NSW, Australia (PRWEB) August 6, 2009
The Super Investor today responded to an interview with former ASIC deputy chairman Jeremy Cooper that appeared in last weekend's edition of The Australian Financial Review.
Mr. Cooper is the chairman of the Government appointed committee mandated to investigate the superannuation system.
The article requires clarification on one important point.
The Super Investor agrees with Mr Cooper's statement that "there is serious academic work that indicates that active fund management is a zero sum game", however we do feel it is necessary to correct the impression given that passive investing is the only alternative.
There is an alternative to passive and active investing - quantitative investing.
Quantitative investing is a hybrid of active and passive investing.
There is serious academic work that indicates there are certain quantitative strategies that have a track record of beating the index over the long term.
For starters, there is the highly credible research of Wall Street fund manager James O'Shaughnessy, widely regarded as a pioneer in quantitative equity analysis.
O'Shaughnessy showed that investors can achieve amazing results using earnings, sales, cash flow, book value, dividends, and other proven financial metrics, when applied in a quantitative manner - without any human discretion or interference whatsoever.
"Quantitative strategies are consistent, and therefore sustainable, and because they are based on financial metrics that studies show have a track record of beating the index over the long term - this type of investing makes perfect sense," said Paul Nojin, CEO of The Super Investor. "The fact is - quantitative investing is a third option - and it's the option that makes the most sense."
The Super Investor is Australia's quantitative specialist.
Between January 1st and July 31st this year the average gain in The Super Investor's recommended portfolios is 44.8%. Compared to the 14.4% index return, that is emphatic outperformance.
These results are evidence The Super Investor hits a sweet spot with its quantitative models - based on value, growth, income and quality.
The Super Investor's recommended portfolios are achieving amazing results using earnings, sales, cash flow, book value, dividends, return on equity and other proven financial metrics in a systematic quantitative manner - without any human discretion or interference whatsoever.