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	<title>CXO Advisory &#187; Fundamental Valuation</title>
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		<title>Bond Market-Aggregate Earnings Interactions [PREMIUM]</title>
		<link>http://www.cxoadvisory.com/19266/fundamental-valuation/bond-market-aggregate-earnings-interactions/</link>
		<comments>http://www.cxoadvisory.com/19266/fundamental-valuation/bond-market-aggregate-earnings-interactions/#comments</comments>
		<pubDate>Thu, 02 Feb 2012 11:02:17 +0000</pubDate>
		<dc:creator>Steve LeCompte</dc:creator>
				<category><![CDATA[Bonds]]></category>
		<category><![CDATA[Fundamental Valuation]]></category>

		<guid isPermaLink="false">http://www.cxoadvisory.com/?p=19266</guid>
		<description><![CDATA[Do aggregate corporate earnings predict bond market returns? In his January 2012 paper entitled &#8220;Aggregate Earnings and Corporate Bond Markets&#8221;, Xanthi Gkougkousi investigates the relationship between aggregate earnings and corporate bond market returns. Using quarterly aggregate earnings for a broad sample of U.S. stocks with fiscal years ending in March, June, September and December and total <a href="http://www.cxoadvisory.com/19266/fundamental-valuation/bond-market-aggregate-earnings-interactions/"><strong>More...</strong></a>]]></description>
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		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>Momentum Winners and Trading Calendar Updates</title>
		<link>http://www.cxoadvisory.com/11261/fundamental-valuation/market-models-update/</link>
		<comments>http://www.cxoadvisory.com/11261/fundamental-valuation/market-models-update/#comments</comments>
		<pubDate>Tue, 31 Jan 2012 22:00:18 +0000</pubDate>
		<dc:creator>Steve LeCompte</dc:creator>
				<category><![CDATA[Calendar Effects]]></category>
		<category><![CDATA[Fundamental Valuation]]></category>
		<category><![CDATA[Momentum Investing]]></category>

		<guid isPermaLink="false">http://www.cxoadvisory.com/?p=11261</guid>
		<description><![CDATA[We have updated the Market Models summary as follows: Extended the Earnings Forecast through the end of 2012 based on an estimate of actual earnings for the fourth quarter of 2011. Extended regressions/rolled projections by one month based on data available through January 2012. Updated backtest charts and the market valuation metrics map based on data <a href="http://www.cxoadvisory.com/11261/fundamental-valuation/market-models-update/"><strong>More...</strong></a>]]></description>
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		<slash:comments>0</slash:comments>
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		<title>Trading Options on Volatility of Fundamentals [PREMIUM]</title>
		<link>http://www.cxoadvisory.com/18727/fundamental-valuation/trading-options-on-volatility-of-fundamentals/</link>
		<comments>http://www.cxoadvisory.com/18727/fundamental-valuation/trading-options-on-volatility-of-fundamentals/#comments</comments>
		<pubDate>Mon, 09 Jan 2012 11:06:11 +0000</pubDate>
		<dc:creator>Steve LeCompte</dc:creator>
				<category><![CDATA[Equity Options]]></category>
		<category><![CDATA[Fundamental Valuation]]></category>
		<category><![CDATA[Volatility Effects]]></category>

		<guid isPermaLink="false">http://www.cxoadvisory.com/?p=18727</guid>
		<description><![CDATA[Are realized (actual historical) and implied volatilities the whole story for equity option valuation? In their December 2011 paper entitled &#8220;Fundamental Analysis and Option Returns&#8221;, Theodore Goodman, Monica Neamtiu and Frank Zhang investigate the extent to which the equity options market fails to recognize volatility of firm operations (accounting data) and whether any such failure is <a href="http://www.cxoadvisory.com/18727/fundamental-valuation/trading-options-on-volatility-of-fundamentals/"><strong>More...</strong></a>]]></description>
		<wfw:commentRss>http://www.cxoadvisory.com/18727/fundamental-valuation/trading-options-on-volatility-of-fundamentals/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>RTV and REY Model Updates</title>
		<link>http://www.cxoadvisory.com/18567/fundamental-valuation/rtv-and-rey-model-updates/</link>
		<comments>http://www.cxoadvisory.com/18567/fundamental-valuation/rtv-and-rey-model-updates/#comments</comments>
		<pubDate>Sat, 31 Dec 2011 14:03:29 +0000</pubDate>
		<dc:creator>Steve LeCompte</dc:creator>
				<category><![CDATA[Fundamental Valuation]]></category>

