A leading asset manager and provider of fixed income solutions – risk-aware, sustainable and offering solid long-term performance
Investment philosophy: Risk aware for sustainable performance
Swiss Life Asset Managers has longstanding active asset management experience, particularly in the fixed income asset class. Our investments target attractive, stable returns geared to a long-term investment horizon, reflecting our culture of risk-oriented and sustainable investing.
We increase portfolio performance by mitigating potential risks early and exploiting investment opportunities. This is how we protect our clients’ assets to help them achieve their long-term investment objectives and look to the future with financial confidence.
We add essential value for our clients through our active, risk-conscious asset management. We reduce potential individual risks through broad diversification. This allows us to achieve an optimal risk/return ratio in fixed income. In the interests of sustainably solid performance, we exploit all the investment opportunities arising from market inefficiencies and price distortions. We implement investment ideas promptly.
Besides strict risk management and clear responsibilities, we place particular emphasis on responsible fixed-income investments, especially with reference to ESG criteria (environmental, social and governance).
Our investment process
Swiss Life Asset Managers follows a hybrid investment process for fixed income and combines elements of top-down (e.g. the macroeconomic bird's eye view) and bottom-up strategies (including company valuations).
While the top-down approach takes the economic outlook into account, the bottom-up approach safeguards the solid, sustainable performance of the portfolio at the securities level. In doing so, the ESG criteria are always taken into account.
We ensure high analysis granularity and enable a holistic view of the portfolio through this hybrid approach.
Secure data-based investment credit analysis
The bottom-up analysis of our hybrid investment process allows different perspectives of the entire bond universe. It enables us to filter out those global securities with the greatest potential and to invest sustainably.
To avoid credit defaults, we resort to fundamental credit analysis. Our experienced competency centre covers several hundred issuers with classic, qualitative credit research. We combine this with our quantitative credit scoring model, which takes into account the entire global issuer spectrum.
ESG aspects as the basis of a comprehensive credit assessment
Experience in sustainable investing
Responsible investment strategies have become more important in recent years. Market players have recognised the advantages of taking ESG aspects into account in the investment process. We have long-term client obligations as an asset manager of a life insurance company, social responsibility is thus a key element of our ESG concept. Swiss Life Asset Managers has managed the assets of the Swiss Life Group and those of institutional third-party clients for over 160 years.
Long-term investments align with our historical responsibility to generate sustainable returns for our clients and enable them to lead a self-determined life.
Risk analysis of ESG criteria
As an asset manager, Swiss Life Asset Managers believes it has a fiduciary duty to consider sustainability criteria. ESG aspects are included as essential risk factors in our risk analysis process. We scrutinise investments in lower-rated issuers and assess the ESG performance of the issuer and its credit quality impact, alongside traditional key financial figures.
Sustainable investments to benefit our clients
Swiss Life Asset Managers is sticking to its mission: long-term returns are intended to help clients achieve their financial goals and lead a self-determined life. For this reason, we feel obliged to consider the opportunities and risks of ESG criteria in all our investments. That applies both to Swiss Life's insurance balance sheet as well as third-party asset management.
Our sustainable investment filters
In a multi-stage process, Swiss Life Asset Managers checks whether companies meet ESG criteria, excluding companies heavily involved in producing controversial weapons, that derive a significant proportion of revenue from the extraction or sale of coal, or companies or countries subject to sanctions or embargos. In every sustainable investment decision, we consider the ESG rating and compare the overall ESG scores with the benchmarks. Details on the multi-level process are in our Responsible Investment Report.
Overview of managed investments in fixed income
Bond and money market funds in the various fixed income segments and regions