Highstreet Asset Management Inc.
Income Options with the Highstreet Dividend Income Fund

Bonds

Approach

Bond Philosophy

Highstreet Canadian Bond Fund’s strategy emphasizes quality while focusing on managing term and duration relative to the benchmark.  The core fixed-income style involves a managed duration approach supplemented by high-quality investment-grade credits with attractive yield spreads. In addition to the core holdings, the manager can add alternative fixed income asset classes such as high-yield bonds, Emerging Market bonds, municipal bonds and convertible debentures.

Portfolio Construction

The core bond portfolio is designed to be conservative and high quality, and represents the majority of the Fund’s assets.  The alternative portion of the Fund is capped at a maximum 30% weight, and is well diversified by asset class and number of securities.

Allowable Range Constraints
Core Investment Grade Bonds 70% to 100% Min. 25% Government
Cash 0% to 20%
Plus Alternative Income-Oriented Asset Classes 0% to 30% Max. 30%
Convertible Debentures 0% to 25%
High Yield Bonds 0% to 25%
Emerging Market Bonds, and 0% to 10%
Municipal Bonds 0% to 10%
Other asset classes (E.g. ETF's, etc.) 0% to 10%

Key Differentiators

The Highstreet Canadian Bond Fund provides broad diversification by sector, region, and instrument, helps it navigate through all interest rate environments.  Its flexibility and use of additional investment categories gives it greater maneuverability and choice which can:

  • Boost yield and income
  • Offer additional upside potential
  • Reap greater diversification benefits
  • Reduce interest rate sensitivity