SLC Management and its affiliated investment managers will offer their alternative investment strategies to the U.S. high net worth market.
Helping investors meet their current cash flow and future capital appreciation goals.
Unlimited access to our bond offerings and dedicated, personal support
Customized portfolios selected and managed by professional managers
Partnering with select institutional managers
Expert advice, ongoing trade support, and transparent pricing
An emphasis on solid investment disciplines and specific asset classes
April 15, 2024
April 03, 2024
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Investment Objective and Strategy
AAM’s Core Plus Strategy is an unconstrained strategy that seeks above average income by investing in traditional debt instruments and/or alternative income producing assets, including but not limited to traditional equities, business development companies (BDCs), real estate investment trusts (REITs), exchange-traded funds (ETFs), master limited partnerships (MLPs), and closed-end funds (CEFs) that offer compelling value and a high level of income.
Investment Process
Disciplined. Research-based. Focused on finding value while managing risk.
AAM’s Core Plus Strategy may invest up to 100% in traditional debt or up to 100% in alternative income producing assets depending on the market cycle. The portfolio management team will determine the appropriate asset allocation and duration target based on the economic cycle and outlook across sectors.
To be considered for inclusion in the portfolio:
AAM utilizes a four-step process for portfolio construction:
Under normal conditions, AAM will seek to invest strategy assets in accordance with the investment objectives as stated above. Unusual market conditions, special instructions and/or account restrictions may cause individual accounts to exhibit characteristics outside of the stated objectives and may impact our ability to achieve stated objectives.
See the ADV for Advisors Asset Management, Inc. for more information about the firm, fees, strategies and related risks. The results and portfolios for individual portfolios may vary. Investment returns and principal value will fluctuate and there can be no assurance that any strategy’s objective will be achieved.
The Bloomberg U.S. Aggregate Bond Index represents securities that are investment grade, taxable, and dollar denominated. The index covers the U.S. investment grade fixed rate bond market, with index components for government and corporate securities, mortgage pass-through securities, and asset-backed securities.
Principal Risks: Fixed income securities are subject to certain risks including, but not limited to: Interest rate risk is the danger that changes in interest rates may cause a decline in the market value of an investment. Credit risk is the risk that the bond issuer may not be able to pay interest or return principal due to changes in the financial condition of the issuer, borrower, counterparty, or underlying collateral. Market risk, or systematic risk, is the risk that results from the characteristic behavior of an entire market or asset class. Below investment grade securities, also known as high yield or junk securities, may be considered speculative and may be subject to greater market and credit risks. Accordingly, the risk of default may be higher than with investment grade securities. In addition, these securities may be more sensitive to interest rate changes and may be more likely to make early returns of principal. AAA, AA, A, and BBB are investment grade ratings; BB, B, CCC/CC/C and D are below-investment grade ratings. Prepayment risk is the risk that debt issuers may repay or refinance their loans or obligations earlier than anticipated. Duration risk measures the sensitivity of a bond’s price to a one percent change in interest rates. The higher a bond’s duration, the greater its sensitivity to interest rates changes.
Alternative Income Producing investments are subject to certain risks including but limited to: An investment in common stocks should be made with an understanding of the various risks of owning common stock, such as an economic recession and the possible deterioration of either the financial condition of the issuers of the equity securities or the general condition of the stock market. An issuer of a security may be unwilling or unable to pay income on a security. A company’s stock price may move up or down depending on various market conditions. BDC portfolios are relatively illiquid and tend to have high credit risk, or the risk of default, leading to increased volatility and a greater likelihood of large price declines during a market downturn. REITs are particularly vulnerable to the risks of the real estate industry including declines in real estate values, changes in interest rates, economic downturns, overbuilding and changes in zoning laws and government regulations. MLPs are generally focused on a single industry or industry segment, so have industry risk and concentrated exposure risk. Closed-end funds are actively managed investment companies and are subject to various risks, including management’s ability to meet the fund’s investment objective, risks associated with the use of leverage and borrowing, risks associated with management of the fund’s portfolio when securities are redeemed or sold, and risks associated with shares of the fund trading at a discount or premium to the fund’s net asset value. CRN: 2022-1128-10482 R Link 7436
Brian Gilbert
SVP,Portfolio Manager
Years of experience: 25-plus
Fixed Income
Income-Producing
Equity
Chris Genovese
Managing Director, Asset Management Solutions
Direct: 631.390.2242
Toll Free: 888.455.2663 ext. 1
Email: SMAHelp@aamlive.com