|
Enhanced Cash
Product Description
An actively-managed portfolio constructed using the full range of high quality, domestic, short-maturity securities including U.S. Treasuries, Federal Agencies, asset-backed securities, corporates, and cash equivalents. The portfolio is designed to extract the term and liquidity premium that is inherent in the short-maturity yield curve. Portfolio duration is typically 9-15 months.
Objective
Seeks to outperform the Merrill Lynch 1 Year Treasury Bill Index or equivalent by 35 basis points over full market cycles, with a tracking error of approximately 35 basis points.
| Target Return: |
Exceed the benchmark by 35 basis points,
measured over a 2 year period |
Projected Tracking
Error: |
35 basis points |
Benchmark: |
ML 1-year T-Note |
Average Credit Quality: |
AAA |
Duration: |
9–15 months |
Risk Management
Portfolio risk is systematically measured and budgeted across all portfolio decisions (credit, yield curve, duration, liquidity, etc.) based on our forecast confidence, return and risk expectations, and our experience. No single decision dominates the contribution to risk or return. To maintain liquidity, we invest in the deepest and most liquid sectors of the short-maturity fixed income markets.
Factsheet
|
Contact
us for more information |
This requires the use of Adobe Acrobat Reader.
This publication is provided by Brown Brothers Harriman & Co. and its subsidiaries (“BBH”) to recipients, who are classified as Professional Clients and Eligible Counterparties if in the European Economic Area (“EEA”), solely for informational purposes. This does not constitute legal, tax or investment advice and is not intended as an offer to sell or a solicitation to buy securities or investment products. Any reference to tax matters is not intended to be used, and may not be used, for purposes of avoiding penalties under the U.S. Internal Revenue Code or for promotion, marketing or recommendation to third parties. This information has been obtained from sources believed to be reliable that are available upon request. The views expressed are those of BBH and any opinions expressed are subject to change without notice. Unauthorized use or distribution without the prior written permission of BBH is prohibited. This publication is approved for distribution in member states of the EEA by Brown Brothers Harriman Ltd. and/or Brown Brothers Harriman Investor Services Limited, both authorized and regulated by the Financial Services Authority. BBH is a service mark of Brown Brothers Harriman & Co., registered in the United States and other countries. © Brown Brothers Harriman & Co. 2011. All rights reserved. |
Copyright ©2008 Brown Brothers Harriman & Co.
|
