Since 1998, in developed and emerging markets, lower-volatility stocks have outperformed higher-volatility stocks, while exhibiting lower total risk. These stocks have tended to outperform cap-weighted benchmarks in falling markets, and to underperform those benchmarks in rising markets.
Stewardship, governance, integration, and active ownership are all components of Acadian’s responsible investing approach.
Over the past 15+ years, both managed volatility and long-short equity hedge funds have provided investors with lower volatility and smaller drawdowns than the cap-weighted benchmark.
Managed volatility and conventional active value strategies appear to be distinct in important ways.
Investors seeking responsible investing (RI) strategies that fit their ESG preferences or mandates face a daunting challenge, as the industry still lacks an agreed upon taxonomy.
Based on our research, lower-beta stocks don’t appear overvalued relative to higher-beta stocks, on the whole.
Evaluating and managing crash risk is one of the most difficult tasks facing investors.
Absolute performance of equity markets in 2015 was characterized by pockets of volatility and investor uncertainty.
Acadian’s investment process produced mixed results on a relative basis during the quarter, a period which was defined by sharp reversals in previous market trends.
Global equity markets ended the third quarter sharply lower, declining 7.7% in local terms and registering their worst quarterly performance in four years.
Global equities posted a 4.1% gain in local terms for the year-to-date period, as recent weakness and volatility in Q2 failed to erode the gains achieved in the first quarter.