As a spin-off of ETH Zurich, Adaptivv Financial Technologies AG has been working intensively since 2016 on issues related to the efficient risk management of financial portfolios. In this context, we often encounter the common “active vs. passive” debate around the advantages and disadvantages of active versus passive investment management (or tactical vs. strategic allocation).
As is often the case, the truth is found in the middle. A good combination of strategic and tactical allocation usually delivers the best results in terms of limiting maximum losses and achieving optimal risk compensation. This episode of Active vs. Passive is about whether active management of the equity allocation in a portfolio can generate added value.
