The Radcliffe Ultra Short Duration strategy, launched in 2009, has capitalized on persistent structural market inefficiencies that result in supply/demand imbalances in many short-term bonds that are sold as they approach maturity. Utilizing fundamental analysis with a focus on safety under all market conditions, we seek the small subset of corporate and convertible bonds with:
high credit quality (regardless of ratings or lack of ratings)
an average term-to-worst of about one year
The strategy’s objective is to consistently achieve meaningfully higher net returns than short-term high-grade bond funds, with minimal default risk, while avoiding both the duration risk and credit risk of other fixed income strategies.