Skip Navigation

Investments

Fixed Income

Sterling Capital manages institutional assets for a diverse group of clients, including corporate, public, insurance, non-profits, and health care investment pools.

business people walking and talking

Overview

Our primary goals are long-term, consistent investment performance and exceptional client service. We achieve these goals by maintaining a consistent process for managing risk and a complete focus on developing strong client relationships.

Sterling Capital's Fixed Income team strives to deliver consistent, superior risk-adjusted performance over time through a multi-faceted approach to investing. Based on our team's forecast for the broader economy and specific market sectors, we utilize a variety of strategic and tactical levers that allow us to construct portfolios for any type of market environment.

Due to the asymmetric risk/return profile of bonds, we believe in the importance of quantifying risk prior to assessing the potential return of any investment. We analyze risk on both a stand-alone basis and within the portfolio context and firmly believe that when it comes to risk, “if you cannot measure it, you cannot manage it.”

Fixed Income

Insights

05.07.2024 • Charles Wittmann, CFA®

The Lead - "Dividends for Offense and Defense"

- What could be a catalyst for dividend yielding equities in 2024? - We discuss three considerations: inexpensive valuations relative to history; valuations for dividend yield versus growth; and how both have a history of performing well after positive economic surprises. - Why do dividend payers perform well as the economy surprises to the upside? We provide several possible reasons.

04.04.2024 • Charles Wittmann, CFA®

The Lead - "Seeking Advantaged Economies of Scale"

- One important advantage we seek in large capitalization stocks is having dominant market shares that provide economies of scale. - Economies of scale may make a company more profitable and earn higher returns on its capital than its competitors. - We believe it is possible to identify companies that gain scale, market share, and returns at the expense of competitors. - As we have stated for close to two decades as part of our investment philosophy, we believe size usually translates into cost advantages in production, marketing, and research and development expenditures that can be re-invested back into the business, making such advantages sustainable.

03.05.2024 • Charles Wittmann, CFA®

The Lead - "Advantaged Market Share"

- What makes an advantaged company? - In our view, one notable characteristic of an advantaged company is growing its market share. - Simply put, we believe companies with greater market share are more profitable. - We seek to field a portfolio of advantaged companies with strong and potentially growing market shares to position our clients to win.

03.01.2024

4Q23 Equity Income SMA Review and Outlook

The 4Q23 Equity Income SMA Review and Outlook reviews performance, holdings, and dividend growth within the strategy.

preview of document

03.01.2024 • Shane Burke

The Federal Reserve During an Election Year - March 2024

2024 is expected to be one of the biggest election years in history, with more than 60 countries representing approximately half of the world’s population heading to the polls. The year will include multi-day legislative elections in India (the largest population in the world), Indonesia’s presidential election (the world’s largest single-day vote), and the globally-anticipated U.S. presidential election.

02.06.2024 • Charles Wittmann, CFA®

The Lead - "Actively Aware"

- By utilizing our investment process and our investment team, we believe we can build portfolios different from the benchmark and provide an opportunity to generate returns above the benchmark over time. - Ironically, many passive indexes make active bets themselves. In 2023, the S&P 500 Dividend Aristocrats suffered its worst performance relative to the S&P 500® Index since 1999. - We’ve believed for over 20 years that portfolio managers with material amounts of their net worth invested alongside clients incentivizes portfolio diversification and active adjustments, rather than a static index where there is no vested interest. Our mission is to generate above-average returns with below-average risk over time.

Scroll Up