< Return to All Announcements

Alpha Theory and FactSet Collaborate to Deliver Factor Exposure Data to Investment Managers

Leading portfolio management and decision improvement platform integrates FactSet factor data to further improve fund managers’ abilities to understand their portfolios.

CHARLOTTE, NC, June 28, 2023: Alpha Theory, a leading portfolio management and decision-processing platform for the global alternative investment industry, has partnered with FactSet, a global financial digital platform and enterprise solutions provider, to deliver systematic factor exposure data that enables enhanced position size optimization, helping investment teams generate superior alpha.

In collaboration with FactSet's Quantitative Analytics team, Alpha Theory has built a five-factor risk model leveraging the company's Quant Factor Library–a point-in-time database of factor insights, including Value, Growth, Momentum, Volatility, and Beta.  

The new dataset combines FactSet's factor data with Alpha Engine, Alpha Theory's customizable rules engine, providing investment teams with daily factor exposure and attribution. The partnership is the latest milestone in Alpha Theory's growth strategy, which has contributed to an expansion of Alpha Engine’s capabilities, Data Science offerings, and platform modernization.  

“We are excited to present risk datasets of factors and weightings within our client environments,” said Dan Zalika, Managing Director of Data Integration at Alpha Theory. “This new offering is the result of the great relationship between FactSet and Alpha Theory and showcases the capabilities of the FactSet Quant Factor Library data team. The flexible integration design allows for FactSet customizations, leaving the door open for clients desiring their own factor choices, workflows, or other data science needs suitable for the Quant Factor Library system to be easily implemented. "

"We are happy to have built a customized solution for Alpha Theory using the FactSet Quant Factor Library's indicators and factors with a back-tested data model," said Bijan Beheshti, SVP, Global Director Analytics & Trading, FactSet. "We're looking forward to hearing success stories and feedback from clients that use this data in their portfolios.”

Cameron Hight, CEO of Alpha Theory, said: “The unique factor dataset enables Alpha Theory clients to measure factor risk in their portfolios for more informed decisions that drive alpha. We believe that combining FactSet's five-factor risk model and Alpha Engine will provide significant value for investment teams."