ARP - DDQ for Broker Dealer Products
Alternative Risk Premia (or factor-based) strategies invests based on well understood, and academically documented, underlying factors. These factors may explain and influence an asset’s risk and/or performance as building blocks for portfolio diversification.
When institutional investors access this strategy via broker-dealer products, rather than managed funds, a different type of due diligence is necessary. This DDQ provides a framework for this due diligence.
