By Canada Life Investment Management | March 13, 2024
On March 12, Mike Arno, Portfolio Manager and Senior Research Analyst, Brandywine Global Investment Management (BGIM) joined us to talk about the Canada Life Global Multi-Sector Bond Fund (also available as a segregated fund). He explored how this fund enables investors to access the broader global fixed income universe to help them better manage risk, diversify sources of income and enhance total returns.
The Canada Life Global Multi-Sector Bond Fund aims to provide investors with the upside potential of a non-traditional fixed income, while maintaining the defensive characteristics of core-like bond exposures.
The fund invests in fixed-income securities across sectors and countries. While traditional fixed income is important for stability, accessing the broader fixed income universe may help investors to better manage risk, diversify sources of income and enhance total returns.
During periods of market uncertainty, a fund that can flexibly manage a wider global fixed income opportunity set may be able to navigate changing market conditions more efficiently. By using an active application of safe-haven duration as both a source of return and an important risk management tool during periods of heightened volatility, this fund aims to produce attractive risk-adjusted returns throughout various interest rate environments.
BGIM’s investment philosophy is to use value-driven research and analysis to generate income over a full market cycle. They take a flexible, value-driven ‘3-D’ approach to fixed income:
- Dual approach: Pairs a top-down macroeconomic perspective with a deep fundamental analysis to help allocate capital more efficiently across countries, sectors and securities.
- Dynamic rotation: Proactively manages interest rate and credit risks by adapting exposures to align with the market environment. This includes rotating across a wider global fixed income opportunity set, such as government and corporate fixed income securities, emerging market debt, structured credit, preferred shares, common shares and floating-rate debt.
- Downside risk management: Responds actively to the macro environment, using various tools to minimize volatility such as safe-haven duration, portfolio hedges and quality rotation.
By combining sector and security research with macroeconomic analysis, BGIM looks to add value over business cycles, minimize negative volatility and reduce correlations to this volatility.
BGIM believes in the power of value investing. They take a team approach to managing funds with no star manager. Each portfolio manager brings specific expertise to the team with the goal of more consistent outcomes over the long-term. Acting with conviction and discipline, they look beyond short-term, conventional thinking to rigorously pursue long-term value.
BGIM cultivates and maintains a broad global perspective, which deepens their investment insights and informs their decisions. Their global footprint provides flexibility to deliver service and solutions designed to meet the needs of diverse and sophisticated clients worldwide.
Talk to your Canada Life wealth wholesaler for more information.
Access the expertise BGIM brings to the Canada Life funds with:
- Mutual fund: Canada Life Global Multi-Sector Bond
- Segregated fund: Global Multi-Sector Bund
This series is for advisors only. The Canada Life Portfolio Manager Connect Series is intended to focus on mutual funds and segregated funds available to individual customers. The funds/mandates discussed may not be available through a group variable insurance contract, or where they are available may differ from the funds described in this presentation.
These funds are available through a segregated funds policy issued by The Canada Life Assurance Company or as a mutual fund managed by Canada Life Investment Management Ltd. offered exclusively through Quadrus Investment Services Ltd., IPC Investment Corporation and IPC Securities Corporation. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently, and past performance may not be repeated. A description of the key features of the segregated fund policy is contained in the information folder. Any amount allocated to a segregated fund is invested at the risk of the policyowner and may increase or decrease in value.
Canada Life Investment Management and design, and Canada Life and design are trademarks of The Canada Life Assurance Company.