Co-Chief Investment Officer
New research paper: the singularity of low volatility investing
27.01.2017 - Emmanuel Bourdeix
Seeyond, Natixis Asset Management's structured product and volatility management investment division, is pleased to present its latest research publication. Composed by the Quantitative Research and Analysis team, the document highlights the theme of low volatility investing.
Market participants, by and large, expect to be compensated for taking risk. Higher risk does not necessarily lead to higher returns however. A positive relationship between risk and return is predicted by the Capital Asset Pricing Model (CAPM), while several empirical studies find the actual relation to be flat or even negative. Recent market experience has also cast doubts upon this basic finance principle and drawn out into the light an additional risk factor that starts to be embraced by investors’ mindset, namely the low-volatility factor.
Our study focuses on this equity risk factor. It aims to analyze some market features of low-volatility stocks and their long-run risk/return profiles and diversification benefits.
Emmanuel Bourdeix holds an engineering degree from Ecole Nationale des Ponts et Chaussées and a DEA [post-graduate diploma] in probabilities and finance from Université Pierre et Marie Curie.
Emmanuel Bourdeix began his career in 1995 at Dresdner Kleinwort Benson as arbitrage analyst and structurer. In 1998, he joined CAAM where he acted as portfolio manager, then head of convertible bonds and volatility in 2002 and finally head of satellite equity management in 2006. In 2007, he was appointed deputy CEO of equity and diversified management and, at the inception of Amundi, head of equity Europe, world and emerging countries. In 2010, he became CIO equity, asset allocation & structured products of Natixis Asset Management.
Emmanuel Bourdeix is currently member of the executive committee, Co-CIO in charge of the investment divisions Seeyond*, European equities, Investment and client solutions, Global emerging of Natixis Asset Management.