ACCOUNT ACCESS

Fixed Income Management

Family Heritage Trust believes that bonds in a portfolio have a specific role based on the following principles:

  • To generate investment income.
  • To return principal at a specific future date.
  • To provide immediate liquidity if needed.
  • To complement the risks associated with equity investing, therefore acting as a portfolio risk management tool.

As a result, we believe that a short to intermediate maturity structure of highly-rated fixed income securities is the best approach to managing bonds. This preference also enables us to manage bond portfolios or select bond mutual funds consistent with our stated principles, and to build enhanced portfolio diversification of assets.