SumZero has recently released its updated member rankings for July. Click here to view the full rankings list.
Each month SumZero publishes rankings of our top users based on the performance of their ideas. Rankings are calculated to highlight users with the highest risk adjusted returns relative to the market. There are four key points to the ranking methodology we use:
Risk Aversion: Our ranking algorithm attempts to model the preferences of risk averse investors. Therefore large gains are rewarded lightly and large losses are punished heavily. This favors users who are consistently profitable above those with a highly volatile approach.
Benchmarking: For each idea that is submitted to SumZero, an appropriate benchmark is selected based on the underlying security’s region of domicile and market cap. The ideas’ returns relative to this benchmark is used in our rankings calculations to select users that outperform broader market trends.
Quantity: To be considered for a ranking, users must submit a minimum number of research ideas relevant to that ranking category. Additionally, users who submit more quality ideas are ranked higher to reward repeatable idea generation.
Recency: The effect an idea's return has on rankings decays slowly with time, so more recent ideas have a stronger effect than old ideas. This ensures that the most highly ranked analysts are those that stay up to date with their research.
Only the top ranked members on a respective Ranking are displayed publicly. Some members who qualify for a Ranking, but aren't towards the top of it, may be ranked privately. These members will see their own private ranks relative to their peers, but only appear publicly when their position on the list improves.
We also rank our analysts across several categories, listed below:
LAST TWELVE MONTHS (LTM)
GROWTH AT REASONABLE PRICE
EAST & SOUTHEAST ASIA
If you're interested in viewing our rankings but don't currently have SumZero Buyside access, apply to join Buyside here.