Trust Asset Management is composed of Northern Trust Investments, Inc., Northern Trust Global Investments Limited, Northern Trust Fund Managers (Ireland) Limited, Northern Trust Global Investments Japan, K.K., NT Global Advisors, Inc., 50 South Capital Advisors, LLC, Northern Trust Asset Management Australia Pty Ltd, and investment personnel of The Northern Trust Company of Hong Kong Limited and The Northern Trust Company.