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Quantitative investing

Factor investing

Factor investing, an intricate piece of the quantitative investing puzzle, targets academically-proven factor premiums for better returns.


Essentially, factors are distinct stock attributes that illuminate the potential risks and returns of a security cluster over extended periods. By leveraging these factors, investors can tap into unique market opportunities, diversify their portfolios, and position themselves strategically in ever-evolving financial landscapes.


See also

Multi-factor model
Factor-tilt approach
Factor premium


Invisible layers surface to deliver attractive returns

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