Omega Point Blog

Recent Posts

The Riskiness of Crowds

October 13, 2019

As we head full force into earnings season next week, I have been thinking about the most popular topics of discussion with our clients over recent months. Last Friday’s rocky market action set the backdrop for what is sure to be an interesting week ahead, as geopolitical developments and economic news mean there will be so much to parse.

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Julia Casals
Julia Casals

Dangling the ESG Carrot

October 06, 2019

Up until now, we have evaluated companies that have been “bad actors” when it comes to ESG. For this week’s Factor Spotlight, we’ll take a look at how the institutional investment community is forcing positive change in company behavior and influencing practices that align with growing shareholder interest in broadly recognized ESG principles. We will turn the tables on the outdated...

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Julia Casals
Julia Casals

An ESG Tale of Tree Smuggling, DNA Testing, & Poisonous Gases

September 29, 2019

During Climate Week in NYC, I had the opportunity to speak with many investment practitioners, including CIO’s, fundamental PM’s and analysts on how they are integrating ESG into their investment decision making process. I had a particularly fascinating conversation with Gabriel Thoumi, CFA, who works with two ESG related NGO think tanks in the financial markets space: Planet...

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Julia Casals
Julia Casals

Momentum Update

September 22, 2019

This week we’ll check back in on Medium Term Momentum after last week’s crash, which we initially discussed last Wednesday in our Midweek Flash Report.

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Omer Cedar
Omer Cedar

Factor Spotlight: This Week's Market & Factor Update

September 15, 2019

We hope you had a chance to read this past Wednesday’s Special Factor Spotlight Flash Report on the growing fallout in momentum. This trend continues unabated into this edition, and as you can see in the tables below, momentum finished the week with the largest decline in both the US and Worldwide factor models. We plan to resume our ESG coverage next week, but in the meantime we...

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Omer Cedar
Omer Cedar

Factor Spotlight Flash Report: Peeling the Momentum Onion

September 11, 2019

Due to the recent outsized factor moves in the recent week, we are releasing a Factor Spotlight Special Flash Report. Although the S&P 500 remains near all-time highs, we will examine what is lurking below the surface and what everyone talking about—-- the fallout of Momentum.

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Omer Cedar
Omer Cedar

An ESG Assessment of Asset Owner “X”

September 08, 2019

I’m Julia Casals and this week I’ll be taking the reins of Factor Spotlight to address ESG from a different lens, that of the Asset Owner or investment allocator as opposed to the investment manager. I recently joined Omega Point as Head of Investment Strategy and my responsibilities will include working with our clients in applying quantitative techniques in their investment...

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Julia Casals
Julia Casals

Comparing ESG Metrics Across Major Indices

August 25, 2019

Last week, we introduced our new ESG overlay that allows you to see ESG KPIs alongside traditional factor exposures for any given portfolio. We’ve also recently introduced a new Compare feature that allows Omega Point users to compare performance, risk, and exposure between multiple portfolios, ETFs, or securities. Today, we’ll use this tool to analyze ESG characteristics for the ...

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Omer Cedar
Omer Cedar

Screening Stocks with an ESG Overlay

August 18, 2019

Over the past several weeks, we’ve decomposed the performance trends of various ESG KPIs (courtesy of OWL Analytics). Not only have we measured how individual ESG KPIs have performed independently, we’ve also seen how the aggregated pillars of Environmental, Social, and Governance have played out over the past 5 years. Through our analyses we’ve established that companies that share...

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Omer Cedar
Omer Cedar

How is Good Governance Rewarded?

August 11, 2019

Today, we’ll turn our attention to the individual KPIs that form the “Governance" piece of the "Environmental, Social, & Governance" investment framework. We’ll also provide this week’s update on market and factor (US & worldwide) trends. Unsurprisingly, we've seen Total Risk spike in the US and worldwide models, while the risk-on factors of Market Sensitivity and Volatility have...

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Omer Cedar
Omer Cedar