BACKGROUND: We invest deeply in our in-house research, trading, and technology platforms and 100% of the research feeding our investment process is conducted internally. In most cases, our exhaustive study of fundamental investment characteristics leads us to redefine industry-standard metrics at the most granular level in order to boost the accuracy and strength of the signal. We’re fortunate to have a core team of Researchers & Technologists who all share a passion for, and background in, factor-based investing (visit our Blog archives for more background). As a result, OSAM is a living, breathing, evolving, team-based research project. This Guide is an overview of our findings. Continue reading “OSAM Guide to Factor AlphaSM“
In this interview,1 the first part discusses Will’s 8-year research project studying CEOs who were master capital allocators, which is the basis for his book The Outsiders: Eight Unconventional CEOs and their Radically Rational Blueprint for Success.2 The second part of the interview discusses Will’s career in private equity.
Before acting on any of the ideas or advice contained on this recording, please read this important disclaimer.
Topics covered include: Continue reading “Podcast Replay: Will Thorndike
“How Skilled Capital Allocators Compound Capital””
As we head into the long weekend, and Summer, it’s probably — no, definitely — a very good idea to reset and read something non-financial. I made this list mindful of weary investors’ wandering minds (redundant) and want to get this posted in time for you to go get ’em @ your favorite bookstore1 before your flight, drive; or maybe you’re just staycationing. In my humble opinion, here are some of the best books on the subject of creativity: Continue reading “Book Marks:
6 Ways to Take the Market off Your Mind”
To be sure, things are a little bit hectic here in the U.S. — headlines, rants, and Tweets still manage to shock the markets and year-to-date has been rough. So why not avert our gaze North of the border for a change…
Any good news up there? Wrong question.Getting tips from a newsfeed is risky. Continue reading “2017 Factor Alpha Newsletter
Generating income in client portfolios has always been tough.1 And — prospects for rising rates notwithstanding — it will likely be a challenge for years to come. Ehren Stanhope, CFA (OSAM Principal and Client Portfolio Manager) shares his expertise in global dividend-paying stocks, following up on his Dec-2016 post. Continue reading “Webinar Replay:
5 Considerations for Equity Income Investors”
Part 1 of this article delineates factor-based strategies — fundamental weighting,1 smart beta, and Factor Alpha — by showing the differences between them. Also covered in Part 1 is a comparison of risk-focused and return-focused factor implementation.2
Part 2 covers how risk controls3 and using Active Share4 can help determine the alignment between factors and portfolio construction for, as well as the fees you should expect to pay.
Continue reading “They Can’t All Be That Smart
A Due Diligence Framework for Factor Investors (Part 2)”
Not all factor products are smart. This article delineates factor-based strategies — fundamental weighting, smart beta, and Factor Alpha — by showing the differences between them. It also provides a framework1 for determining the alignment between factors and portfolio construction, as well as the fees you should expect to pay. Continue reading “They Can’t All Be That Smart
A Due Diligence Framework for Factor Investors”
Based on our Factor Attribution Tool, we’ve seen size play a large contributing role to the 1st quarter’s performance,1 especially when staying within what we consider to be a “true” microcap space2 — that is, disallowing the portfolio to drift up the market cap scale into small caps. Continue reading “2017 Factor Alpha Newsletter
So far in 2017, investors saw how multi-factor exposure to Value — in concentrated portfolios — can be beneficial in the small cap space.1 This 1Q17 Small Cap2 edition of the Factor Alpha Newsletter (see also: All Stocks & Global Large Cap) compares our proprietary multi-factor themes3 to the Russell 2000® Value Index (R2000V).4