Our fixed-income solutions leverage the expertise of experienced portfolio managers who are backed by teams that specialize in a wide range of Canadian and global fixed-income asset classes.

We have been providing fixed-income solutions for more than 50 years and manage more than $2.6 trillion globally.1
 

The Fidelity fixed income advantage

Research advantage

Research advantage<br/>

Extensive, independent and proprietary research spanning the capital structure

Proprietary, integrated and rigorous risk management platform

Disciplined and collaborative team approach

Disciplined and collaborative team approach

Our fixed-income specialist teams work in collaboration with our equity analysts to form a 360° view on issuers, providing information and screening advantage.

Our integrated approach enables us to increase the number and diversity of strategies employed in a portfolio.

Portfolio design and a culture of prudent risk management

Portfolio design and a culture of prudent risk management

We have strong expertise designing bespoke solutions for clients, including a dedicated team specializing in Liability-Driven Investing.

Portfolios employ proprietary risk measurement systems and are supported by strong compliance and oversight functions.

A custom approach to balancing risk and return

A well-defined investment philosophy based on in-house credit, quantitative and macro research, along with specialist teams across the globe, ensures we deliver portfolios aligned with our clients’ investment goals.

information graphic showing custom approach to balancing risk and return

Liability Driven Investing (LDI)

Fidelity’s LDI solutions platform is based on four key principles:

Dedicated
Resources

Dedicated specialists with expertise in pension plan risk management across assets and liabilities.

Custom Portfolio Solutions

Real-world implementations that take into consideration current capital market dynamics and implementation challenges.

Strong Fixed Income Management

Seeks to consistently deliver alpha in a pension risk management framework.

Development of Customized Solutions

De-risking solutions that seek to meet the evolving needs of pension clients.


Investment process

LDI investment process information graphic

Meet the LDI team

Fixed income solutions

  • Core

      • Seeks to outperform the Bloomberg Barclays 1-3 Yr Government/Credit Bond Index over a full market cycle
      • Invests in a full spectrum of investment-grade securities with a focus on short-duration issues
      • Emphasis on sector valuation and individual security selection
      • Aims to be well-diversified across sectors, capital structure and issuers

      • Seeks to generate returns that exceed the FTSE Canada Universe Bond Index over a full market cycle
      • Invests primarily in a well-diversified portfolio of Canadian dollar-denominated debt securities
      • Emphasis on sector valuation and security selection
      • Portfolio management team structure facilitates multi-dimensional investment perspectives

      • Seeks to generate returns that exceed the FTSE Canada Long Term Bond Index over a full market cycle
      • Invests primarily in a well-diversified portfolio of Canadian dollar-denominated debt securities
      • Emphasis on sector valuation and security selection
      • Portfolio management team structure facilitates multi-dimensional investment perspectives

      • Seeks a high level of current income and aims to generate returns that exceed the Barclays Global Aggregate Bond Index over a full market cycle
      • Invests primarily in a well-diversified portfolio of global issuers, including emerging markets issuers
      • Flexibility to allocate up to 20% to sub-investment-grade debt securities
      • Emphasis on sector valuation and security selection
      • Portfolio management team structure facilitates multi-dimensional investment perspectives

      • Invests in a small number of high-conviction holdings
      • Bottom-up credit selection drives positioning
      • Diversified across industries and geographies
      • Beta kept close to neutral; alpha generation is key goal

      • Core portfolio objectives are to maintain low volatility, control drawdowns and offer low correlation to equities
      • Uses strategic and tactical asset allocation across five asset classes and their subsectors
      • Employs credit selection and overlay strategies
      • Returns driven by a balance between duration, credit spreads and inflation

      • Seeks to generate returns that exceed the FTSE Canada Long Term Bond Index over a full market cycle
      • Invests in a broad spectrum of investment-grade and non-investment-grade fixed-income securities
      • Benefits from specialist sub-portfolio investment teams that manage low-correlated fixed-income asset classes, including U.S. high yield, floating-rate debt, emerging markets and global bonds
      • Highly diversified portfolio managed within a structured team environment

