Team Philosophy

We believe exceptional companies driven by structural growth trends can generate long-term alpha, regardless of their sector or geographical location. Such companies are scarce and have significant and sustainable competitive advantages.

In our effort to generate long-term alpha, we seek to invest in companies that have massive advantages and are driven by secular growth trends of Mass Affluence, New Technology, Restructuring and Aging which we refer to as ‘MANTRA.’®

We use fundamental research to find undervalued stocks which may benefit from hidden catalysts. By focusing on longer term earnings power, we seek to identify investment opportunities before they are generally recognized by the broader market.

We believe that strong, long-term, risk-adjusted returns may come from investing in companies that exhibit high quality growth characteristics such as: financial strength and stability, proven management and sustainable competitive advantages.

Our team strategy combines fundamental and quantitative analysis as we seek increased alpha generation. We seek companies with sustainable competitive advantages and/or superior execution to create long-term value for shareholders.

Our active management of currency, interest rates and credit may lead to higher income, potential alpha and the benefits of diversification. Analysis of global macroeconomic factors is critical in allocating among the varied types of debt in each portfolio.

We believe a credit-centric and ‘bottom-up’ approach is the best discipline to identify undervalued securities in the senior loan market.

Our team combines a ‘top down,’ or global macroeconomic analysis of the fixed income markets with a ‘bottom up,’ or security-by-security research to select individual holdings.

Our team employs extensive credit research based on maturity management with a focus on liquidity, seeking to invest in short-term, high quality, dollar-denominated debt instruments to generate current income, while also aiming to preserve capital.

Our team champions the Rochester Way, our time-tested, value-oriented, research-intensive and security-specific approach designed to generate long-term total returns derived primarily from tax-advantaged income.

We seek to generate attractive total returns while offering diversification and potential protection against rising inflation, by investing in a broad range of commodity sectors.

Our team seeks to generate attractive total returns while offering diversification and potential protection against rising inflation by investing in a broad range of REITs across the U.S. commercial property market.

We believe that a private-equity approach focused on the midstream segment of MLPs, combined with fundamental bottom-up analysis, has the potential to lead to compelling long term performance and income.

We believe a combination of quantitative and qualitative analysis is an effective approach to constructing diversified, globally allocated portfolios that are positioned to take advantage of prevailing market inefficiencies and conditions.

Risk Management

Our team limits exposure to individual companies, industries and sectors, seeking to limit volatility through company quality and diversification.

We focus on investing in companies with attractive risk-reward profiles to construct portfolios that we believe can deliver long-term alpha while providing some downside protection.

We utilize rigorous fundamental research to identify securities which have the potential to offer asymmetrical risk/return opportunities.

Our team proactively manages risk by constructing diversified portfolios across sectors, industry groups and securities. We manage, monitor and limit sector weights relative to specified benchmarks and security position sizes within each portfolio.

Our team closely monitors position size and sector weights; we have limits on active security weights against the benchmark for each strategy we manage.

Risk is managed at the portfolio, strategy and security levels to identify diversified sources of alpha. We mainly focus on currency, interest rates and credit. Positions are sized and monitored according to established limits.

We focus primarily on senior loans in an effort to maintain product integrity and limit duration risk.

The team manages risk at both a strategy and individual security level to help ensure that, when combined, they act as the ballast in an investor’s overall portfolio.

The team manages risk by administering duration limits, limiting portfolio weighted average maturity and conducting thorough credit analysis on individual securities.

The Rochester team has created diverse portfolios designed to mitigate the types of risks that municipal bond investors may encounter.

The Commodity team monitors and manages risk at the commodity, sector and strategy levels.

The Real Estate team monitors and manages risk at the security, sector and strategy levels.

The Global Multi-Asset Group monitors and manages risk on an ongoing basis, both at the asset class and portfolio levels.

We emphasize capital preservation by avoiding MLPs that may cut distributions. We seek to build diversified portfolios comprised of MLPs with attractive risk-adjusted total return potential.

