LGIM America Winner

In increasingly complex and interconnected markets, LGIM America credits its success in public fixed income to an experienced team with long tenures.

LGIM America’s flagship Long Duration U.S. Credit strategy has yielded positive excess returns (gross of fees) over the Bloomberg U.S. Long Credit Index every calendar year since inception in 2007. The firm credits its focus on security and sector selection and a bottom-up focus guided by top-down considerations for performance, along with tightly controlled duration discipline emphasizing sectors in which research can add the most value.

LGIM America also cites its size, smaller than some of its competitors, as enabling its portfolio managers to be more nimble with allocations and to buy physical bonds rather than utilizing synthetic positions. According to the firm, this contributed to less tracking error and better liquidity. As of June 30, 2023, LGIM America had $114 billion in public fixed-income assets under management.

It has also used technology to improve its investment operations. As the firm’s credit books continued to grow, it utilized technology to “electrify” the entire portfolio trading workflow, increase liquidity, decrease transactions costs, track the performance of an individual account more closely to its strategy and enhance the efficiency of standard trading activity.

Finalists

• Capital Group
• NISA Investment Advisors
• Vontobel