Home Fixed income investment strategies Opportunistic Municipal

Strategy differentiators

  • Balancing risk and reward potential in tax-exempt investing

  • Preference for revenue bonds that provide attractive relative yield and less sensitivity to business cycles

  • Active management seeks the optimal spot on the yield curve and higher exposure to bonds rated A and BBB, in an effort to maximize yield

  • Sources opportunities in both investment grade and high yield markets; higher quality and greater liquidity than a high-yield municipal-only portfolio

Strategy facts

  • Manager

    Principal Fixed Income

  • Inception

    1 July 2012

  • Index

    Bloomberg Municipal Bond Index

  • Targeted number of holdings

    150-175

  • Expected turnover

    35% (assuming normal market conditions)

  • Investment vehicles

    SMA, U.S. Mutual Fund

Portfolio management

Principal Fixed Income

A global platform of integrated and specialized teams focused on delivering innovative, actively managed total return and yield-oriented investment solutions through capabilities that span all major fixed income sectors.

Portfolio Manager
Jim Noble, CFA
32 years of experience
Portfolio Manager
James Welch
36 years of experience
Learn more

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Past performance does not guarantee future results.

Fixed-income investment options are subject to interest rate risk, and their value will decline as interest rates rise. Risk management techniques seek to mitigate or reduce risk but cannot remove it.

Investment guidelines are subject to change.

Bloomberg Municipal Bond Index represents the long-term, investment-grade tax-exempt bond market.

Principal Fixed Income is an investment team within Principal Global Investors.