Select Fixed-Income/Equity Managers bets, investment, research, equity, style

bodhisattva

Select Fixed-Income Mgr: style analysis, selection bets, correlation of alphas, investment process
Select Equity Mgr: style, performance, fees, personel and research, consistent stated&actual strategy.
Shouldn’t the correlation of alpha be considered in selcting equity managers?

justin88

Probably not as big of a concern w/ equity b/c fixed income has a lot more sources of alpha: duration, spreads, sectors, issues etc…. vs. equity is more simple and the style probably determines a lot of the alpha.

LorrinCFA

tulkuu wrote:
Shouldn’t the correlation of alpha be considered in selcting equity managers?
it’s CFAI nonsense.  they don’t really know and yes it does matter in the real world.