EDHEC-Risk in the Press
EDHEC-Risk Institute has been cited widely in the business and industry press. A selection of articles may be found below.
- ETF.com (16/02/2017)
Finalists Announced For 2016 ETF.com Europe Awards
"(...) ETF.com today announced the nominated finalists for the 2016 ETF.com Europe Awards, developed in partnership with Inside ETFs. The ETF.com Europe Awards are designed to recognise the people, products and firms that are driving the ETF industry forward and creating better outcomes for investors. (...)
Index of the Year – 2016
- Scientific Beta Developed Multi-Beta Multi-Strategy ERC Index
This index blends four main risk factors (value, size, low volatility and momentum) with five popular smart beta diversification strategies, and has demonstrated better performance in different market phases compared with its parent index (the MSCI World index) in the long term.
Index Provider of the Year – 2016
- ERI Scientific Beta
ERI continues to push the envelope of bringing cutting-edge academic research into the real world. The firm won plaudits for a unique approach to index pricing: It said investors who license its indexes can request the right to pay only when those indexes outperform the benchmark.
Best Index Provider Website in Europe – 2016
Awarded to the most informative and user friendly website by an index provider.
- ERI Scientific Beta
ERI goes beyond providing information on its own indexes: Registered users can actually use EDHEC’s systems to create new smart beta indexes of their own, right on the website. (...)"
Copyright ETF.com [Full text]
- Asia Asset Management (February 2017)
The next big growth opportunity
"(...) According to a 2016 EDHEC survey on ETF institutional investors, 86% of respondents expressed satisfaction towards smart-beta ETFs and consider them useful tools in improving their investment process. In Europe, investors have employed smart-beta solutions as defensive strategies in light of the ongoing market turmoil as they allow investors to improve the risk/return profile of their portfolio. (...)"
Copyright Asia-Pacific Media Limited [Full text - Registration required]
- Risk.net (25/01/2017)
‘Great rotation’ highlights clash over unseen risks in factor investing
"(...) Gaps in performance of apparently similar products rekindle debate on index construction. (...) "What index providers are offering billed as factor investing based on academic consensus is no such thing," says Felix Goltz, head of applied research at EDHEC-Risk Institute in Nice. "The academic consensus exists around half a dozen factors, providing a sort of open-source due diligence for investors," he says. "But index providers have tweaked their definitions of factors to try to make them ‘better’. The problem is, these ‘better’ examples haven't faced the same levels of scrutiny." (...) Unlike for active managers, backtests are widely published and used by investors to inform decision-making about passive products, points out Felix Goltz at EDHEC Risk Institute. Goltz calls for providers to document how they ensure backtesting is reliable. "They should explain how factor definitions came about," he says. "Did they pick 50 versions and take the one that looked best? Even large institutional investors don't have the resources to redesign these indexes from scratch and check what the sensitivity is of performance to specific choices." (...)"
Copyright Incisive Risk Information (IP) Limited [Full text - Registration required]
- Benefits and Pensions Monitor (23/01/2017)
Smart Beta Assets Growing
"(...) Assets tracking the EDHEC Risk Institute’s smart beta indices reached US$12.3 billion as of December 31. In terms of geographical distribution, these assets come from North America (60 per cent), Europe (35 per cent), and Asia-Pacific (five per cent). Compared to December 31, 2015, this represents growth of 45 per cent. Among the drivers of this growth were the successful launch of an offering reconciling a low carbon objective and multi-smart-factor portfolio construction. Another driver of the growth in assets is their performance. The indices have a live track record that shows annualized outperformance of over two per cent compared to their cap-weighted benchmark. (...)"
Copyright Benefits and Pensions Monitor [Full text]
- ETF.com (17/01/2017)
Finalists Announced For 2016 ETF.com Awards
"(...) ETF.com and Inside ETFs are pleased to announce the finalists for the 2016 ETF.com awards. The awards are designed to recognize the people, companies and products that are driving the ETF industry forward and delivering new value to investors. (...)
Best Index Provider Website – 2016
Awarded to the most informative and user-friendly website by an index provider.
ERI Scientific Beta: This indexing website powerhouse actually lets users create their own benchmarks, emphasizing the factors that matter to them. http://www.scientificbeta.com (...)"
Copyright ETF.com [Full text]
- Pensions & Investments (17/01/2017)
CalPERS looking at expanding public asset classes as it kicks off year-long allocation review
"(...) An invited speaker at Tuesday's retreat meeting, Lionel Martellini, professor of finance at the EDHEC Business School in Lille, France, and director of EDHEC-Risk Institute, discussed whether CalPERS could reduce portfolio risk and increase returns by offering alternative equity benchmarks beyond a cap-weighted benchmark. He said one problem with a cap-weighted benchmark is it tends to overweight large-cap, growth stocks. He said that over the long term small-cap and value stocks have outperformed large-cap and growth stocks. (...)"
Copyright Crain Communications Inc. [Full text]
- Financial Investigator (04/01/2017)
ERI Scientific Beta: Scientific Beta multi-factor indices post impressive three-year live track record
"(...) The Scientific Beta Multi-Beta Multi-Strategy Equal Weight (EW) and Equal Risk Contribution (ERC) flagship indices in all regions have posted positive live performance in comparison with their cap-weighted counterparts, with an average annualised outperformance of 2.13% over the period since the indices went live on December 20, 2013 to the end of December 2016. Over the three-year live period, the 18 indices that correspond to the initial flagship offering (i.e. the Scientific Beta Multi-Beta Multi-Strategy EW and ERC indices for nine regions: Developed, Developed ex US, Developed ex UK, Developed Europe ex UK, US, UK, Eurozone, Asia-Pacific ex Japan and Japan) all outperformed, with an average annualised excess return of 2.13%. The Developed World indices for the EW and ERC indices produced excess returns of 1.61% and 1.65% respectively. (...)"
Copyright Financial Investigator Publishers [Full text]