…mining uncovered many strategies with low correlations to each other. This suggests potential diversification benefits from combining multiple factors, even if they’re discovered through statistical analysis rather than theory. The…
Search Results for: low-volatility funds
The Contrarian's Guide: Inside David Dreman's Value Investment Strategy
…these strong returns came with relatively low volatility. The portfolio maintained a beta of roughly 1.0, meaning it was no more volatile than the broader market. This aligns with Dreman’s…
Five Fundamentally Sound Dividend Kings
…value 4. Sysco Corporation (SYY) Sysco impresses with: O’Shaughnessy Growth/Value Model (100% score): Persistent earnings growth over five years from $0.42 to $3.89 Price/Sales ratio of 0.46, well below the…
The Importance of Expectations in Investing
…Many trade at remarkably low valuations due to persistent concerns about e-commerce disruption. These stocks appear cheap using conventional metrics, but there’s a reason for their low valuations—the market expects…
Five Technology Stocks Peter Lynch Might Like
…the Lynch Model The cornerstone of Lynch’s strategy is finding companies with P/E ratios that are lower than their growth rates, resulting in PEG ratios below 1.0. But Lynch didn’t…
Five Stocks Both Warren Buffett and Peter Lynch Might Like
…retained earnings Lynch criteria: Fast grower: 25.3% historical EPS growth rate Low PEG ratio: 0.31 Strong balance sheet: Debt/Equity ratio of 0% 2. Five Below Inc (FIVE) This discount retailer…
The Challenges of Bubbles
The term “bubble” has become ubiquitous in financial media. If you follow financial news, you might conclude that we’re currently surrounded by bubbles. Stocks, bonds, cryptocurrencies – all have been…
Building a Quantitative Strategy Based on Warren Buffett's Approach
…Positive free cash flow in each of the last 3-5 years Ideally, growing free cash flow over time Positive and growing free cash flow indicates the company can fund its…
Lessons from Two Decades Running Quant Models
…trading costs. Over the long run, when compared to index funds, the underperformance of active managers tends to roughly equal their excess fees and trading costs. However, there’s compelling evidence…
15 Ways to Lose Money in Markets | Ben Carlson
…of topics, including: – The dangers of market timing and why it’s so difficult to get right – Why investors shouldn’t blindly follow advice from billionaires or pundits – The…