New Age Alpha

If you’ve read the book or seen the movie, Moneyball, you may be familiar with the story of Billy Beane and how he and the Oakland A’s revolutionized sports management. By focusing on data rather than the ‘gut feelings’ felt by his scouts, he re-defined what ‘success’ meant in MLB. Now imagine those techniques applied to portfolio management.

If you’ve read the book or seen the movie, Moneyball, you may be familiar with the story of Billy Beane and how he and the Oakland A’s revolutionized sports management. By focusing on data rather than the ‘gut feelings’ felt by his scouts, he re-defined what ‘success’ meant in MLB. Now imagine those techniques applied to portfolio management.

If you’ve read the book or seen the movie, Moneyball, you may be familiar with the story of Billy Beane and how he and the Oakland A’s revolutionized sports management. By focusing on data rather than the ‘gut feelings’ felt by his scouts, he re-defined what ‘success’ meant in MLB. Now imagine those techniques applied to portfolio management. Rather than relying on the ‘gut feelings’ of portfolio managers and research analysts, New Age Alpha has re-engineered active stock selection in the same way. Using a systematic and repeatable investment process that aims to avoid the losers rather than pick the winners New Age Alpha aims to deliver better returns with less risk.

If you’ve read the book or seen the movie, Moneyball, you may be familiar with the story of Billy Beane and how he and the Oakland A’s revolutionized sports management. By focusing on data rather than the ‘gut feelings’ felt by his scouts, he re-defined what ‘success’ meant in MLB. Now imagine those techniques applied to portfolio management.

Rather than relying on the ‘gut feelings’ of portfolio managers and research analysts, New Age Alpha has re-engineered active stock selection in the same way. Using a systematic and repeatable investment process that aims to avoid the losers rather than pick the winners New Age Alpha aims to deliver better returns with less risk.

New Age Alpha’s goal is to form long-term partnerships by helping advisors build their practice. We recognize the importance of showing your clients something they’ve never seen before. Our methodology and hands-on tool enrich the experience for both client and advisor by easily communicating how a portfolio can benefit from avoiding the losers.

New Age Alpha’s goal is to form long-term partnerships by helping advisors build their practice. We recognize the importance of showing your clients something they’ve never seen before. Our methodology and hands-on tool enrich the experience for both client and advisor by easily communicating how a portfolio can benefit from avoiding the losers.

New Age Alpha’s goal is to form long-term partnerships by helping advisors build their practice. We recognize the importance of showing your clients something they’ve never seen before. Our methodology and hands-on tool enrich the experience for both client and advisor by easily communicating how a portfolio can benefit from avoiding the losers.

This presentation will cover:

• The Moneyball approach to investing and how it can benefit your clients’ portfolios.
• The hidden risk of human behavior in a portfolio that investors are not compensated for taking.
• The failure of traditional asset management and its understanding to risk.

The success of Moneyball, made famous by the Oakland A’s, could only be achieved by thinking differently, re-inventing a player’s worth and focusing on value. Ultimately, it relied on facts and fundamentals and disregarded the unknowable future.

Despite its reference to money management, however, such an approach has largely been ignored by traditional asset managers who continue to look for an edge. Overly confident in their ability to pick winners, these managers assume they have some predictive ability and knowledge of the future. And clearly, no one has that. Worse, this outdated approach fuels a portfolio mispricing risk that can significantly erode returns over time.

We believe that instead of trying to pick winners, portfolio managers should simply avoid the losers. Like the A’s, they should focus on the numbers—the known information—to avoid strikeouts in the market or on the baseball diamond. This presentation will cover:

The success of Moneyball, made famous by the Oakland A’s, could only be achieved by thinking differently, re-inventing a player’s worth and focusing on value. Ultimately, it relied on facts and fundamentals and disregarded the unknowable future.

Despite its reference to money management, however, such an approach has largely been ignored by traditional asset managers who continue to look for an edge. Overly confident in their ability to pick winners, these managers assume they have some predictive ability and knowledge of the future. And clearly, no one has that. Worse, this outdated approach fuels a portfolio mispricing risk that can significantly erode returns over time.

New Age Alpha is an asset manager that takes existing investment universes and makes them better…by providing ETFs, SMAs and tools that avoid the losers. It has re-engineered active stock selection through a systematic and repeatable process that seeks to provide uncorrelated returns without additional risk.

The gamification of markets spurred by the wave of retail investors has replaced disciplined investment analysis with speculation and conjecture. For a lucky few, the irrational behavior provided short-term success. However, such behavior goes hand-in-hand with steep losses… which you guessed it… is actually gambling rather than investing.

In today’s market, many advisors don’t realize they are dealing with gambling outcomes, thereby exposing their clients to a gambling risk that continues to grow in severity. This new dynamic makes the mitigation of gambling risk in a portfolio critical and begs the question: Are you rolling the dice with your client’s portfolio?

The gamification of markets spurred by the wave of retail investors has replaced disciplined investment analysis with speculation and conjecture. For a lucky few, the irrational behavior provided short-term success. However, such behavior goes hand-in-hand with steep losses… which you guessed it… is actually gambling rather than investing.

In today’s market, many advisors don’t realize they are dealing with gambling outcomes, thereby exposing their clients to a gambling risk that continues to grow in severity. This new dynamic makes the mitigation of gambling risk in a portfolio critical and begs the question: Are you rolling the dice with your client’s portfolio?