Fixed Income Separate Accounts
Five-year ladder, buy-and-hold, taxable and tax-free.
Mercer Advisors successfully implements both taxable and tax-free investment-grade fixed income strategies. We invest in short- to medium-term fixed income instruments with high credit ratings in order to preserve capital and maintain steady growth within your portfolio.
The Fixed Income Ladder
The Mercer Advisors Five-Year Fixed Income Ladder is a rotating investment strategy in which only 10% to 30% of the portfolio is reinvested annually, thus limiting interest rate risk. Principal and interest from maturing positions are used to purchase new bonds, typically at the furthest maturity range of the ladder.
Advantages of the Ladder
The benefits available from a laddered bond strategy are numerous, when compared with bond mutual funds. They include: more flexibility, added transparency, direct ownership, reduced price risk (when bonds are held to maturity) and processes designed to lower commissions and costs.
The Benefits Continue
Other Fixed Income Separate Accounts advantages inlcude:
- A mini-auction for each purchase
- Fixed income product diversification
- High quality investments
- Ongoing credit monitoring
- Protection from interest rate fluctuations with non-callable bonds
- Income generation from regular, fixed-interest payments
- Profesisonal management
- Low fees
Important: Mercer Advisors Fixed Income Separate Accounts require an account minimum
of at least $250,000 in order to ensure proper portfolio diversification within our
Five-Year Fixed Income Ladder strategy. This balance requirement provides both you and
Mercer Advisors with a significant competitive edge in the bond market.
Mercer Global Advisors Inc. is registered with the Securities and Exchange Commission and delivers all investment-related services. Mercer Advisors Inc. is the parent company of Mercer Global Advisors Inc. and is not involved with investment services. Forbes and Investment News rankings are for Mercer Global Advisors Inc.
