Seeking Capital Preservation and Income

The Intermediate Taxable Fixed Income strategy seeks protection of principal value, portfolio income, and incremental returns beyond those achieved by a passively laddered fixed income approach. Our active monitoring of market trends and rigorous credit analysis helps us stay responsive to changes and opportunities in the market.

This strategy is designed for investors seeking a high quality, intermediate-duration fixed income allocation with no special consideration for the taxable treatment of portfolio income. The strategy generally holds 15-40 individual bonds.

How We Manage the Portfolio

Intermediate-Term and Investment Grade

  • Emphasis on intermediate portion of yield curve
  • Maturities generally range from
    1-10 years
  • Issues rated from AAA to BBB- by major ratings agencies

Actively Manage Term Structure and Credit Allocation

  • Protect principal value, pursue incremental return
  • Strategic and tactical positioning
  • Seek opportunities at
    sector/security levels

Knowledge and Discipline Preserves Wealth

  • Bottom-up, fundamental
    credit analysis
  • "Multi-asset perspective" benefits
  • Scenario analysis informs
    strategy actions

Insights

Trends 2024

Davidson Investment Advisors provides insight into exciting, disruptive or otherwise new development...

Perspective & Commentary

  • Exploring the Risks of Top-Heavy Markets

    Concentration has become a defining feature of today's financial markets, with just a handful of companies surging in both value and influence, propelling the market to all-time highs.
    Read More

  • Now Might Be the Time to Extend Duration on Cash Holdings

    Generally, risk is thought of in terms of volatility or the possibility of loss. However, we often remind ourselves that opportunity cost is another potential hinderance to long-term investment result...
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  • Q3 2024 Commentary

    In Like a Bear, Out Like a Bull – Equity markets open the third quarter on a severe losing streak but finished at, or near, all-time highs.
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  • Q2 2024 Commentary

    The narrow, technology-driven market rally continues ... but a market where few gain and most tread water - or begin to sink - is less than ideal.
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  • Q1 2024 Commentary

    Despite higher interest rates, the economy and labor markets are doing better than most economists anticipated.
    Read More