Quant Strategies Reshaping India's Equity Markets: UTI AMC's Sharwan Goyal

• Sharwan Goyal of UTI AMC highlights quantitative investment strategies as a systematic, data-driven alternative to traditional approaches in India's equity markets.
• Quant strategies use rule-based algorithms to analyze large datasets, detect patterns, and generate predictive insights, contrasting with conventional investing's reliance on fund managers' judgment.
• UTI AMC employs a dynamic multi-factor framework, rotating across fundamental factors (Quality, Value) and market-driven factors (Momentum, Low Volatility) across 470 companies.
• The firm uses decision tree models to identify medium-term trends and dynamically determine factor weights, ensuring adaptive and diversified portfolios.
• Goyal notes growing interest from both institutional and retail investors in quant-based mutual funds, emphasizing the need to manage liquidity, turnover, and volatility in India.