Western Asset Core Plus Portfolios Q3 2025 Commentary
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Franklin Templeton4.62K FollowersFollow5ShareSavePlay(4min)CommentsSummaryThe portfolio's duration positioning and exposure to investment-grade corporate securities were among largest contributors to performance, as spreads tightened.Structured product exposure was largely beneficial, led by non-agency mortgage-backed securities (NARMBS), commercial MBS (CMBS), asset-backed securities (ABS) and collateralized loan obligations (CLOs).Yield curve positioning was a detractor from performance, largely due to an overweight to the 5-year part of the curve.Western Asset's outlook remains constructive, though we recognize that growth momentum is tempered by uncertainty in areas such as inflation, central bank policy, geopolitics and fiscal sustainability.We continue to focus on disciplined, fundamental, relative value investing, seeking pockets of opportunity in fixed income while remaining mindful of technical and macroeconomic risks. shapecharge/E+ via Getty Images Key Takeaways Markets: During the third quarter, volatility in both equity and Treasury markets remained relatively subdued. Risk assets performed well, with the S&P 500 Index reaching new highs and credit spreads tightening. US job growth weakened in August, with nonfarm This article was written byFranklin Templeton4.62K FollowersFollowFranklin Resources, Inc. [NYSE:BEN] is a global investment management organization with subsidiaries operating as Franklin Templeton and serving clients in over 150 countries. Franklin Templeton’s mission is to help clients achieve better outcomes through investment management expertise, wealth management and technology solutions. Through its specialist investment managers, the company offers specialization on a global scale, bringing extensive capabilities in fixed income, equity, alternatives and multi-asset solutions. With more than 1,300 investment professionals, and offices in major financial markets around the world, the California-based company has over 75 years of investment experience and over $1.4 trillion in assets under management as of June 30, 2023. For more information, please visit franklintempleton.com and follow us on LinkedIn, Twitter and Facebook.