      • Seeks to generate returns that exceed the FTSE Canada Long Term Bond Index
      • Invests in a broad spectrum of investment-grade and non-investment-grade sectors, including high yield, emerging markets and global bonds
      • Benefits from specialist sub-portfolio investment teams that manage low-correlated fixed-income asset classes, including U.S. high yield, floating-rate debt, emerging markets and global bonds
      • Highly diversified portfolio managed within a structured team environment

      • Provides multi-sector allocation amongst a full suite of global fixed-income asset classes
      • Source of returns include asset allocation, sector rotation, security selection, yield curve positioning and foreign currency
      • Liquidity is maintained at an appropriate level to capitalize on dynamic opportunities
      • Seeks to maintain volatility commensurate with investment-grade bonds

      • Multi-strategy approach to fixed-income investing, targeting a real return of 3% over the market cycle
      • Primarily invests in higher-yielding credit markets, such as U.S. leveraged loans, high-yield bonds, emerging markets, hybrids, securitized debt and convertibles
      • Tactical allocation to investment-grade credit and sovereign bonds
      • Capital preservation is a priority

      • Multi-dimensional approach seeks to integrate LDI strategy analysis and consultation with best in class fixed-income portfolio management
      • Managed by dedicated specialists with expertise in pension plan risk-management across assets and liabilities
      • Seeks to consistently deliver alpha in a pension risk-management framework

      • Provides multi-sector allocation amongst a full suite of global fixed-income asset classes
      • Source of returns include asset allocation, sector rotation, security selection, yield curve positioning and foreign currency
      • Liquidity is maintained at an appropriate level to capitalize on dynamic opportunities
      • Seeks to maintain volatility commensurate with investment-grade bonds

      • Invests in a small number of high-conviction holdings
      • Bottom-up credit selection drives positioning
      • Diversified across industries and geographies
      • Beta kept close to neutral; alpha generation is key goal

      • Invests in a small number of high-conviction holdings
      • Bottom-up credit selection drives positioning
      • Diversified across industries
      • Beta kept close to neutral; alpha generation is key goal

      • Seeks to outperform the BofA Merrill Lynch High Yield Master II Constrained Bond Index
      • Invests in U.S. high-yield corporate bonds and, to a lesser extent, bank loans, preferred and convertible securities
      • Emphasis on sector valuation and individual security selection
      • Focus on less efficient, middle-tier section of the high-yield market while selectively investing in lower-rated issuers

      • Seeks to outperform the high-yield corporate bond market while providing a relatively high level of current income
      • Invests in a universe of investment-grade and non-investment grade commercial mortgage-backed securities (CMBS).
      • Security analysis focused on commercial real estate valuation and loan structure fundamentals

      • Opportunistic portfolio that seeks to outperform the S&P/LSTA Leveraged Loan Index
      • Focuses on issuers' balance-sheet strength, collateral values, covenant protections, management quality and capital structure

      • Seeks to outperform the JP Morgan EMBI Global Index
      • Extensive sovereign analysis
      • Research focuses on identifying countries that are not well understood and offer significant upside potential

      • Seeks a high level of current income and capital appreciation
      • Invests primarily in high-yielding, sub-investment-grade securities, or in high-yielding securities of sub-investment-grade issuers, all having their principal business activities in the Asian region
      • Hard currency focus while capturing current and potential growth of renminbi (RMB) High Yield

      • Hard currency, local currency, corporate, total return and inflation-linked options available

      • Aims to achieve income and capital appreciation by primarily investing in emerging markets debt securities – sovereign and quasi focus
      • Up to 20% may also be invested in debt securities issued by corporations operating and/or domiciled in emerging markets countries

      • Aims to achieve income and capital appreciation by primarily investing in investment-grade and sub-investment-grade debt securities denominated in local emerging markets currencies
      • Up to 20% may also be invested in debt securities issued by corporations operating and/or domiciled in emerging markets countries

