SERVICES
What we do
Why Quant-Aided Investment Management?
In traditional equity management, the main focus is on stock selection and macroeconomic analysis. Looking at fundamentals, portfolio managers often conclude that there will be a transition from state A to B, but the path is uncertain.
Quantitative models represent essential new tools that the traditional fund manager can use to shed light on the path or short/medium term dynamics of the system in its transitions.
Portfolio managers often need to decide when to participate, and when not to, in a market / sector / risk. Fundamental analysis and ability to identify good entry and exit points (risk - reward opportunities) are equally important.
We propose the use of proprietary risk-reward indicators which represent the result of many years of specialist work in this area.
Hedge Against the Risks of Behavioural Finance
Investors are often most exposed at market peaks (crowding-in) and least exposed at bottoms (crowding-out), as it is easier to follow the crowd when making decisions, rather than being contrarian.
The crowd unbalanced emotions of greed and fear, however, often represent a major determining factor of poor decision making by the un-systematic investor.
Mathematical models exploit behavioural finance effects by introducing objective, or data driven (hence unemotional) indicators to evaluate and assess risk-reward opportunities in the markets, with an information advantage.