By some measures, equity quantitative funds in the United States should be thriving. But they’re not.
Their fundamental counterparts are having a banner year. Stock correlations are at all time lows and clearer market trends are breathing life back into the momentum trade, a strategy among equity quants that bets the winners will keep winning. As those shares chart increasingly independent paths from the losers, equity fund managers are recording their strongest performance in five years, data compiled by JPMorgan Chase show.