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13g passive blockholder initiation drift

Updated eventData needs: mediumlong only
paper
2013
Source
Edmans, Fang & Zur 2013, The Effect of Liquidity on Governance
Citation only, paper link pending.

In plain terms

When a big passive investor newly crosses the 5 percent ownership line and discloses it, the strategy buys the stock for the following weeks.

How it works

A new Schedule 13G filing means a large passive holder just crossed 5 percent ownership; such disclosures show positive announcement returns and post-filing drift, and passive-ownership crossings can precede index-inclusion and flow effects. The family treats the first appearance of a filer on a ticker (past a 365-day burn-in to avoid mislabeling amendments) as a passive initiation.

No live results for this strategy yet. Charts appear once it has earned a top spot on at least one stock, either on its own or as part of a blend of several strategies.
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Data dependencies

  • SEC 13g filings

    A data feed this strategy reads, refreshed on its normal schedule.

  • Daily prices

    Adjusted-close OHLCV for every US-listed ticker; primary price feed.

Expected edge

A fresh passive 5-percent stake disclosure predicts positive drift over the following one-to-three months via announcement-return and downstream flow effects.

Related families

Explore 13g passive blockholder initiation drift on alphactor.ai

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For informational and educational purposes only. Not financial advice. Learn more