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Alaska’s ongoing internal push

Alaska Permanent Fund will focus on smart beta strategies as it seeks to further increase in-house management. It will also develop income-generating strategies away from traditional fixed income, leveraging its size and infinite investment horizon in competing for US infrastructure and real estate assets.

Assessing smart beta strategies

Analysing smart beta performance and risks is not monkey business. For a better understanding of smart beta strategies it is crucial to analyse their construction.

Beyond backtests: considering the robustness of smart beta

Systematic equity investment strategies – so-called smart beta strategies – are usually marketed on the basis of outperformance. However, it is important to recognise that performance analysis is typically conducted on backtests that apply the smart beta methodology to historical stock returns. Concerning actual investment decisions, a relevant question, therefore, is how robust the outperformance […]