HedgeyeReviews of hedgeye.com

Hedgeye produces the highest quality institutional research and makes it affordable and useful for the individual investor.

The honest analysis and willingness to own mistakes. I'm a Business/Data Analyst by trade and appreciate data driving process and detest narratives. Hedgeye sub over 10 years.

I’m intrigued by the many people whose investment results have been improved with Hedgeye. I’ve been a Hedgeye user for ten years and have always been enthusiastic about their values, people, and process. The cold hard fact is that I have not been able to parlay their investment recommendations into investment success. There are glaring discrepancies between the presentation and the product. Hedgeye emphasizes not letting small losses turn into larger losses. But: 1) for 157 closed trades in Signal Strength from Feb-Sept 2024, 23% had losses from 10-33%; 2) for 142 closed trades in Top Stock Picks Mar-Sept, 22% had losses from 10-36%; 3) for 139 closed trades in Investing Ideas from 2020 to May 2024, 23% had losses from 10-94%; 4) even in ETF Pro, where beta is significantly less, 7.5% of 226 closed equity trades July, 2018-Sept 2024 had losses of 10-31%. Hedgeye’s risk management system is not a magic bullet that limits losses to a few percent. Keith is fond of asking, “Who gets you out?” after exiting a position that subsequently goes south. In ETF Pro, July 2018-Sept 2024, of 300+ closed trades, post-sale, 53% were actually higher 1 month later, 52% were higher 3 months later, and 51% were higher 6 months later. Whatever sophisticated process led to the sell decisions, you were as likely to avoid gains as you were to avoid losses. For all that Hedgeye talks about being data-driven, measuring and mapping everything – and their data presentation is indeed impressive – I am confident they don’t measure and map the results of their own products (except MacroPro, with a meaningless win/loss percentage). In trying to understand my sub-par investment results, largely informed by ETF Pro and Investing Ideas, I did some grinding and present the data here. For ETF Pro, the presentation: "This monthly macro strategy update is designed to select 10 to 20 essential ETF exposures within each of the seven major asset classes to keep you and your clients ahead of the next big market move." The data for long-only trades, July 2018 to early Sept 2024: • Equities: 225 closed trades, 30% had positive returns, -0.86% average return • Commodities: 56 closed trades, 32% positive returns, -0.48% average return • Bonds: 53 closed trades, 30% positive returns, 0.50% average return (-1.74% since 2020) • Currencies: 25 closed trades, 38% positive returns, 0.86% average return (-0.33% ex-gold) • Alts: 9 closed trades, 0% positive returns, -4.73% average return • Average hold time for all trades: 9.6 weeks; 46% were held 4 weeks or less. If the equity trades had been invested in SPY, 58% would have been positive with a 2.18% average return (ETF Pro equity trades underperformed SPY by 300 basis points, and almost 70% of them were losers!). In each of those cases, post-sale, SPY would have been higher 1 month later 65% of the time, higher 3 months later 79% of the time, and higher 6 months later 80% of the time. For Investing Ideas, the presentation: “. . . tailor-made for the thoughtful investor with a longer-term investment horizon seeking high-conviction opportunities they can keep in their portfolio for many months - in some instances, years to come. In a nutshell, Hedgeye CEO Keith McCullough handpicks the ‘best of the best’ long and short ideas delivered to him by our team of over 40 research analysts across multiple sectors.” The data for long-only trades from Jan 2020 to May 2024: • Of 148 closed trades, only 36% had a positive return and only 32% did better than SPY for the same holding period. If SPY had been traded rather than the recommended stock, 77% of those SPY trades would have had a positive return. • Of 148 closed trades, the average return was 8.87% vs. SPY at 5%. Trimmed for Gamestop (+906%) and Playboy (-94%), the average return of 146 trades was 3.43% underperforming SPY by 1.57%. • Only 25% of the closed trades were held longer than 92 days; only two were held longer than a year. Hedgeye prides itself on transparency, accountability, and developing a new approach that leaves the Old Wall and SPY Monkeys in the dust. Per the data, the above Hedgeye products look like sick puppies next to those SPY Monkeys, consistently underperforming by 160-300 basis points. The data is similar for Signal Strength and Top Stock Picks. My question to Keith, who coaches hockey and played at Yale: "If these were hockey players, would you put them in the game?" The key question for Hedgeye is whether they can provide non-institutional investors like me with products that live up to the promise and claims of a superior investment approach – so far, sadly, I must say they have failed. While I like everyone at Hedgeye (hence two stars, not one), after ten years, I'm abandoning them when it comes to the fundamental question of what to own and when.

Hedgeye provides process, signals, and fundamentals and maintains principals in so doing.

Love listening to the call. Some winners, some losers. Might as well get an index fund. Also their Twitter site never mentions the losers of which some are big. aka BYON, SMCI, PLBY ADYEY all down 30% or more before plug pulled. They aren’t the best in class as advertised. Many more in 2024. They also short stocks which rise to new highs. Decent people. Not geniuses. But great marketers.

wasted my time and effort, i believe them til i couldnt, imagine Immunity corporation attends swift

Just a quick call back from sales support, handled like a pro. Thanks Alex Ledda

Long time subscriber, both Hedgeye and I keep evolving and getting better. They put out more great research daily than I can consume and they continue to offer more high quality new ways to understand the market both for the short term and mid term time periods. Helps me setup trades for today and this week and build a strategy for the upcoming quarters.