Investment Grade Corporate Bonds

Strategy Overview

Account Minimum: $100,000* | Launch of Strategy: January 1, 1993

Designed for the more conservative investor interested in an intermediate, investment grade corporate strategy that provides a premium yield to Treasury securities. Bonds must be rated investment grade by at least one of the credit rating agencies to be considered for purchase.

In the event of a downgrade, the security may be held if we anticipate credit improvement in the future. Our focus is on the potential future value of individual corporate issuers based on potential earnings growth and stability over the long term.

We avoid any interest rate anticipation or market timing. We believe the intermediate portion of the yield curve offers investors a favorable risk/reward opportunity

Portfolio Statistics

(as of 9/30/2024)

wdt_ID	Name	Value
1	Average Maturity	6.50
2	Duration	5.40
3	Coupon	3.54%
4	Yield to Maturity	4.52%
5	Current Yield	3.72%
6	Target Diversification	20-25 Issues
7	Average Credit Rating	A3

Resources

Intermediate Range

Portfolios are fully invested in the intermediate range (5 – 10 years). We avoid interest rate anticipation or market timing. The intermediate portion of the yield curve historically has offered investors a favorable risk/reward opportunity.

Investment Grade

An investment grade (A3 minimum) average credit rating is the constant target. BAA/BA bonds are purchased (to a maximum of 30%) to enhance cash flow, reduce interest rate sensitivity and provide greater potential capital appreciation.

Enhanced Liquidity & Safety

By investing only in bonds with an initial issue size generally in excess of $100,000,000. We access over 30 institutional broker/dealers seeking competitive bids and offerings. This trading network provides all of our clients with best pricing.

Strict Sell Discipline

A strict sell discipline is employed. Issues and issuers are analyzed regularly to ensure that gains are captured, relative value is optimized, and capital is preserved.

Diversified

The portfolio is diversified across more than 20 issues, with 20 – 25 equally weighted positions and generally limited to a maximum of 15% per industry group.

Low Turnover

A historical low turnover of the portfolio, on average less than 25% per year.

Strategy Data

Calendar Year Returns (Gross)

Annualized Returns

(period ended 9/30/2024)

Risk Statistics

(period ended 9/30/2024)

Annualized Returns

(period ended 9/30/2024)

wdt_ID	Period	CAM Gross	CAM Net of Fees	Bloomberg US Corporate Index
1	YTD	5.32	5.13	5.32
2	1 Year	12.71	12.45	14.28
3	3 Years	-0.58	-0.82	-1.18
4	5 Years	1.34	1.10	1.16
5	10 Years	2.83	2.58	2.93
6	Inception	5.51	5.26	5.47

Risk Statistics

(period ended 9/30/2024)

wdt_ID	period	Standard Deviation CAM IG	Standard Deviation Bloomberg Corporate Index	Sharpe Ratio CAM IG	Sharpe Ratio Corporate Index
1	3 Yrs.	8.16	9.64	-0.56	-0.53
2	5 Yrs.	7.76	9.14	-0.14	-0.13
3	10 Yrs.	6.31	7.26	0.19	0.17
4	Inception	5.63	6.08	0.34	0.31

Maturity Distribution

Duration Distribution

Industry Distribution

Credit Quality Distribution

wdt_ID	Type	Value
1	AAA	0.0
2	AA	6.2
3	A	64.9
4	BAA	27.6
5	BA	0.7
6	B	0.6
7	CAA	0.0
8	CA	0.0
9	< C	0.0
10	NR	0.0

*Bloomberg Index Rating