In less than a decade, Danske Bank A/S changed auditors four times before a $230 billion money-laundering scandal hammered its share price. It's those type of red flags that PanAgora Asset Management Inc. wishes its factor-investing models could capture. So now it's trained them to. The Boston firm has programmed robots to look beyond financial statements and market prices, trying to adapt cutting-edge data science to a brand of quant, or quantitative analyst, trading that before now had little use for it. "We want to buy good-quality companies that are going to grow at a reasonable price," said George Mussalli, a chief investment officer at the $46 billion manager. "But the question is how do you define that, and those definitions need to evolve over time." Statistical-arbitrage shops and macro funds have spent millions for exclusive data to uncover sources of consistent returns. Stock pickers famously count cars parked outside Walmart or track oil tankers to inform trades. But peers … [Read more...] about Investment companies push for stronger models
Successful investment companies
Tech companies often only want to work on the buzziest projects. But if they put aside their egos, they'd discover a far wider world of opportunity. Paul Nunes Published 8:00 am CDT, Tuesday, June 4, 2019 Photo: Courtesy Of Paul Nunes Photo: Courtesy Of Paul Nunes Image 1 of / 1 Caption Close Image 1 of 1 Photo: Courtesy Of Paul Nunes Want to Become A Successful Tech Company? Be Boring! 1 / 1 Back to Gallery Tech entrepreneurs like to create cool technological solutions. Then, they often only want to provide their solutions to customers or clients that are equally cool -- favoring the few buzzy opportunities over many other unexciting ones. I know this sounds crazy. Who turns down … [Read more...] about Want to Become A Successful Tech Company? Be Boring!
Investors in Hong Kong are baffled by the wild success of the share price of a loss-making investment firm in the city state, which has seen its stock increase by close to 9000% in recent years, seemingly without a catalyst. China Ding Yi Feng Holdings Ltd, an investment holding company, has seen shares increase 8563% in the last five years, but no one really knows why. “Fundamentals do not support the stock’s rally at all,” Li Yuanrong, managing director of Shenzhen-based venture capital firm 20VC told Bloomberg. Investors in Hong Kong are baffled by the wild success of the share price of a loss-making investment firm in the city state, which has seen its stock increase by close to 9000% in recent years, seemingly without a catalyst. Shares in China Ding Yi Feng Holdings Ltd, an investment holding company based in the International Commerce Centre, Hong Kong’s tallest building, have rallied 8563% in the past five years, according to a report from … [Read more...] about Shares in a mysterious Hong Kong investment company have jumped 8500% in 5 years, and no one really knows why
The co-founder and former CEO of Lily's Sweets decided the best thing for the company was to take a step back. Stephen J. Bronner Published 11:10 am CST, Monday, February 11, 2019 Cynthia Tice Cynthia Tice Photo: Courtesy Lily's Sweets Photo: Courtesy Lily's Sweets Image 1 of / 1 Caption Close Image 1 of 1 Cynthia Tice Cynthia Tice Photo: Courtesy Lily's Sweets Here's Why This Entrepreneur Gave Up Leadership of Her Successful Chocolate Company 1 / 1 Back to Gallery Typically, when investors take over leadership of a business from its founder, it's a bad sign. But for Cynthia Tice and her chocolate business, Lily's Sweets, it was an acknowledgement that sometimes an entrepreneur is … [Read more...] about Here’s Why This Entrepreneur Gave Up Leadership of Her Successful Chocolate Company
In the minds of many entrepreneurs, taking a company public, with shares trading on a public stock exchange, represents the pinnacle of success–a dream come true. For EA Engineering founder Loren Jensen, that dream proved a nightmare. Located in Hunt Valley, Maryland, EA Engineering, Science and Technology is an environmental consulting firm with 500 employees and $140 million in annual revenue. For more than a decade, the firm traded on NASDAQ, but after initial success the company cycled through three presidents, saw morale plummet, and found itself in trouble with the Securities and Exchange Commission over accounting misstatements. Pressure for aggressive growth had clashed with the company’s scientific culture, damaging its environmental mission. Jensen led a move to buy the company back in 2001. He then worked with new president Ian MacFarlane to transition to 100 percent employee ownership through an Employee Stock Ownership Plan (ESOP). MacFarlane also organized … [Read more...] about To make companies moral, make the employees the owners