Liontrust Responsible Capitalism Report 2024 - Flipbook - Page 107
GLOBAL FIXED INCOME TEAM
INVESTMENT PHILOSOPHY
TEAM FACTS
The team believes fixed income markets are inefficient and
that there are myriad ways of adding value to investors’
portfolios. These market inefficiencies are caused by many
market protagonists who are not price sensitive, ranging
from the macroeconomic distortions caused by central banks
to the idiosyncratic scenarios when companies need to raise
debt finance and price accordingly.
The team’s investment process is designed to take advantage
of these inefficiencies through a thorough understanding of
the economic environment and detailed bottom up bond
issuer analysis, which includes the assessment of ESG factors
of issuers. The focus is on core, developed market, fixed
income investments.
Team manages approximately 1% of Liontrust’s total AuMA (as
at the end of December 2023)
Phil Milburn and Donald Philips head this team of four
The team’s investment process has been in place since 2018
when the funds were launched
MORE INFORMATION
Available at: https://www.liontrust.co.uk/fundmanagers/
globalfixedincome
The team believes that managing liquidity in bond funds is
paramount and, therefore, has a strong preference for large,
liquid bonds issued by listed entities.
The team seeks good
expensive debt in good
analysis must always be
value. The timing of any
optimise returns.
investments rather than buying
companies. This means market
coupled with an examination of
investment should be finessed to
The team examines the governance practices of its issuers,
partly to ensure that there is alignment between owners and
managers, and to see if the issuer operates with responsible
environmental and social practices to ensure alignment with
all stakeholders.
As debt investors, the team cannot vote proxies, like equity
investors, but can engage issuers on ESG-related factors and
other material exposures.
Responsible Capitalism Report 2023 - 107