Factor Investing
Why some groups of shares have earned more than the market for decades, how a factor is measured, what a factor fund actually holds, and why the premium is paid in years of losing — value, size, momentum, quality and low volatility, with the data to check each claim.
Start here
Why is beta only the first factor?
Start the first lessonUnit 1 From Beta to Factors
- Why is beta only the first factor?
- What are size, value and momentum, and who found them?
- Why are there 300 factors, and how many are real?
- Is a factor premium a risk or a mistake — and why does it matter?
Practice Check · Unit 1 A short check · cannot be failed Start
Unit 2 Measuring One
- What is a factor return, exactly?
- What factors does your portfolio already hold?
- Can you time a factor?
- Why did a published factor stop working in August 2007?
Practice Check · Unit 2 A short check · cannot be failed Start
Unit 3 Implementing
- What does a factor fund actually hold?
- How do you run a value screen, and what does the raw result get wrong?
- How do you compute momentum, and why skip the last month?
- How much of a factor premium does trading eat?
Practice Check · Unit 3 A short check · cannot be failed Start
Unit 4 Judging
- Which backtest errors invent a factor?
- How long can a factor lose?
- Why hold several factors rather than the best one?
- Factor Investing checkpoint — the premium, priced
Practice Check · Unit 4 A short check · cannot be failed Start
Last Course exam
One exam, the whole course Unlocks when you have read all 16 lessons
Passing it earns the course certificate.