Research

Research Philosophy

We believe that investment returns over the long term are determined by superior company fundamentals, and that our own analysis of these factors forms the foundation of our investment strategies.

Measure of Success

In building portfolios, we seek to add value from stock selection, not from betting on industries, sectors, or regions. In the past 10 years over 85% of our added value has been attributed to our stock selection models. 

Distinctive Strength

Our investment team, investment technology team and a significant investment in ETHOS are the cornerstones of our research process.

Decision-making and security selection is based primarily on our own research. Street sources account for about 20% of our research effort and relate primarily to earnings announcements and earnings expectations.

We acquire data from independent data vendors who are not associated with banks or brokerage firms that may have conflicting interests. This gives our research process objectivity.

Research Capabilities

ETHOS is the primary tool we use to separate buys from sells and build the stock selection models that are at the heart of our investment process.

ETHOS enables us to:

► Test theses and search for combinations of financial data which act to identify sources of stock outperformance

► Refine and test investment strategies, manage exposure to a wide variety of risks, and enhance our investment products

► Rigorously analyze financial ratios, and build and refine security valuation models

► Rank stocks based on expected excess return, or alpha

ETHOS holds information ranging from company financial statements, market prices, earnings forecasts, broker recommendations, actual and forecasted macroeconomic data, liquidity and funds flow data, internal portfolio holdings, numerous aggregations and derivations of country, sector, and industry information, and more. All of the information and data is on a global, historical, and on-going basis, with data on more than 20,000 companies across 74 countries.

Our ongoing work enables us to understand which factors are most effective within individual sector and style categories as the markets evolve. We regularly evaluate new factors, review and test the performance of our models and make adjustments as necessary. 

Key Features of ETHOS 

► Research platform developed over 15 years
► Built with Microsoft C# and SQL databases
► Direct integration with statistical tool, Matlab
►Tight integration with fundamental and expectational data vendors
► Flexible, fully customizable investment universe
► In-house management of data by Investment Technology Group
► Continuous validation of existing models
► Allows for “open architecture” and replacement or addition of other components.

Learn More...

Contact us at 1-800-668-7366 or email info@genuscap.com to learn more about our research capabilities and how we can help you achieve your goals.