A Systematic Approach to Value Investing


For factors to be useful in investing, we demand that they be: simple, limited, robust, and rational.

For factors to be useful in investing, we demand that they be: simple, limited, robust, and rational.

ABOUT US

In 2005, Dr. Nathan Rex, a physicist and value investor by training, sought to identify the factors that result in success or failure in investing and began the portfolio modeling research that would become Eigenvector’s proprietary algorithms. In June 2008, and after three years of work, we launched a long-only portfolio within a large family office. Though it may have launched at arguably the worst possible moment in decades, our long-only strategy outperformed nearly all classes of hedged strategies for the year. As a result of further research on what causes investments to perform poorly, an alpha-generating short component was added to the model in January 2011. At that time, Eigenvector’s long/short portfolio launched with substantial capital inside the family office.

With nearly eight years of proven success, and over five years of long/short track record, Eigenvector opened the long/short portfolio to outside investors for the first time.

ABOUT WHAT WE DO

Eigenvector Capital approaches value investing systematically. Using our proprietary analytical framework, we created a defined process to identify value investing opportunities in US-listed stocks. Our value-oriented algorithms analyze, and rank, fundamental data from the income statement, balance sheet, and cash flow statements of all US-listed stocks; and our proprietary ranking system selects optimal, and highly liquid, long/short equity portfolios.