TY - JOUR T1 - Dual-Horizon Strategic Asset Allocation JF - The Journal of Portfolio Management SP - 59 LP - 72 DO - 10.3905/jpm.2022.1.331 VL - 48 IS - 4 AU - Alexander Rudin AU - Daniel Farley Y1 - 2022/02/28 UR - https://pm-research.com/content/48/4/59.abstract N2 - In this article, the authors propose a new dual-horizon asset allocation framework that balances desire for long-term portfolio optimality with the requirement for short-term risk control. The framework leverages evidence that for many core asset classes, price patterns can be effectively decomposed into a long-term, persistent component and a transient, cyclical one. This decomposition is particularly helpful when applied to private and public sister-asset classes (e.g., private and public equity or debt) because it allows harmonization of private and public risk-adjusted returns without resorting to artificial adjustments. ER -