[Verse 1]
Building portfolios with different plans
Passive and active, understand the dance
Full replication copies every stock
Stratified sampling picks from each block
Optimization finds the perfect blend
Smart beta factors help returns ascend
[Chorus]
Passive tracks, active seeks
Full rep, sample, optimize techniques
Value, growth, and GARP so bright
Momentum, quality, low vol flight
Size matters in the factor game
Portfolio management, learn each name
[Verse 2]
Active strategies hunt for alpha gains
Fundamental research guides the reins
Value seeks what's trading cheap today
Growth finds companies on their way
GARP combines them both as one
Quality stocks get the job done
[Chorus]
Passive tracks, active seeks
Full rep, sample, optimize techniques
Value, growth, and GARP so bright
Momentum, quality, low vol flight
Size matters in the factor game
Portfolio management, learn each name
[Verse 3]
Quantitative models crunch the data
Factor-based signals, statistical strata
Statistical arbitrage finds the spread
Activist investing changes what's ahead
Long-short positions hedge the bet
Market-neutral keeps risk in check
[Bridge]
Brinson model breaks it down
Allocation, selection, interaction found
Attribution shows where returns come from
Asset weights and stock picks, now we're done
Long-only or long-short too
Market-neutral balances through
[Chorus]
Passive tracks, active seeks
Full rep, sample, optimize techniques
Value, growth, and GARP so bright
Momentum, quality, low vol flight
Size matters in the factor game
Portfolio management, learn each name
[Outro]
From passive indexing to active bets
Smart beta factors hedge your nets
Performance attribution tells the tale
Equity management will never fail