		<guid isPermaLink="false">http://www.cxoadvisory.com/?p=18567</guid>
		<description><![CDATA[We have updated the details of the  the Reversion-to-Value (RTV) Model and the Real Earnings Yield (REY) Model of the U.S. stock market to incorporate data available through December 2011. You May Also Enjoy... Momentum Winners and Trading Calendar Updates Fed Model Versus P/E Model Market Models Summary Augmentation]]></description>
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		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>40-Year Valuation Ratio Horse Race [PREMIUM]</title>
		<link>http://www.cxoadvisory.com/18294/fundamental-valuation/40-year-valuation-ratio-horse-race/</link>
		<comments>http://www.cxoadvisory.com/18294/fundamental-valuation/40-year-valuation-ratio-horse-race/#comments</comments>
		<pubDate>Fri, 23 Dec 2011 11:00:42 +0000</pubDate>
		<dc:creator>Steve LeCompte</dc:creator>
				<category><![CDATA[Fundamental Valuation]]></category>

		<guid isPermaLink="false">http://www.cxoadvisory.com/?p=18294</guid>
		<description><![CDATA[Which widely used valuation metric is best for picking individual stocks? In their November 2011 paper entitled &#8220;Analyzing Valuation Measures: A Performance Horse-Race over the past 40 Years&#8221;, Wesley Gray and Jack Vogel compare the performances of five annually reformed portfolios sorted on different valuation ratios: earnings-to-market capitalization (E/M); earnings before interest, taxes, depreciation and amortization-to-total enterprise <a href="http://www.cxoadvisory.com/18294/fundamental-valuation/40-year-valuation-ratio-horse-race/"><strong>More...</strong></a>]]></description>
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		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>SumZero Participant Trading Acumen [PREMIUM]</title>
		<link>http://www.cxoadvisory.com/18317/fundamental-valuation/sumzero-participant-trading-acumen/</link>
		<comments>http://www.cxoadvisory.com/18317/fundamental-valuation/sumzero-participant-trading-acumen/#comments</comments>
		<pubDate>Tue, 20 Dec 2011 11:03:06 +0000</pubDate>
		<dc:creator>Steve LeCompte</dc:creator>
				<category><![CDATA[Fundamental Valuation]]></category>
		<category><![CDATA[Investing Expertise]]></category>

		<guid isPermaLink="false">http://www.cxoadvisory.com/?p=18317</guid>
		<description><![CDATA[Do analysts who work for hedge funds make good calls? In their November 2011 paper entitled &#8220;Do Buy-side Recommendations Have Investment Value?&#8221;, Steven Crawford, Wesley Gray, Bryan Johnson and Richard Price III profile analysts employed by mutual funds, hedge funds and other investment firms and examine whether these experts make good trading recommendations. Using personal data and <a href="http://www.cxoadvisory.com/18317/fundamental-valuation/sumzero-participant-trading-acumen/"><strong>More...</strong></a>]]></description>
		<wfw:commentRss>http://www.cxoadvisory.com/18317/fundamental-valuation/sumzero-participant-trading-acumen/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>A Few Notes on What Works on Wall Street</title>
		<link>http://www.cxoadvisory.com/17768/fundamental-valuation/a-few-notes-on-what-works-on-wall-street/</link>
		<comments>http://www.cxoadvisory.com/17768/fundamental-valuation/a-few-notes-on-what-works-on-wall-street/#comments</comments>
		<pubDate>Fri, 25 Nov 2011 11:09:20 +0000</pubDate>
		<dc:creator>Steve LeCompte</dc:creator>
				<category><![CDATA[Fundamental Valuation]]></category>
		<category><![CDATA[Momentum Investing]]></category>
		<category><![CDATA[Value Premium]]></category>

