We believe that a quantitative research framework, process driven implementation, precise risk measurement and teamwork are the keys to successful investment.
QUANTITATIVE FRAMEWORK
We source traditional and alternative datasets, clean these datasets using advanced statistics and machine learning, and then based upon both theoretical and empirical research use these datasets to build quantitative models of security returns. This approach emphasizes: 1) scientific rigor, 2) diversification of return sources; and 3) replicability.
PROCESS DRIVING IMPLEMENTATION
Portfolio construction and execution should be a highly objective process. Each step in this process should be thoughtfully designed and carefully tested to ensure that biases and inefficiencies are reduced.
TEAMWORK
We emphasize teamwork over a reliance on individual talent to achieve long-term outperformance. Researchers must collaborate to create and refine quantitative models. As thoughts are shared and knowledge and experience accumulated, we are better able to evolve and adapt to the market environment.
PRECISE RISK MANAGEMENT
A clear understanding of risk exposure is vital to portfolio construction. With the ability to precisely measure risk we increase our ability to deliver persistent risk-adjusted excess returns.