#portfolio123

[mgerstein]

Evaluating Smart Alpha Risk

Risk is something we haven’t worried too much about over the4 past 30-plus years. Despite some big collapses, when all was said and done, stocks rose a heck of a lot more often than they fell, which means recklessness wasn’t penalized as heavily as it might have been. 

It’s different now. Risk is a big deal. Unfortunately, when we look more closely, we see that traditional ways of measuring risk don’t make nearly as much sensed as we initially thought they did. 

But Portfolio123 Smart Alpha has other ideas.

https://drive.google.com/open?id=0BxuIkysU9OYuSkdrTDdDRms4YzQ

[mgerstein]

Sector? Industry? Smart Alpha Themes!

What industry or sector is a company in? More important, why do you want to know? If it’s just for the heck of it, that’s fine. But if you’re looking to discover the relevant investment characteristics of the company’s line of business, you may want to consider Smart Alpha Themes.

https://drive.google.com/open?id=0BxuIkysU9OYuS0JJcTBnQk9waWc

[mgerstein]

Company Size as an Investment Factor

Small cap, large cap, mid cap, micro cap, nano cap, mega cap . . . size, size and more size. We sure do like to talk about it a lot. But is it a legitimate, serious investment factor? Yes it is.

https://drive.google.com/open?id=0BxuIkysU9OYuNjU2YkI3SmE3ME0

[mgerstein]

Smart Alpha Styles: Momentum

If you think momentum in the stock market is for poor souls who don’t know any better, think again. It’s an important and legitimate style, or factor.

https://drive.google.com/open?id=0BxuIkysU9OYuZGsySFdzRDEwNFE

[mgerstein]

Smart Alpha Styles: Quality

Quality in the stock market is more than just a basis for finger-pointing and we say some companies are “good” and others aren’t. It’s a legitimate and important investment style, or factor, unto itself. And in Portfolio123 smart Alpha, it’s a pretty important style.

https://drive.google.com/open?id=0BxuIkysU9OYuZGsySFdzRDEwNFE