Omega Point Blog

Market Rebound

Offensive Recovery Finale — The Model Portfolio

February 24, 2019
Following up on last week's discussion, we conclude our multi-part series on positioning for a potential market recovery, by building and analyzing a model portfolio that internalizes the insights we've gained from prior recoveries. Through the construction of a model portfolio we've uncovered an intuitive insight applicable to the recent recovery so please make sure to read the section...
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Omer Cedar
Omer Cedar

Contemplating a Recovery: adding the idiosyncratic volatility factor to the mix

February 17, 2019

I hope today's post finds you well and you are enjoying your Presidents' Day weekend. In last week’s Factor Spotlight, we sought to associate changes in fundamental factors—growth and profitability—with net momentum, and found that 77% of the time growth and profitability moved in the same direction, so did net momentum. 

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Omer Cedar
Omer Cedar

Offense or Defense? Positioning for a Possible Recovery - Part 2

February 10, 2019
Today we continue our analysis of early stage market rebounds with the goal of helping uncover potential offensive and defensive sector strategies that may be useful for investors in the current market. Last week we tried to find commonalities in net momentum across sectors during recovery periods. The idea being that defensive sectors tend to underperform and more cyclical or “growthy”...
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Omer Cedar
Omer Cedar

Offense or Defense? Positioning for a Possible Recovery

February 05, 2019

Today we're kicking off a multi-week analysis of the early stages of market rebounds. One area of focus is the examination of sectors investors might want to focus on, depending on whether they're seeking to get offensive or stay defensive in the market. Thus, today we will be starting our analysis through the lens of sector performance during previous market rebounds. We'll also share a quick...

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Omer Cedar
Omer Cedar