The first success factor of Best Styles is a diversified investment style mix, which allows us to harvest the risk premiums attached to long-term investment styles winners without having to take the significant volatility of individual investment styles. In order to establish true diversification, we make sure that the investment style overlap is kept small. Many active strategies focus on stocks that are attractive in several investment styles, however, these stocks tend to be over-loved and over-owned and carry high drawdown risks at market turnarounds. To establish true diversification and avoid drawdowns in relative performance, Best Styles manages investment style risks on an individual stock level.