2Q13 Macro Call: Our Process

Hedgeye held its 2Q13 Macro Call for institutional subscribers this week, which covered several themes we think will be big and noteworthy in the second quarter of 2013. We began the call with CEO Keith McCullough outlining his process. We use a combination of fundamental research combined with quantitative risk management.

The quantitative process involves using risk management signals and levels to determine entry and exit points for a stock or index. It involves a multi-duration model that includes: TRADE, TREND and TAIL. The fundamental research utilizes our world-class research team to find ideas that we can apply to our quantitative model.

We look at a combination of politics, monetary policy, economic health and other factors to see where certain companies and countries are at and how to trade them.