Global Low Volatility
Global Low Volatility is designed to deliver returns in excess of a market capitalization-weighted equity index with lower volatility than the index over the long-term, thereby generating an attractive return/risk profile from investments in global large-cap stocks.
The Invesco Edge:
- Experienced management team
- Managing low volatility strategies since 2005
- Skillful stock selection driven by return forecasting engine, first launched in 1984.
- Freedom from index constraints allow for greater opportunity to seek out return
- Current assets of over $3.2 billion (all low volatility strategies)
Global Low Volatility employs a quantitative, bottom-up investment process where excess returns are driven by a successful, long-standing stock selection model that weighs four key investment concepts according to our assessment of their ability to forecast the expected return for each stock:
- Earnings Momentum
- Price Trend
- Management Action
- Relative Value
When constructing the portfolio, we target a total risk level below the cap-weighted equity index. Few constraints are utilized, which allows for greater exposure to the Model's alpha. The portfolio will have a lower beta, and sector and country weights may meaningfully differ from the index. All portfolios are team managed.