Harbor Capital Logo
Search

Introducing BlueCove

Overview
Introducing BlueCove
What is Scientific Fixed Income Investing?

Introducing BlueCove

BlueCove is a scientific asset management firm bringing together market leading fixed income industry investment and engineering professionals, with the specific purpose of researching and developing state-of-the-art scientific investment processes applicable to fixed income investment management.

Our firm is united by the strong belief that a scientific investment approach to each step of the investment process leads to better and differentiated outcomes for client portfolios. Our mission is to create a range of scientific fixed income investment solutions that give investors both an alternative and a complement to the traditional discretionary fixed income strategies that dominate their portfolios today.

The scientific method solves hard problems

Active scientific investing offers investors a clearly differentiated alternative to traditional discretionary strategies by benefitting from significant breadth and the application of insights that are otherwise difficult to capture. 

Scientific investing has several distinguishing characteristics:

  • It can improve returns by mitigating cognitive and behavioural biases that can compromise traditional discretionary investment strategies via the application of tested market insights across a large set of instruments and markets 
  • It harnesses large datasets to create innovative sources of alpha 
  • It applies modern portfolio construction techniques by targeting consistent risk-adjusted returns while mitigating transaction costs 
  • It has the potential to offer low correlations to traditional discretionary strategies while removing unwanted market exposures 
  • It adapts to changes in market behaviour by transparently attributing performance

BlueCove is custom-built for scientific investing

BlueCove’s business model creates strong alignment of interest with clients, and we believe gives the firm a significant competitive advantage.

Owner Mentality 

Each of our employees has an equity interest in the firm. This facilitates collaboration and creates an outcome-oriented environment in which we are able to solve hard problems. 

Total Focus 

We specialise in scientific fixed income investing. Our core investment team is a group of professionals who have both collectively and individually been at the forefront of the development of the scientific fixed income industry to date. 

Modern Technology 

Our technology is custom-built for scientific fixed income investing. Customised platforms enable us to be faster in our research cycle and more precise and flexible in our portfolio construction.

Each step of the scientific investment process, from data collection to trade execution, is subject to a recurring cycle of measurement, improvement, and optimization, aiming to maximize breadth, skill, and their application along the entire value chain. This creates a structured, firm-level investment process, with every phase subject to its own R&D cycle.

Firm-level Investment Process

2021-09-10_16-25-45.jpg

Our product range

The scientific investment process enables us to develop products that span a full range of sophistication in order to deliver the desired outcome for clients. The modular nature of our strategy set allows BlueCove to create solutions with different risk characteristics and exposures, addressing a variety of needs from absolute or total return to benchmark oriented products. 

Our people and values

BlueCove combines an experienced management team with scientific investment, research, and engineering teams that have been at the forefront of the industry’s development to date. We are united via a deep-seated conviction that the future of asset management is scientific and that this approach leads to better client outcomes. 

At BlueCove, we are in the business of solving hard problems, and of doing so scientifically. In addition to a core investment team that has previously worked side-by-side for over a decade, the experience of our teams is wide-ranging. We believe teams of highly competent and cognitively diverse individuals with similar values create superior outcomes for clients. We share a core set of values that facilitate decision-making and are grounded by a common set of behaviors which serve to both create and preserve the firm’s culture.

2021-09-10_16-26-50.jpg

2021-09-13_8-52-49.jpg

2021-09-10_16-27-31.jpg

Investing in Harbor’s ETFs

Any information needed to identify Harbor’s ETFs can be found on our product pages for SIFI and SIHY. Harbor believes that active ETFs are a good way to access these compelling investment strategies while potentially being a better tax-advantaged investment. All fund materials, including performance information, factsheets, prospectuses, etc. are available on the SIFI and SIHY It is important to note that investors should consult a financial professional, an attorney, or tax professional regarding the investor’s specific situation.

