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Performance Matters and Different Writing Styles. Allow Quantitative Value articles.

Nelson Nguyen, CFA 1 year ago • updated 1 year ago 0

I ask you to reconsider your editorial policies.  Some writers base their research ideas on Fundamental Analysis and other more Technical Analysis.  Some are Growth ideas while others are Value driven.  Some are based primarily on news, while others are based on historical Quality, Growth and Valuation. I recently submitted a Value Investing idea, but it was rejected because I don't have "qualitative analysis".  I agree my approach is more Quantitative Value than news related.  Have you heard of Quants or Pairs Trading?  


This is the following excerpt from SA Editor Mike Taylor, CFA :

Mike: "Thanks very much. We need some qualitative information on both companies -- what is the latest news and strategic information that will be key for investors to know? Without this information, the article reads more as aggregation of financial data without value-added context. Thanks very much."


Me: "Please reconsider the article as it is. Some people buy growth stocks, others buy value stocks. Some people trade the news and others base it on fundamental analysis. There are many reasons why you may make an investment. My reasons are historical Value, Growth and Quality based on value investing principles. My past results speak for themself."


Mike: "We require that authors respond to feedback, and we continually are raising the bar. We don't evaluate articles on author performance. Please make the requested changes, or feel free to share with your readers as a Blog post."


Me: "We agree to disagree.  Some speculate on news, some are growth investors, some are value investors.  Value investing works.  I am saddened that you do not see the value of my article. Maybe you should evaluate articles based on performance.  I thought you had a quality measure and you were "seeking alpha".  Why does news have such a big effect when the fundamentals matter in the long run.  Please reconsider your policy.  I averaged over 40% returns on my market-neutral trades.  Lowest return was -1.47% and highest return was about 130%."


I think there should be room for Quantitative Value strategies at Seeking Alpha.  You made room for Technical Analysis.  In addition, I think we need to track performance of writers so people seeking alpha can find the right advice than just news and speculation.


Yours truly,

Nelson Nguyen, CFA, CPA