Process & Strategies

The Channel Investment Partners Approach

Channel Investment Partners (CIP) aims to  differentiate itself from most other advisors because we prioritize a market-based, relative value approach to active investment management. What was once seen as equal importance to portfolio management and fundamental credit research, trading at most firms has been relegated to an execution role due to lack of understanding of its importance in fixed income investments and an effort to reduce costs. CIP has an efficient Portfolio Manager/Trader model that forces relative value decisions to be front and center when discussing fundamental credit analysis with theCredit Research Analyst.  We subscribe to the old mantra, “No bad bond, just bad price.”

The PM/Traders use a top down approach while the Analysts use a bottom up approach. The meaningful conversation happens in the middle around the security’s role in the portfolio, credit worthiness, expectations, liquidity, and valuation. This is important because it defines responsibilities and reduces biases while aligning views toward timely, specific actions upon market moving events. Speed of decision making and execution is a strength of Channel Investment Partners with the ability to take short and long-term positions. We will always believe well executed active fixed income management offers great value to investors in managing for risk adjusted returns versus appropriate benchmarks and passive investment products.