This portfolio is ideal for income-oriented clients that need regular monthly income for retirement and other expenses, and want the relative stability of investment grade bonds. It is also suitable for individuals interested in total return (income plus price appreciation) from their bond portfolio as a part of the overall diversified investment portfolio.

The Investment objective for the Intermediate Fixed Income portfolio is to provide stable income while protecting principal, portfolio diversification, creating a hedge against an economic slowdown as well as taking advantage of interest rate movements that may provide the opportunity to generate profits or capital appreciation. It is an alternative to a somewhat higher yielding, riskier, longer term, interest rate sensitive bond portfolio that invests in below investment grade (junk) bonds.

Investment Strategy: Investment objectives are met by investing in high quality short- to intermediate-term bonds. Intermediated bonds generate nearly as much current income and provide our clients with much of the upside potential in bond performance. Simultaneously, they significantly limit downside risk to principal in a rising interest rate market environment. Measured over 25+ years, intermediate term bonds have generated 99% of the return of longer-term bonds and better than 80% of the return in any one year. In taxable accounts we may utilize municipal and tax-advantaged agency bonds to shield income from taxes.