Investment Philosophy

Our investment approach has been honed over four decades of fixed income trading. We continue to use proven technologies but constantly develop internal systems and models that take advantage of the ongoing evolution of information delivery. Our systems improve our opportunity set – greater opportunities precede better results. A larger opportunity set improves market transparency. Better transparency creates better execution for our clients.

Ultimately, however, trading, transparency and execution do not assure superior bottom-line financial performance. There is a quantifiable difference between market returns and reported income. It is the blueprint-driven portfolio structure provided by our AQS PALM and AQS PERM technologies that creates this opportunity which accrues to our client’s benefit.

With PALM, AQS creates a portfolio optimized for returns while constrained by a dynamic cash flow match, portfolio metrics, policy limits and literally thousands of additional variables.

With PERM, a specified index is targeted, and its constituents quantified. Upon analyzing the pieces, inefficiencies can be recognized, and a revised index is modeled. The client investment policy is integrated into the model and a tractable portfolio blueprint results.

Portfolio management begins with a plan well executed. Beyond the initial structure, AQS’ forward-looking risk management systems continue to monitor and adjust the core portfolio, seeking reported financial advantage.

And finally, AQS represents our client’s interests in the regulatory and reporting environment to assure that projections continue to meet reported performance.