Income Opportunity Strategy

Income Opportunity

Objective
Designed to achieve an attractive rate of total return while maintaining a low-volatility profile.

Strategy Overview

  • Bottom-up, multi-asset strategy focused on providing investors attractive returns by balancing the need for income, capital appreciation and downside risk through security selection and sector rotation.
  • Flexibility to invest across multiple bond sectors, high quality hybrid and equity income producing securities to adapt to changes throughout the economic cycle.
  • Aligns our bottom-up fundamental security selection with our top down asset allocation views in an effort to find high quality opportunities and navigate market risks.
  • Strict investment discipline focused on US securities and a 60% strategic exposure to fixed income, including a minimum average quality of investment grade.
  • Designed for investors looking for the potential for conservative income, downside risk mitigation or tactical alpha allocation.

Vehicles and Minimums

Separately Managed $25M
Other Pooled Vehicles $5M

Key Characteristics
as of 06/30/21

Assets Under Management $1.96B
Inception Date 01/01/03
Holdings 143
Related Materials Learn the Fund Story

Performance (%)
as of 06/30/2021

QTDYTD1-Yr Annualized3-Yrs Annualized5-Yrs Annualized7 Year10-Yrs AnnualizedSince Inception
Income Opportunity Strategy Gross of Fees5.008.1321.7211.569.327.438.769.37
Income Opportunity Strategy Net of Fees4.847.8321.0910.838.546.648.018.72
40% / 60% Blended Benchmark*4.494.9114.8110.968.967.768.107.17
25% / 25% / 25% / 25% Blended Benchmark**5.947.8015.669.877.387.187.617.40

*Blended Benchmark is comprised of 40% S&P 500, 60% Bloomberg Barclay’s Aggregate Bond
**Blended Benchmark is comprised of 25% S&P 500, 25% NAREIT, 25% 10-Year Treasury, 25% 3-Month T-Bill

See disclosure

Why Westwood
We have applied the same investment philosophy and core principles since our founding in 1983. Our competitive advantage is centered around how we manage money and how we align our business with our clients’ success.

  • Differentiated Multi-Asset Approach: Bottom-up investment process emphasizes high quality and income-producing securities with the flexibility to navigate changing market environments.
  • Emphasis on Downside Risk: The qualitative and quantitative assessment of absolute downside risk is paramount to outperforming over the long term and ensuring the reward justifies our risk when we invest.
  • Team-Based Approach: Both our Analysts and Portfolio Team maintain a collaborative environment to ensure consistency of our approach over the long term to overcome individual biases during both idea generation and vetting as well as portfolio construction.
  • Our Culture: Employee ownership is a highly valuable component to creating a culture of ownership while driving superior performance.

Income Opportunity Asset Allocation

As of Sept. 30, 2020. Please note that each column may not add to 100% due to rounding. Allocations provided are based on a representative account that does not have any client-imposed restrictions. The representative account was selected by the firm because it was deemed to best represent this investment approach.

Income Opportunity Strategy Portfolio Managers

Adrian Helfert
Senior Vice President, Chief Investment Officer, Multi-Asset
Scott Barnard, CFA
Vice President, Portfolio Manager

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Westwood Funds are distributed by SEI Investments Distribution Co. (SIDCO).

Check the background of this firm.