Excess Returns

Why Most Investors Won't Buy the Best Diversifier | Andrew Beer on Managed Futures


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In this episode of Excess Returns, hosts Justin and Jack sit down with Andrew Beer of Dynamic Beta Investments to explore the fascinating world of managed futures and alternative investment strategies. Andrew, who manages over a billion dollars in assets, shares valuable insights on why managed futures remain underutilized despite their proven benefits for portfolio diversification.

The conversation dives deep into several key topics:
How to effectively communicate complex investment strategies to clients
Why the narrative around managed futures is just as important as their performance
The challenges of getting investors to adopt alternative strategies despite their clear statistical benefits
How Dynamic Beta replicates hedge fund strategies in a cost-effective ETF wrapper
The importance of simplicity in investment strategies and why complexity isn't always better
Andrew also discusses the evolution of the ETF landscape, the role of artificial intelligence in investment management, and why maintaining a steady, unchanging strategy has been crucial to his firm's success. Whether you're an investment professional or individual investor, this discussion offers valuable perspectives on portfolio diversification and the future of alternative investments.

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