Strategies MyAQR Education Strategies About Us Overview Equities Fixed Income Alternatives ESG Tax-Aware Investment Vehicles Overview Our investment philosophy is based on three core principles, built on decades of research and experience. By applying these principles, we seek to deliver sustainable, long-term value for our investors. Fundamental Investing We rely on sound economic theory and analysis to help us deliver long-term, repeatable results. Systematically Applied A disciplined methodology underlies everything we do. Our investment process, built over 20 years, is based on a continuous process of design, refine, test, repeat. Thoughtfully Designed In portfolio construction, risk management and trading, we seek additional value for our clients. Using both qualitative and quantitative tools, we’re meticulous in every detail of the investment process. Risk Management Our Risk Management team oversees all aspects of both financial and non-financial risks including Market and Liquidity Risk, Counterparty Risk, Model Risk, Operational Risk, and Technology Risk. The firm employs a robust Enterprise Risk framework, which provides for a strong governance structure and ensures independence in risk making decisions. We believe it’s important for Risk Management to interact closely with the Portfolio Management, Research, and Trading teams, working together in managing risk. Together, we aim to ensure that portfolios are manageable through sudden and severely adverse stress events. Equities For nearly two decades, our overall goal has been to build compelling and repeatable investments that are highly diversified across signals and regions, and within a risk-controlled framework. We apply this systematic approach across our strategies, catering to the widespread investment needs of our clients. Single-Style Strategies that provide pure implementations of individual styles, such as defensive, momentum and value. Multi-Style These strategies harness the diversification and potential return benefits of investing in multiple well-known styles in an integrated fashion. Enhanced These strategies seek to provide consistent excess returns over common benchmarks. They combine established signals backed by academic evidence with proprietary signals based on rigorous research. Relaxed Constraint Strategies that build on Enhanced, but broaden the implementation universe through use of limited shorting in a 130/30 context while remaining beta-1 products. 3-Alpha These strategies differentiate by recognizing the inherent risks and opportunities that come with global equity investing. They pair our Enhanced Strategy alongside dedicated country and currency models for integrated alpha opportunities. Fixed Income We aim to generate consistent outperformance by systematically applying investment themes across securities. We believe that a multi-factor investment approach, harnessing underlying drivers of performance, will generate excess returns that are uncorrelated to other asset classes as well as traditional fixed income managers. Emerging Markets Hard Currency Seeks excess returns through country, maturity, and currency selection across hard currency and local currency markets. While the strategy includes local currency investments, it takes no beta to local currency debt, engages in no overall duration or spread timing, and targets a beta of one to its hard currency benchmark. Global Aggregate Seeks excess returns through country, maturity, credit, and currency selection. The strategy targets the credit and duration profile of the benchmark and so does not seek to engage in duration timing or sector selection. Global Governments This strategy seeks excess returns through country, maturity, and currency selection. It engages in minimal duration timing. High Yield Corporates Investment themes in this strategy are primarily expressed by within-industry security selection. It does not seek to engage in duration or credit timing. Investment Grade Corporates Seeks to outperform a core or long duration corporate benchmark. Our investment themes are primarily expressed by within-industry security selection. The strategy does not seek to engage in duration or credit timing. Unconstrained Bonds A cash-benchmarked bond strategy that seeks to deliver positive absolute returns with low correlation to traditional market betas. The strategy primarily utilizes a broad suite of relative value fixed income sub-strategies spanning interest rates, credit, and foreign exchange markets. It also includes a small, dynamic, and diversified allocation to fixed income market risks such as duration, credit, and securitized exposures. Core Plus Strategy that seeks excess returns through country, maturity, credit, and currency selection. Out-of-benchmark sectors are strictly used to increase security selection breadth, while still targeting the credit and duration profile of the benchmark, and so does not seek to engage in duration timing or sector selection. Alternatives As a pioneer in alternative investing, AQR has a long track record of