Blog, Strategies

Monthly Update: Top Picks Momentum

Posted by Erik Martin Hansén

The NQ Top Picks Momentum equity portfolio is based on a variant of our NQ Pure Momentum strategy. The strategy identifies stocks in clear upward trends, adjusted for volatility, with a medium-term lookback period and risk-adjusted portfolio weights. The underlying assumption is that these trends often last longer than many expect.

A characteristic of momentum strategies is that a few big winners often account for a large portion of the total return. However, momentum is difficult for many to follow in practice, and requires clear and structured rules to be able to take advantage of its potential.

Click here to read information and see the development of our model portfolios.

Information

  • Direction: Long-only (no short positions)
  • Strategic direction: Volatility-adjusted price momentum
  • Investment universe: Sweden
  • Portfolio weights: Volatility-adjusted weights
  • Rebalancing frequency: Monthly

Create an account
to read the full article

Create an account to read the full article

This article is part of our analysis service. Create an account to get full access to analysis and our strategies.

If you already have an account, you can

Risk Warning:

Investing in financial markets always involves risk. Historical performance is no guarantee of future results, and there is a possibility that you may lose all or part of your invested capital. Our analyses and indicators are based on historical data and statistical models, but these models cannot predict future market movements with complete certainty.

The value of investments may fluctuate significantly due to market conditions, company-specific factors and global economic events. It is important that you carefully consider your financial situation and your ability to bear potential losses before investing. The Service does not provide personal investment advice and recommends that you seek independent financial advice before making any investment decisions.

NeuroQuant employees may own or trade securities mentioned in analyses or based on indicators used in our services. This may potentially create conflicts of interest, but we strive for full transparency and professional integrity in all our activities. Following our analyses and indicators involves increased risk if the market moves in an unpredictable manner. You should only invest money that you are prepared to lose and understand that past performance, analyses or models provided through the service do not guarantee future results.

Posted by Erik Martin Hansén
After studying at Uppsala University, Erik Hansén has worked in the financial industry since 2007 at several brokerage firms and traded privately. In his role as an analyst, Erik has written highly regarded market letters.

Categories

Latest blog posts