      • Aims to achieve an attractive level of income with the potential for capital appreciation by investing primarily in the debt of companies domiciled in emerging markets regions that typically issue in USD
      • Up to 20% may also be invested in local currency issuance and up to 25% in sovereign bonds of emerging markets issuers
      • Uses an active, bottom-up  fundamental investment approach supported by intensive credit research
      • Special focus on diversification, liquidity and downside protection

      • Aims to provide income and capital growth
      • Investments focus on securities denominated and settled in RMB, as well as securities issued by governments and businesses across the Asian region
      • Security selection focuses on relatively higher-quality issuers, including investment-grade governments, financial institutions and corporates
      • Non-RMB denominated securities are hedged back to RMB to maintain currency exposure

    • Seeks to outperform the Bloomberg Barclays 1-3 Yr Government/Credit Bond Index over a full market cycle
    • Invests in a full spectrum of investment-grade securities with a focus on short-duration issues
    • Emphasis on sector valuation and individual security selection
    • Aims to be well-diversified across sectors, capital structure and issuers

    • Seeks to generate returns that exceed the FTSE Canada Universe Bond Index over a full market cycle
    • Invests primarily in a well-diversified portfolio of Canadian dollar-denominated debt securities
    • Emphasis on sector valuation and security selection
    • Portfolio management team structure facilitates multi-dimensional investment perspectives

    • Seeks to generate returns that exceed the FTSE Canada Long Term Bond Index over a full market cycle
    • Invests primarily in a well-diversified portfolio of Canadian dollar-denominated debt securities
    • Emphasis on sector valuation and security selection
    • Portfolio management team structure facilitates multi-dimensional investment perspectives

    • Seeks a high level of current income and aims to generate returns that exceed the Barclays Global Aggregate Bond Index over a full market cycle
    • Invests primarily in a well-diversified portfolio of global issuers, including emerging markets issuers
    • Flexibility to allocate up to 20% to sub-investment-grade debt securities
    • Emphasis on sector valuation and security selection
    • Portfolio management team structure facilitates multi-dimensional investment perspectives

    • Invests in a small number of high-conviction holdings
    • Bottom-up credit selection drives positioning
    • Diversified across industries and geographies
    • Beta kept close to neutral; alpha generation is key goal

    • Core portfolio objectives are to maintain low volatility, control drawdowns and offer low correlation to equities
    • Uses strategic and tactical asset allocation across five asset classes and their subsectors
    • Employs credit selection and overlay strategies
    • Returns driven by a balance between duration, credit spreads and inflation

    • Seeks to generate returns that exceed the FTSE Canada Long Term Bond Index over a full market cycle
    • Invests in a broad spectrum of investment-grade and non-investment-grade fixed-income securities
    • Benefits from specialist sub-portfolio investment teams that manage low-correlated fixed-income asset classes, including U.S. high yield, floating-rate debt, emerging markets and global bonds
    • Highly diversified portfolio managed within a structured team environment

    • Seeks to generate returns that exceed the FTSE Canada Long Term Bond Index
    • Invests in a broad spectrum of investment-grade and non-investment-grade sectors, including high yield, emerging markets and global bonds
    • Benefits from specialist sub-portfolio investment teams that manage low-correlated fixed-income asset classes, including U.S. high yield, floating-rate debt, emerging markets and global bonds
    • Highly diversified portfolio managed within a structured team environment

    • Provides multi-sector allocation amongst a full suite of global fixed-income asset classes
    • Source of returns include asset allocation, sector rotation, security selection, yield curve positioning and foreign currency
    • Liquidity is maintained at an appropriate level to capitalize on dynamic opportunities
    • Seeks to maintain volatility commensurate with investment-grade bonds

    • Multi-strategy approach to fixed-income investing, targeting a real return of 3% over the market cycle
    • Primarily invests in higher-yielding credit markets, such as U.S. leveraged loans, high-yield bonds, emerging markets, hybrids, securitized debt and convertibles
    • Tactical allocation to investment-grade credit and sovereign bonds
    • Capital preservation is a priority

