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Managed Volatility

As of November 30, 2018

Strategy
Benchmark
AJO Universe
Segment
Inception
Date
Clients
#
Assets
$mm
AJO Managed Volatility
MSCI USA Min Vol Index or Russell 1000 Index
largest 1,000 10/31/04 5 2,130

Our managed-volatility work seeks to outperform the broad stock market with lower total (not benchmark-relative) risk. Of our universe segment for this strategy (largest 1,000 names by market cap), we consider for purchase the half with the lowest empirical volatility.

Managed Volatility Fees
0.30% on the first $250 million
0.20% on the next $250 million
0.15% on the next $500 million
0.125% thereafter

Minimum initial investment is $25 million. AJO follows a most-favored-nation policy regarding fees: no fixed-fee client pays more than the lowest fixed fee charged for a similar mandate of the same size. Performance-based fees are also available — indeed, encouraged.

See portfolio characteristics here and performance here.