Efficient Fixed
Income Beta Solutions
What is Efficient Fixed Income Beta?
Clients have been telling us that they are not getting satisfactory fixed income returns from either their passive or active managers. Efficient Beta is our way of approaching this challenge, focusing on fixed income areas where we can address these inefficiencies and deliver beta in a systematic and disciplined way.
The first thing we do is identify the inefficiencies. Where they are material we believe we have a solution. The goal is usually delivering the index which typically gets you top quartile performance but also doing it in a highly liquid and cost competitive structure.
$12+ billion in
100+ clients worldwide
100+ clients worldwide
100+ clients worldwide
100+ clients worldwide
Brought to you by Mellon*
Why Mellon for Efficient Fixed Income Beta?
US$534.0bn2
AUM across fixed income, equity, multi-asset and index strategies$12+ billion in
100+ clients worldwide
100+ clients worldwide
100+ clients worldwide
100+ clients worldwide
focus
US$613.6bn2
AUM across fixed income, equity, multi-asset and index strategies
Solution focus
Actively partner with clients to develop liquid and cost-efficient beta solutions that achieve desired outcomes, including ESG considerations.
US$148.0bn AUM in fixed income of which US$9.7bn is in efficient fixed income beta strategies2
ETFs: Experts in leveraging the ETF ecosystem to reduce trading costs and improve liquidity
Systematic: Time-tested quantitative models replace discretionary risk taking
Deep experience of working with authorised participants1 and credit desks
Sub-advisor to one of the largest ETF providers since their launch
1. Authorized participants (AP) are one of the major parties at the centre of the creation and redemption process for exchange-traded funds (ETF). They provide a large portion of liquidity in the ETF market by obtaining the underlying assets required to create a fund.
2. Source: Mellon as at 31 December 2020. Where applicable, assets include discretionary and non-discretionary assets, the notional value of overlay strategies, and assets managed by investment personnel acting in their capacity as officers of affiliated entities.
Mellon is a long standing player in the ETF ecosystem with specific skill sets and tools to target these challenges.
Mellon were early pioneers in indexation and have unique talents to deliver Efficient Beta and are solutions-led, responding to client challenges where value can be added back to help achieve the clients’ desired outcomes.
$12+ billion in
100+ clients worldwide
100+ clients worldwide
100+ clients worldwide
100+ clients worldwide
Meet the team
Mellon’s Efficient Fixed Income Beta team has over thirty years of experience managing fixed income portfolios and has been running efficient fixed income beta portfolios since 2012.
$12+ billion in
100+ clients worldwide
100+ clients worldwide
100+ clients worldwide
100+ clients worldwide
Paul Benson
CFA, CAIA
Manuel Hayes
Stephanie Shu
CFA
Deepal Agrawal
PhD
Paul Benson
CFA, CAIA
Manuel Hayes
Stephanie Shu
CFA
Deepak Agrawal
PhD
$12+ billion in
100+ clients worldwide
100+ clients worldwide
100+ clients worldwide
100+ clients worldwide
Contact us
$12+ billion in
100+ clients worldwide
100+ clients worldwide
100+ clients worldwide
100+ clients worldwide
The value of investments can fall. Investors may not get back the amount invested.
Important information
*Investment Managers are appointed by BNY Mellon Investment Management EMEA Limited (BNYMIM EMEA), BNY Mellon Fund Managers Limited (BNYMFM), BNY Mellon Fund Management (Luxembourg) S.A. (BNY MFML) or affiliated fund operating companies to undertake portfolio management activities in relation to contracts for products and services entered into by clients with BNYMIM EMEA, BNY MFML or the BNY Mellon funds.
The fixed income capability, including managers and analysts, of Mellon Investments Corporation (Mellon) is transitioning to Insight Investment (Insight), and is expected to be completed by Q3 2021. This includes the group’s Efficient Beta franchise. There will be no change to either Mellon or Insight’s investment processes, approach or philosophies during the transition period as a result of this change. There are also no plans at this time to merge or rationalise any BNY Mellon Investment management-branded Mellon and Insight-managed funds. For more information please visit www.bnymellonim.com.
CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.
CAIA® and Chartered Alternative Investment Analyst® are registered trademarks owned by the CAIA Association.
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