Our Solutions : Risk Premia Solutions

Wilshire offers investors elegant, cost-effective access to externally developed risk premia strategies. Wilshire provides due diligence, portfolio construction, access and monitoring of risk premia strategies.

Alternative Risk Premia Strategies

Alternative risk premia strategies are designed to capture well-known market risk premiums (momentum, volatility, value, etc.) using a quantitative, structured approach. Most major investment banks have a cross-asset risk premia strategy platform offering rules-driven, alternative risk premia investment strategies. 

• Wilshire estimates the bank-sponsored risk premia industry has grown in excess of $100 billion notional, and is growing rapidly
• Each risk premia strategy is defined by a documented, transparent set of trading rules
• Strategies are based on economic rationale and academic literature
• Strategy offerings span asset classes and styles:

Why Risk Premia Strategies?

Enhanced Portfolio Diversification

• Selecting risk premia strategies across asset classes helps to achieve overall portfolio diversification
• Less directional exposure intended to minimize effect of market dislocations

Customized Solutions

• Can be added to a portfolio as a hedge or to provide exposure to certain market factors

Transparency

• No black box investing – strategies and positions are monitored daily

Wilshire offers investors a variety of ways to access risk premia strategies including access to single strategies, thematic portfolios and fully customized solutions.

Wilshire’s Platform