D5 Advisors' team has seen a thing or two over the past 25 years of investing. Though the Connecticut-based firm was launched in 2007, its roots began in 1995 when it was known as Trident Advisors, focusing on relative value strategies. D5 Advisors is the latest iteration of the managers' strategy, now focusing on the management of both on- and off-shore private investment partnerships and managed accounts. The firm
uses a bottom-up, sector-focused fundamental approach to portfolio management. The firm has developed proprietary, fundamentally-based investment models that determine relative values of stocks that pay above average dividends.
D5 Advisors manages the Oil and Gas Producers model. This model's strategy is:
Long-short model trading the stocks of high dividend paying oil and gas producers. The model exploits the inefficiencies created when unsophisticated investors focus on dividend yields rather than fundamentals.
Current top positions include a short position in Cabot Oil & Gas Corp (COG) and EOG Resources Inc (EOG), and a long position in Plains Exploration & Product (PXP). You can view last month’s Risk and Performance profiles for this model and learn more here.