Literature Category: Quantitative Portfolios

Investors have unique needs, especially with regard to tax considerations. With PMC’s Quantitative Portfolios, advisors can deliver a flexible, cost-effective solution that is geared towards helping make tax-smart investing easier.

Quantitative Portfolios (“QPs”) are separately managed accounts designed and constructed to offer several primary attributes, including: cost-efficient exposure to beta, tax-efficiency, and the ability to be customized. At their core, QPs are passively managed, and are structured to provide a pre-tax return similar to a broad-based benchmark index at a cost that is competitive with ETFs. We attempt to enhance after-tax return through active tax management. As their name suggests, the portfolios are constructed quantitatively, with risk assessment and tax management considerations being the sole criteria.

Blending the benefits of “beta” investing with the portfolio customization of managed accounts, Quantitative Portfolios (QPs) can improve potential after-tax and risk-adjusted results—in a costeffective manner. The Factor-Enhanced QPs take portfolios beyond beta, providing the potential for excess returns via increased exposure to value, momentum, and quality factors.