Multi-Factor Investing
Multi-Factor Investing is a systematic, rules-based approach that builds portfolios by applying multiple quantitative factors—such as value, quality, momentum, size, and low volatility—to select or weight securities. It is commonly implemented through rules-based funds and indices that provide diversified factor exposure.
Example: A portfolio uses a multi-factor approach to combine value and quality signals in domestic stocks while incorporating momentum and low-volatility signals in international positions.
💬 Comments