Our Investment Philosophy

We believe that collaboration and consistency—in both team and process—are key to building long-term value.  Stone Harbor is an active manager, building credit portfolios with dynamic allocations, as we seek to achieve clients’ risk-adjusted total return objectives. We believe the key to successfully generating excess returns is through a disciplined process of rigorous credit analysis combined with a significant ongoing investment in people and technology. 

Our investment team—portfolio managers, credit analysts, economists, quantitative analysts, and risk management professionals—engages in disciplined and regular collaboration to carefully construct our global macroeconomic outlook and strategic allocation framework. Stone Harbor is a research-driven firm, drilling deeply into the fundamentals to determine the attractiveness of individual credits, currencies, interest rates, and yield curves to find the best investments within select asset classes.

• In emerging markets, we focus on investing in politically and fiscally stable countries, carefully assessing macroeconomic fundamentals, policies, and politics to ascertain each country’s credit worthiness.

• In high yield, we look for strong fundamentals and long-term potential, uncovering opportunity in fiscally sound, yet undervalued, industries and credits.

• In building multi-sector allocation portfolios, we actively allocate among investment grade, high yield, and emerging markets debt depending on where we see the greatest relative value.

What We Value