The rise of insourced chief investment officers (ICIOs) poses a direct challenge to old-guard legacy providers. Equipped with contemporary insights, data-driven decision-making, and quantitative investment management solutions, ICIOs are transforming investment strategies and setting new heights in the area of financial growth and security.

In this episode, Rusty and Robyn talk with Chris Shuba, Founder and CEO of Helios Quantitative Research. After spending time at Ameriprise Financial and as a senior quant analyst at Columbia Threadneedle, Chris focused on developing mathematical models that could help financial advisors mitigate the market's volatility. These models were met with interest by a broad range of clients, and within the year, financial advisors nationwide were accessing his algorithms. 

Believing that the majority of existing services available to financial advisors lack innovation, are too expensive, and enable commoditization in the wealth management industry, Chris talks to Rusty and Robyn about how he created his own service category, the insourced chief investment officer, and how this service can help financial advisors grow their firm. 

Key Takeaways

• [02:55] - A brief history of Chris' career.
• [04:46] - What led to the creation of Helios?
• [07:39] - What sets Helios apart from other asset management firms?
• [09:26] - The difference between an ICIO and an OCIO.
• [12:18] - How having an ICIO can help advisors grow their firm.
• [14:54] - Why advisors are attracted to model portfolios.
• [18:13] - Customized vs. personalized model portfolios.
• [21:42] - How Helios boosts customization.
• [25:08] - How Helios handles large amounts of data.
• [26:51] - Chris' outlook on interest rates.
• [29:13] - Chris' thoughts on the impact of AI in the financial industry.
• [32:11] - Chris's favorite investment idea.
• [33:22] - How Chris maintains his energy to perform at a high level.
• [34:19] - The people Chris is grateful for professionally.
• [36:13] - Chris' recommendations for content.
• [38:05] - Tips for fantasy football drafts.

Quotes

[16:16] - "Models will always have a flaw. If they're designed well, a model will always have an Achilles heel because it's going to have its sweet spot. But to have that, you have to have that part where it's designed to fail. And the beautiful part about a model is essentially what you're doing is picking what type of failure you're okay with." ~ Chris Shuba

[22:00] - "A well-built, mathematically diverse portfolio can do very well in some of the most extreme environments." ~ Chris Shuba

[26:03] - "There is a very definitive line between academia and the real world. And one of the big differences about Helios is that we do everything we can to live in the real world. That is where the rubber meets the road conversation between the advisor and their client and what they see on TV." ~ Chris Shuba

Links 

• Chris Shuba on LinkedIn
• Chris Shuba on Twitter
• Helios Quantitative Research
• Seven Nation Army
• Ameriprise Financial
• Columbia Threadneedle Investments

Connect with Us

• Meet Rusty Vanneman, Orion's Chief Investment Officer
• Check Out All of Orion's Podcasts
• Power Your Growth with Orion

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