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Our philosophy and process

We take a differentiated, transparent and bottom-up approach to investment management, focusing on finding relative value among the tens of thousands of securities in the fixed income market.

Our investment process is driven by security selection, duration management, yield curve positioning and sector allocation, in concert with overall portfolio management.

We aim to identify undervalued securities that offer a strong total return profile relative to similar securities.

We focus on the most inefficient parts of the market, which often results in owning securities that are not included in the benchmark and are overlooked by peers but can offer strong risk-adjusted returns.

Duration is carefully managed to help control interest rate risk; however, we use it sparingly as an active portfolio management tool.

In conjunction with the portfolio duration decision, we identify broad interest rate trends and supply and demand relationships that may influence the shape of the yield curve.

 
Strategy team discussion

Investment team highlights

  • We have brought together a group of highly experienced investment professionals who excel at recognizing inexpensive cash flows with a high-quality bias.
  • We value open communication and collaboration with daily interactions covering everything from the portfolios to individual holdings to new investment opportunities.
  • Our research process is highly collaborative and leverages the expertise of each individual on the team.
  • All team members share responsibility for trading and reinvestment opportunities, allowing us to quickly take advantage of market dislocations.
DIAMOND HILL® CAPITAL MANAGEMENT, INC. | DIAMOND-HILL.COM | 855.255.8955 | 325 JOHN H. MCCONNELL BLVD | SUITE 200 | COLUMBUS, OHIO 43215
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