Alpha Architect, LLC

When Shorts Don’t Short--
Low short positions come from positive public news, while negative news can drive average short or extremely high short positions

When Shorts Don’t Short The important role played by short sellers, who, through their actions, keep prices efficient by preventing overpricing and the formation of price bubbles in financial markets, has received increasing academic attention in recent years. Research into the information contained in short-selling activi...

Social Media: The Value of Seeking Alpha’s Recommendations--
The finding that the recommendations from SA articles resulted in statistically significant risk-adjusted alphas (returns unexplained by conventional academic models using factors such as the market, size, value, momentum, profitability, and quality for equity portfolios) is surprising given that the empirical evidence shows how difficult it is for institutional investors such as mutual funds to

Social Media: The Value of Seeking Alpha’s Recommendations The increased popularity of social media as a forum for market participants to post and exchange opinions has been accompanied by heightened interest from academic researchers who have sought to determine if there is valuable information in the postings. For example, the June 2020 study “Do Indivi...