On: Asset Managers: The tide turns

[lordnacho]

So I had an undergrad do this with his Bloomberg. Well known:

Take the S&P 500, rank them by beta.

Lop off the highest x%. Say a quarter.

Rebuild the index scaled up to match.

You can see on a graph that the difference between them grows.

[isoos → lordnacho]

That is not something that prevents losses. I was hoping pointers on those strategies.