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The historic success of the Oppenheimer Rochester® municipal funds stems from our team's core strengths:

  • Deep knowledge of the municipal bond market
  • Vast investing experience across the full credit spectrum
  • Expertise in researching investment opportunities before our competitors do

We comb the municipal market for bonds with an appealing set of credit characteristics, including the potential for above-average yields. We employ stringent credit criteria to identify bonds that we believe will have favorable risk/reward trade-offs over the long term.

Our research leads us to accumulate bonds with varying maturities, coupons and quality levels and to invest in a variety of sectors. We also work to identify market inefficiencies and often find value in sectors that are a few steps off the beaten path. Importantly, we do not manage our funds based on predictions of interest rate changes. Rather, we encourage investors to recognize that yield represents the lion's share of a fund's long-term total return.

We use unconventional approaches that leverage the expertise of our entire investment team, among them

  • Buying callable bonds: We invest opportunistically in premium-coupon, callable bonds, some of which can be expected to deliver high levels of tax-advantaged income long after their call dates
  • Investing in unpopular issues: We look for high quality small issues the rest of the market may overlook and unrated issues the rest of the market may not understand
  • Favoring unpopular sectors: We believe in the structural and yield advantages of MSA-backed bonds ("tobacco bonds) and airline-backed bonds
  • Conducting scavenger hunts: We prospect for yield-enhancing opportunities in the secondary market and looks for "odd lots" that may add incremental yield to our funds

  • Emerging Markets Equity Team Risk Management

    We build our portfolio from the bottom up with an emphasis on company quality and earnings durability, and without reference to any particular index. The size of each position reflects our assessment of the reward potential for each company relative to the risk it presents, and the visibility of that potential over our five-year investment horizon. As we build positions we are sensitive to the effect each will have on the sector, country and volatility profile of the portfolio. Due to the wide geographic and economic diversity of emerging markets, stock correlations within sectors are often negligible or even negative. Because the companies in our portfolio tend to have relatively little debt leverage, it typically has provided some downside protection in challenging market periods.

    Enterprise Risk Management

    Risk Management is an independent control function at OppenheimerFunds responsible for multiple areas of risk including investment risk, counterparty risk, enterprise risk and performance attribution. The team is headed by the firm's Chief Risk Officer, who reports directly to the CEO. This structure ensures that the entire Risk Management team is independent from the investment process, allowing us to avoid conflicts of interest and providing a valuable second set of eyes on both investment and enterprise-wide risks.

    Core Responsibilities of Risk Management Team

    • Performs comprehensive portfolio reviews with all investment teams
    • Monitors individual security holdings across the entire firm
    • Works with investment teams to set specific maximums for the active weights of securities and sectors, as well as for predicted tracking error and other risk metrics
    • Independently monitors specified team risk metrics

    The aim of our Risk Management team is to enable the portfolio managers to make informed decisions on the risk/reward tradeoffs at play in their respective portfolios.

    We believe that risk management is not only a responsibility of the firm, but a critical component of our success.

    Foreign investments may be volatile and involve additional expenses and special risks, including currency fluctuations, foreign taxes and political and economic uncertainties. Emerging and developing market investments may be especially volatile.

  • Global Equity Team Risk Management

    The size of each position in our portfolios is a function of our level of conviction in the outperformance potential of the company and the visibility of that potential. We limit our exposure to individual companies, industries and sectors within our portfolios. Our focus is on companies with strong and durable competitive advantage, low cyclicality and low debt leverage. Such companies tend to outperform when there is a flight-to-quality during periods of investor risk aversion. As a result, our portfolios have provided some downside protection while producing alpha over our long-term horizon of five years or more.

    Enterprise Risk Management

    Risk Management is an independent control function at OppenheimerFunds responsible for multiple areas of risk including investment risk, counterparty risk, enterprise risk and performance attribution. The team is headed by the firm’s Chief Risk Officer, who reports directly to the CEO. This structure ensures that the entire Risk Management team is independent from the investment process, allowing us to avoid conflicts of interest and providing a valuable second set of eyes on both investment and enterprise-wide risks.

