Tuesday, June 11, 2013

AIM Fixed Income Fund as of 6/10/2013




The AIM Fixed Income Fund has been an above benchmark performer since its inception in 2006. The current 2013 YTD returns are 4 bps above the benchmark (Barclays Total US Bond Market - Aggregate).

As the AIM graduates know, management of the fund is particularly challenging during the students' first semester in the program. The current fixed income environment is quite challenging with the hint of 'tapering' and the movement of rates over the past month (+60 bps).

The following information is current as of 6/10/2013 regarding duration (neutral) and holdings (tilt toward lower investment grade corporate bonds). If you have any thoughts about the portfolio and what tactical changes you recommend, please post them in the comment section. The students in the Class of 2014, who are presently at their summer internships, are seeking your inputs. Thanks.


AIM Fixed Income Fund as of 6/10/2013
(click on images to enlarge)






2 comments:

  1. Tapering is here. Watch Hilsenrath's comments and FOMC minutes for clues.

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  2. Nearly two-thirds of U.S. economists think the Federal Reserve will start to retreat from its massive bond-buying strategy in the waning months of 2013, according to a poll. Some 35.1% of those who expect the Fed to reduce bond purchases believe the bank will begin to pull back in September, the Blue Chip Economic Indicators found. Rates will continue to move higher - shorter duration seems logical.

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