The Best Hedge Fund You’ve Never Heard of
The graphic below highlights the performance of the biggest names in the hedge fund business. Their historical survivor-bias-filled track record is amazing. Source: Alpha [...]
About Wesley Gray, PhD
After serving as a Captain in the United States Marine Corps, Dr. Gray earned an MBA and a PhD in finance from the University of Chicago where he studied under Nobel Prize Winner Eugene Fama. Next, Wes took an academic job in his wife’s hometown of Philadelphia and worked as a finance professor at Drexel University. Dr. Gray’s interest in bridging the research gap between academia and industry led him to found Alpha Architect, an asset management firm dedicated to an impact mission of empowering investors through education. He is a contributor to multiple industry publications and regularly speaks to professional investor groups across the country. Wes has published multiple academic papers and four books, including Embedded (Naval Institute Press, 2009), Quantitative Value (Wiley, 2012), DIY Financial Advisor (Wiley, 2015), and Quantitative Momentum (Wiley, 2016). Dr. Gray currently resides in Palmas Del Mar Puerto Rico with his wife and three children. He recently finished the Leadville 100 ultramarathon race and promises to make better life decisions in the future.Clayton Cohn is a Con.
I can't believe a Marine would do this (or is accused of doing this). He claims to be a grunt and to be an honor [...]
Models vs. Experts #10: Lung Function tests
Comparison of reports on lung function tests made by chest physicians with those made by a simple computer program Geddes, D. M., Green, M., & [...]
Stock/Bond Equity Doesn’t Signal much…
Do-It-Yourself tactical macro modules for August are posted. Create a free account here if you want to access the site directly. Macro Chart of the Month: Equity/bond risk [...]
Quantitative Value Cracks the Amazon Top 10 Investing Books.
Looking good. Thanks for all the support from all our readers out there. We get comments and questions everyday--keep them coming. Purchase here Thanks to http://www.stansberryresearch.com/dailywealth/2467/guide-for-selling-stocks-from-the-father-of-value-investing for [...]
Happy days for Momentum; Sad days for Risk Parity
Do-It-Yourself tactical asset allocation weights for August are posted. Create a free account here if you want to access the site directly. Exposure Highlights: No Commodities; no bonds; [...]
Trading on Insider Scoop Works–Who Would have Guessed?
The Value of Private Information in Investment Research: Do Company On-Site Visits Affect the Trading Patterns and Performance of Professional Investors? Switzer and Keushgerian A [...]
Value Versus Growth Flashback: Microsoft and Wal-Mart were High-Flying Growth Stocks?
Jack and I were reading a classic academic paper on value investing the other day: Contrarian Investment Extrapolation and Risk. In this paper Lakonishok, Schleifer [...]
Sadness Screws up Financial Decisions–Be Happy!
The Financial Costs of Sadness Lerner JS, Li Y, Weber EU A version of the paper can be found here. Want a summary of academic papers [...]
Family Office Trends Event: Sept. 12th NYC
TKA readers: I'd love to link up and shake hands if you are in NYC at the beginning of September. I am speaking at the [...]
October 1987 crash in the coming months?
The chart looks scary... Green : 11/01/2012 to 7/29/2013 (despite the fact the chart says 8/29/2013--technical detail to get the chart to match up on [...]
Quant Robots Draw Blood and the “Human Touch” Bias
It is hard enough to let a computer take control of your investment decisions. I think there is an innate comfort to human interaction. Let's [...]
Apple moves Higher–Quant Value Pleasure!
On July 19th we highlighted the quant value pain associated with Microsoft. Today we have some good news from a quantitative value type stock--Apple! A low [...]
Risk Parity Rebuttal
Risk Parity in a Rising Rates Regime Rob Croce, Rusty Guinn, and Lee Partridge A version of the paper can be found here. Want a summary [...]
Please admit me to Stock-Pickers Anonymous!!!
I'll admit it--I spent 10+ years trading penny stock special situations trying to squeeze a booger out of George Washington's nose on any quarter I [...]
Momentum has Serious Mojo!
212 Years of Price Momentum (The World's Longest Backtest: 1801-2012) Geczy and Samonov A version of the paper can be found here. Want a summary of [...]
Combine the January Effect and Positive Yield Curve for Higher Returns?
Stock Strategies and the January Barometer and the Yield Curve Lichend Sun, Chris Stivers, and Ajay Kongera A version of the paper can be found here. [...]
Microsoft Blowout–Quant Value pain
Microsoft is the typical quantitative value type stock--low price, but evidence for a historic moat and great current financial strength. Today, MSFT face planted. But, [...]
Free Shareholder Yield Book!
Meb is selling his book for the ultra value price of $0--hit it! http://www.mebanefaber.com/2013/07/18/shareholder-yield-book-free-on-amazon/
S&P 500 and Emerging Markets–2013 and 1999
The MSCI Emerging Market Index is trailing the S&P 500 by 27.11% this year--wow! But in 1999, the MSCI Emerging Market Index was beating the [...]