FIXED INCOME STRATEGIES
BE INTENTIONAL
Fixed income strategies intentionally constructed for
today’s market opportunity.
today’s market opportunity.
FIXED INCOME
Strategies for
shifting markets
As we move into the next stage of the Federal Reserve cycle, we are entering a pivotal time for fixed income. In our view, investors may be well-served by the attractive yields and the contractual cash flows now available in intermediate-term fixed income, where high quality debt can be an important component of an investor’s portfolio allocation. Now may be an ideal time to start considering extending duration. We believe that in this environment, potential opportunity may be available to bond investors in a variety of core fixed income strategies offered by BNY Investments.
In our video program, THE SHIFT, we provide valuable perspectives for financial advisors in the ever-evolving market landscape. As market paradigms shift, it’s essential to adapt and explore new investment approaches. Discover why there is a compelling case to consider fixed income investing now.
Is it time to allocate to fixed Income?
Bond market returns are powered by income—and with starting yields at near-term highs, adynamic shift may await fixed income investors.
Yields Still Attractive After Fed Cuts
- Fixed income yields remain attractive as they sit near the high end of their post-pandemic range.
- Bonds may potentially offer materially higher yields than equity dividends and may have less risk.^
- Relative to equity dividend yields, bonds appear cheaply priced as well.^
HIGHER YIELDS ACROSS THE BROADER BOND MARKET
Past performance is not indicative of future results. Source: Bloomberg, Insight calculations. Data as of December 31, 2024. Charts are provided for illustrative purposes and are not indicative of the past or future performance of any product. No investment strategy or risk management technique can guarantee returns or eliminate risk in any market environment. *Tax-equivalent yield (TEY) is calculated using a 40.8% tax bracket, which includes a 37.0% top federal marginal income tax rate and a 3.8% Net Investment Income Tax (NIIT).
U.S. Agg = Bloomberg U.S. Aggregate Index; MBS = Bloomberg U.S. Mortgage Backed Securities (MBS) Index; Investment grade= Bloomberg U.S. Corporate Bond Index; ABS = Bloomberg U.S. Aggregate ABS Index; EM (USD) Emerging market hard currency = Bloomberg Emerging Markets Hard Currency Aggregate Index; High yield = Bloomberg U.S. Corporate High Yield Bond Index; S&P 500 = S&P 500 Total Return Index. Investors cannot invest directly into an index. Please read important disclosures at the bottom of this page for index descriptions.
^ Asset class comparisons such as comparing equities to bonds have limitations because different asset classes may have characteristics that materially differ from each other. Because of these differences, comparisons should not be relied upon solely as a measure when evaluating an investment for any particular portfolio. Comparisons are provided for illustrative purposes only. Although stocks have greater potential for growth than bonds, they also have much higher levels of risk. With stocks, the prices can rise and fall for a variety of reasons, including factors outside of the company's control. Bonds may be considered relatively safer. Because they're a debt security, they function as an IOU. The company pays interest to the bondholder, and once the bond matures, the bondholder receives the principal bank. Bonds aren't completely risk-free; there is the possibility of the issuer defaulting on its bonds, and if sold prior to maturity the market value may be higher or lower than the purchase value. But compared to stocks, historically there's been less volatility.
Explore the series
Why it May be the Time to Consider a Global Fixed Income Approach
With US Treasuries at times failing to act as a safe haven through recent market stress, Brendan Murphy, Insight’s Head of Fixed Income - North America, argues a globally diversified fixed income approach is worth considering.
Why Volatility Can Mean Opportunity in Core Plus Strategies
Can chaos create opportunity? Market volatility has spiked in recent weeks, following tariff announcements and increased trade tensions. James DiChiaro, Senior Portfolio Manager at Insight Investment, discusses how volatility may uncover opportunities in fixed income.
Corporate credit – risks and opportunities ahead
Is the increase in demand for investment grade corporate credit indicative of a positive outlook for the credit markets?
International markets may offer unique opportunities
Considering the yields from fixed income are approaching long-term equity returns, should investors allocate a larger portion to fixed income in the current market environment?
Stay active—it’s a bond picker’s market
Why is it important for investors to stay active, considering the various opportunities within fixed income and the potential value across different sectors?
Our Funds
Are you prepared for the fixed income markets of today? Carefully risk managed through a focus on high-quality bond issues, our core fixed income strategies take an intentional, outcome-focused approach to seek out opportunities across the fixed income universe.
