For example, Theccanat added he recently dealt with a corporate client, whom he declined to reveal, that was setting aside too much cash for operating costs and other obligations. Smith, Graham's tailored fixed-income product will take into account a company's capital investment and spending needs while at the same time allowing the investor to increase its return, he added, noting the customized portfolios will invest across fixed-income classes. Smith, Graham is in the process of pitching the new product to prospective clients, such as endowments and public funds, and does not have a specific target for assets.
Other firms are also getting into the act. Ronald Ryan, former president of Ryan Labs, recently started a fund to address asset/liability needs through his fund Ryan Asset Liability Management (BW, 7/26).
Theccanat started at Smith, Graham last month from U.S. Trust (BW, 9/6). With $2.3 billion under management and the potential to raise assets, Jamie House, executive v.p. and chief operating officer, said the fund is looking to hire a new credit analyst. "We're looking for a generalist with a specialty in two or three sectors, like industrials or finance, and somebody with experience looking at triple-B names," Theccanat added.