Demystifying Quantitative Investing
This report analyzes how quantitative investment practices enhance the investment process and in which types of portfolios they usually flourish.
Equities
Cutting Strategic Allocations to U.S. Equity
In all developed markets, but particularly the United States, investors’ bias in favor of domestic equities is irrational and sub-optimal. We recommend that investors` strategic equity allocations be equally divided among the Americas, Europe, and Asia.
Investing in Asia
Asia beckons western investors, its allure predicated on three compelling attractions: Asia beckons western investors, its allure predicated on three compelling attractions: The continued broadening and deepening of relatively immature capital markets whose development will reflect the expansion of most Asian economies at growth rates substantially faster than those of North America and Europe. Reasonable valuations in…
Emerging Markets Equity Investing
An overview of emerging equity including valuations, correlations with other asset classes, risks, investment vehicles, and benchmarks. Exhibits cover market capitalization, comparative valuations among emerging countries, and performance data on representative emerging equity managers.
Chinese Equities: Envisioning the Endgame
While the current party may end badly, their long-term prospects still look good.
Manager Hiring and Firing
This report uses extensive data to support our conviction that investors should be cautious about firing poorly performing managers that have simply adhered to their strategy during an unfavorable part of the market cycle and whose results fall within the range investors should have reasonably expected.
U.S. Convertible Securities Investing
Does the hybrid equity-debt structure of convertibles add real value or simply create unneeded complexity? Topics discussed include the economic basis for returns, market composition, valuations, convertibles’ role in policy portfolios, and benchmarking issues.
Exchange-Traded Funds – Versatility at Price
A primer on exchange-traded funds (ETFs), including a comparison of the costs and benefits of ETFs and index funds in terms of trading costs, fees, tracking error, and capital gains.
Global Distressed Investing
An examination of types of distressed opportunities and strategies, and the historical performance of distressed funds. Exhibits cover distressed capital structure, sample fund composition, and a review of terms.
Enhanced U.S. Equity Indexing
Investors index to achieve portfolio diversification at the lowest possible cost, but abandon any chance of outperforming the chosen benchmark. In contrast, active investors pay higher fees and incur the risk of underperforming the benchmark because they believe their managers will add value over time. With lower fees than active management, close benchmark tracking, but…