Pioneer Multi-Sector Fixed Income is an active, value-driven multi-sector fixed income strategy that invests across a broad range of global fixed income asset classes. This approach can produce higher returns than a US core investment grade strategy while working to limit volatility, due to the diversification1 benefits of less correlated non-investment grade and global fixed income sectors. Asset allocation and security selection are primary alpha sources, with contributions from interest rate and currency factors.
The Strategy is managed within a strong fixed income investment culture focused on sound, fundamental research. Key features of the Pioneer Multi-Sector Fixed Income Strategy include:
- Value Approach: Assesses relative value across a broad range of global fixed income sectors, seeking strong total returns by investing in mispriced sectors and securities
- Broad Diversification: Expands opportunity set by investing in benchmark and non-benchmark sectors, increasing potential for higher returns, while diversifying risk through lower correlations of non-investment grade and global sectors with US investment grade sectors
- Active, Dynamic Asset Allocation: Overweights sectors strategically that offer attractive relative value, with particular focus on credit sectors where Pioneer has core competency
- Downside Risk Focus: Strives to mitigate loss by avoiding at-risk sectors and securities, and aims to avoid principal loss in rising interest rate environments through active asset allocation to reduce exposure to the most interest rate-sensitive sectors.
- Experienced, Stable Team and Length of Track Record: Average over 28 years of experience among the portfolio managers and averages over 20 years of experience among the fixed income team
- There have been no portfolio manager departures since the Strategy’s inception in 1999, with two of the three managers overseeing the Strategy since its inception.