Business Details
9 Years
experience
Your Trusted Investment Partner in New York
Epsilon Asset Management Asset Management is an asset management firm specializing in systematic stock selection through data science. Our approach combines quantitative analysis with fundamental security evaluation to generate alpha by analyzing active managers' regulatory filings. We distill predictive signals from institutional portfolios to create rules-based investment strategies that emphasize transparency and efficiency. Our team brings extensive experience from Novus Partners and institutional investment backgrounds, having developed infrastructure for quantitative strategy testing and portfolio optimization. We focus on eliminating high-cost aspects of traditional fundamental research while maintaining liquidity and alignment with client interests.Our process leverages big data and statistical inference to produce repeatable outcomes, addressing behavioral biases for both managers and investors. We maintain organizational scale through reinvestment in core competencies, demonstrated by our historical quarterly letters and academic research partnerships. Our operations reflect a commitment to controlled input costs and passing savings to clients through daily liquidity and full transparency.
Services
Systematic stock selection
Data science analysis
Portfolio optimization
Predictive signals extraction
Quantitative strategies
Details
- Year established: 2017
Highlights and features
- Our team originated from Novus Partners' position-level data analytics division
- We implement a patented process for extracting predictive signals from filings
- We guarantee daily liquidity and full transparency in portfolio management
- Our approach eliminates traditional fundamental research input costs
- We maintain organizational scale through continuous reinvestment in core competencies
Services
Systematic stock selection
We employ data science to analyze regulatory filings and establish rankings of domestic equity securities. Our systematic process identifies predictive signals from active managers' portfolios while maintaining fundamental orientation. This approach enables creation of low-turnover portfolios that extract investment signals through statistical inference and big data analysis.
Predictive signals extraction
Our methodology tests active managers' filings for predictive value by analyzing nearly 1,500 hedge funds' position-sets from 1999-2021. We identify skill-based investment signals through regression analyses and portfolio optimization techniques that distinguish market noise from actionable insights for portfolio construction.
Portfolio optimization
We create rules-based portfolios that distill collective research from institutional investors while controlling behavioral biases. Our optimization process leverages backtesting engines and statistical models to generate repeatable outcomes that address margin compression challenges in active management.
Quantitative strategies
Our strategies combine quantitative rigor with fundamental analysis through daily liquidity and full transparency. We utilize GitHub repositories containing regression analyses and time series charts to validate our approach against academic standards and industry best practices.
Behavioral bias mitigation
We implement frameworks that address behavioral biases for both managers and investors. Our process incorporates statistical inference to reduce randomness in outcomes while providing incentives that help capital allocators overcome common decision-making pitfalls in hyperactive market environments.
People
Faryan Amir-Ghassemi
Co-founder
Former Director of Analytics at Novus Partners with experience in portfolio optimization. Previously hedge fund analyst at Cambridge Associates. University of Maryland graduate with honors in English Literature and Business, Society and the Economy.
Michael Perlow
Co-founder
Former Quantitative Developer at Novus Partners specializing in strategy creation. Developed backtesting engines and worked on quantitative analysis at Ipreo. Skidmore College graduate with dual degrees in Mathematics and Economics, recognized as Scholar All-American.
William Cline
Senior Advisor
Co-founder of Alcova Capital with 20+ years in bottom-up equity management. Founded Clovis Capital Management ($2.8B AUM). Former Principal at Cramer Rosenthal McGlynn. Bucknell University economics graduate and Evergreens Cemetery Trustee.
Questions
What is Epsilon Asset Management Asset Management's core investment approach?
We use systematic stock selection through data science, analyzing regulatory filings to extract predictive signals from active managers' portfolios while maintaining fundamental orientation.
How does Epsilon Asset Management Asset Management generate investment signals?
We test nearly 1,500 hedge funds' position-sets from 1999-2021 to identify skill-based signals through regression analyses and statistical models validated in academic research.
What makes Epsilon Asset Management Asset Management's process unique?
We combine quantitative rigor with fundamental analysis through daily liquidity and full transparency, eliminating traditional research costs while maintaining organizational scale.
How does Epsilon Asset Management Asset Management address behavioral biases?
Our framework reduces randomness in outcomes through statistical inference while providing incentives that help capital allocators overcome common decision-making pitfalls in active management.
What research resources are available?
We provide access to GitHub repositories with regression analyses, time series charts, and peer-reviewed academic research published in the Journal of Portfolio Management.
