Investment Product

The investment system that Alpha Captech has developed is based on a rigorous scientific approach. All investment decisions rely solely on data driven algorithms that have been validated through extensive and state-of-the-art back-testing. It is also a long-only system with no derivatives or any use of debt leverage. More specifically, the developed system invests in exchange traded stocks in 37 developed and emerging markets across all industries. The system exploits well known stock market anomalies such as value, momentum, quality, size and volatility. These are used in combination with other selection criteria to systematically create portfolios with much higher returns and lower risks than the world stock market.

Investment in stock market anomalies is an enduring business opportunity. It profits from the never ending mispricing in stock markets such as those caused by less informed and/or less rational investors’ overreactions to good or bad market information. Alpha Captech’s investment system is a comprehensive enhancement and extension of several publicly known and independently verified anomaly strategies combined with multiple ideas of Mathiesen’s own making.

Investors benefit from this proprietary system that significantly outperforms other long-only world stock market investments.

Portfolio replicating 1 to 1 back-tests have verified that the developed investment system has a much higher average annual return than MSCI’s world stock market index (ACWI AC, gross, USD, All Cap). At the same time, the portfolio risk of the developed system is less than this benchmark. This can be seen by its higher probability of earning higher returns than this benchmark as measured for any length of time horizon. It can also be seen from its higher probability of earning positive returns than this benchmark for any given time horizon.

To be sure, the developed investment system should not be expected to outperform the world stock market return every year. This is mainly because its investment strategy is unique and therefore subject to cycle effects that may differ importantly from the investment return cycles in the world stock market.