Skip to Content
Fund Spy

Thornburg Stands Out From the Crowd

The firm's culture is distinctive as well as attractive.

Mentioned: , , , , , , , ,

Santa Fe-based Thornburg Investment Management has a long and strong record of serving fund investors well. For starters, while many fund companies have elected to expand their rosters at rapid clips or venture outside their core competencies, this employee-owned firm has developed its lineup in a responsible manner. The firm was founded in 1982 with lots of municipal-bond expertise. It launched its first fund,  Thornburg Limited-Term Municipal (LTMFX), in 1984. It opened a few more muni offerings and a couple of government-bond funds in the late 1980s and early 1990s.

The firm brought a seasoned and skilled equity manager on board before it launched its first stock fund,  Thornburg Value (TVAFX), in 1995. The firm waited until 1998 to open its second stock fund,  Thornburg International Value (TGVAX), utilizing the same manager and security-selection strategy. The firm introduced several more funds in the 2000s--it now has 16 offerings in its lineup--but it has done so at a reasonable pace and has focused on areas where it has proven proficiencies. Its newest offering,  Thornburg Developing World (THDAX), is a good example. It relies on the same security-selection strategy as its two oldest equity siblings. It takes advantage of Thornburg's domestic-stock prowess as well its overseas-stock expertise, because it invests in U.S and other developed-markets firms that have major economic ties to developing markets as well as traditional emerging-markets companies.

Stellar Staffing
Thornburg has done an excellent good job of growing and strengthening its investment staff as its lineup and assets under management have expanded. (It had approximately $65 billion in assets under management as of Sept. 30, 2010, with nearly two thirds of that amount in the 16 funds and the remainder divided between institutional portfolios and separate accounts.)

William Samuel Rocco does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.