Why is “quant” management still emerging in Brazil?

There isn’t a single, isolated reason. The evolutionary process of the Brazilian market, our culture, the deficiencies of our educational system, and inherent human factors are all part of the reasons that explain why, in Brazil, unlike the rest of the world, “quant” funds are still in their early stages. Despite the use of quantitative methods and “quant” funds being a reality in other parts of the world for at least 30 years, where they are larger and more profitable than many discretionary funds in the same segments, in Brazil they remain relatively unpopular and are still considered somewhat exotic, viewed with a high degree of reservation and suspicion. Even financial market professionals responsible for allocating resources to funds still prefer discretionary-managed funds, although some well-known discretionary managers have already started—albeit timidly—using “quant” strategies in their funds.