Quantitative investments

In some situations, a sophisticated efficient capture of market returns is the most important objective for an investor.

Our Quantitative Investment team manages a range of products to satisfy a variety of requirements:

Traditional indexation:

  • Passive strategies that target the return of a traditional market capitalisation benchmark, such as the FTSE All Share Index
  • Our pragmatic replication approach manages the costs of replication as well as the matching of benchmark return in an optimal, scalable, repeatable and risk-controlled process

Fundamental indexation:

  • Strategies that seek to provide consistent exposure to a fundamental index, rather than a market capitalisation index
  • In particular we manage a range of strategies linked to the FTSE RAFI™ family of indices, providing exposure to the UK, Global and Emerging Markets respectively

Enhanced index:

  • Aim to exploit market inefficiencies to generate small excess returns relative to the benchmark, for a similar level of risk.
  • Taking an index as the starting point, our investment process models equity strategies such as value, prudent management, financial strength, trend and others, to identify a strong investment rationale or theme that in back testing, is proven to outperform over a business cycle
  • It then combines these proprietary strategies to tilt the portfolio according to the identified theme targeting a consistent risk-adjusted relative return

We also manage a range of bespoke derivative and structured products.