    Core Responsibilities of Risk Management Team

    • Performs comprehensive portfolio reviews with all investment teams
    • Monitors individual security holdings across the entire firm
    • Works with investment teams to set specific maximums for the active weights of securities and sectors, as well as for predicted tracking error and other risk metrics
    • Independently monitors specified team risk metrics

    The aim of our Risk Management team is to enable the portfolio managers to make informed decisions on the risk/reward tradeoffs at play in their respective portfolios.

    We believe that risk management is not only a responsibility of the firm, but a critical component of our success.

    Foreign investments may be volatile and involve additional expenses and special risks, including currency fluctuations, foreign taxes and political and economic uncertainties.

  • Main Street Equity Team Risk Management

    Our experienced investment personnel seek companies that provide asymmetrical risk/reward relationships. Specifically, our goal is to buy stocks with significantly greater appreciation potential than possible downside risk.  This expected return–upside less downside—directly influences the position size within the portfolio; a higher expected return typically results in a larger position size.  We believe our analysis of the target company's potential downside, in addition to its upside, is one of the key differentiators which sets us apart from our competitors, and taking the right risks is at the core of potentially generating better returns. 

    Enterprise Risk Management

    Risk Management is an independent control function at OppenheimerFunds responsible for multiple areas of risk including investment risk, counterparty risk, enterprise risk and performance attribution. The team is headed by the firm's Chief Risk Officer, who reports directly to the CEO. This structure ensures that the entire Risk Management team is independent from the investment process, allowing us to avoid conflicts of interest and providing a valuable second set of eyes on both investment and enterprise-wide risks.

    Core Responsibilities of Risk Management Team

    • Performs comprehensive portfolio reviews with all investment teams
    • Monitors individual security holdings across the entire firm
    • Works with investment teams to set specific maximums for the active weights of securities and sectors, as well as for predicted tracking error and other risk metrics
    • Independently monitors specified team risk metrics

    The aim of our Risk Management team is to enable the portfolio managers to make informed decisions on the risk/reward tradeoffs at play in their respective portfolios.

    We believe that risk management is not only a responsibility of the firm, but a critical component of our success.

    Mutual funds are subject to market risk and volatility. Shares may gain or lose value.

  • Enterprise Risk Management

    Risk Management is an independent control function at OppenheimerFunds responsible for multiple areas of risk including investment risk, counterparty risk, enterprise risk and performance attribution. The team is headed by the firm’s Chief Risk Officer, who reports directly to the CEO. This structure ensures that the entire Risk Management team is independent from the investment process, allowing us to avoid conflicts of interest and providing a valuable second set of eyes on both investment and enterprise-wide risks.

    Core Responsibilities of Risk Management Team

    • Performs comprehensive portfolio reviews with all investment teams
    • Monitors individual security holdings across the entire firm
    • Works with investment teams to set specific maximums for the active weights of securities and sectors, as well as for predicted tracking error and other risk metrics
    • Independently monitors specified team risk metrics

    The aim of our Risk Management team is to enable the portfolio managers to make informed decisions on the risk/reward tradeoffs at play in their respective portfolios.

    We believe that risk management is not only a responsibility of the firm, but a critical component of our success.

    Investments in securities of growth and technology companies may be especially volatile.

  • Value Equity Team Risk Management

    At the portfolio level, our experienced investment personnel closely monitor the strategy's positioning, and the active risk resulting from our security selection process and sector allocations.  We evaluate factor and style exposure, as well as the ownership and liquidity profile of each security in the portfolio. 

    Enterprise Risk Management

    Risk Management is an independent control function at OppenheimerFunds responsible for multiple areas of risk including investment risk, counterparty risk, enterprise risk and performance attribution. The team is headed by the firm's Chief Risk Officer, who reports directly to the CEO. This structure ensures that the entire Risk Management team is independent from the investment process, allowing us to avoid conflicts of interest and providing a valuable second set of eyes on both investment and enterprise-wide risks.

    Core Responsibilities of Risk Management Team

    • Performs comprehensive portfolio reviews with all investment teams
    • Monitors individual security holdings across the entire firm
    • Works with investment teams to set specific maximums for the active weights of securities and sectors, as well as for predicted tracking error and other risk metrics
    • Independently monitors specified team risk metrics

    The aim of our Risk Management team is to enable the portfolio managers to make informed decisions on the risk/reward tradeoffs at play in their respective portfolios.

