AQI Strategies

SMAs (separately managed accounts) and UMAs (unified managed accounts) offer full visibility into holdings and can be tailored to suit tax, ESG, income, or concentration preferences—something pooled vehicles can't match.

Investors retain direct ownership of assets, allowing for tailored tax lot management (e.g., tax-loss harvesting) and no pro‑rata forced distributions.

Fees are asset-based and negotiable; accounts can hold a diverse mix of strategies (even combining mutual funds, ETFs, and individual securities) under one advisory umbrella.

Quantitative, factor-based investing traces its roots to academic research in the 1960s and 1970s, with the Capital Asset Pricing Model (CAPM) and later the Fama-French models introducing the concept of systematic risk factors like size and value. Over time, advances in data, computing power, and market access enabled institutional investors to implement these insights through rules-based, quantitative approaches. Today, factor investing has evolved into a core strategy for many sophisticated portfolios, aiming to capture persistent drivers of return such as value, momentum, quality, low volatility, and size—backed by decades of empirical evidence.

Quantitative, factor-based investing serves as a disciplined, systematic core within a broader portfolio by providing consistent exposure to proven sources of return (such as value, momentum, quality, and low volatility). Rooted in decades of academic research, it enhances diversification across market cycles and offers transparency, objectivity, and cost efficiency through its rules-based approach. Unlike traditional active management, which often relies on manager discretion, factor investing uses data-driven models for precise portfolio construction and performance attribution. Its flexible implementation, from passive smart-beta to active tactical strategies, makes it a powerful middle ground between indexing and high-cost active management, delivering both structure and the potential for outperformance.

We take a hybrid approach. Where efficient, we use low-cost index exposure. But we also incorporate active management and tactical tilts, especially in areas like factor investing, thematic exposures, or private markets, where we believe active oversight adds meaningful value.

Portfolios are monitored continuously for drift, risk factors, and allocation discipline. We typically rebalance quarterly or as market conditions dictate, but we maintain flexibility to act opportunistically if major dislocations or opportunities arise.

Through AQIs Outsourced Chief Investment Officer (OCIO) offering. In this model, AQI acts as your delegated portfolio manager, designing, implementing, and monitoring AQI strategies within a unified account structure. This option is often preferred by institutions seeking comprehensive, discretionary oversight.

For registered investment advisors (RIAs) or wealth managers, AQI offers a sub‑advisor arrangement. In this model, the AQI team handles the model construction and ongoing management as a separate manager inside your custodian, while you retain the client relationship and set strategy parameters.

AQI also offers a white‑label solution, enabling advisory firms and asset managers to brand AQI strategies as part of their proprietary product lineup. AQI handles backend management, reporting, and rebalancing, while you maintain full client-facing ownership.