Understanding Core Plus Investment Strategy: Features and Examples
What Is Core Plus?
Core plus is an investment strategy that builds on a portfolio’s stable core holdings by adding a layer of flexibility and diversification. Commonly used in fixed-income funds, this approach can also be applied to equity portfolios. Core plus strategies incorporate higher-risk, potentially higher-return investments with traditional, lower-risk assets that try to enhance yield without sacrificing the portfolio’s foundational stability. This approach allows investors to balance growth opportunities with steady performance, setting the stage for exploring specific examples of core plus funds.
key takeaways
- Core plus investment strategies allow managers to add higher-risk, higher-potential-return assets to a…
