Tag Archives: Enhanced Yield

Quantitative investing: enhanced yield system update

Time to update quant system #3 in my series. See my previous two posts for the first two system updates (here and here). Today I’ll update the enhanced dividend yield system which I originally posted on almost 2 years ago. Let’s dive right in. The enhanced dividend yield strategy originally appeared in What Works On Wall Street. In its original form its is a bit complicated to implement with an unequal weighting of the individual holdings. In my modified approach I use an equal weighting of the top 25 stocks. The strategy basically screens for large profitable popular dividend paying … Continue reading

Posted in Quant Investing | Tagged , , , , , , | 9 Comments

Using dividends to cushion against market gyrations

Early in 2013 I presented a quantitative strategy based on dividend paying stocks from OShaughnessy’s What Works On Wall Street. The Enhanced Dividend Yield strategy. The strategy provides market beating returns, higher sharpe ratios, and a healthy dividend stream. One of the best things about this strategy is it’s high stick-to-it-iveness. That’s a highly technical financial term that means that it is one of the easier quant strategies to adhere to and implement because of the high income stream from the strategy. The income stream provides a cushion that helps investors weather the tough times. Now, about 22 months after … Continue reading

Posted in Portfolio | Tagged , , | 2 Comments

Quantitative Investing – Enhanced Dividend Yield

Today I want to cover the Enhanced Dividend Yield quant strategy from What Works On Wall Street.  This strategy is a bit more complicated to implement than the others I’ve covered (see previous posts), especially for individual investors. Its performance results are much better than other dividend based strategies. While not as good as the strategies I’ve presented previously it still could be of quite some use to investors. I present some ideas on how it could be made easier and why it could be attractive. Dividend yield is a popular value metric. High dividend yielding stocks do outperform the … Continue reading

Posted in Portfolio, Quant Investing | Tagged , , , | 9 Comments