From Gut to Algorithms: How factor farming is reshaping Indian portfolios in 2025
The way investment is approached is evolving. What used to depend on instinct and experience has now turned into a field driven by data, algorithms, and well-planned strategies. At the center of this change is factor investing, a strategy that identifies specific drivers of returns, called factors, and uses them to improve portfolio performance. In 2025, factor farming—the careful targeting of these factors—is changing how money is managed in India.
What is Factor Farming?
Factor farming is a careful approach to investing. Unlike older methods that relied on economic predictions or picking individual stocks, factor investing looks at measurable features of stocks, such as momentum, value, low price swings, quality, and size. These…
