Sector Cap
A constraint capping how much weight any one sector can take in the portfolio.
Category: Portfolio Constraints
What is Sector Cap?
Sector caps prevent the optimizer from over-tilting to a single industry. Typical caps are 20% to 35%.
A constraint capping how much weight any one sector can take in the portfolio.
Category: Portfolio Constraints
Sector caps prevent the optimizer from over-tilting to a single industry. Typical caps are 20% to 35%.