Frustrated Researcher
I work as a quant in a “quantamental” pod, developing trading signals. A number of my signals have tested well under set portfolio construction assumptions.
The issue? I work for a discretionary PM. We started trading the signals on a “pick and choose” basis, which, given the poor “picking” and improper factor hedging, has performed poorly.
I’m highly frustrated because this reflects poorly on my research (noting that the balanced, correctly hedged portfolio would’ve done incredibly well). I don’t know whether this is reason enough for me to consider switching to a different seat, but I feel like it’s just been an uphill battle in terms of communication.
Anyone been in a similar boat? I’d love to hear any thoughts/advice. Maybe I should have done more due diligence before joining, but that’s water under the bridge. I did learn a lot of valuable things about fundamental idea generation and risk-taking so it’s not all bad, but I’d like to look ahead and see how I can optimize things.
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