Factor Investing

The handful of persistent return drivers that explain most of what works.

• What Are Factors?Systematic traits — like cheapness or momentum — that have paid investors across decades and markets.7 min
• The Value FactorBuying cheap and selling dear, systematically. Why it works, and why it can hurt for years.7 min
• The Momentum FactorWinners keep winning — the most robust anomaly in finance, and its crash risk.7 min
• The Quality FactorProfitable, stable, low-debt businesses tend to outperform. Defining "quality" with numbers.6 min
• Low-Volatility & SizeTwo more factors — boring stocks beating racy ones, and small beating large. The nuance behind both.7 min
• Combining FactorsFactors zig and zag at different times — blending them smooths the ride. The intuition behind multi-factor.7 min