
Why Most Investors Won't Buy the Best Diversifier | Andrew Beer on Managed Futures
Excess Returns
Navigating Managed Futures and Market Dynamics
This chapter explores the challenges of managed futures strategies, emphasizing the need for adaptability over storytelling in investment decisions. It also discusses the influence of political events on market shifts and the potential role of artificial intelligence in shaping future investment approaches.
In this episode of Excess Returns, hosts Justin and Jack sit down with Andrew Beer of Dynamic Beta Investments to explore the fascinating world of managed futures and alternative investment strategies. Andrew, who manages over a billion dollars in assets, shares valuable insights on why managed futures remain underutilized despite their proven benefits for portfolio diversification. The conversation dives deep into several key topics: How to effectively communicate complex investment strategies to clients Why the narrative around managed futures is just as important as their performance The challenges of getting investors to adopt alternative strategies despite their clear statistical benefits How Dynamic Beta replicates hedge fund strategies in a cost-effective ETF wrapper The importance of simplicity in investment strategies and why complexity isn't always better Andrew also discusses the evolution of the ETF landscape, the role of artificial intelligence in investment management, and why maintaining a steady, unchanging strategy has been crucial to his firm's success. Whether you're an investment professional or individual investor, this discussion offers valuable perspectives on portfolio diversification and the future of alternative investments.
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