		<guid isPermaLink="false">http://www.cxoadvisory.com/?p=17768</guid>
		<description><![CDATA[James O&#8217;Shaughnessy (Chairman and CEO of O&#8217;Shaughnessy Asset Management) introduces his 2011 book, What Works on Wall Street (Fourth Edition): the Classic Guide to the Best-Performing Investment Strategies of All Time, by stating: &#8220;&#8230;investors seem programmed by nature to fail at investing, forever chasing the asset class that has turned in the best performance recently and heavily <a href="http://www.cxoadvisory.com/17768/fundamental-valuation/a-few-notes-on-what-works-on-wall-street/"><strong>More...</strong></a>]]></description>
		<wfw:commentRss>http://www.cxoadvisory.com/17768/fundamental-valuation/a-few-notes-on-what-works-on-wall-street/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>Out-of-Sample Test of What Works on Wall Street (O&#8217;Shaughnessy&#8217;s Cornerstone Strategies)</title>
		<link>http://www.cxoadvisory.com/2713/fundamental-valuation/out-of-sample-test-of-what-works-on-wall-street-oshaughnessys-cornerstone-strategies/</link>
		<comments>http://www.cxoadvisory.com/2713/fundamental-valuation/out-of-sample-test-of-what-works-on-wall-street-oshaughnessys-cornerstone-strategies/#comments</comments>
		<pubDate>Fri, 25 Nov 2011 11:03:01 +0000</pubDate>
		<dc:creator>Steve LeCompte</dc:creator>
				<category><![CDATA[Fundamental Valuation]]></category>
		<category><![CDATA[Momentum Investing]]></category>

		<guid isPermaLink="false">http://www.cxoadvisory.com.php5-14.websitetestlink.com/?p=2713</guid>
		<description><![CDATA[In the mid-1990s, James O&#8217;Shaughnessy identified &#8220;cornerstone value&#8221; and &#8220;cornerstone growth&#8221; as best-of-breed equity investment strategies. The former emphasizes dividends among large-capitalization stocks, and the latter momentum/earnings growth for a broader universe. Based on Standard and Poor&#8217;s Compustat data, he found that the value (growth) strategy returned an average 15% (18%) per year over a <a href="http://www.cxoadvisory.com/2713/fundamental-valuation/out-of-sample-test-of-what-works-on-wall-street-oshaughnessys-cornerstone-strategies/"><strong>More...</strong></a>]]></description>
		<wfw:commentRss>http://www.cxoadvisory.com/2713/fundamental-valuation/out-of-sample-test-of-what-works-on-wall-street-oshaughnessys-cornerstone-strategies/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>Stock Market Valuation Ratio Trends</title>
		<link>http://www.cxoadvisory.com/4423/fundamental-valuation/stock-market-valuation-ratio-trends/</link>
		<comments>http://www.cxoadvisory.com/4423/fundamental-valuation/stock-market-valuation-ratio-trends/#comments</comments>
		<pubDate>Tue, 22 Nov 2011 21:25:54 +0000</pubDate>
		<dc:creator>Steve LeCompte</dc:creator>
				<category><![CDATA[Fundamental Valuation]]></category>

		<guid isPermaLink="false">http://www.cxoadvisory.com.php5-14.websitetestlink.com/?p=4423</guid>
		<description><![CDATA[To determine whether the stock market is expensive or cheap, some experts use aggregate valuation ratios, either trailing or forward-looking, such as price-earnings ratio (P/E) and price-dividend ratio. Operating under a belief that such ratios are mean-reverting, most imminently due to movement of stock prices, these experts expect high (low) future stock market returns when <a href="http://www.cxoadvisory.com/4423/fundamental-valuation/stock-market-valuation-ratio-trends/"><strong>More...</strong></a>]]></description>
		<wfw:commentRss>http://www.cxoadvisory.com/4423/fundamental-valuation/stock-market-valuation-ratio-trends/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>Dividend Month Premium [PREMIUM]</title>
		<link>http://www.cxoadvisory.com/16926/fundamental-valuation/dividend-month-premium/</link>
		<comments>http://www.cxoadvisory.com/16926/fundamental-valuation/dividend-month-premium/#comments</comments>
		<pubDate>Thu, 13 Oct 2011 10:09:51 +0000</pubDate>
		<dc:creator>Steve LeCompte</dc:creator>
				<category><![CDATA[Animal Spirits]]></category>
		<category><![CDATA[Fundamental Valuation]]></category>

		<guid isPermaLink="false">http://www.cxoadvisory.com/?p=16926</guid>
		<description><![CDATA[Do investors focus on dividends, thereby elevating associated stock prices as ex-dividend date approaches? In the September 2011 draft of their paper entitled &#8220;The Dividend Month Premium&#8221;, Samuel Hartzmark and David Solomon examine the price behavior of stocks with scheduled quarterly, semiannual and annual dividends during the expected dividend month and around expected ex-dividend dates. Using <a href="http://www.cxoadvisory.com/16926/fundamental-valuation/dividend-month-premium/"><strong>More...</strong></a>]]></description>
		<wfw:commentRss>http://www.cxoadvisory.com/16926/fundamental-valuation/dividend-month-premium/feed/</wfw:commentRss>
		<slash:comments>0</slash:comments>
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