Pioneer Opportunistic Core is a multi-sector strategy that invests in USD intermediate-term bonds with the ability to invest up to 20% in below-investment-grade debt. It allocates among three primary market sectors: mortgage-backed securities, investment-grade corporates, and government bonds. The strategy adds value primarily through asset allocation and security selection, as well as interest rate positioning.
A strong fixed income investment culture focused on sound, fundamental research drives the management of the Pioneer Opportunistic Core Strategy. Key features of the strategy include:
- Value Approach: Assesses relative value across a broad range of US-dollar fixed income sectors and seeks strong total returns through investments in mispriced sectors and securities
- Active, Dynamic Asset Allocation: Overweights sectors strategically and industries that offer attractive relative value and work together to help protect against downside risk
- Diversification1 and Lower Correlations: Invests across a broad range of US-dollar fixed income sectors within and outside of the Strategy's benchmark, to expand the opportunity set and increase the potential for higher returns. At the same time, the Strategy diversifies risk through investment in asset classes, such as non-investment grade (up to 20%) and floating rate sectors, that can have lower correlations with US investment grade fixed income sectors.