Himesh Patel, Senior Investment Analyst, Fidelity Investments Canada, ETFs, joins us at Inside ETFs Canada 2019. The advent of Smart Beta and Factor ETFs is making it simpler than ever for investors to optimize portfolios against late-cycle downside risk concerns. The traditional strategy of raising cash in portfolios to mitigate downside risk is fraught with timing and behavioural risks that can become a truly costly proposition to investors in terms of both short- and long-term returns.
Patel sheds light on two approaches where investors can add or reduce any of the six main factors such as quality, minimum volatility, value, momentum, size, carry to their portfolios so as to reduce the imperative of market timing in and out of markets during drawdowns.
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