Offense or Defense? Positioning for a Possible Recovery
February 05, 2019Today 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...
Momentum Inflecting
September 21, 2018For the past few weeks, we've been closely following Medium-Term Momentum as it sharply climbed into Overbought territory. While we've talked about this factor a lot recently, it's been a very active signal in both our US and Global models, and we're now observing that Momentum is currently at an inflection point.
As a reminder, we define Medium-Term Momentum as cumulative return over the...
Factor Spotlight: Profitability
September 14, 2018Happy Friday. This week we're going to discuss how Profitability (a component of Quality) is Oversold in both our US and Global models, and provide an update on Medium-Term Momentum (which we had flagged as Overbought last week).
Profitability If you recall our Factor Spotlight note on 4/26/18, we introduced Profitability as a key proxy for Quality. Profitability is a combination of...
Factor Spotlight: Momentum Update
September 07, 2018I hope you've been having a great summer. While factor movement has been relatively quiet this season, we're now seeing the emergence of signal for Medium-Term Momentum factor in both the US and Global models. Usually, when we see this type of movement in both models, it makes for a much stronger signal.
The last time we discussed Momentum on July 12th, we had flagged it as "Oversold" as it...