State Street Investment Management argues that enhanced equity strategies can improve portfolio efficiency by delivering more consistent risk-adjusted returns while preserving the diversification benefits investors expect from a core allocation.
- Enhanced strategies historically experienced smaller relative drawdowns and underperformed benchmarks less frequently than higher-conviction active approaches.
- The paper contends that traditional core-satellite portfolios can either concentrate manager risk or become overly diversified, reducing efficiency and increasing costs.
- By tightly controlling active risk and minimizing exposure to uncompensated factors, enhanced portfolios aim to deliver more predictable alpha and stronger risk-adjusted outcomes.
Read the full paper for a deeper examination of portfolio construction, active risk management, and the evolving role of systematic equity strategies.
Dit artikel verder lezen?
Abonneer en krijg toegang tot Investment Officer Nederland:
- Exclusief voor professionele beleggers
- Altijd opzegbaar
- Onbeperkt toegang: web, app, nieuwsbrieven en events
Registreer gratis en krijg toegang tot Investment Officer België:
- Exclusief voor professionele beleggers
- Altijd opzegbaar
- Onbeperkt toegang: web, app, nieuwsbrieven en events
Registreren duurt minder dan 1 minuut.
Geen betaalgegevens vereist
