Investment Fund Management Style

Funds Management Style

• The objective of a funds management style is to achieve a specific investment outcome or return.

Replication Strategy

• The goal of replicating a market index is to track the performance of the index.
• A characteristic of a replication strategy is that it involves holding all the securities in the target index.
• The main benefit of a replication strategy is that it provides broad diversification and can be a cost-effective way to gain exposure to a particular market or asset class.
• NOT a characteristic of a replication strategy is that it involves selecting only a subset of securities in the target index.