Can Steven Schwarzman and Private Equity Beta Be Replicated by Quants?

Quant asset managers are increasingly replicating the performance of private equity in order to give investors access to the same beta for a fraction of the cost. This according to an article in Institutional Investor. “The rise of passive investments in private equity is highlighting the exorbitant fees charged by private equity firms as well as the cons of holding illiquid and opaque portfolios,” the article explains–adding that in 2013, DSC Quantitative Group partnered with… Read More