    • Multi-dimensional approach seeks to integrate LDI strategy analysis and consultation with best in class fixed-income portfolio management
    • Managed by dedicated specialists with expertise in pension plan risk-management across assets and liabilities
    • Seeks to consistently deliver alpha in a pension risk-management framework

    • Provides multi-sector allocation amongst a full suite of global fixed-income asset classes
    • Source of returns include asset allocation, sector rotation, security selection, yield curve positioning and foreign currency
    • Liquidity is maintained at an appropriate level to capitalize on dynamic opportunities
    • Seeks to maintain volatility commensurate with investment-grade bonds

    • Invests in a small number of high-conviction holdings
    • Bottom-up credit selection drives positioning
    • Diversified across industries and geographies
    • Beta kept close to neutral; alpha generation is key goal

    • Invests in a small number of high-conviction holdings
    • Bottom-up credit selection drives positioning
    • Diversified across industries
    • Beta kept close to neutral; alpha generation is key goal

    • Seeks to outperform the BofA Merrill Lynch High Yield Master II Constrained Bond Index
    • Invests in U.S. high-yield corporate bonds and, to a lesser extent, bank loans, preferred and convertible securities
    • Emphasis on sector valuation and individual security selection
    • Focus on less efficient, middle-tier section of the high-yield market while selectively investing in lower-rated issuers

    • Seeks to outperform the high-yield corporate bond market while providing a relatively high level of current income
    • Invests in a universe of investment-grade and non-investment grade commercial mortgage-backed securities (CMBS).
    • Security analysis focused on commercial real estate valuation and loan structure fundamentals

    • Opportunistic portfolio that seeks to outperform the S&P/LSTA Leveraged Loan Index
    • Focuses on issuers' balance-sheet strength, collateral values, covenant protections, management quality and capital structure

    • Seeks to outperform the JP Morgan EMBI Global Index
    • Extensive sovereign analysis
    • Research focuses on identifying countries that are not well understood and offer significant upside potential

    • Seeks a high level of current income and capital appreciation
    • Invests primarily in high-yielding, sub-investment-grade securities, or in high-yielding securities of sub-investment-grade issuers, all having their principal business activities in the Asian region
    • Hard currency focus while capturing current and potential growth of renminbi (RMB) High Yield

    • Hard currency, local currency, corporate, total return and inflation-linked options available

    • Aims to achieve income and capital appreciation by primarily investing in emerging markets debt securities – sovereign and quasi focus
    • Up to 20% may also be invested in debt securities issued by corporations operating and/or domiciled in emerging markets countries

    • Aims to achieve income and capital appreciation by primarily investing in investment-grade and sub-investment-grade debt securities denominated in local emerging markets currencies
    • Up to 20% may also be invested in debt securities issued by corporations operating and/or domiciled in emerging markets countries

    • Aims to achieve an attractive level of income with the potential for capital appreciation by investing primarily in the debt of companies domiciled in emerging markets regions that typically issue in USD
    • Up to 20% may also be invested in local currency issuance and up to 25% in sovereign bonds of emerging markets issuers
    • Uses an active, bottom-up  fundamental investment approach supported by intensive credit research
    • Special focus on diversification, liquidity and downside protection

    • Aims to provide income and capital growth
    • Investments focus on securities denominated and settled in RMB, as well as securities issued by governments and businesses across the Asian region
    • Security selection focuses on relatively higher-quality issuers, including investment-grade governments, financial institutions and corporates
    • Non-RMB denominated securities are hedged back to RMB to maintain currency exposure

 

This information is designed to provide an indication of certain attributes of these strategies and is subject to change. For full details of the applicable mandates, including the investment objectives, please contact Fidelity Canada Institutional.

We offer a comprehensive lineup of institutional investment strategies and mutual funds available on all major recordkeeping platforms.

Learn more

Meet the fixed income leadership team


 

1 Fixed income assets under management as at December 31, 2023, in Canadian dollars.

Contact the team