At Dr. Blumer & Partner (B&P), shares and funds are selected on the basis of value-neutral processes. Investment decisions have to be reached as independently as possible of emotions, individuals and company interests. Quantitative analysis is the name of the process used to attain these goals. Huge volumes of data are compared and analyzed with computer support in order to identify systematic interrelations. Realistically, quantitative analysis does not venture to make any forecasts; the goal is to determine the relative quality of the investments compared to alternatives, given the overall framework of conditions.
An absolutely clear-cut analytical process can only be guaranteed by full monitoring and transparency. This is why B&P was one of the first independent asset managers in Switzerland to develop its own quantitative models. B&P uses two separate quantitative approaches to take account of the different investment instruments (shares and funds). The key figures used in each case are the easiest way of explaining the differences between these instruments. When selecting shares, we use key figures such as sales, cash flow, profit and dividends, together with correlation and risk variables. In order to analyze funds, the criteria inputted into the system include benchmark and performance comparisons and key figures for risk and volatility, as well as the qualifications of the managers and the cost structures of the funds. Fund analysis aims not only to identify trends but also to ensure continuous quality over specified periods of time.