    We believe that risk management is not only a responsibility of the firm, but a critical component of our success.

    Value investing involves the risk that undervalued securities may not appreciate as anticipated.

  • Global Debt Team Risk Management

    For some portfolios, management decisions are constrained by tracking error and concentration limits versus an internal benchmark. For all of our funds, qualitative and quantitative analysis is utilized to make top-down, macroeconomic decisions affecting the overall allocation. While bottom-up sovereign and corporate credit risk is influenced by our macro view, fundamental analysis is also employed. We sometimes undertake unhedged, non-dollar exposures; consequently, the value of some holdings may be subject to changes in the value of currencies other than the U.S. dollar. In some portfolios, duration may be actively managed.

    Enterprise Risk Management

    Risk Management is an independent control function at OppenheimerFunds responsible for multiple areas of risk including investment risk, counterparty risk, enterprise risk and performance attribution. The team is headed by the firm's Chief Risk Officer, who reports directly to the CEO. This structure ensures that the entire Risk Management team is independent from the investment process, allowing us to avoid conflicts of interest and providing a valuable second set of eyes on both investment and enterprise-wide risks.

    Core Responsibilities of Risk Management Team

    • Performs comprehensive portfolio reviews with all investment teams
    • Monitors individual security holdings across the entire firm
    • Works with investment teams to set specific maximums for the active weights of securities and sectors, as well as for predicted tracking error and other risk metrics
    • Independently monitors specified team risk metrics

    The aim of our Risk Management team is to enable the portfolio managers to make informed decisions on the risk/reward tradeoffs at play in their respective portfolios.

    We believe that risk management is not only a responsibility of the firm, but a critical component of our success.

    Fixed income investing entails credit risks and interest rate risks. When interest rates rise, bond prices generally fall, and a fund's share prices can fall. Foreign investments may be volatile and involve additional expenses and special risks, including currency fluctuations, foreign taxes and political and economic uncertainties.

  • High Yield Corporate Debt Team Risk Management

    Positions are sized and monitored according to predetermined limits while portfolio management decisions are constrained by tracking error and concentration limits versus the benchmark. We seek to maintain a highly diversified portfolio, conduct rigorous credit analysis of holdings and adhere to industry/sector overweight and underweight limits.

    Enterprise Risk Management

    Risk Management is an independent control function at OppenheimerFunds responsible for multiple areas of risk including investment risk, counterparty risk, enterprise risk and performance attribution. The team is headed by the firm's Chief Risk Officer, who reports directly to the CEO. This structure ensures that the entire Risk Management team is independent from the investment process, allowing us to avoid conflicts of interest and providing a valuable second set of eyes on both investment and enterprise-wide risks.

    Core Responsibilities of Risk Management Team

    • Performs comprehensive portfolio reviews with all investment teams
    • Monitors individual security holdings across the entire firm
    • Works with investment teams to set specific maximums for the active weights of securities and sectors, as well as for predicted tracking error and other risk metrics
    • Independently monitors specified team risk metrics

    The aim of our Risk Management team is to enable the portfolio managers to make informed decisions on the risk/reward tradeoffs at play in their respective portfolios.

    We believe that risk management is not only a responsibility of the firm, but a critical component of our success.

    Fixed income investing entails credit risks and interest rate risks. When interest rates rise, bond prices generally fall, and a fund's share prices can fall. Below-investment-grade ("high yield" or "junk") bonds are more at risk of default and are subject to liquidity risk. Senior loans are typically lower-rated and may be illiquid investments.

  • Investment Grade Debt Team Risk Management

    At the strategy level, we institute explicit tracking error limits in relation to our funds' respective benchmarks. The team monitors portfolio positioning for security and sector limits. Our team utilizes quantitative tools to understand the primary and secondary risks of each investment. At the security level, we use fundamental research to identify undervalued securities, carefully assess each issuer's ability to make timely interest and principal payments and execute a comprehensive analysis of the factors that drive the value of securitized assets.

