Fixed Income Separately Managed Accounts
Source: Goldman Sachs Asset Management as of June 30, 2025. Assets Under Supervision (AUS) includes assets under management and other client assets for which Goldman Sachs does not have full discretion. The "United States Represented" item refers to where the FI SMA team has lived.
Learn more about fixed income SMA strategies and how they can work for you.
A bond is a loan from an investor to the issuer. The issuer borrows money in exchange for paying interest over the life of the bond plus the return of principal at maturity1. Maturities generally range from 30 days to 30 years with some maturities shorter or longer than this range.
Yield is the annualized return, expressed as a percentage, an investor receives over the life of the bond and is calculated based on the interest payments the bond pays relative to its market price. Interest rates and bond prices have an inverse relationship -- as yields move higher, prices (or market value) will move lower.
Duration is a measure of price volatility as interest rates rise or fall, also known as interest rate risk. The overall duration of a portfolio is determined by the duration of all its individual securities. Since rates and prices are inversely correlated, when interest rates rise, a higher duration portfolio will exhibit greater mark-to-market losses than a lower one (e.g., as interest rates increase by a certain percentage, a bond’s price will change inversely by the same percentage. For a 1% increase in interest rates, the value of the portfolio would decrease 1% for each year of duration.)
Investment Grade (“IG”) fixed income potentially provides a three-pronged benefit to portfolios by 1) generating a stable source of income by providing regular cash flows, 2) serving as a source of liquidity for rebalancing into risky assets, or as needed for other purposes, and 3) providing a hedge against equity risks and dampening portfolio volatility in risk off environments. Due to its reliability, IG fixed income is considered the “sleep-well” portion of the asset allocation.
The GSAM fixed income SMA platform allows clients to access the municipal and corporate market in a simplified approach. Our strategy keeps the investment objectives of principal preservation, low volatility, and predictable tax-exempt income at front of mind when constructing portfolios of fixed income securities. We provide a tailored approach for each unique client, as individual portfolios are managed with respect to the client’s state of residence, tax liability, credit exposure, risk tolerance, income needs, and any other prevailing specifications.
1Payment of interest and principal is subject to the credit of the issuer.







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