Index provider MSCI has rolled out a Barra Equity Model. The first among its family, the Barra U.S. Equity Model offers the latest risk methodology, helping institutional investors align factor structure with their investment processes and improve responsiveness and accuracy.

Key advances include the Eigenfactor Risk Adjustment that adjusts the covariance matrix and improves risk forecasts for optimized portfolios. The Volatility Regime Adjustment regulates factor volatilities to prevailing market levels. Initially, Barra Portfolio Manager, Barra Models Direct and Barra Aegis will provide access to the models. Existing clients can switch to the new models or retain their existing subscription.

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