Our Clients’ Objectives Define and Drive What We Do

Working For You

We offer institutional clients a broad range of investment capabilities and local, accessible service.

All data as of September 30, 2019

0
States* with local, specialized sales and client service professionals *and the District of Columbia
0
Dedicated PNC Capital Advisors relationship managers and portfolio specialists
0 yrs
Average client
relationship tenure

We define success by our ability to achieve client expectations.

No two organizations’ fixed income investment goals or constraints are the same, which is why we emphasize building strong relationships and clear channels of communication with our clients. Through our local client service model and accessible investment team, we strive for a superior investment experience.

Who We Serve

Corporate Clients
Nonprofit Organizations
Insurance Companies
Taft-Hartley
Healthcare Organizations
Public Funds

Corporate Clients

Energy ● Industrial ● Financial Services ● Information Technology ● Materials ● Consumer Goods & Services ● Professional Services

$ 0 B
Assets Under
Management

As of November 21, 2019

Objectives
Solutions

Corporations serve many stakeholders, including their employees, their investors, and the communities within which they operate.

Many also face a rapidly shifting competitive landscape that is being reshaped by technology, geopolitical developments, or other outside factors.

Given this demanding environment, there is a heightened focus on optimizing risk-adjusted investment performance.

Common objectives our clients convey include:

  • Maximizing short-term balance sheet assets in a persistently low interest rate environment
  • Crafting a socially responsible fixed income investment strategy that conforms to their investment policy statement
  • Minimizing volatility of pension plan funded status

We believe our corporate clients benefit from our consultative approach to defining their investment solutions, as we work to understand their operating profile, liquidity positions, and long-term strategic plans.

Additionally, we offer advanced reporting capabilities to ease their regulatory requirements.

Common solutions for our clients include:

  • Solutions for operating assets, including customized cash portfolios and other short-duration investment strategies
  • Liability hedging portfolios customized to a pension plan’s unique liability cash flows
  • Fixed income investment strategies designed with the objective of providing consistent risk-adjusted returns

Nonprofit Organizations

Foundations ● Endowments ● Religious ● Education ● Charitable Institutions
$ .0B
Assets Under
Management

As of November 21, 2019

Objectives
Solutions

Nonprofits are focused on executing their mission and need an investment manager that understands and prioritizes their goals and operates within their risk tolerance guidelines.

They are also faced with navigating a variety of investment challenges, including historically low interest rates, increasingly demanding regulatory requirements, volatile economies and financial markets, and the proliferation of complex investment strategies and alternatives.

Common objectives our clients convey include:

  • Having sufficient capital to operate effectively while maximizing return on short-term balance sheet assets
  • Investing within certain responsible investing guidelines
  • Growing assets, but with a focus on portfolio preservation and defensive risk management
We work with our Nonprofit clients to understand their specific investment, operational, distribution, and capital preservation goals to tailor an investment portfolio that aligns with their mission. Common solutions for our clients include:
  • Customized cash portfolios with maturities matched to scheduled disbursement dates
  • Diversified investment portfolios that emphasize quality, portfolio preservation, and risk-adjusted returns
  • Crafting a responsible investing fixed income strategy that conforms to their investment policy statement

Insurance Companies

Property & Casualty ● Health ● Life ● Captive ● Reinsurance ● Multiline ● Fraternal ● Commercial

$ 0 B
Assets Under
Management

As of November 21, 2019

Objectives
Solutions

Insurers are routinely faced with navigating a variety of investment challenges, including historically low interest rates, increasingly demanding regulatory requirements, volatile economies and financial markets, and the proliferation of complex investment strategies and alternatives.

Given the dynamics of this demanding market environment, there is a heightened focus on optimizing risk-adjusted investment performance.

Common issues our clients face include:

  • Meeting investment performance expectations within a risk-based capital framework
  • Minimizing investment volatility while producing returns to meet liability needs
  • Conforming to regulatory requirements and ratings-agency challenges
  • Managing multiple, complex, long-term asset pools in a variety of product and distribution segments

We leverage the cumulative industry experience and insights of our team to craft tailored investment solutions that incorporate regulatory and risk constraints specific to our insurance clients.

Additionally, we offer regulatory reporting capabilities to ease our clients’ administrative burden.

Common solutions for our insurance clients include:

  • Customized cash management portfolios with maturities matched to scheduled disbursement dates
  • General account portfolios constructed to specific risk/yield objectives and NAIC quality and liquidity parameters
  • Diversified investment portfolios with an emphasis on quality and risk-adjusted returns

Taft-Hartley

Multi-employer Pensions ● Manufacturing ● Retail Trade and Services ● Mining ● Trucking and Transportation

$ 0 B
Assets Under
Management

As of November 21, 2019

Objectives
Solutions

Multi-employer benefit plans, as set forth under the Taft-Hartley Act of 1947, have complex investment considerations.

