The Use and Misuse of Tracking Error
Equity portfolio tracking error to a benchmark is a most ubiquitous restriction for active portfolios as prescribed by fiduciaries. The restriction is ...
Aug. 1, 2023PanAgora’s Stock Selector Equity strategies utilize a quantitative investment approach predicated on the belief that stock prices are largely driven by the fundamental strengths, or weaknesses, of an underlying company’s business, and, therefore, that certain quantifiable measures are indicative of a company’s likely success or failure. PanAgora believes the best way to capitalize on this mispricing is to deploy an approach that combines in-depth fundamental insights with robust quantitative techniques using unique information sets. Rather than relying on commonly used commercial databases, we invest a tremendous amount of research and technological effort in discovering and developing our own unique databases from unconventional sources. By developing and utilizing non-traditional databases and discovering new sources of information, we are able to go deeper into the information set of each company but with the advantage of broad, systematic application across entire industries.
Equity portfolio tracking error to a benchmark is a most ubiquitous restriction for active portfolios as prescribed by fiduciaries. The restriction is ...
Aug. 1, 2023A large amount of literature has accumulated over the years on various forms of “small-cap effects” that summarize a number of apparent ...
Apr. 1, 2003