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In-House Research

Qube is proud to be one of the few boutique wealth management firms that crafts a proprietary investment valuation approach. We have spent over a decade taking insights discovered in the academic world and extending them into the investing space.

We do this by employing a dedicated team of equity analysts. Under the mentorship of our professional staff, this team applies our valuation model to a universe of quality public corporations seeking to discover a narrative and locate probable undervaluation.

Watch our five-part video series, Tales from the Research Centre, to explore examples of our team’s hard work.

Our Qube Analyst Program (QAP)

We hire third and fourth-year Finance students from various post-secondary institutions. Our 2022 analyst program consisted of seven students—the largest research investment in Qube history.

Our in-house research was envisioned and developed by Portfolio Manager Ian Quigley, MBA, CFA and overseen by Associate Portfolio Manager Patrick Choi, CFA.

Incoming students undertake a 13-week training bootcamp (part-time) that familiarizes them with Qube’s investing philosophy and practices. Our program is inspired by the methodology taught in both the CFA (Chartered Financial Analyst) as well as the CBV (Chartered Business Valuator) program. Much inspiration was also drawn from the teachings of Dr. Aswath Damodaran from the Stern School of Business (NYC).

 

The garage which serves as our research centre. A single storey building stands surrounded by trees.

In past years, our research team has often worked out of the garage across Qube’s courtyard—a locale they’ve nicknamed the Research Centre. With the garage due for demolition in Winter 2022 and a fresh, new workplace to be built in its stead, we expect the team will be further inspired to track down even more undervalued companies.

The Research Process

 

Below is a simple version of a complex process that includes many discussions between our analysts, portfolio managers, and investment counsellors. We have milestones in the research process that allow Qube’s ICPMs to check in with our analysts—from the initial valuation to the Steering Committee pitch.

A flowchart outlining the research process: 3 phases of research alternating with reviews from our associate portfolio manager, all leading to a pitch to our steering committee.

Formation of the Universe

 

Our research universe consists of roughly 250 companies. This pool of opportunities, coming from over 7500 potential stocks in North America, is created using a thoughtful statistical process using crafted metrics, including:

    • Shares Outstanding
    • Earnings Growth
    • Dividend Yield
    • Market Cap
    • Return on Assets/Invested Capital
    • Gross/Operating Margins

While our defined universe functions, we always remain open to potential deviations and will consider out-of-universe companies from time to time. Depending on the needs of our greater portfolio, our portfolio managers might also direct the analysts toward a specific industry.

Curious about our returns?

Steering Committee

 

Our Steering Committee is comprised of our four registered portfolio managers. The purpose of the committee is to consider the final reports generated from the research team and determine how best to implement the recommendation into the portfolio and clients’ accounts. Companies are rated at Qube on a scale from 1 to 5, with 1 being the best rating.

Not every company that gets pitched to the Steering Committee enters client portfolios. For example, the Steering Committee recently decided against a recommended purchase due to the stock’s illiquidity. Another positive recommendation was passed by because it had less upside than similar holdings already in the portfolio.

 

Pause for Reflection

 

The investment world is always changing, so we often pause to reflect on our valuation methodologies and to measure success. For example, in recent years, we have re-visioned how we value banks and REITs based on success indicators. Investment valuation is a craft and a never-ending quest of discovery. Thanks to the confidence of our investors, we have the privilege to journey on.

Our research analysts must rate companies on a scale from 1 to 5.

We have been exploring research narratives in Stock Spotlights as part of our Qub[Ed] series. Launched in February 2022, Qub[Ed] is a collection of articles designed to make complex financial topics more accessible.

 

Read our Stock Spotlights.

WE MAKE IT SIMPLE TO PLAN FOR THE FUTURE.

Talk to our team about how our assertive financial planning can make your vision a reality.

In-House Research

Qube is proud to be one of the few boutique wealth management firms that crafts a proprietary investment valuation approach. We have spent over a decade taking insights discovered in the academic world and extending them into the investing space.

We do this by employing a dedicated team of equity analysts. Under the mentorship of our professional staff, this team applies our valuation model to a universe of quality public corporations seeking to discover a narrative and locate probable undervaluation.

Watch our five-part video series, Tales from the Research Centre, to explore examples of our team’s hard work.

Our Qube Analyst Program (QAP)

We hire third and fourth-year Finance students from various post-secondary institutions. Our 2022 analyst program consisted of seven students—the largest research investment in Qube history.

Our in-house research was envisioned and developed by Portfolio Manager Ian Quigley, MBA, CFA and overseen by Associate Portfolio Manager Patrick Choi, CFA.

Incoming students undertake a 13-week training bootcamp (part-time) that familiarizes them with Qube’s investing philosophy and practices. Our program is inspired by the methodology taught in both the CFA (Chartered Financial Analyst) as well as the CBV (Chartered Business Valuator) program. Much inspiration was also drawn from the teachings of Dr. Aswath Damodaran from the Stern School of Business (NYC).

 

The garage which serves as our research centre. A single storey building stands surrounded by trees.

In past years, our research team has often worked out of the garage across Qube’s courtyard—a locale they’ve nicknamed the Research Centre. With the garage due for demolition in Winter 2022 and a fresh, new workplace to be built in its stead, we expect the team will be further inspired to track down even more undervalued companies.

The Research Process

 

Below is a simple version of a complex process that includes many discussions between our analysts, portfolio managers, and investment counsellors. We have milestones in the research process that allow Qube’s ICPMs to check in with our analysts—from the initial valuation to the Steering Committee pitch.

A flowchart outlining the research process: 3 phases of research alternating with reviews from our associate portfolio manager, all leading to a pitch to our steering committee.

Formation of the Universe

 

Our research universe consists of roughly 250 companies. This pool of opportunities, coming from over 7500 potential stocks in North America, is created using a thoughtful statistical process using crafted metrics, including:

    • Shares Outstanding
    • Earnings Growth
    • Dividend Yield
    • Market Cap
    • Return on Assets/Invested Capital
    • Gross/Operating Margins

While our defined universe functions, we always remain open to potential deviations and will consider out-of-universe companies from time to time. Depending on the needs of our greater portfolio, our portfolio managers might also direct the analysts toward a specific industry.

Curious about our returns?

Steering Committee

 

Our Steering Committee is comprised of our four registered portfolio managers. The purpose of the committee is to consider the final reports generated from the research team and determine how best to implement the recommendation into the portfolio and clients’ accounts. Companies are rated at Qube on a scale from 1 to 5, with 1 being the best rating.

Not every company that gets pitched to the Steering Committee enters client portfolios. For example, the Steering Committee recently decided against a recommended purchase due to the stock’s illiquidity. Another positive recommendation was passed by because it had less upside than similar holdings already in the portfolio.

Our research analysts must rate companies on a scale from 1 to 5.

Pause for Reflection

 

The investment world is always changing, so we often pause to reflect on our valuation methodologies and to measure success. For example, in recent years, we have re-visioned how we value banks and REITs based on success indicators. Investment valuation is a craft and a never-ending quest of discovery. Thanks to the confidence of our investors, we have the privilege to journey on.

We have been exploring research narratives in Stock Spotlights as part of our Qub[Ed] series. Launched in February 2022, Qub[Ed] is a collection of articles designed to make complex financial topics more accessible.

 

Read our Stock Spotlights.

WE MAKE IT SIMPLE TO PLAN FOR THE FUTURE.

Talk to our team about how our assertive financial planning can make your vision a reality.