PremiaLab

communitas capital portfolio premialab
communitas capital portfolio premialab
Visit Website

Overview

PremiaLab’s has built a proprietary business aggregating risk premia indices from banks and providing asset managers with the ability to build their own factor-based investment strategies.

  • PremiaLab’s has also developed a unique returns and attribution engine that is able to break down portfolio returns to risk factors. Thus investment managers can accurately evaluate each strategy, this is a large pain point that has been unaddressed until PremiaLab.
  • PremiaLab’s currently has data partnerships with large banks such as Goldman Sachs, Barclays, Credit Suisse, JPM, HSBC, Morgan Stanley, and others.

Investment Thesis & Terms

Risk Premia strategies seek to deliver returns that are differentiated from those of core equity and fixed income, with the added benefits of potentially higher liquidity, transparency, and lower cost.

  • Broadly speaking there are 3 types of risk premias: fundamental, technical, and micro. Banks produce risk premia indices that are designed to reflect the performance characteristics of a either a particular premia or a range of premias. Examples include momentum, value, rates carry, quality, vol, etc. Barclays, a PremiaLab customer has 103 Risk Premia indices. Goldman has over 50.
  • PremiaLab’s is the only player in the space that is aggregated data from the banks and allowing asset allocators to build portfolios based on these strategies.
  • Long-term, PremiaLab’s believes it can expand into execution and begin trading on behalf of clients. This represents a 10X opportunity.