Quant is flexible and can run for any investment style depending upon the market conditions. A fund manager might have a particular style of managing money that may not work across all market cycles. A specific style of investing might perform in one cycle but it might underperform if the market or economic backdrop changes.
Quant is reliable because it is not based on any art of stock-picking but on a rule-driven model which can also be rigorously researched, tested and continuously improved.
The systematic approach that quant investing follows, helps eliminate behavioral and emotional biases as it does not base (sub-optimal) decisions on greed or fear, resulting in better long-term returns.
Reasons for under or over performance are clearly attributable, enabling us to continuously improve and evolve your investment model in a dynamic world. This also makes Quant transparent unlike a judgement and intuition based decision making process.
Superior risk management given a consistent model regardless of changing market conditions. The investment exits are based on a set of rules and disciplined, thereby reducing downside risk and improving returns.
Wider coverage of data with fast processing, enabled by computers leading to faster, objective and accurate investment decisions.
Diversified multiasset investing through Index ETFs only to eliminate all stock and sector selection risk
Multi-Asset Dynamic Portfolio is our flagship quantitative investment strategy built after three years of extensive research and rigorous testing. MADP is a tactical asset allocation strategy built using our proprietary meter based models.
The Macro factor captures domestic & global economic growth cycles and inflation regimes to arrive at asset allocation decisions
Value factor tracks the absolute and relative fundamental valuations & relative technical valuations across asset classes to gauge risk reward
The Trend factor captures absolute & relative momentum along with technical risk reward, across all asset classes and style factors
This captures the sentiment in equity markets, global risk appetite, relative value amongst asset classes, quantitative risk reward, volatility regimes, tactical entry-exit opportunities for risk management, profit booking and capturing short term alpha. The risk factor helps to arrive at changes in asset allocation decisions by identifying inflection points in asset class cycles.
This factor tries to capture interest rate cycles, money supply, fund flows and global monetary regimes that have implications on global liquidity, to quantify the regimes into contractionary and expansionary in order to support asset allocation decisions