Many face large plan funding gaps that are exacerbated by the current low interest rate environment.

Unique regulatory requirements and moderate risk tolerances also create hurdles to achieving desired returns.

Common objectives our clients convey include:

  • Balancing return objectives to close a funding shortfall with the need to reduce plan funding-level variability
  • Minimizing the volatility of required contributions
  • Mitigating overall downside risk

Our Taft-Hartley investment solutions can play several roles, including complementing the return-seeking assets of a plan’s portfolio, de-risking a plan’s portfolio to protect and improve funding status, generating income to pay current and future pension obligations, and/or supporting the glide path to full funding.

Common solutions for our Taft-Hartley clients include:

  • Customized liability-hedging portfolios
  • Customized cash portfolios with maturities matched to scheduled disbursement dates
  • Diversified investment portfolios that emphasize quality and risk-adjusted returns

Healthcare Organizations

Not-for-profit and For-profit Healthcare Systems ● Insurers ● Physician Groups ● Academic Medical Centers ● Senior Care Providers

$ 0 B
Assets Under
Management

As of November 21, 2019

Objectives
Solutions

Healthcare organizations face myriad challenges, including operating margin pressure, an evolving regulatory environment, and industry consolidation, which heightens the need for these organizations to balance prudent risk management with investment opportunities and goals.

Common issues our clients face include:

  • Maximizing short-term balance sheet assets in a persistently low interest rate environment
  • Crafting a responsible investing fixed income strategy that conforms to their investment policy statement
  • Minimizing volatility of pension plan funded status
  • Investing insurance pool assets in line with regulatory requirements

We believe our healthcare clients benefit from our consultative approach to defining their investment solution, as we work to understand their operating profile, liquidity positions, and long-term strategic plans.

Common solutions for our healthcare clients include:

  • Solutions for operating assets, including customized cash portfolios and other short-duration investment strategies
  • Liability hedging portfolios customized to a pension plan’s unique liability cash flows
  • Fixed income investment strategies designed with the objective of providing consistent risk-adjusted returns

Public Funds

State and Local Governments ● Police and Fire ● Utilities ● Public Education ● Transportation

$ 0 B
Assets Under
Management

As of November 21, 2019

Objectives
Solutions

State and local governments rely on taxpayer funding for the maintenance and betterment of their communities.

Many public funds also support the pensions of government employees.

Volatile financial markets, current low interest rates, and regulatory hurdles all influence public funds’ investment strategies.

Common objectives our clients convey include:

  • Balancing return objectives to close a pension plan funding shortfall while reducing funding-level variability
  • Maximizing short-term balance sheet assets in a persistently low interest rate environment
  • Growing assets, but with a focus on portfolio preservation and defensive risk management
  • Managing bond proceeds to expected cash outlays

Our Public Funds clients not only benefit from our range of fixed income investment solutions, but they also gain an investment manager that often has direct experience in their particular market, due to our geographic footprint and local client service model.

Common solutions for our Public Funds clients include:

  • Customized liability-hedging portfolios for pension funds
  • Customized cash portfolios for local government investment pools or portfolios with maturities matched to scheduled disbursement dates
  • Diversified investment portfolios that emphasize quality and risk-adjusted returns
Timothy McDonough, CFA
Managing Director

Delivering exceptional performance is only one dimension of our commitment to clients. We endeavor to understand our clients’ goals from every angle and be a partner in providing a comprehensive investment solution.

Our Client-Centered Approach

Discover
Determine client investment objectives and risk tolerances

Review investment parameters and constraints

Consider current investment portfolio and/or established guidelines
Define
Provide perspective on investment approach based on client objectives

Incorporate custom needs as appropriate in investment policy statement (IPS)

Assign appropriate performance measurement/benchmark to evaluate outcomes
Implement
Incorporate client objectives in portfolio construction process and integrate IPS in trading systems

Develop targeted portfolio characteristics through a team-based approach

Verify strategic intent of portfolio through quantitative analysis
Collaborate
Actively communicate on portfolio changes and market updates through dedicated service team and portfolio specialists

Compliance team regularly monitors adherence to guidelines

Adjust strategy as needs evolve
Discover
Determine client investment objectives and risk tolerances

Review investment parameters and constraints

Consider current investment portfolio and/or established guidelines
Define
Provide perspective on investment approach based on client objectives

Incorporate custom needs as appropriate in investment policy statement (IPS)

Assign appropriate performance measurement/benchmark to evaluate outcomes
Implement
Incorporate client objectives in portfolio construction process and integrate IPS in trading systems

Develop targeted portfolio characteristics through a team-based approach

Verify strategic intent of portfolio through quantitative analysis
Collaborate
Actively communicate on portfolio changes and market updates through dedicated service team and portfolio specialists

Regular monitoring of adherence to guidelines by compliance team

Adjust strategy as needs evolve