Types of Active Management Strategies

Author: Lame Botshoma

Source: Strategic Wealth

Investors have developed many different techniques for processing all the information necessary to arrive at an investment decision. Multiple approaches may be considered in forming an overall opinion of an asset; however, each analyst will tend to have his or her own preferred technique based on his or her experience and judgment. Depending on the specifics of the investment discipline, most fundamental and quantitative strategies can be characterized as either bottom-up or top-down.