Why should you be factor-aware?

Why should you be factor-aware?

Market dynamics have dramatically changed in the last 40 years. We have experienced the advent of computer-driven trading, market circuit breakers, systematic quantitative investing going mainstream, the rise of ETF/passive, the rise of zero-fee retail trading, and the explosion of data clouds. Fundamental managers can no longer ignore the role that factors play in their portfolios. Omega Point was designed to help fund managers quant-enable their portfolios so they can easily and quickly identify market distortions.

How Do Fundamental Managers Use Factors?

• Identify high-alpha stocks for research prioritization.
• Build portfolios that isolate your fundamental views.
• Rebalance portfolios in step with changing markets based on factor exposure, performance, and risk.
• Hedge unwanted exposure with correlated ETFs or custom baskets.
• Better communicate factor risks and returns to internal and external stakeholders.

Connect with us to learn how we can provide a more comprehensive picture of your portfolio's risks and opportunities, leading to more informed investment decisions.