Income strategies

BT Investment Management offers an extensive range of income investments including cash, enhanced cash, active fixed interest, enhanced fixed interest, credit and high yield portfolios. BT’s Income Strategies team has access to comprehensive resources including in-house teams in economics, Australian equities, property, quantitative analysis and alternative investments, and externally through the resources and expertise of our alliance partners.

BT IM’s Income Strategies team utilise disciplined investment processes which capture benefits for client portfolios. In addition, our strong risk management systems ensure security and stability.

A brief description of our income and cash capabilities follows.

Managed cash

BT IM’s managed cash portfolio is actively managed and consists of short-term money market securities of strong credit quality. The main contributors to performance are from positioning along the bank bill yield curve and asset allocation between bank bills, corporate and asset backed securities.

Enhanced cash

BT IM’s actively managed enhanced cash portfolio seeks to add the majority of excess return through active sector and security selection rather than duration management. The fund invests in a combination of short-term money market instruments and floating rate notes with typically a large weighting to structured finance securities.

Cash Plus

BT IM’s Cash Plus portfolio is an actively managed, diversified mix of domestic and international debt securities selected to generate a consistent return above the bank bill rate. The main contributors to outperformance are expected to be sector and security selection, credit management and portfolio construction.

Global Fixed Interest

BT IM's Global Fixed Interest portfolio generates excess returns from a number of sources including global duration, global credit, currency and an Index swap strategy. Each of the thee active alpha strategies - duration, credit and currency, is treated as a separate source of uncorrelated active return that can be traded by different managers.

Active fixed interest

BT IM’s active fixed interest portfolio is focused on exploiting multiple sources of non-correlated value-add, covering both traditional and relative value strategies. The team uses a disciplined, transparent process comprising insightful proprietary research and fundamental analysis.

Enhanced fixed interest  

BT IM’s enhanced fixed interest portfolio aims to deliver returns above the UBSA composite Bond Index in a consistent manner. We use an innovative method to replicate the Index with excess returns sourced from other BT IM managed funds, such as the enhanced cash portfolio.