Firm anomalies

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Firm anomalies

Trading strategies that generate abnormal returns based on firm-specific characteristics.

Firm Anomalies

A trading strategy that involves investing in a certain firm believing that characteristics specific to that firm will cause it to outperform its industry or the market as a whole. Firm anomalies may include a particularly good or well-regarded management team, for example. Firm anomaly is a characteristic of behavioral economics, which takes into account non-quantifiable matters such as human capital.
References in periodicals archive ?
In a joint venture, global marketing firm Anomaly and Zorbit Resources (now Maesa) approached Luke to not only create her own beauty brand, but also to invent a new business model of marketing color cosmetics--using YouTube as a sales platform similar to QVC & HSN.