INALYTICS Research Papers

Below is an overview of our free research papers, which aim to help you to better understand what skills Fund Managers have as a group, and also how your Managers might compare.

To request a copy of the full articles, or if you would like any further information on INALYTICS, please email us at : info@inalytics.com.

Research Paper 1

Identifying Real Skill and Behavioural Weaknesses in the Active Management Industry

This research paper identifies how managers commonly dilute their returns by falling into well documented behavioural traps associated with the Endowment Effect, through focusing their attention unequally on the longs over the shorts.

Research Paper 2

Are Fund Managers Poor Sellers? Presenting Empirical Evidence of the Disposition Effect

Following on from research paper 1, this paper looks at how behavioural traps, this time associated with the Disposition Effect, cause basis points to be lost through the selling process.

Research Paper 3

Track Records – Luck or Judgement? Introducing Hit Rates and Win Loss Ratios

This paper introduces the measures of Hit Rates and Win Loss Ratios which help firmly identify how skillful a manager is and how they have generated alpha. It also highlights that contrary to the old adage, fund managers don't get 6 out of 10 of their decisions right; they only get 5.

Research Paper 4

Australian Equity Managers : Separating Luck from Skill

This paper demonstrates how misleading track records are as an indicator of skill. We provide evidence that even fund managers with no skill in stock picking have still been able to outperform the standard Australian equity benchmark.