Rillian global advisers focuses on primarily chinese equities, but also quite a bit on chinese commodity futures and bonds. We generally find that alpha comes from investor mistakes. The average equity mutual fund out performse in market after costs,. despite having a one point five % management feeon average, the average international investment china issues out performs. stocks with high international holdings oll perform those with low international holdings. You need to be in the ninetieth per cent among fund managers to perform as well as the bench work at rillian Global Advisors.
Vivek Viswanathan is the Head of Research at Rayliant Global, a quantitative asset manager focused on generating alpha from investing in China and other inefficient emerging markets.
Our conversation circles around three primary topics. The first is the features that make China a particularly attractive market for quantitative investing and some of the challenges that accompany it. The second is Vish’s transition from a factor-based perspective to an unconstrained, characteristic-driven one. Finally, the critical role that machine learning plays in managing a characteristic-driven portfolio.
And at the end of the conversation we are left with a full picture of what it takes to be a successful, quantitative investor in China.
I hope you enjoy my conversation with Vivek Viswanathan.