The Pitfalls of High-Conviction Strategies
August 05, 2021 at 18:00 PM EDT
Active managers are increasingly being swept up in the high-conviction investment craze that follows the logic that portfolio managers should only invest in their best ideas. Doing so should result in better performance, but a new study from Cabot Investment Technology and JANA Investment Advisers finds that isn’t always the case, reports Institutional Investor .