BAR Analysis: A New Way to Understand Fixed Income Performance and Associated Risks
- Corporate bond portfolios may be more risky than investors realize—and we have a simple, new tool to check.
Classic analysis of fixed income managers has not changed much in decades and volatility remains a common way to measure risk.
Work carried out by the Brandes Institute now provides a measure to complement that conventional notion called Bond Active Risk (BAR)—a holdings-based measure of risk.
Institute analysis revealed low volatility doesn’t always mean low risk. Often, there are hidden holdings-based risks in bond portfolios that go undetected.
- Assess Your Fixed Income Managers
We are offering BAR analysis for institutional asset owners and consultants. To find out your fixed income managers’ BAR scores, contact us.
To learn more about BAR, we invite you to:
- Review the updated Brandes Institute paper “Lowering the Bar: Seeking Fixed Income Performance While Limiting Risk.”
- Read the Q&A with senior portfolio managers at Keva that explains why they are interested in BAR and how they have used it.
- Watch the video where the paper's author, Barry Gillman, CFA, discusses why the new measure can provide actionable insight.
- Listen to the podcast where the paper's author, Barry Gillman, CFA, discusses the benefits of this risk management tool.
- Request a free BAR analysis of any fixed income manager’s portfolio by completing the “Contact Us” form below.
BAR analysis is offered at no cost or obligation. The information provided in this material should not be considered a recommendation to purchase or sell any particular security. It should not be assumed that any security transactions, holdings or sectors discussed were or will be profitable, or that the investment recommendations or decisions we make in the future will be profitable or will equal the investment performance discussed herein.