Capital Allocators – Inside the Institutional Investment Industry Patrick O'Shaughnessy – O'Shaughnessy Asset Management (First Meeting, EP.01)
13 snips
Jun 10, 2019 
Patrick O’Shaughnessy, CEO of O’Shaughnessy Asset Management and host of the Invest Like the Best podcast, shares his journey from a young enthusiast to a leader in quantitative investing. He discusses the four core quantitative factors that drive his investment strategies and explores the role of machine learning in research. Patrick reveals insights from his podcasting experience, shedding light on how interviewing shapes his investment philosophy. He also emphasizes the importance of learning from failures in quantitative research and the intricate dynamics of stock shorting.
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Closet Quants
- Many successful investors are "closet quants" with consistent factor profiles.
- Disciplined models employing factors like valuation, momentum, quality, and return of capital drive long-term success.
Price Momentum
- Price momentum is a strong predictor of future fundamental growth, outperforming traditional valuation metrics.
- Momentum strategies require shorter holding periods and higher turnover compared to value strategies.
OSAM Research
- OSAM's research focuses on incremental factor improvements, exploring new signals, and machine learning applications.
- Machine learning is primarily utilized for data set creation, not return prediction.
