Strategies

Our multi-factor approach to investing

We combine a systematic quantitative model with manager alpha to dynamically harness the power of historically uncorrelated, pure factor strategies.

We apply a systematic strategy that optimizes multiple historically uncorrelated factors, including value and momentum. Moreover, we integrate a dynamic adaptive risk management overlay to create the perfect combination of quantitative and qualitative decision making.

Our research and disciplined approach is applied across our traditional and alternative investment strategies:

  • Global Equity
  • International Equity
  • US Equity
  • Canadian Equity
  • Global Equity Long Short
  • Canadian Equity Long Short

Our value approach:

  • Long-term returns, enhanced stability and downside protection
  • Allocations based on analyses of individual markets, market cycles, investment factors and other criteria
  • Proven performance: better long-term returns, less volatility and a stronger risk–return profile than the benchmark

Our momentum approach:

  • Positioned for strong outperformance in trending markets
  • Allocations based on analyses of individual markets, market cycles, investment factors and other criteria
  • Proven performance: stronger returns than the benchmark with a stronger risk–return profile

Why ValMo?

  • Diversification of investment styles, as value and momentum have historically low correlations to each other

Correlation of Landry Value and Landry Momentum strategies (1998–2018)

Beta
Size
Value
Mom
Dive
Beta
Beta
1
Beta
Beta
Beta
Beta
Size
Size
0.32
Size
1
Size
Size
Size
Value
Value
0.24
Value
0.12
Value
1
Value
Value
Mom
Mom
-0.34
Mom
-0.15
Mom
-0.41
Mom
1
Mom
Div
Div
0.02
Div
0.00
Div
0.02
Div
-0.04
Div
1

  • Low correlations lead to better risk-adjusted returns than pure momentum and pure value

Risk-adjusted returns of Landry Value, Landry Momentum and Landry ValMo strategies (1998–2018)

Annualized Return
Voltility
Sharpe
Drawdown
Landry Value
Landry Value
11.4%
Landry Value
17.6%
Landry Value
0.71
Landry Value
58%
Landry Momentum
Landry Momentum
14.6%
Landry Momentum
19.1%
Landry Momentum
0.81
Landry Momentum
52%
Landry ValMo
Landry ValMo
13.4%
Landry ValMo
16.1%
Landry ValMo
0.86
Landry ValMo
54%
S&P500
S&P500
7.2%
S&P500
14.7%
S&P500
0.55
S&P500
54

Landry’s systematic ValMo investment process in action

Here is an example of how our ValMo strategy results in a diversified portfolio positioned for long-term growth in our Global Equity Fund.