National Investment Services

NIS Fixed Income

• Short Duration Fixed Income
• Intermediate Fixed Income
• Intermediate Plus Fixed Income
• Core Fixed Income
• Core Plus Fixed Income
• Immunized / Liability Matching Fixed Income
• Titanium Absolute Return Strategy

National Investment Services, Inc. is an active, total rate of return fixed income manager seeking maximum returns in all market conditions, subject to the investment guidelines and risk tolerances of our clients. Our goal is to exceed the returns of the median manager on a consistent basis in all market conditions, while taking no more risk than that of the index or our peers as measured by standard deviation of returns.

Our fixed income investment strategy is one of relative value assessment, meaning a proper analysis of risk versus reward of sectors, industries and individual issues in the context of our outlook for the economy and the markets. Our portfolio strategy is to allocate portfolio assets to market sectors, industries and individual securities that represent the best relative value for the market conditions that lie ahead. We believe most fixed income trading opportunities arise from supply/demand imbalances that often take three to twelve months to return to equilibrium. Since markets are dynamic, the search for best relative value at all levels of the portfolio is an ongoing process. As a result, we are an active trader of the portfolio, seeking capital gain as new opportunities arise. We also position the portfolio for secular changes in the shape of the yield curve and the level of interest rates.

Sample NIS Aggregate Core Fixed Income Characteristics

Quality Range
Government: 0-15%
Agency: 25-40%
AAA: 25-40%
AA: 5-10%
BBB: 5-15%
Cash: 0-5%

Sector Range
Treasury: 0-15%
Agency: 0-5%
Mortgages: 35-55%
Asset-Backed: 5-20%
Corporates: 15-40%
Municipals: 0-3%
Cash: 0-5%

Average Quality: AAA
Holdings: 165-200

Sample NIS Intermediate Fixed Income Characteristics

Sector Range
Treasury: 0-30%
Agency: 0-10%
Mortgages: 10-40%
Asset-Backed: 5-20%
Corporates: 20-60%
Municipals: 0-3%
Cash: 0-5%

Quality Range
Government: 0-30%
Agency: 10-20%
AAA: 20-40%
AA: 5-15%
A: 10-20%
BBB: 10-20%
Cash: 0-5%

Average Quality: AA
Holdings: 120-165