Fixed Income

Indexed Fixed Income

Fixed income investing that is reliable, transparent and risk-controlled.

Our Expertise

As indexed investing pioneers and one of the largest institutional managers in the world, we provide clients with the flexible indexed fixed income solutions and experience that investors need today.*

25+

Years' Experience

$555B

Indexed Fixed Income AUM

100+

Indexed Fixed Income Strategies

*All data as of June 30, 2023

Why Indexed Fixed Income?

Solving for the main objectives of protection and income is more complex for investors than ever. With electronic trading platforms and the expanding use of ETFs making markets increasingly transparent and efficient, the value of indexed fixed income management exposures is greater than ever before. Benefits of indexing within fixed income include:

Reliability

With more precise tracking to the benchmark across risk dimensions, index allocations deliver the results investors expect.

Flexibility

Offering diversified, less concentrated exposures can complement less liquid allocations in a broader investment portfolio.

No Style Biases

In contrast to active management, indexed fixed income targets index exposure, which means when a sector performs well so will your investment.

Costs

No matter the investing environment, lower fees translate into higher returns.

Our Approach

As skilled fixed income investors with more than forty years of indexing experience, we know that indexed fixed income is not the same as full replication of an index. That is why we constantly look for ways to reduce the cost of delivering index-like returns, with an approach that seeks to:

Control Risk

We focus on tight tracking relative to the index, with the goal of delivering no surprises.

Minimize Cost

Unlike equity markets, fixed income indices are constantly changing. Through a disciplined, time-tested stratified sampling process, we seek to reduce the cost of implementation and turnover a like.

Add Incremental Return

Whether through sophisticated trading techniques such as participation in new issue markets or identifying more attractively valued securities, we are always looking to offset and reduce the cost of implementation.

Our Offering

We manage over $555 billion across a range of indexed fixed income strategies. Our expertise in managing complex exposures across sectors and geographies—incorporating innovative trading techniques—gives us an unmatched ability to allocate sources of risk and return from various markets, resulting in attractive economics and better access to primary markets. Our comprehensive platform of indexed fixed income capabilities includes:

Sovereigns	Multi Sector	Investment Grade Corporates	ESG	High Yield Corporates	Securitized	Emerging Markets
$257 B	$136 B	$81 B	$71 B	$33 B	$9 B	$39 B

Source: State Street Global Advisors as of 30 June 2023.

Contact Us

To learn more about our perspectives on the trends shaping fixed income markets, contact us.

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Disclosure

Important Risk Information

For Institutional /Professional investors use only.

Marketing Communication.

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The views expressed in this material are the views of the EMEA Fixed Income Specialists of State Street Global Advisors Global Fixed Income Group and are subject to change. This document contains certain statements that may be deemed forward-looking statements. Please note that any such statements are not guarantees of any future performance and actual results or developments may differ materially from those projected.

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The information provided does not constitute investment advice as such term is defined under the Markets in Financial Instruments Directive (2014/65/EU) and it should not be relied on as such. It should not be considered a solicitation to buy or an offer to sell any investment. It does not take into account any investor's or potential investor’s particular investment objectives, strategies, tax status, risk appetite or investment horizon. If you require investment advice you should consult your tax and financial or other professional advisor.

Bonds generally present less short-term risk and volatility than stocks, but contain interest rate risk (as interest rates raise, bond prices usually fall); issuer default risk; issuer credit risk; liquidity risk; and inflation risk. These effects are usually pronounced for longer-term securities. Any fixed income security sold or redeemed prior to maturity may be subject to a substantial gain or loss.

Investments in emerging or developing markets may be more volatile and less liquid than investing in developed markets and may involve exposure to economic structures that are generally less diverse and mature and to political systems which have less stability than those of more developed countries.

The returns on a portfolio of securities which exclude companies that do not meet the portfolio's specified ESG criteria may trail the returns on a portfolio of securities which include such companies. A portfolio's ESG criteria may result in the portfolio investing in industry sectors or securities which underperform the market as a whole.

All information is from State Street Global Advisors unless otherwise noted and has been obtained from sources believed to be reliable, but its accuracy is not guaranteed. There is no representation or warranty as to the current accuracy, reliability or completeness of, nor liability for, decisions based on such information and it should not be relied on as such.