Abstract

The movement toward indexation in the past decade has left many institutional investors thinking, “This can’t be all there is to my job. Let me learn something about active management.” In an interview with <b>Institutional Investor Journals, Larry Siegel</b> and <b>Matt Scanlan</b> urge investors to include high-conviction active managers in their portfolios and describe how to identify those with true skill. The process of building a winning portfolio of managers is akin to a high-conviction manager building a winning portfolio of a few concentrated positions, they explain. Siegel and Scanlan discuss the evolution of their thinking on this topic and reveal some personal vignettes. Siegel is Gary P. Brinson Director of Research at the <b>CFA Institute Research Foundation</b> and Senior Advisor to <b>Ounavarra Capital</b>. Scanlan is Chief Executive Officer at <b>RS Investments</b>.

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