Alpha Architect Research Blog

The Newest Alpha Architect Research and Insights

Shocking: CEOs Do Things for Personal Gain

2014-09-30 12_31_13-Strategic News Releases in Equity Vesting Months.pdf - Adobe Reader
Strategic News Releases in Equity Vesting Months Abstract: We show that ...

Behavioral Bias Bingo — The Whimsical Cuteness Effect

2014-10-03 12_19_07-etrade baby - Google Search
"So Cute I Could Eat it Up": Priming Effects of Cute Products on Indulgent Consumption

The Quantitative Value Investing Philosophy

Quantitative_Value_v04.docx - Microsoft Word_2014-09-23_08-45-57
Benjamin Graham, who first established the idea of purchasing stocks at a discount to their intrinsic value more than 80 years ago, is known today as the father of value investing. Since Graham’s time, academic research has shown that low ...

How to calculate 3-factor (Fama-French) and 1-factor (CAPM) alpha

We've had a few questions related to 3-Factor Fama-French and 1-Factor (CAPM) alpha calculations recently (maybe it is midterm season?) We're here to help! Below is a an old video (note the TurnkeyAnalyst reference) I put together that describes how ...

Quantitative Value Research: E/P or Size Effect?

2014-10-03 18_00_42-0Value Reseach Recap.pptx - Microsoft PowerPoint (Product Activation Failed)
Earnings Yields, Market Values, and Stock Returns Core Idea: At this time, ...

Introducing our Newest Teammate: Ooh-rah!

Our adventure started over 4 years ago as a 1-man band blogging about esoteric finance research (me) and has expanded into a business with 7 full-time owner/operators, 2 full-time employees, a handful of part-time help, and a promising growth path ...

Quantitative Value Research: Cyclically-adjusted P/E (CAPE) Factor

2014-10-02 10_53_04-0Value Reseach Recap.pptx - Microsoft PowerPoint (Product Activation Failed)
Stock Prices, Earnings, and Expected Dividends Core Idea: Price-earnings ratios and dividend-price ratios ...

Quantitative Value Research: Low P/E

The results are hypothetical results and are NOT an indicator of future results and do NOT represent returns that any investor actually attained. Indexes are unmanaged, do not reflect management or trading fees, and one cannot invest directly in an index. Additional information regarding the construction of these results is available upon request.
For the next 30-60 days we'll be posting a recap research report on classic research related to quantitative value investing. This is the first part of the series. Stay tuned for a whole lot more! Investment Performance of Common Stocks in Relation ...

Interesting Finding: Professors aren’t Totally Useless!

2014-08-13 10_38_39-Professors in the Boardroom.pdf - Adobe Reader
Professors in the Boardroom and Their Impact on Corporate Governance and Firm Performance
  • Bill Francis, Iftekhar Hasan, Qiang Wu
  • A version of the paper can be found here.
  • Want a summary of academic papers with alpha? Check out our Academic Research ...

A New Take on SEC Comment Letters: Positive Drift!

2014-08-15 10_41_22-Textual Classification of SEC Comment Letters.pdf - Adobe Reader
Textual Classification of SEC Comment Letters Abstract: SEC Comment letters appear to be ...

Performance figures contained herein are hypothetical, unaudited and prepared by Alpha Architect, LLC; hypothetical results are intended for illustrative purposes only. Past performance is not indicative of future results, which may vary. There is a risk of substantial loss associated with trading stocks, commodities, futures, options and other financial instruments. Please click Full Disclaimer for additional disclosures.