Aiming to generate cashflow, preserve capital and harness the long-term credit risk premium
Celebrating 10 years of Buy and Maintain
Our approach
The principle behind our approach to buy and maintain is to structure a credit portfolio of investment grade securities that can be held through to maturity. Our investment process has two distinct parts: ‘buy’, which determines initial portfolio construction; and ‘maintain’, which covers portfolio monitoring, decisions about when to hold and sell securities and how to replace the value of bonds that have been sold.
Our buy and maintain approach has the following core features:
Globally diversified*
Macro thematic research
Fundamental credit analysis
Targets value preservation
Key highlights
Buy and maintain portfolios seek to capture the credit risk premium within a globally diversified portfolio of predominantly investment grade bonds, while aiming to preserve value over the course of the credit cycle.
Some of the key highlights of LGIM Buy and Maintain Credit:
- Globally diversified1 and a proven track record2
- Integrated hedging and cashflow matching
- Preparation for endgame
- ESG capabilities
1/*It should be noted that diversification is no guarantee against a loss in a declining market.
2LGIM Buy and Maintain Credit has now reached its 10-year anniversary.
Our awards
Further reading
Buy and Maintain Credit
Aiming to generate cashflow, preserve capital and harness the long-term credit risk premium
LGIM Talks
Podcast: What does the term ‘cashflow-driven investing’ actually mean?
Get in touch
Get in touch
If you would like any further information please complete the contact us form.
Key risks
The value of an investment and any income taken from it is not guaranteed and can go down as well as up, you may not get back the amount you originally invested. Awards should not be considered a recommendation. Past performance is no guarantee of future results.
Whilst LGIM has integrated Environmental, Social, and Governance (ESG) considerations into its investment decision-making and stewardship practices, this does not guarantee the achievement of responsible investing goals within funds that do not include specific ESG goals within their objectives.