Blogs / Analysis [Analysis Blog]

Sector Rotation Strategy

I. Introduction Sector Rotation is an asset allocation strategy which posits that certain sectors outperform others in different stages of the business cycle, and that the market can be outperformed by rotating a portfolio’s sector allocation based on the current phase of the business cycle. The sector rotation model has been around for decades, but [...]

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Betting with a Moving Kelly Ratio

The Kelly ratio gives the optimal percentage of an investor’s wealth to bet in order to maximize his long term growth rate. It was originally developed for betting with known odds and win ratios, for games such as blackjack and horse betting. However, it has its uses in investments as well. For a stock instrument, [...]

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Biometric Analysis in Palantir

Discover how analysts supporting the II Marine Expeditionary Force in Afghanistan’s Regional Command-Southwest are utilizing Palantir to analyze massive amounts of forensic and biometric data. Palantir’s dynamic ontology along with intuitive front-end import and search around features allow analysts to quickly find connections in massive amounts of data. NOTE: All data is notional, and for [...]

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Backtesting Value and Momentum Factors

We use Palantir’s Factor Builder and Factor Tester applications to construct and backtest Value and Momentum strategies, in the spirit of Cliff Asness’ 1997 article in the Financial Analysts Journal, “The Interaction Between Value and Momentum Strategies.” Value and Momentum are of interest because they each have power to predict the cross-section of stock returns [...]

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The Palantir Workspace in Your Local Language

Awhile back we shared some screenshots of the Elvish Palantir Workspace. We’d like to give an update on our progress with real-world languages. Our internationalization work has enabled us to support menus, text, and buttons in any language, including complex languages such as Arabic and Dari. Also, multiple Palantir Workspace clients configured in different languages [...]

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How Palantir Aided the Investigators of “The Pearl Project: The Truth Left Behind”

The Center for Public Integrity (CPI), in conjunction with Georgetown University, just completed a three and a half year project identifying the intricate network of co-conspirators in the kidnapping and beheading of Wall Street Journal reporter Daniel Pearl. Palantir provided its software platform to the investigators to support analysis of the data and help identify [...]

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Random Walks

Introduction The random walk hypothesis states that stock market prices evolve according to a stochastic process, preventing the prediction of future stock market movements.  The concept follows from the weak version of the efficient-market hypothesis, which asserts that future stock market movements are not correlated with past movements.  In other words, the movement of share [...]

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VAST 2010 Challenge

Palantir participated in the IEEE Visual Analytics Science and Technology (VAST) 2010 Challenge in June, and we were pleased to win a Grand Challenge Award for the third year in a row. This year, the VAST Challenge scenario revolved around an international arms dealing network that inadvertently causes the spread of a viral outbreak. In [...]

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Unemployment Rate and Stock Market Returns

The unemployment rate is generally considered to be a lagging countercyclical economic indicator. To better understand this indicator, we are going to use Palantir Finance to recreate a study by the CXO Advisory Group that analyzes the relationship between changes in the unemployment rate and the future returns of the S&P 500. This workflow assumes [...]

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GovCon 6 session videos are now online

Thanks to everyone who attended our 6th Government Conference. For those of you who weren’t able to join us, we’re happy to announce that videos of the day’s presentations are now available online: Our next Government Conference will be in the fall of 2011. We’ll share more details on that in the coming months. If [...]

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