Custom indices including quantitative investment strategies (QIS) and multi-asset indices can offer a more diversified exposure for investors and minimise risks.
The index is the first to be founded on Roger Ibbotson's behavioral finance research, which found that investors could achieve higher returns with less risk by removing overly popular and overly volatile stocks.
The US bank has launched an RIA ‘go-to-market’ strategy as it redoubles its efforts to serve this segment of the US market.
Sales of structured products in the US market reached an all-time high in August.
The ability to slice and dice new datasets and capture market trends has fueled the development of new underlyings which have captured the imagination of investors.
The index provider believes that timing the regime change between growth and value and allocating to style on a trend surfing basis can reap extra returns to investors.
The US index provider is among the latest entrants to the structured products market driving efficiencies and cost reduction on strategy & custom underlyings.
The craze around strategy and customised indices in the US annuities market and beyond has not gone unnoticed at MSCI.
The French bank is making inroads in the US annuities market with its latest custom index.