Income Strategy 3Q 2019 Letter
The Income Strategy returned 2.69% (net of fees) in the third calendar quarter, outperforming the BofA Merrill Lynch High Yield Master II index's 1.22% return. The Strategy ended the quarter ahead of its unmanaged benchmark year-to-date, but we always want to do better, and the past quarter and year are no exception. We have long attempted to create an income-generating portfolio with "negative duration," meaning we believe the value of our holdings would rise if longer-term rates do. If we are able to achieve this dynamic, it should make the