What is Enhanced Indexing?
Enhanced Index strategies can be a risk-controlled and cost-effective way to achieve market-like risk with the potential to generate modest excess returns.
Why consider Enhanced Index strategies?
Aimed at investors looking for a cost-effective exposure to equities with low active risk, the strategy combines the benefits of passive investing with the best of active investing.
Our approach to Enhanced Indexing
Using our multi-factor investment insights, we build portfolios that are restricted in their ability to deviate significantly from the benchmark along key risk dimensions. We only invest in stocks from the benchmark and tightly constrain divergence from benchmark weight in the largest index names. We seek to generate excess return through more active positions in smaller index names. Since 2000 we have been managing Enhanced Index strategies both globally and regionally for our clients.