Boston skyline

QWAFAFEW Boston Presentation

Roughly half of all globally professionally managed funds employ optimized portfolio design principles that are applications of Grinold’s “Fundamental Law of Active Management.” These include: Invest in many securities, use many factors to forecast return, trade frequently, and optimize with minimal constraints. We show with simple examples followed by rigorous simulation proofs that these proposals are invalid and self-defeating. This is because estimation error and required economically valid constraints are ignored in derivations. These flawed principles have been unchallenged by academics and practitioners for more than twenty years and possibly adversely impact as much as a trillion dollars or more of managed assets in current investment practice.
"'The Fundamental Law' is No Law of Anything"

Dr. Michaud and Dr. Esch will present 10/18/16 at QWAFAFEW Boston.

New Frontier offers institutional expertise and patented investment processes to enhance return and manage risk via statistically vigorous, robust, and transparent investment vehicles.
Awarded four patents, New Frontier provides state-of-the-art asset allocation and portfolio optimization tools featuring the Michaud Efficient Frontier™ and other innovations.
A globally-recognized independent research authority, New Frontier continues to contribute to the cutting-edge of investment theory in asset allocation, investment strategies, global investment management, optimization, stock valuation, portfolio analysis, and trading costs.

Quarterly Webinar Recording

Listen to New Frontier's quarterly market persepectives webinar.


New Frontier Tops Rankings

New Frontier's global strategic portfolios topped the Global Balanced Strategic category of the latest Morningstar ETF Managed Portfolios Landscape Report.

About New Frontier

New Frontier is a Boston-based research and registered investment advisory firm specializing in the development and application of state-of-the-art investment technology. Founded in 1999 by the inventors of the world's first broad spectrum, patented, provably effective portfolio optimization process, the firm continues to pioneer new developments in asset management. New Frontier's services help institutional investors worldwide select and maintain more effective portfolios.