The title refers to a technique and agency specializing in relative power evaluation throughout the funding administration trade. This method focuses on figuring out securities, sectors, or asset lessons which can be outperforming their friends. As an alternative of relying solely on elementary or macroeconomic components, it analyzes worth momentum to find out funding allocations. A typical utility entails rating totally different shares primarily based on their worth efficiency relative to a broad market index or sector benchmark.
This method presents a number of potential benefits. It’s a systematic, rules-based funding type that seeks to capitalize on developments. It helps buyers keep away from emotionally pushed selections by counting on goal, quantifiable knowledge. The historic context reveals its origins in technical evaluation, evolving into a definite, subtle technique for portfolio administration. Its profit lies in probably figuring out alternatives which may be neglected by conventional elementary evaluation.
