Fixed Income Solutions
Overview of Our Fixed Income Investment Approach & Philosophy
At U.S. Bancorp Asset Management, we deliver fixed income strategies designed to help institutions meet their objectives with confidence and discipline. Our approach is grounded in a deep understanding of each client’s investment policies, risk parameters, and liquidity needs, which guides how we structure and manage every portfolio.
Through customized Separately Managed Accounts, we build tailored portfolios focused on capital preservation, liquidity, and return aligned with risk. Each portfolio is individually constructed and owned by the client, allowing precise alignment with investment guidelines, cash‑flow requirements, and long‑term objectives.
Our fixed income capabilities span taxable, tax‑efficient, tax‑exempt, and government strategies, supporting a range of needs from short‑duration liquidity management to long‑term core allocations. Backed by more than four decades of experience, our disciplined process combines active portfolio management and institutional‑scale research to help clients achieve their goals.
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U.S. Bancorp Asset Management delivers institutional‑grade fixed income solutions designed to help clients safeguard capital, maintain liquidity, and achieve consistent, risk‑aligned performance. Through fully customized Separately Managed Accounts, we build portfolios that reflect each client’s unique policy requirements, cash‑flow needs, and risk profile—paired with active sector insights and disciplined credit research to capture opportunities in changing markets. Our breadth of taxable, tax‑efficient, tax‑exempt, and government strategies enables institutions to implement the precise level of flexibility, stability, and return potential they need to meet their mission and navigate evolving conditions with confidence.
Cash & Enhanced Cash
Our Cash & Enhanced Cash solutions are designed for institutions that require ready access to capital while still seeking incremental return opportunities within very short time horizons. These portfolios emphasize high‑quality, highly liquid securities and use careful selection across maturities, sectors, and issuers to manage risk while enhancing yield relative to traditional cash holdings.
They are well‑suited for organizations with operational cash, near‑term obligations, or seasonal liquidity needs—including Higher Eds, Healthcare Systems, Not-for-Profits, and Corporations. By maintaining stability and prioritizing liquidity first, these strategies help clients support day‑to‑day funding while improving the productivity of short‑term balances.
Short to Intermediate Duration
Our Short to Intermediate Duration strategies are built for institutions seeking an attractive balance between capital preservation and return potential over a modest time horizon. These portfolios draw from a broad range of investment‑grade sectors and aim to outperform high‑quality benchmarks with lower volatility, using active sector rotation and disciplined credit selection to capture relative‑value opportunities.
They are ideal for organizations managing reserve funds, stabilization accounts, or multi‑year budgetary needs—where extending duration modestly can improve income without taking on undue risk. Investors who want flexibility, diversification, and policy‑aligned structure often use this strategy as a bridge between liquidity portfolios and long‑term core allocations.
Core Aggregate
For institutions with a longer investment horizon and a desire for total return that balances income generation with capital appreciation, our Core Aggregate strategies provide broad exposure across the U.S. investment‑grade fixed income universe. These portfolios seek to outperform their benchmarks across full market cycles by leveraging strategic sector allocation, rigorous credit research, and tight risk controls.
Core Aggregate solutions are used by institutions such as endowments, foundations and corporate investors aiming to maintain long‑term purchasing power while managing volatility. With diversified exposure and disciplined active management, these strategies anchor the fixed income portion of a multi‑asset portfolio and support long‑term financial objectives.
Credit Research Group
The Credit Research Group performs fundamental credit research and analysis, prepares and presents formal credit reviews, makes recommendations for inclusion on various approved lists, and conducts regular monitoring of issuers. The Credit Research Group supports two formal credit committees—one for taxable/corporate securities (the “Taxable Credit Committee”), and one for public and municipal securities (the “Public Finance Credit Committee”). The primary output of these committees is a series of approved lists. These committees are responsible for approving additions and deletions of issuers and securities to the relevant approved lists, and include representatives from the Credit Research Group, USBAM's CIO, and risk management personnel.
We employ a rigorous, market-driven approach to credit analysis that evaluates both the quantitative and qualitative aspects of issuers that we recommend for investments. Our credit research seeks to identify issuers that meet our credit quality standards and that offer incremental value with minimal credit risk, allowing us to safely increase yield. Our robust internal credit review and monitoring procedures are a critical element of the security selection process and allocations to individual issuers are limited to help ensure broad diversification.
Fixed Income Capabilities
- Deep Understanding of Cash Flows
- Sector Emphasis & Weighting
- Credit Analysis
- Yield Curve Placement
- Issuer Selection
- Duration Management
- Active Management
- In-House & External Market Research