    Enterprise Risk Management

    Risk Management is an independent control function at OppenheimerFunds responsible for multiple areas of risk including investment risk, counterparty risk, enterprise risk and performance attribution. The team is headed by the firm's Chief Risk Officer, who reports directly to the CEO. This structure ensures that the entire Risk Management team is independent from the investment process, allowing us to avoid conflicts of interest and providing a valuable second set of eyes on both investment and enterprise-wide risks.

    Core Responsibilities of Risk Management Team

    • Performs comprehensive portfolio reviews with all investment teams
    • Monitors individual security holdings across the entire firm
    • Works with investment teams to set specific maximums for the active weights of securities and sectors, as well as for predicted tracking error and other risk metrics
    • Independently monitors specified team risk metrics

    The aim of our Risk Management team is to enable the portfolio managers to make informed decisions on the risk/reward tradeoffs at play in their respective portfolios.

    We believe that risk management is not only a responsibility of the firm, but a critical component of our success.

    Fixed income investing entails credit risks and interest rate risks. When interest rates rise, bond prices generally fall, and a fund's share prices can fall.

  • Rochester Municipals Team Risk Management

    The Rochester team focuses on credit risk in balance with a security’s financial rewards when considering a specific issue for a specific portfolio. Portfolios are assembled utilizing a broad range of issues to amplify diversification, further mitigating the potential impact of individual credit risk. Because the team feels that interest rates cannot be predicted accurately, it has designed a product line characterized by varied degrees of interest rate sensitivity for the investors’ discretion.

    Enterprise Risk Management

    Risk Management is an independent control function at OppenheimerFunds responsible for multiple areas of risk including investment risk, counterparty risk, enterprise risk and performance attribution. The team is headed by the firm’s Chief Risk Officer, who reports directly to the CEO. This structure ensures that the entire Risk Management team is independent from the investment process, allowing us to avoid conflicts of interest and providing a valuable second set of eyes on both investment and enterprise-wide risks.

    Core Responsibilities of Risk Management Team

    • Performs comprehensive portfolio reviews with all investment teams
    • Monitors individual security holdings across the entire firm
    • Works with investment teams to set specific maximums for the active weights of securities and sectors, as well as for predicted tracking error and other risk metrics
    • Independently monitors specified team risk metrics

    The aim of our Risk Management team is to enable the portfolio managers to make informed decisions on the risk/reward tradeoffs at play in their respective portfolios.

    We believe that risk management is not only a responsibility of the firm, but a critical component of our success.

    Fixed income investing entails credit risks and interest rate risks. When interest rates rise, bond prices generally fall, and a fund's share prices can fall. Below-investment-grade (“high yield” or “junk”) bonds are more at risk of default and are subject to liquidity risk. A portion of a fund's distributions may be subject to tax and may increase taxes for investors subject to Alternative Minimum Tax (AMT).

  • Cash Strategies Team Risk Management

    The team monitors the strategies' duration and weighted average maturity relative to predetermined risk limits in concert with our firm's independent Risk Management Department. Additionally, the team includes a staff of dedicated credit and risk analysts focused on credit quality, maturity of investments and diversification. The team's traders and risk analytics group support compliance with risk-limiting guidelines.

    Enterprise Risk Management

    Risk Management is an independent control function at OppenheimerFunds responsible for multiple areas of risk including investment risk, counterparty risk, enterprise risk and performance attribution. The team is headed by the firm's Chief Risk Officer, who reports directly to the CEO. This structure ensures that the entire Risk Management team is independent from the investment process, allowing us to avoid conflicts of interest and providing a valuable second set of eyes on both investment and enterprise-wide risks.

    Core Responsibilities of Risk Management Team

    • Performs comprehensive portfolio reviews with all investment teams
    • Monitors individual security holdings across the entire firm
    • Works with investment teams to set specific maximums for the active weights of securities and sectors, as well as for predicted tracking error and other risk metrics
    • Independently monitors specified team risk metrics

    The aim of our Risk Management team is to enable the portfolio managers to make informed decisions on the risk/reward tradeoffs at play in their respective portfolios.

    We believe that risk management is not only a responsibility of the firm, but a critical component of our success.

    An investment in money market funds is neither insured nor guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the fund.

