Goodwood Inc.: an alternative to passive investment management
Our approach is focused on the preservation of capital through extensive and rigorous investment analysis on a position and portfolio basis.
Our Investment Strategy: An alternative to traditional fixed income
- Identify attractive high coupon corporate bonds with potential capital gains from credit rating upgrades, deleveraging, improving earnings and asset sales. Corporate bond coupons are 200-400% above equal term Canada’s
- 25+ year history of fundamental, bottom-up analysis of individual companies with predictable businesses. We use a value approach of investing and avoid companies that are sensitive to factors beyond management control
- The investment-grade bond mandate is active, nimble, and capitalizes on market inefficiencies created by the structure of the over-the-counter bond market
- Investment-grade portfolios are predominately Canadian companies. We expect Canadian issuers in the bond portfolio to be at a 90% minimum
- Predominately higher coupon, shorter maturity, corporate bonds resulting in a lower duration exposure. Our macro assessment on interest rate direction and curve positioning form only part of our investment process