Since 2020, most Quant equity funds have beaten their next-closest rival in almost every category. That, too, over a five-year period.
Forget about being in the top quartile on a consistent basis, Quant’s equity funds have generated alpha over the closest rivals in almost every category.
Their quantitative model analyses valuation, risk appetite and liquidity. This helps them time the market.
We have usually steered clear of Quant funds because we don’t understand their stock-picking strategy.
However, their consistent performance over the last five years has compelled us to appreciate their success.
While Quant funds are technically not momentum funds, our latest Mutual Fund Insight edition looked at their utility. You can read the full story here.