  • Commodities Team Risk Management

    We use qualitative and quantitative analyses to make top-down, macroeconomic decisions affecting the overall portfolio and its risk profile, combined with bottom-up analysis at the individual commodity and sector levels. We seek to maintain a diversified portfolio across five commodity sectors, and adhere to an established risk framework including constraints imposed by position and sector weighting limits versus a benchmark.

    Enterprise Risk Management

    Risk Management is an independent control function at OppenheimerFunds responsible for multiple areas of risk including investment risk, counterparty risk, enterprise risk and performance attribution. The team is headed by the firm's Chief Risk Officer, who reports directly to the CEO. This structure ensures that the entire Risk Management team is independent from the investment process, allowing us to avoid conflicts of interest and providing a valuable second set of eyes on both investment and enterprise-wide risks.

    Core Responsibilities of Risk Management Team

    • Performs comprehensive portfolio reviews with all investment teams
    • Monitors individual security holdings across the entire firm
    • Works with investment teams to set specific maximums for the active weights of securities and sectors, as well as for predicted tracking error and other risk metrics
    • Independently monitors specified team risk metrics

    The aim of our Risk Management team is to enable the portfolio managers to make informed decisions on the risk/reward tradeoffs at play in their respective portfolios.

    We believe that risk management is not only a responsibility of the firm, but a critical component of our success.

    Commodity-linked investments are considered speculative and have substantial risks, including the risk of loss of a significant portion of their principal value. Derivative instruments, investments whose values depend on the performance of an underlying security, asset, interest rate, index or currency, entail potentially higher volatility and risk of loss compared to traditional stock or bond investments.

  • Real Estate Team Risk Management

    We use qualitative and quantitative analyses to make top-down, macroeconomic decisions affecting the overall portfolio and its risk profile, combined with bottom-up analysis at the individual security and sector levels. We seek to maintain a diversified portfolio across the U.S. commercial property market and adhere to an established risk framework including constraints imposed by position limits versus a benchmark.

    Enterprise Risk Management

    Risk Management is an independent control function at OppenheimerFunds responsible for multiple areas of risk including investment risk, counterparty risk, enterprise risk and performance attribution. The team is headed by the firm’s Chief Risk Officer, who reports directly to the CEO. This structure ensures that the entire Risk Management team is independent from the investment process, allowing us to avoid conflicts of interest and providing a valuable second set of eyes on both investment and enterprise-wide risks.

    Core Responsibilities of Risk Management Team

    • Performs comprehensive portfolio reviews with all investment teams
    • Monitors individual security holdings across the entire firm
    • Works with investment teams to set specific maximums for the active weights of securities and sectors, as well as for predicted tracking error and other risk metrics
    • Independently monitors specified team risk metrics

    The aim of our Risk Management team is to enable the portfolio managers to make informed decisions on the risk/reward tradeoffs at play in their respective portfolios.

    We believe that risk management is not only a responsibility of the firm, but a critical component of our success.

    Investments in securities of real estate companies may be especially volatile. Because they do not have an active trading market, shares of Real Estate Investment Trusts (REITs) may be illiquid. The lack of an active trading market may make it difficult to value or sell shares of REITs promptly at an acceptable price.

  • SteelPath Team Risk Management

    The MLP sector is made up of a number of businesses that range from petroleum products pipelines to natural gas compression. Our portfolios are constructed based on rigorous research and due diligence. Our investment process is designed to identify midstream MLPs with low underlying business risk, the ability to maintain consistent and growing distributions, and attractive total return potential. Our primary tool for detecting such investments is our scenario analysis process through which we test the partnership's ability to withstand various commodity price, volume, and interest rate environments. We believe that focusing on these attributes will allow us to provide favorable long-term performance.

    Enterprise Risk Management

    Risk Management is an independent control function at OppenheimerFunds responsible for multiple areas of risk including investment risk, counterparty risk, enterprise risk and performance attribution. The team is headed by the firm’s Chief Risk Officer, who reports directly to the CEO. This structure ensures that the entire Risk Management team is independent from the investment process, allowing us to avoid conflicts of interest and providing a valuable second set of eyes on both investment and enterprise-wide risks.

