In fixed income, over the long run, yield drives total return.  In municipal bonds that yield may carry additional tax-efficiency benefits.  This high yield municipal bond strategy, available in a separately managed account (SMA), is designed to achieve strong long term total returns derived primarily, if not entirely, from the income produced by the securities held in a given portfolio, much like how the S&P 500’s long term total return has been materially attributed to reinvested dividend income.

The foundation of the process by which portfolios are constructed is an intensive, comprehensive reliance on bottom-up credit analysis.  We take the time and make the effort to understand not just the basic profile of a given credit, but also its risk profile, and what remedies are available to us as lenders in the event something goes awry.  Subsequently, specific security selection analysis is conducted on a strict relative value basis.  This step is critical in an over-the-counter environment such as the municipal bond market.  We are not taking risk indiscriminately.  We’re striving to adequately compensate shareholders for the risk we take, in a marketplace that affords the professional manager ample opportunities to exploit inefficiencies inherent to that market.

Our aim with this approach is to build portfolios that provide above-market yields so to justify the risk (absolute and relative) represented in the credits behind the securities we select for inclusion.


We believe this strategy can offer investors the following:


130+ years in the industry


Investment thesis/process has evolved to match modern investors’ needs


Comprehensive approach to risk and portfolio dynamics


We do one thing: Build municipal bond portfolios


Long-standing relationships ensures access to opportunities


Team is poised to react to opportunity as it occurs

Portfolio Managers

Troy Willis, J.D., CFA

Troy Willis, J.D., CFA

Chief Investment Officer, Municipal Bond Strategies

Joseph Gulli

Joseph Gulli

Partner, Portfolio Manager


Credit selection is critical, and we conduct regular, in-person inspections for the majority of the products in which we invest. This includes interviews with management and a detailed inspection of financial statements and bond documents.

Our portfolio is more concentrated with a high conviction on what we own. We know our credits well. A seasoned team of individuals with extensive high yield and distressed experience ensures each investment is meaningful, and thoughtful.

We believe below investment grade project revenue bonds at discounted pricing offer the most compelling opportunity. With proper due diligence, these investments provide some of the best value across all asset classes.

A streamlined investment process enables us to act quickly in a changing market to exploit pricing anomalies and trading opportunities that appear – and disappear – rapidly

We focus primarily on brick-and-mortar projects with a dedicated cash flow stream, first mortgage, gross revenue pledges and assignment of all contracts.

We are not afraid to differ from the rest of the market. We believe that our greatest value is to be leaders in independent thought and strategy, and to act accordingly.

The performance data quoted represents past performance. Past performance does not guarantee future results.

**Income may be subject to state or local income tax and a portion of income may be subject to the federal alternative minimum tax for certain investors. Federal income tax rules will apply to any capital gains distributions.

*The correlation coefficient is a measure that determines the degree to which two variables’ movements are associated. The range of values for the correlation coefficient is -1.0 to 1.0. A correlation of -1.0 indicates a perfect negative correlation, while a correlation of 1.0 indicates a perfect positive correlation.

Diversification does not assure a profit or protect against a loss in a declining market.