INDEX-LIKE SOLUTIONS
Welcome to our innovative approach to investment management. We utilize a mathematical training algorithm to analyze historical stock prices, ensuring a clear and systematic method for risk allocation. By setting maximum weights on each stock rebalancing daily, we aim to eliminate that often hinder traditional active management. Experience sustainable alpha in a diversified portfolio with our unique Active Risk-Based investing (ARBi) process, merging the best of passive strategies with cutting-edge advancements in investing.
Our view on Realizable Risk Control - benchmarked off S&P Risk Control Indices
Risk Control Indices Analysis
Intuitively, an investor should understand that predicting stock returns, either value or momentum, is relatively impossible with any level of consistency. But, dig into two of the most major forms of returns available and you will find persistent, statistically significant risk reduction.
Value and Momentum Investing - Do it Right - Reduce Risk
This research bottomline: "Stop investing in “cheap” diluted closet indexing value and momentum exposures if you are trying to exploit value and momentum premiums. This is a sub-optimal approach. Instead, lean on modern portfolio theory mathematics, and invest in a portfolio that combines concentrated value and momentum exposures — you’ll give yourself a shot at earning a higher expected return and a much higher expected rebalance bonus. Win-win."
Rebalancing Bonus for Value and Momentum
Liquidity in an asset class has been shown to cost investors upwards of 3-5% annually in terms of sub-performance to a passive index based investment. Without an understanding of why this occurs, investors are left with the result - 85% of all active management is unable to beat a simple, low cost market capitalization based index.
Liquidity - Its Costing You Big