Fixed Income Management

Fixed Income Management

Novare Capital specializes in managing fixed income portfolios for clients seeking a reliable source of income. The objective of our fixed income approach is to ensure that a bond portfolio is a source of income, with capital preservation as the primary goal. As a result, we invest in high quality municipal, corporate, treasury and government agency bonds and notes. Novare Capital strives for liquidity and safety in our bond investments.

Fixed Income Approach
The first step in our fixed income process is to review each client’s tax situation and investment risk tolerance. This evaluation will lead us to a specific sector or sectors for investment. The tax bracket will guide us toward taxable or tax-free bonds, while the risk profile will determine the credit risk and maturity risk.

Portfolio Development and Management
Novare Capital uses a top-down approach to fixed income management. Here is an overview of our team’s process for the development and management of your custom portfolio:

  • Review the major macroeconomic forces that influence interest rates to determine our forecast
  • Evaluate the interest rate “Yield Curve” to determine the maturities to best invest in for the future
  • Proactively monitor the different sectors to determine if any fundamental changes have occurred

Sector Evaluation
We are opportunistic in our review of the following market sectors:

  • U.S. Treasury Securities
  • U.S. Agency Securities
  • Corporate Securities
  • Mortgage Backed Securities
  • Asset Backed Securities
  • Municipal (Tax-Free) Securities

Tax Efficiency
Novare Capital’s philosophy takes advantage of sector opportunities as they occur, not just year-end. This proactive approach can make a notable difference in your bottom line.