top of page
  • Irrational Capital

'Chief Investment Officer' highlights Human Capital Factor

Larry Light, CIO reporter, recently published a piece spotlighting the outperformance of Irrational Capital's Human Capital Factor: "Human Capital: A New Investment Thesis That Is Delivering So Far".


Light highlights the validation of the HCF by external industry leaders including "a 2021 J.P. Morgan Securities back test of 400 U.S. stocks, using Irrational Capital’s methodology—done before the ETFs appeared—found that the human capital factor produced “the highest returns among all style groups since 2010” by 5.4% on average over the period."; and "An unrelated iShares ETF has been tracking human capital in Japanese companies since 2016. The iShares JPX/S&P CAPEX & Human Capital ETF, which is designed to include Japanese companies taking proactive and efficient measures with their investments in capital spending and human capital, has reported one-, three- and five-year returns of 19.04%, 16.97% and 11.17%"


"By measuring employee morale and other people-centered influences on share prices, fledgling ETFs have beaten benchmarks—and attracted a large SWIB position.", Light summarized. Read more at 'Chief Investment Officer'.

Recent Posts

See All
bottom of page