TY - JOUR T1 - Practical Applications of In Defense of All-Active Manager Structures JF - Practical Applications SP - 1 LP - 4 DO - 10.3905/pa.2017.4.4.211 VL - 4 IS - 4 AU - Hamilton Lee AU - Jacqueline A. Williams A2 - Byrne, John Aidan Y1 - 2017/04/30 UR - https://pm-research.com/content/4/4/1.2.abstract N2 - In Defense of All-Active Manager Structures Hamilton Lee Jacqueline A Williams Institutional investors spend most of their time looking for active equity managers who can beat their benchmarks. But according to Hamilton Lee and Jacqueline Williams, they should spend at least as much time looking at the portfolios structures themselvesThe authors, both managing directors at Cambridge Associates , explain why, by comparing two common portfolio structures: the donut and the core-satellite. Investors commonly assume that core-satellites, which balance several actively managed strategies with a large, passively managed core to offset risk and garner superior performance, reduce risk and have lower fees and higher performance.But in the 17-year period the authors measured, the donut outperformed the core-satellite, while offering a similar risk profile. “The satellites on a standalone basis add oomph to a portfolio,” says Williams.TOPICS: Manager selection, performance measurement ER -