BBH Credit Partners

Investment Principles:

• Capital Preservation: Focus on preserving client capital is priority one, with risk viewed as permanent impairment of capital rather than market volatility
• Valuation-Driven: Utilize proprietary valuation approaches to focus research efforts and allow valuations to drive decision-making
• Bottom-Up: Construct portfolios from the bottom-up, with in-depth research and assessment that a “margin of safety” is built into every position¹
• Durability: Seek to invest in assets built to withstand a variety of economic and market scenarios
• Discipline and Patience: Approach opportunities with a long-term mindset and exhibit willingness to step back from risk-taking when opportunities are limited

¹A margin of safety exists when the additional yield offers, in BBH’s view, compensation for the potential credit, liquidity and inherent price volatility of that type of security and it is therefore more likely to outperform an equivalent maturity Treasury instrument over a 3-5 year horizon.