Morgan Keegan’s Fixed Income Research provides analytical support to the Retail Fixed Income Trading Desk and the Private Client Group Financial Advisors for both existing and proposed fixed income portfolios. The support services provided include: the construction of structured fixed income portfolios, swap modeling, and comprehensive portfolio reviews. These services are detailed below.
Structured Fixed Income Portfolios
Morgan Keegan’s Research Analysts work closely with the Financial Advisor to design fixed income portfolios that incorporate the investor’s specific objectives and/or constraints into a broader investment strategy. One common strategy is bond laddering. A bond ladder is simply a portfolio structured such that bond maturities are staggered evenly over time (e.g. scheduled to mature every six months or every year). The purpose behind this approach is to minimize the risks associated with changing interest rates while providing a predictable stream of income.
Fixed Income Swap Modeling
A bond swap is a technique whereby one security is sold and another is simultaneously purchased using the sale proceeds. Swaps are carried out for a number of reasons, including: improving the credit quality of the portfolio, increasing the cash flow generated by the portfolio, or enhancing the liquidity or diversification of the portfolio by changing the maturity schedule. Morgan Keegan’s Fixed Income Research Analysts can evaluate client portfolios to uncover any swap opportunities for investors.
Fixed Income Portfolio Reviews
Morgan Keegan’s staff of Research Analysts provides comprehensive portfolio reviews, carefully evaluating a portfolio in the following contexts:
- Credit Quality
- Swap Candidates
- Interest Rate Risk
- Call Risk
Dr. Ratajczak’s Corner
Kevin Giddis’s Daily Commentary
