In a conversation on the Odd Lots podcast, Cliff Asness of AQR Capital Management presented a compelling case for why modern markets may be increasingly prone to significant dislocations from fundamental value. His thesis, detailed in his piece “The Less Efficient Market Hypothesis,” points to structural shifts that challenge the … Read More
Cliff Asness on Quant Investing and AI’s Role in Finance
In his recent interview on Bloomberg, Cliff Asness of AQR Capital Management reflected on the firm’s performance and the evolving role of technology in investing. He noted, “We actually made money in both markets, but we did make more money… It was overall a good year.” This success was partly … Read More
Cliff Asness on Behavioral Investing: “Markets Are Voting Mechanisms”
In the Capitalism and Freedom Podcast, Cliff Asness traces a lifetime of market thinking shaped by both data and humility. “My entire career was in some sense a lucky break,” he said, recalling how he arrived at the University of Chicago in the late 1980s “when what we’ll today call … Read More
Cliff Asness: “Doing Nothing Is Surprisingly Often The Right Strategy”
In a recent episode of WSJ’s Take on the Week, Cliff Asness, co-founder and chief investment officer of AQR Capital Management, offered a frank assessment of modern investment trends, particularly the rise of complex, options-based strategies. He expressed deep skepticism toward products like buffer and hedged equity funds, which promise … Read More
Cliff Asness: Uncomfortable Calling It a Bubble Despite High Prices
In a recent interview on the Facts vs Feelings Podcast, Cliff Asness of AQR Capital Management offered a measured perspective on current market conditions, stopping short of the term many are eager to use. “On some of the major indicators. I would be uncomfortable calling it a bubble,” he stated, … Read More
Cliff Asness: When Stagflation Hits-Why Traditional Portfolios Fail
In a recent episode of The Long View podcast, Cliff Asness, founder and CIO of AQR Capital Management, shared his sharp thoughts on tariffs, market-timing, and the allure of private equity—topics that resonate deeply with investors navigating complex markets. His critique of tariffs is unequivocal: “Tariffs are taxes. I don’t … Read More
Cliff Asness: The Case for Momentum In Investing
In this interview with Value Investing with Legends, Cliff Asness discussed a number of topics including the case for momentum in investing. Asness has built a reputation as one of the most influential figures in quantitative investing. But behind the data and models lies a fierce intellectual curiosity and a … Read More
Cliff Asness on Why Value Still Matters (and Always Will)
During his recent interview with The Bull of Wall Street Podcast, Cliff Asness explained why he is still placing his chips on value—albeit a more evolved version of it. “The value factor as quants and academics call it… is very incomplete,” he admits. “It drives non-quants crazy that quants call … Read More
Cliff Asness: Why Markets Have Gotten Less Efficient
During his recent interview with the Stigler Center, Cliff Asness, founder of AQR Capital Management, diagnosed the current state of markets saying. “Markets are assuredly not perfectly efficient,” channelling his mentor Gene Fama, but he warns they’ve grown “prone to bouts of extreme inefficiency.” Asness points to two glaring examples: … Read More
Cliff Asness Explains Why the ‘Miss the N Best Days’ Market Myth Is Gibberish
In his latest Perspective article titled – (So) What If You Miss the Market’s N Best Days?, Cliff Asness cuts to the chase. The argument that “you only have to miss the N best days to totally ruin your long-term returns” is, as Asness puts it, “very dumb.” Or, to … Read More
Cliff Asness: What’s Currently Working In Investing
In his recent interview with Bloomberg Open Interest, Cliff Asness discussed his current strategy. “We are quants, which means we spread our bets out fairly wide,” he says. “We probably have about 2000 longs and about 2000 shorts balanced by country and mostly but not entirely balanced by industry.” It’s … Read More
Cliff Asness on Resilience, Rationality, and Why Most Investors Give Up Too Soon
Cliff Asness, co-founder of AQR Capital, offers a refreshingly stubborn perspective on investing: great investing isn’t just about smart strategies—it’s about sticking with them, even when the going gets tough. During his interview with David Weisburd, Asness didn’t shy away from the emotional toll of underperformance. “During our toughest period, … Read More
Cliff Asness: Why Most Investors Get Expected Returns Wrong
If you’ve ever scratched your head wondering why your return expectations don’t quite match reality—or even expert forecasts—you’re not alone. Cliff Asness, co-founder of AQR, just spotlighted a new series by his colleague Antti Ilmanen called Understanding Return Expectations, and it’s full of lessons investors can’t afford to ignore. The … Read More
Cliff Asness: The ‘Crypto Fort Knox’ Plan: A Disaster in the Making
The idea of a “strategic cryptocurrency reserve” is so ridiculous that it’s almost hard to believe it’s real. And yet, on Thursday, President Trump issued an executive order to establish just such a fund, with his self-appointed crypto czar, David Sacks, describing it as “like a digital Fort Knox.” But … Read More
Cliff Asness: Investors Should Avoid These Two Extremes
In this interview with the Insightful Investor, Cliff Asness discusses the challenge of evaluating an investment strategy during difficult periods. He warns against two extremes: abandoning a strategy too quickly due to short-term losses or stubbornly refusing to adapt when necessary. He highlights Warren Buffett’s ability to stick to his … Read More
Cliff Asness: How We Avoid the Pitfalls of Traditional Long-Only Active Management
In this interview with Bloomberg, Cliff Asness discusses the challenges of investing in a market dominated by a few highly concentrated stocks, like the “Mag Seven.” As a quant, he emphasizes the advantages of running diversified long-short portfolios, typically balancing around 750 long and 750 short positions across industries. This … Read More
Cliff Asness: The Next 20 Years Will Be A Golden Era for Rational Investors
In his latest interview with Excess Returns, Cliff Asness discusses the challenges and opportunities of rational investing, particularly during periods of extreme market inefficiency. He argues that historical valuation changes are poor guides for the future, as they reflect shifts rather than fundamentals. While rational strategies often pay off, they … Read More
Cliff Asness: Why Quant Strategies Make It Very Hard For Us To Lose Over Time
In his interview in the book – Efficiently Inefficient, Cliff Asness discusses the parallels between quantitative and judgmental (discretionary) investing, noting that both seek undervalued stocks with catalysts that might change their valuations. He highlights that while judgmental managers often concentrate their holdings, relying on deep company knowledge, quants leverage diversification, … Read More
Cliff Asness: Markets: The Crazy Periods Are Getting Crazier And Lasting Longer
In this interview with Bloomberg, Cliff Asness argues that market inefficiencies, such as wide spreads between cheap and expensive stocks, are becoming more pronounced and persistent. He explores three key reasons for this: the rise of passive investing, extended periods of ultra-low interest rates, and the influence of technology and … Read More
Cliff Asness: The 3 Reasons Markets Have Become Less Efficient
In his latest paper titled – The Less-Efficient Market Hypothesis, Cliff Asness explains why he believes markets have become less efficient over the past 34 years due to technology, gamified trading, and social media. This inefficiency raises the stakes for rational active investing, with bigger and longer-lasting market swings. Investors … Read More