Income Solutions
Columbus Macro Global Income is a balanced, growth and income strategy focused on gaining flexible exposure to the major global income-generating asset classes. The strategy seeks to provide current income and long-term capital appreciation with active risk management to navigate the complexity of changing interest rate environments. Yield is sourced from a variety of instruments including individual U.S.-listed stocks and exchange traded funds (ETFs). A robust process is employed for selecting dividend-paying U.S. stocks and ADRs that meet rigorous, industry-specific earnings quality metrics for balance sheet strength and operating efficiency. This analysis is aimed at gauging the sustainability of dividend income streams. Market risk and interest rate sensitivity are also carefully assessed as part of an active risk management framework. Equity and credit risk can be increased or decreased in response to changing market environments. Given the active nature of this approach, the strategy does not target a specific yield but rather seeks to source income in a disciplined manner.
Columbus Macro Dividend Select invests in high quality companies with a track record of consistent and rising dividends. We use a quantitative portfolio selection process which examines dividend payment history and analyzes balance sheets and income statements. The portfolio typically holds 20-30 individual common stocks that are approximately equally weighted at the time of purchase. The investment universe is the dividend growers within the S&P 500 Index. Cash levels are most often kept around the 2% platform requirement. However, at times of stress, cash can be increased to 10%.
Columbus Macro Alternative High-Yield invests across alternative asset classes and strategies to generate high levels of current income and a secondary goal of long-term capital appreciation. We use macro variables to evaluate how economic cycles may impact income producing assets. The portfolio typically holds 10-20 positions which may include common stocks, ETFs, and mutual funds. Investment categories considered include listed private equity funds and publicly traded: REITs, BDCs, MLP funds, Options-Based funds, and Non-Traditional credit funds. The investment universe comes from daily liquid alternative investments that do not require a subscription agreement or K-1 tax reporting. Cash levels are most often kept around the 2% platform requirement.
Columbus Macro Global Tactical Bond is a separately managed account strategy designed to serve as a core fixed income holding in a well-diversified portfolio. Utilizing exchange traded funds (ETFs), it provides the diversification benefits of global exposure by seeking alpha opportunities across U.S., developed international, and emerging bond markets. The strategy also flexibly tilts across the broadest opportunity set of fixed income sub-sectors (sovereign region and country bonds; agency, corporate and high yield debt; inflation-protected bonds) while remaining fully invested to the asset class. Adjustments are made based on intermediate to long-term assessments rather than market timing or short-term trading. Global Tactical Bond’s moderate turnover makes it appropriate for taxable or qualified accounts. The strategy assumes active risk against its benchmark by managing portfolio sensitivity to interest rates and credit spreads as well as implementing active overweight and underweight decisions within global fixed income segments.