BNY Mellon Core Plus Fund
Class I - DCPIX
Overall Morningstar Rating
Morningstar Rating™ as of June 30, 2025 for the Class I class shares; other classes may have different performance characteristics. Overall rating for the Intermediate Core-Plus Bond category. Fund ratings are out of 5 Stars: Overall 4 Stars (541 funds rated); 3 Yrs. 4 Stars (541 funds rated); 5 Yrs. 4 Stars (480 funds rated); 10 Yrs. 4 Stars (353 funds rated).
The fund seeks high total return consistent with preservation of capital. To pursue its goal, the fund normally invests in a diversified portfolio of fixed-income securities of U.S. and foreign issuers. Typically, the fund’s portfolio can be expected to have an average effective duration ranging between three and eight years.
BNY Mellon Global Fixed Income Fund
Class I - SDGIX
Overall Morningstar Rating
Morningstar Rating™ as of June 30, 2025 for the Class I class shares; other classes may have different performance characteristics. Overall rating for the Global Bond-USD Hedged category. Fund ratings are out of 5 Stars: Overall 4 Stars (101 funds rated); 3 Yrs. 4 Stars (101 funds rated); 5 Yrs. 4 Stars (96 funds rated); 10 Yrs. 4 Stars (60 funds rated).
The fund seeks to maximize total return while realizing a market level of income consistent with preserving principal and liquidity. To pursue its goal, the fund normally invests at least 80% of its net assets, plus any borrowings for investment purposes, in U.S. dollar and non-U.S. dollar-denominated fixed-income securities of governments and companies located in various countries, including emerging markets.
News & Views
What’s behind our intentional fixed income solutions?
In building a balanced portfolio, investors typically seek stability, dependability, and diversification. At BNY Investments, we do not believe in chasing shortcuts to success. In navigating uncertainty, rigorous discipline and consistency count.
1
Active management
Our fixed income funds are actively managed by seasoned investors with extensive track records, looking to unlock hidden opportunities around the world.
2
Fundamental research
Our investment manager, Insight Investment, prides itself on rigorous bottom-up research with analysts covering both credit and sovereign issuers and issues. Insight’s value comes from knowing it’s investment universe inside to make informed allocation decisions driven by intense research.
3
Full spectrum
Whether you are looking for a solution that provides core fixed income exposure plus the opportunity to capture alpha from securities outside the “core” category or the potential to capitalize on trends outside of the US, we have a range of strategies across the fixed income universe to suit your needs.
ABOUT INSIGHT
Insight Investment is a leader in global fixed income and liability-driven investing with a rich history of innovation across fixed income markets. Our investment teams specialize across corporate and structured credit, government and municipal bonds, stable value, emerging market debt, liquidity solutions and currencies.
In contrast to the traditional focus on maximizing return and minimizing volatility, our approach prioritizes the certainty of meeting investors’ chosen objectives by diagnosing and managing risks to a desired outcome. We focus on consistency of returns by taking only compensated risks, seeking sustainable sources of income and aiming to exploit pricing inefficiencies across the full fixed income universe.
- $784.2bn in assets under management1
- Offices in London, New York, Boston, San Francisco, Dublin, Frankfurt, Manchester, Sydney and Tokyo
- 275 Investment professionals, 165 of which specialize in fixed income, with an average of 19 years of experience in the sector. 2
1 As of 12/31/2024
2 As of 12/31/2024
ABOUT BNY INVESTMENTS
BNY is a global investments company dedicated to helping its clients manage and service their financial assets throughout the investment lifecycle. Whether providing financial services for institutions, corporations or individual investors, BNY delivers informed investment management and investment services in 35 countries. As of December 31, 2024, BNY had $52.1 trillion in assets under custody and/or administration, and $2.0 Trillion in assets under management. BNY can act as a single point of contact for clients looking to create, trade, hold, manage, service, distribute or restructure investments. BNY is the corporate brand of The Bank of New York Mellon Corporation (NYSE: BK). Additional information is available on www.bny.com. Follow us on LinkedIn or visit our Newsroom for the latest company news.
Investors should consider the investment objectives, risks, charges, and expenses of a mutual fund carefully before investing. Contact a financial professional or visit bny.com/investments to obtain a prospectus, or a summary prospectus, if available, that contains this and other information about the fund, and read it carefully before investing.
All investments involve risk, including loss of principal. Certain investments involve greater or unique risks that should be considered along with the objectives, fees, and expenses before investing.
No investment strategy or risk management technique can guarantee returns or eliminate risk in any market environment. Asset allocation and diversification cannot assure a profit or protect against loss.
