Portfolio Construction

Vinva has a world leading and proprietary approach to portfolio construction. Bringing together thousands of pieces of information to construct portfolios is where the ‘magic happens’. Portfolio construction is the key to successful active management – it is what ultimately determines the outcome.

Our portfolios systematically exploit a wide range of global market inefficiencies and are designed to be relatively style neutral over time. Our objective is to deliver differentiated outperformance (alpha) irrespective of the market cycle.

Our proprietary dynamic portfolio construction process:

• Translates our proprietary stock return forecasts into portfolio holdings efficiently
• Dynamically models the investment horizon of stock return forecasting and the arrival rate of new information
• Optimally trades off expected stock returns, risk, tax and transactions costs in a simultaneous manner
• Only takes active positions which are intended and controls unintended risk exposures
• This is done across more than 45 countries covering over 15,000 companies

Vinva’s  Broker Arrangements / Best Execution Policy is available to clients upon request.