FCBD is an actively managed fund-of-funds that targets the US investment grade bond market. The portfolio holds 6 to 12 underlying ETFs that provide exposure to fixed income securities, including US government bonds, corporate debts, asset- and mortgage-backed securities, commercial paper, and inflation-linked securities. The fund does not target a specific weighted average maturity either individually or the portfolio in aggregate. The asset allocation mix is determined through a mean variance optimization process, focusing on expected returns, standard deviations, and correlations of different asset classes. The ETF selection process includes quantitative, qualitative, and manager edge to filter funds based on their ability to provide low-cost asset class exposure and add value on either an absolute or risk-adjusted basis. Other factors such as market conditions, valuation metrics, risk profiles, and expected growth potential are also considered.

FCBD Holdings & Sector Breakdown