Transparent Value is a division of

Guggenheim Partners Guggenheim Partners is a global investment and advisory financial services firm that engages in investment banking, asset management, capital markets services, and insurance services. Organization The firm is headquartered in New York City a ...

specializing in the management of equity

mutual funds A mutual fund is a professionally managed investment fund that pools money from many investors to purchase securities. The term is typically used in the United States, Canada, and India, while similar structures across the globe include the SICAV ...

and separately managed accounts. The firm is headquartered in New York City.

History

Transparent Value was founded in 2003 by Julian Koski and Armen Arus. In May 2009 Guggenheim Partners acquired Transparent Value.

Investment Methodology

Transparent Value developed the Required Business Performance (RBP) Methodology. The methodology uses

fundamental analysis Fundamental analysis, in accounting and finance, is the analysis of a business's financial statements (usually to analyze the business's assets, liabilities, and earnings); health; and competitors and markets. It also considers the overall st ...

and elements of

quantitative finance Mathematical finance, also known as quantitative finance and financial mathematics, is a field of applied mathematics, concerned with mathematical modeling of financial markets. In general, there exist two separate branches of finance that require ...

to select stocks. Analysts use a reverse

discounted cash flow The discounted cash flow (DCF) analysis is a method in finance of valuing a security, project, company, or asset using the concepts of the time value of money. Discounted cash flow analysis is widely used in investment finance, real estate deve ...

analysis to determine the performance implied by the stock price. This performance is called the Required Business Performance. Using historical performance, analysts then calculate the probability the company will deliver this performance. This probability is called Required Business Performance Probability. The methodology was licensed to

Dow Jones Indexes S&P Dow Jones Indices LLC () is a joint venture between S&P Global, the CME Group, and News Corp that was announced in 2011 and later launched in 2012. It produces, maintains, licenses, and markets stock market indices as benchmarks and as the ...

and serves as the basis for the Dow Jones RBP Indexes.

Mutual Funds

Transparent Value currently offers seven mutual funds based on the Dow Jones RBP Style Series, Dow Jones RBP Directional Series and Dow Jones RBP Dividend Series. The first funds were launched in May 2010.

References

{{Reflist

External links

transparentvalue.com

djindexes.com/rbp

dowjonesrbpindexes.com
Financial services companies of the United States Companies based in New York City