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Institutional Investors

Credit Market Themes in 5 Charts Cover Photo

Credit Market Themes in 5 Charts

Q3 2024

As we head into the final quarter of 2024, we have compiled five charts that we think highlight some of the key themes and opportunities we see in the current market environment.

Credit Market Themes in 5 Charts
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2023 Sustainability Report

As stewards of our investors' capital, we view sustainability as a key part of our investment philosophy and business. In 2023, we refined how we assess Environmental, Social, and Governance (ESG) factors, recognizing their critical role in defining risks and opportunities for both invested capital and RPIA. In this 2023 report, we are proud to report on the enhancements and reinforced practices that are important to our role as an employer and our role as an asset manager.

2023 Sustainability Report

BBB, the Rising Star of Credit

July 2024

The BBB segment's market share has grown over time and presents many opportunities for active and tactical credit selection. We believe this segment is incredibly attractive for generating additional value to investor portfolios.

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Foundations Face an Uphill Battle, But Active Credit Can Help

March 2024

Due to the higher disbursement quota, we believe foundations should consider active credit strategies as a better, more liquid alternative to private investments.

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Our Solutions

Our Solutions

We serve a broad range of investors through a variety of solutions catering to their unique investment goals. We apply our differentiated active skillset in all our strategies, which vary from low-risk to higher-risk. Although our toolkit and risk/return levels vary across our suite of products, our credit expertise, proprietary technology, and rigorous risk management is applied throughout. We have collaborated closely with institutional investors in developing several of our strategies to ensure that the portfolio mandate aligns with their long-term investment objectives.

RPIA Develops a Bespoke Fossil Fuel Exclusion Strategy for Institutional Investors

RPIA Develops Carbon-Reduced Fixed Income Solution

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Investment Process

Investment Process

RPIA's approach is to apply a highly active, dynamic investment process that enables us to consistently extract value from the global credit market, driven by security selection. Investors do not need to compromise on credit quality or sacrifice liquidity to improve their portfolio returns. Our active approach can be distilled into four steps:

1. The members of our Investment Committee use their expertise and experience to collaborate and identify a key theme based on prevailing macroeconomic conditions.

2. The Credit Research Team conducts deep-dive research to determine the most compelling issuer, drawing from their knowledge of the sectors each team member covers.

3. We utilize our proprietary technology and expertise to identify the most attractively priced bond within that issuer's capital structure

4. The Portfolio Management Team sizes the position accordingly within the strategy based on factors such as conviction level, existing exposures, and liquidity considerations, to name a few.

The entire process is overseen by our independent Risk Management Team and Committee, who analyze policy constraints, stress testing, and concentrations across strategies.

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Our Strategies

Our Strategies

RPIA offers a range of investment strategies reflecting our investors' diverse risk and return objectives. Our flagship institutional long-only strategy is RP Broad Corporate Bond, which has evolved into a suite of strategies for specific goals in collaboration with investors. In addition to our institutional-focused mandates, we also offer absolute return-focused strategies.

1. Long-Only Strategies

  • RP Broad Corporate Bond
  • RP Broad Corporate Bond (BBB, Fossil Fuel Exclusion)
  • RP Broad Corporate Bond (Fossil Fuel Exclusion)

2. Alternative Credit & Fixed Income

  • RP Debt Opportunities
  • RP Select Opportunities
  • RP Fixed Income Plus

3. Mutual Funds

  • RP Strategic Income Plus Fund
  • RP Alternative Global Bond Fund
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ESG

ESG

RPIA considers Environmental, Social, and Governance ("ESG") factors when making investment decisions for all the strategies we manage. When we include these factors alongside traditional financial metrics, we can think more broadly about risk and make more prudent investment decisions. In other words, it is in the best interests of our investors to integrate ESG into our process. Through our in-depth credit research, we are in regular communication with the management teams of the issuers in which we invest. We have also partnered with an institutional investor to design a strategy that targets specific ESG outcomes and, in this case, an Environmental outcome. We have been a signatory to UN PRI since 2018 and have several other industry memberships (learn more).

Download Our ESG Policy Read Our 2022 Sustainability Report

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Explore Our Funds

RP Broad Corporate Bond

This actively managed credit strategy's primary objective is to outperform the FTSE Canada All Corporate Bond Index net of fees in a risk-controlled manner. The strategy aims to add value through superior credit selection across global credit markets and avoid uncompensated interest rate risk by remaining duration-neutral versus the benchmark.

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RP Broad Corporate Bond (Fossil Fuel Exclusion)

An actively managed credit strategy with the primary objective of outperforming the FTSE Canada All Corporate Ex Fossil Fuels Enhanced Bond Index by 100 bps (net of fees) on an annualized basis. The strategy merges our long-standing investment process with a transparent, rules-based approach to screening fossil fuel exposure out of the portfolio.

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RP Fixed Income Plus

This strategy aims to generate a stable return and low volatility by investing in a portfolio of investment grade money market instruments, government bonds, and high-quality corporate bonds primarily on a long basis but with the ability to use cash-covered short positions to hedge interest rate risk. The strategy’s investment portfolio is actively managed with low sensitivity to the direction of interest rates.

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Relationship Team

 
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Principal, Co-Head of Client & Product Solutions

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Director, Institutional Solutions

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Principal, Co-Head of Client & Product Solutions

 
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Principal, Client & Product Solutions

Irvin He Headshot

Manager, Client & Product Solutions

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Associate, Client Relations