managing the complexities of these types of strategies. By investing long and short, and balancing exposure to factors and asset classes, our alternative strategies are built to seek returns in both up and down markets. We offer both absolute return strategies, which target zero exposure to traditional markets, either at all times, or on average; and total return strategies, which maintain some exposure to traditional markets. Absolute Return Absolute Return Strategy Provides exposure to highly diversified portfolios, aggregating nearly all of AQR’s strategies in a multi-strategy format. Arbitrage Strategies We offer convertible, merger and event-driven arbitrage strategies, or a diversified portfolio combining these strategies. Credit Strategies Seeks positive absolute returns by investing both long and short in a diversified portfolio of credit instruments. Equity Market Neutral Employs a multi-factor, market-neutral investment process based on AQR’s broadest global stock selection capabilities. Global Macro Invests in major asset classes based on prices and macroeconomic fundamentals, using a variety of quantitative and qualitative inputs. Alternative Risk Premia Seeks to efficiently capture a diversified set of classic hedge fund styles and deliver them to investors in a transparent and liquid vehicle. Managed Futures A diversified strategy that seeks to take advantage of price trends in global asset classes. Opportunistic Identifies securities that show extreme undervaluation based on both our quantitative models, as well as a thorough qualitative review. Real Return Seeks to provide an inflation-hedging, positive real return through a diverse mix of strategies and assets. Style Premia Seeks to harvest the return premia from well-known factors such as value, momentum, carry and defensive across asset classes and geographies. Total Return Diversified Growth Strategies Offers a wide range of return sources including market risk premia, alternative risk premia, and alpha, with less of the reliance on rising prices for traditional assets that traditional diversified growth strategies can have. Long-Short Equity Employs our multi-factor investment process based on AQR’s broadest global stock selection capabilities, while maintaining a consistent net long exposure to the market. Risk Parity Invests across global asset classes by risk allocation as opposed to capital, seeking to build a portfolio that is both broadly diversified, but not overly reliant on any single asset class. Multi-Strategy Offers a diversified approach to alternatives investing, seeking to provide broad exposure to several different AQR strategies at the same time. ESG AQR is committed to helping our clients achieve their Environmental, Social and Governance (ESG) goals. Our primary objective for considering ESG issues is improving the risk/return trade-off of our clients' investments. We provide investors a variety of options to achieve their ESG objectives. Find out more about our ESG solutions and philosophy. Tax-Aware Investing AQR’s tax-aware approach is informed by decades of research and experience managing traditional and alternative investment strategies. Our research has created new possibilities for U.S. taxable investors at the intersection of prudent investing, income tax planning, and estate tax planning. Learn more about our tax-aware approach and solutions. Investment Vehicles AQR strategies are available in a variety of investment vehicles, from offshore limited partnerships to mutual funds and model portfolios. We also offer tax-aware implementation of some of our strategies, which may help taxable investors better reach their after-tax investment goals. Institutional Investment Vehicles We serve institutional investors—including pension funds, defined contribution plans, insurance companies, endowments, and foundations—with a range of vehicles to suit to their organization’s governance, pricing and liability needs. Private Funds Separate Managed Accounts Collective Investment Trusts Registered Funds We make many of our strategies accessible to individual investors through AQR-sponsored mutual funds, and offer options for investors in Europe and in Australia. Contact us to learn more. U.S. Mutual Funds UCITS Australian Funds AQR does not provide legal, tax or accounting advice. Investors should conduct his or her own analysis and consult with professional advisors prior to making any investment decisions. Diversification does not eliminate the risk of experiencing investment loss. Past performance is not a guarantee of future results. Investment process is subject to change. Education Featured Thinking Research Cliff's Perspectives Data Sets Learning Center Quick Clips Podcasts Strategies Overview Equities Fixed Income Alternatives ESG Tax-Aware Investment Vehicles About Us Our Firm News Careers Academic Engagement Contact Us MyAQR Log In Register Privacy Policy Social Media Disclaimers Terms of Use Disability Accommodation for Applicants Equal Opportunity Employer ©2021 AQR Capital Management, LLC. All rights reserved.