Bonds are subject to interest rate, credit, liquidity, call and market risks, to varying degrees. Generally, all other factors being equal, bond prices are inversely related to interest-rate changes and rate increases can cause price declines. High yield bonds involve increased credit and liquidity risk than higher rated bonds and are considered speculative in terms of the issuer’s ability to pay interest and repay principal on a timely basis. Investing in foreign denominated and/or domiciled securities involves special risks, including changes in currency exchange rates, political, economic, and social instability, limited company information, differing auditing and legal standards, and less market liquidity. These risks generally are greater with emerging market countries. Mortgage-backed securities: Ginnie Maes and other securities backed by the full faith and credit of the United States government are guaranteed only as to the timely payment of interest and principal when held to maturity. The market prices for such securities are not guaranteed and will fluctuate. Privately issued mortgage-related securities also are subject to credit risks associated with the underlying mortgage properties. These securities may be more volatile and less liquid than more traditional, government-backed debt securities. The use of derivatives involves risks different from, or possibly greater than, the risks associated with investing directly in the underlying assets. Derivatives can be highly volatile, illiquid, and difficult to value and there is the risk that changes in the value of a derivative held by the portfolio will not correlate with the underlying instruments or the portfolio’s other investments.
The Morningstar RatingTM for funds, or "star rating", is calculated for managed products with at least a 3-year history. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance (not including the effects of sales charges, loads and redemption fees if applicable), placing more emphasis on downward variations and rewarding consistent performance. Managed products; including open-end mutual funds, closed-end funds and exchange-traded funds; are considered a single population for comparative purposes. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its 3-, 5-, and 10-year (if applicable) Morningstar Rating metrics. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. The fund represents a single portfolio with multiple share classes that have different expense structures. Other share classes may have achieved different results.
The ICE Bofa US 3 Month Treasury Bill Index measures the performance of US dollar denominated US Treasury Bills. The Bloomberg US Aggregate Index is a broad-based benchmark that measures the investment grade, US dollar-denominated, fixed-rate taxable bond market. The S&P 500 Index is an unmanaged index that tracks the performance of the 500 largest US companies. The Bloomberg US Mortgage Backed Securities (MBS) Index tracks fixed-rate agency mortgage backed pass-through securities guaranteed by Ginnie Mae (GNMA), Fannie Mae (FNMA), and Freddie Mac (FHLMC). Bloomberg US Corporate Bond Index measures the investment grade, US dollar-denominated, fixed-rate, taxable corporate bond market. Bloomberg US Corporate High Yield Bond Index measures the US dollar-denominated, high yield, fixed-rate corporate bond market. Bloomberg US Asset-Backed Securities (ABS) Index is the ABS component of the Bloomberg US Aggregate Bond Index, a flagship measure of the US investment grade, fixed-rate bond market. Bloomberg EM Hard Currency Aggregate is a flagship hard currency Emerging Markets debt benchmark that includes USD, EUR, and GBP-denominated debt from sovereign, quasi-sovereign, and corporate EM issuers.
This material has been provided for informational purposes only and should not be construed as investment advice or a recommendation of any particular investment product, strategy, investment manager or account arrangement, and should not serve as a primary basis for investment decisions.
Prospective investors should consult a legal, tax or financial professional in order to determine whether any investment product, strategy or service is appropriate for their particular circumstances. Views expressed are those of the author stated and do not reflect views of other managers or the firm overall. Views are current as of the date of this publication and subject to change.
The information is based on current market conditions, which will fluctuate and may be superseded by subsequent market events or for other reasons.
References to specific securities, asset classes and financial markets are for illustrative purposes only and are not intended to be and should not be interpreted as recommendations. Information contained herein has been obtained from sources believed to be reliable, but not guaranteed. No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission.
Investment advisory services in North America are provided by Insight North America LLC, a registered investment adviser and regulated by the U.S. Securities and Exchange Commission (SEC). Insight North America LLC is associated with other global investment managers that also (individually and collectively) use the corporate brand Insight Investment and may be referred to as "Insight" or "Insight Investment."
BNY Investments is one of the world's leading investment management organizations encompassing BNY's affiliated investment management firms and global distribution companies. BNY is the corporate brand of The Bank of New York Mellon Corporation and may also be used as a generic term to reference the Corporation as a whole or its various subsidiaries generally. BNY Investment Advisor, Inc., Insight Investment and BNY Mellon Securities Corporation are subsidiaries of BNY.
© 2025 BNY Mellon Securities Corporation, distributor, 240 Greenwich Street, 9th Floor, New York NY, 10286.
Not FDIC-Insured | No Bank Guarantee | May Lose
MARK-709327-2025-03-25