    Core Responsibilities of Risk Management Team

    • Performs comprehensive portfolio reviews with all investment teams
    • Monitors individual security holdings across the entire firm
    • Works with investment teams to set specific maximums for the active weights of securities and sectors, as well as for predicted tracking error and other risk metrics
    • Independently monitors specified team risk metrics

    The aim of our Risk Management team is to enable the portfolio managers to make informed decisions on the risk/reward tradeoffs at play in their respective portfolios.

    We believe that risk management is not only a responsibility of the firm, but a critical component of our success.

    Investing in MLPs involves additional risks as compared to the risks of investing in common stock, including risks related to cash flow, dilution and voting rights. Each Fund's investments are concentrated in the energy infrastructure industry with an emphasis on securities issued by MLPs, which may increase volatility. Energy infrastructure companies are subject to risks specific to the industry such as fluctuations in commodity prices, reduced volumes of natural gas or other energy commodities, environmental hazards, changes in the macroeconomic or the regulatory environment or extreme weather. MLPs may trade less frequently than larger companies due to their smaller capitalizations which may result in erratic price movement or difficulty in buying or selling. MLPs are subject to significant regulation and may be adversely affected by changes in the regulatory environment including the risk that an MLP could lose its tax status as a partnership. Additional management fees and other expenses are associated with investing in MLP funds.

    The Oppenheimer SteelPath MLP Funds are subject to certain MLP tax risks. An investment in an Oppenheimer SteelPath MLP Fund does not offer the same tax benefits of a direct investment in an MLP. The Funds are organized as Subchapter “C” Corporations and are subject to U.S. federal income tax on taxable income at the corporate tax rate (currently as high as 35%) as well as state and local income taxes. The potential benefit of investing in MLPs generally is their treatment as partnerships for federal income tax. Many MLPs accrue deferred income taxes for future tax liabilities associated with the portion of MLP distributions considered to be a tax-deferred return of capital and for any net operating gains as well as capital appreciation on its investments. This deferred tax liability is reflected in the daily NAV and as a result a MLP fund's after-tax performance could differ significantly from the underlying assets even if the pre-tax performance is closely tracked.

    To the extent that a Fund obtains leverage through borrowings, there will be the potential for greater gains and the risk of magnified losses. Investing in debt securities involves additional risks including interest rate risk, credit risk, duration risk, and duplication of advisory fees and other expenses. High yield securities involve more risks than investment grade securities and tend to be more sensitive to economic conditions. Private equity investments may be subject to greater risks than investments in publicly traded companies due to limited public information and lack of regulatory oversight.

  • Global Multi-Asset Group Risk Management

    At the asset class level, the team performs extensive forward- and backward- looking quantitative analysis to generate risk and return expectations. The results are then utilized to formulate strict, asset class-specific target allocations and volatility ranges.

    At the portfolio level, the team performs extensive, forward- and backward-looking quantitative analysis across and between asset classes in setting appropriate risk guidelines. This provides flexibility for active management while helping us maintain the risk profile that our investors expect.

    Enterprise Risk Management

    Risk Management is an independent control function at OppenheimerFunds responsible for multiple areas of risk including investment risk, counterparty risk, enterprise risk and performance attribution. The team is headed by the firm’s Chief Risk Officer, who reports directly to the CEO. This structure ensures that the entire Risk Management team is independent from the investment process, allowing us to avoid conflicts of interest and providing a valuable second set of eyes on both investment and enterprise-wide risks.

    Core Responsibilities of Risk Management Team

    • Performs comprehensive portfolio reviews with all investment teams
    • Monitors individual security holdings across the entire firm
    • Works with investment teams to set specific maximums for the active weights of securities and sectors, as well as for predicted tracking error and other risk metrics
    • Independently monitors specified team risk metrics

    The aim of our Risk Management team is to enable the portfolio managers to make informed decisions on the risk/reward tradeoffs at play in their respective portfolios.

    We believe that risk management is not only a responsibility of the firm, but a critical component of our success.

    Mutual funds are subject to market risk and volatility. Shares may gain or lose value.