Whitepaper - July 2020

Bringing Factor Investing to Fixed Income

This paper was jointly published by Greenwich Associates and Qontigo

Factor investing is an investment strategy in which securities are chosen based on certain characteristics with the goal of achieving a given investment outcome.

Factor investing in fixed income is earlier on the adoption curve relative to equities. Over the past 50 years, equities have moved to smart-beta investing, which is now mainstream and well understood.

The stage is set: The sophistication of institutional investors already embracing factors to review and understand manager performance in equities will transition fixed income and multi-asset portfolios in the near term.

Authors

Qontigo Research Team