Short Duration Convertible Bond

Seeks to generate asymmetric returns by investing in short-term domestic convertible bonds

Leverage an under-utilized asset class: A portfolio composed of short-term convertible bonds may offer investors liquid, lower beta, lower volatility-type exposures
Risk/reward: Invest in bonds that we believe have a strong likelihood to repay principal at maturity or put date, and strive to build portfolios having attractive upside/downside capture ratios, attractive yields, and strong cash flows
Preserve capital: Investment returns are expected to be driven by the optionality inherent in short-term, out-of-the-money convertibles while the structural benefits of a short duration portfolio priced near par value enhance capital preservation

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William W. Lee: Managing Director, Senior Portfolio Manager, Convertible Strategies


Ray Lam, CFA: Lead Portfolio Manager,
Short Duration Convertible Bonds;
Senior Vice President, Analyst, Convertible Strategies


Mitchell Leung, CFA: Associate Portfolio Manager, Convertible Securities;
Senior Vice President, Analyst, Convertible Strategies

Thursday, October 06, 2022
Palisade Capital Management Ranked Among Top 100 Financial Advisors by CNBC
Posted in Announcements: Palisade Capital Management is pleased to have been recognized in CNBC’s Financial Advisor (FA) 100 rankings for the third consecutive year, rising from number 88 in 2021 to number 56 in 2022. Palisade is proud to be the only New Jersey-based firm included in this year’s rankings.; Read More

Monday, November 21, 2022
Short Duration Convertible Bonds: A Compelling Alternative to Traditional Fixed Income
Posted in White Papers: The U.S. Federal Reserve’s fight against inflation through increases in the Fed Funds rate and quantitative tightening has led to the worst year on record for the U.S. fixed income markets (as measured by Bloomberg U.S. Aggregate Bond Index performance of -15.7% year-to-date through October 31, 2022). This environment, when combined with the potential for additional rate hikes, has resulted in significant losses to fixed income portfolios.; Read More

Tuesday, November 15, 2022
Post-Election Market Update
Posted in Market Commentaries: Palisade Capital Management Co-Chairman and Chief Investment Officer Dennison Veru shared his post-election update and our views on what may lie ahead for the markets as we head towards year-end.