How We Invest

How We Invest background

How We Invest

Hanseatic’s investment approach is highly disciplined and robust. At the core of our process is a proprietary, quantitative protocol that generates a Q Score. Our investment approach is applicable and repeatable across market conditions, sectors and geographies, allowing us to efficiently and effectively construct and manage a mix of long-only equity products.

Roll over the key words below to explore more about our investment process.

With each client, our investment process begins here     

Universe

Index / investment area selected.
Constraints addressed.
Sample set confirmed.

Q Score

Identify potential BUY
list based on proprietary
Q Score analysis.

Portfolio
Construction

Create portfolio based on
8 core drivers.
Proprietary protocols/weighting.

Portfolio
Evaluation

Daily monitoring, weekly review.
Weekly sell/buy discipline
capitalizes on shifts in
market environment.

Sell

Systematic. Disciplined.
Free from human/behavioral bias.
SELL creates opportunity for BUY.
Cycle returns to Q score for new
BUY considerations.

Disciplined

An important differentiator of Hanseatic’s process, although unique and proprietary, is that it is not complex. Complex processes that have many parts can become difficult to manage, often allowing for some of the rules to be ignored, especially in volatile environments. Simple processes tend to be more robust; complex processes tend to be more fragile.