Since the launch of our proprietary bond investment business almost 20 years ago we have been focusing on investing and trading in high yield fixed income products both in the developed and emerging markets. With years, most of our peers have been gradually giving up their self-sufficiency by shutting down some of their original functions and switching to prime brokers for research and market access. Driven by cost-awareness and optimization, they did not realize at the time that in fact they lost control of their costs.What is even worse, they keep losing their edge as investors because the markets regularly punish for lacking the versatility.
Schildershoven has never been headed that way. The firm consistently builds, re-shapes and polishes its infrastructure with a single purpose of possessing the own, in-house means of analyzing and trading those markets as good as it gets.
Now we offer to our clients what we have been sculpting over the past decades for our own, proprietary use – the buyside research and the cost-efficient trades
Typical bond strategy highlights:
Corporate bondsAbsolute returnEvent-drivenActive rebalancing
THE RESEARCH – THE WAY YOU WOULD MAKE IT
Our research team is a value manufacturer, the chefs who make our meals. Its production unit is an investment idea. An idea that should perform well. Yes, we have in place all components of a diligent idea analysis and implementation: initial screening, conditional filtering, credit assessment, financial modeling, market analysis and a good pricing, but there is one key element that makes this investment process unique – the idea local crosschecks.
The content of our globally diversified portfolios is made up of an array of investment particles, the allocations evenly spreading across Latin America, the U.S., EMEA, Central and Eastern Asia. Staying on alert in all places at a time is the one difficult task to achieve. We do it by speaking with the locals. Hundreds of our clients and trading counterparties in those regions always have more to say on the subject, which either supports or ruins an idea that might look great to us at a distance. We appreciate the value of this open information exchange and no idea goes past our investment committee approval without consideration of that local color. It gives our investors a sense of extra confidence, while we add toour ability to properly manage complex situations in a rapidly changing world.
THE TRADING – THE WAY YOU WOULD WANT IT
In our experience, a neat trade execution in a less liquid HY market adds as much as 2% to the portfolio total return. Size, price and time are the critical parameters that no one wants to compromise. Neither do we. Since the late 1990s, we have shaped our global trading network that now perfectly backs up with liquidity every piece of our portfolios.Regardless of the region, we shall deliver a price for a bond on an OTC market. A good price for a needed size, on time.
Our regular market counterparties are high profile, well-established international financial institutions, as well as smaller locally regulated banks, funds, multi-family offices. All our clients are professional investors, as classified by MIFID.
Since the launch of our proprietary bond investment business almost 20 years ago we have been focusing on investing and trading in high yield fixed income products both in the developed and emerging markets. With years, most of our peers have been gradually giving up their self-sufficiency by shutting down some of their original functions and switching to prime brokers for research and market access. Read more
Traditionally, when we shop for high-quality food, nicely-decorated shops and famous brands are no guarantee that we won’t wind up with something unpalatable. Even worse, sometimes our incidental ignorance or willful negligence may cost us our health. In a similar respect, the ingredients that go into the financial products we consume and the way they are prepared at financial shops is best checked before we digest it. Unfortunately, it must be accepted that most cooks would not welcome us into their kitchens most of the time.
Not that we’d always take this opportunity, but having it available
to us, just in case, provides a bit of extra motivation for the chefs
to wash their hands and stick to the recipe.
Whenever you feel that our products reflect your tastes, we
welcome you to look at our counter, meet the team, drop into the
kitchen, check out the backyard, and take a sample.
We hope you’ll enjoy it.
Confidence rules. So does having the means to achieve it. We have been extensively consuming financial services and products as proprietary investors for almost 20 years. We know the tips and the tricks that are used at the conveyor belt on which these products are assembled. Now it is time to share our experience with our fellow investors in order to help them utilize proper investment vehicles, slash costs, stay safe from sales scams, and ultimately achieve better results. We can enhance our logic and handle investment risks by using what’s called a real-money approach. It is also fully transparent.
Most small and mid-sized investors are locally focused. They adopt this approach because of the cost of expanding coverage and due to a persistent lack of time. Thus, the expansion capacity of a typical hedge fund setup is capped by the physical ability of its individual managers to cope with running their present business. We complement the resources of money managers by taking them beyond their habitats to discover trading ideas in Asia, Europe, Latin America, and Africa – that is, worldwide.
Instead, we present advice that is comparable to what you might hear in confidence from your peers, which will help you make timely and responsible decisions when you trade - what we call your local INTELLIGENCE.
Compliance is all about respect. Respect for fair rules, ethics and proper conduct. We put trust in those values and back them with our operating policies; these are rooted in the industry's fundamental reliance on responsibility. It is an illusion that the demands of the profession have become more rigorous. Those demands have always been sufficiently high. The only real change is that the monitoring methods which are used to assess service quality have been upgraded to suit the complicated products that we, the financiers, provide.
Making things happen: it’s when your idea comes into life in a timely manner and is implemented in the most cost-efficient way. By having your own trade execution platform, you will get the best trade terms without compromising on its costs. The hundreds of liquidity sources that are available to Schildershoven worldwide via direct trade lines multiply their value at times when markets are stressed, when liquidity becomes scarce and when everyone needs it the most.
Know what you buy Examining the changes in the supervisory environment in relation to the investor protection, below we give our own interpretation of what they may mean to the OTC markets.