Our ETFs are available through various channels including broker-dealers, investment advisers, and other financial services firms, including Envestnet, Fidelity, Pershing, Schwab, TD Ameritrade and more.

Please note that you cannot buy Harbor ETFs directly through Harbor Capital Advisors, Inc.

Contact Us

Important Information and Disclaimer

Foreside Fund Services, LLC is the Distributor of the Harbor ETF Trust.

BlueCove and the BlueCove logo are registered trademarks of BlueCove Limited (“BlueCove”), a private company registered in England and Wales with number 11269446 and having its registered office at 10 New Burlington Street, London W1S 3BE. BlueCove is authorised and regulated by the Financial Conduct Authority in the United Kingdom. BlueCove is an NFA member and CFTC registrant.

This overview is provided for information purposes only, and it is not an offer to, or solicitation of, any potential clients or investors for the provision by BlueCove of investment management, advisory or any other comparable or related services. No statement in this overview is or should be construed as investment, legal, or tax advice, nor is any statement an offer to sell, or a solicitation of an offer to buy, any security or other instrument, or an offer to arrange any transaction, or to enter into legal relations.

No representation is made as to the accuracy or completeness of any information contained herein, and the recipient accepts all risk in relying on this information for any purpose whatsoever. Without prejudice to the foregoing, any views expressed herein are the opinions of BlueCove as of the date on which this overview has been prepared and are subject to change at any time without notice. BlueCove does not undertake to update this information. Any forward-looking statements herein are inherently subject to material business, economic and competitive risks and uncertainties, many of which are beyond our control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change.

There can be no assurance that an investment strategy or approach will be successful. Historic market trends and behaviors are not a reliable indicator of future market behavior or performance, nor can they be used to reliably infer the future performance of any investment strategy or approach. There is no assurance that any circumstances, events, or objectives referred to herein will be achieved. The information contained herein regarding portfolio construction and the investment strategies to be pursued are for illustrative purposes only. The details given are not exhaustive and implementation of any such investment strategy will be at the sole discretion of BlueCove.

All investments involve risk including the possible loss of principal. Fixed income securities fluctuate in price in response to various factors, including changes in interest rates, changes in market conditions and issuer-specific events, and the value of your investment in the Fund may go down. There is a greater risk that the Fund will lose money because they invest in below- investment grade fixed income securities and unrated securities of similar credit quality (commonly referred to as “high-yield securities” or “junk bonds”). These securities are considered speculative because they have a higher risk of issuer default, are subject to greater price volatility and may be illiquid. Because the Fund may invest in securities of foreign issuers, an investment in the Fund is subject to special risks in addition to those of U.S. securities. These risks include heightened political and economic risks, greater volatility, currency fluctuations, higher transaction costs, delayed settlement, possible foreign controls on investment, possible sanctions by government bodies of other countries and less stringent investor protection and disclosure standards of foreign markets.

This document remains the property of BlueCove and BlueCove reserves the right to require the return of this document at any time. Some of the names and/or other material used herein may be protected by copyright and/or trademark. If so, such copyrights and/or trademarks are most likely owned by the entity that created the material and are used purely for identification and comment as fair use under international copyright and/or trademark laws. Use of any such materials does not imply any association with (or endorsement of) such organisation by BlueCove, or vice versa.

This document is dated as of 8 July 2021.

© 2021 BlueCove Limited. All rights reserved.

Logo Footer

Harbor Funds Distributors, Inc. is the Distributor of the Harbor Mutual Funds.
Foreside Fund Services, LLC is the Distributor of the Harbor ETFs.  

Connect with us |

Investing involves risk and the potential loss of capital.

Investors should carefully consider the investment objectives, risks, charges and expenses of a fund before investing. To obtain a summary prospectus or prospectus for this and other information, click here or call 800-422-1050. Read it carefully before investing.

All trademarks or product names mentioned herein are the property of their respective owners. Copyright © 2021 Harbor Capital Advisors, Inc. All rights reserved.