Our Investing Principles

Risk Management
We believe in having risk management processes embedded in every level of the investment process.
Portfolio Construction
We bring a deep understanding of combining investment factors, risk management and forecasting to construct investment portfolios.
Transparency
We bring clarity and transparency to better explain the underlying logic behind our quantitative processes.

AGFiQ – Our Expertise

At AGFiQ, our expertise is in rules-based, factor-driven traditional and alternative investment solutions.

Along with managing a suite of proprietary alternative ETFs, we act as an Investment Advisor to a number of multi-factor ETFs and mutual funds.

Our team has turnkey operational expertise and infrastructure available to help investors manage mandates across asset classes and vehicles. Our ETF Managed Portfolios are built on proprietary factor models and implemented across asset classes.

We have experience with:

  • Factor-driven investment strategies
  • Quantitative strategies
  • Factor construction
  • Fundamental strategies
  • Derivatives
  • Asset allocation
  • Overlay strategies
  • ETF strategist expertise
  • Empirical research
  • Risk management

Our deep expertise lends itself to the creation of solutions in a variety of vehicles including mutual funds, exchange-traded funds and separately managed accounts designed to help investors achieve a spectrum of goals from risk management to capital appreciation.

AGFiQ Customized Client Solutions
The AGFiQ investment team works with clients to design vehicle-agnostic, tailored strategies to achieve client-driven objectives.
ETF Managed Portfolios
AGFiQ has extensive experience designing and managing ETF strategist portfolios across asset classes for institutional investors.

Customized Solutions

1 Understand the Client Objective
  • Collaborate with partner to identify desired market or portfolio exposure and intended outcome
2 Define Targeted Exposure(s)
  • Domestic, International, Fixed Income, or Alternatives
  • Single or Multi-Factor, Long/Short, Market Neutral, Currency Hedged
3 Research
  • Leverage internal resources and external partners for broad factor research and exploratory strategy design
  • Systematic internal models designed for robust factor and strategy testing
  • Ongoing dialogue with index partners to help identify opportunities and gaps in the marketplace
4 Strategy Construction
  • Utilize AGFiQ to create a rules-based custom quantitative strategy
  • If desired, formalize index relationship to construct custom index
  • Previously worked with S&P Dow Jones, FTSE Russell, INDXX and Solactive
  • Index considerations: rebalancing and reconstitutions frequency, sector exposures, position size limits
5 Vehicle Design / Implementation
  • Utilize AGFiQ’s infrastructure to manage strategy in direct, sub-advisory or white label capacity
  • Proprietary operational and trading infrastructure
  • Manage cash flows, rebalances, corporate actions
  • Utilize trust and trust service providers for registered products, if desired

AGFiQ prides itself on client centric discussions around strategy construction in an effort to deliver innovative solutions tailored to client objectives.

Examples of Topics:

  • Factor Exposures
  • Desired Tracking Error

Constraints:

  • Turnover
  • Sector / Industry
  • Rebalance Frequency
  • Size
  • Optimized Risk Modelling
  • ESG Considerations
  • Security
Smart Beta Customized Strategic Beta Quantitative Active Management
Passive Passive Active
Single Factor Single Factor or Multi-Factor Single Factor or Multi-Factor
Static investment process, no ability to refine post-index creation Systematic investment process with mechanism for model review and refinements made in conjunction with the client Dynamic investment process, model can be reviewed and modifications made at any time
Trading driven by index Trading driven by custom Trading driven by active investment process
Daily transparency Transparency determined by the client model Varying levels of transparency

ETF Managed Porfolios

Asset Management Expertise

The investment team has extensive experience designing and managing investment mandates across asset classes: equities, fixed income and alternatives, for institutions, pensions, sovereign wealth funds, foundations and private clients.

Index Creator Expertise

We have a history of hands-on experience with idea generation and implementation with a variety of index partners. We have been at the forefront of creating and managing market neutral and long / short passive index strategies, in addition to long-only domestic, international and currency-hedged products.

The ETF Manufacturer’s Expertise

AGFiQ employs open architecture ETF models to best tailor investment design with desired investment outcomes. We believe our unique insight into the creation of ETFs as an issuer of proprietary and sub-advised ETFs, lends expertise to strategy design, implementation and trading.

At AGFiQ, we have a deep understanding of all of the moving parts within the ETF ecosystem. This allows us to provide strategic and educated insight into the design and implementation of ETF strategies for an institutional client.

Equity Strategies (ETF Based)
Dynamic U.S. Sector Rotation S&P 500 + 2-4% Factor ranking within sectors allows the strategy to access well-known equity risk premia such as Value, Momentum and Size. The strategy introduces a portfolio hedge during the initial stages of increasing market risk and then moves to cash as market risk reaches more extreme levels.
Dynamic Global Equity MSCI ACWI + 2-4% Factor ranking across international markets allowing the strategy to access well-known equity risk premia such as Value, Momentum and Size. The strategy introduces a portfolio hedge during the initial stages of increasing market risk and then move to cash as market risk reaches more extreme levels.
Multi-Asset Strategies
Dynamic Multi-Asset Allocation 65/35 Blend + 2-4% Introduces factor exposure to a traditional asset allocation strategy. Factor ranking across asset classes allows the strategy to access well-known equity risk premia such as Value, Momentum and Size. The strategy introduces a portfolio hedge during the initial stages of increasing market risk and then moves to cash as market risk reaches more extreme levels.
Dynamic Multi-Asset Income Barclays Aggregate + 2-4% Designed to provide high current income by investing in index-based ETFs that have high-income streams and exhibit low correlations to each other. The strategy tactically reweights ETFs to reduce risk and employs alternative ETFs to help control risk, reducing drawdowns over time. Factor ranking across asset classes allows the strategy to access well-known equity risk premia such as Value, Momentum and Size.
Core ETF Absolute Return Cash + 4-6% Absolute Return strategy implemented through ETFs. Strategy purchases four Market Neutral ETFs, three Long Only ETFs and two fixed-income ETFs. Focuses on capital preservation in volatile markets.
Hedged Equity Risk-controlled U.S. equity exposure using a multi-factor approach targeting factors such as Value, Momentum and Size. The strategy incorporates a strategic portfolio hedge to help reduce volatility, drawdowns and manage left-tail events.