In episode 323, we welcome our guest, John Montgomery, founder and Chief Investment Officer of Bridgeway Capital Management, a $5 billion quantitative manager that donates 50% of its profits to charity. In today’s episode, we start by hearing what made our John leave a job in the Transit sector to start a quantitative investment firm. We walk through what drew him to a rules-based approach and then touch on different factors, including size, value, and low volatility. We even touch on Bridgeway’s ultra small cap strategy and how it captures the small-cap premium. As we wind down, we hear about the firm’s unique structure, which includes donating half its profits to charity with the goal of ending genocide.
- Market Overview
- The Meb Faber Show – “John Montgomery, Bridgeway Capital Management – A Factors-Based World View Resonated With Me”