Economic Index Associates

Economic Index Associates (EIA) is a developer and licensor of active index strategies that are replicable, investable, rules-based and transparent. EIA provides its licensees and data subscribers with: i) index data, constituent and IFED rankings data; and ii) a powerful IFED Portfolio Wizard tool to customize and back-test new indexes and investment strategies. EIA’s three founders (Robert Johnson, Gerald Jensen and Luis Garcia-Feijoo) are the authorities on the association of Fed monetary policy with security returns – combined they have published over 200 academic articles, which have over 10,000 citations. The basic premise of their original research is captured in their book - Invest With the Fed (McGraw-Hill, 2015). Leveraging the founders’ extensive research, the “Invest with the Fed” (IFED) methodology uses Fed policy signals and firm fundamentals to guide stock selection. The IFED strategy is a dynamic approach that selects portfolios that align with the market environment signaled by Federal Reserve policy actions.  The IFED indexes are ideally suited to provide: the basis for index linked products; and,  an overlay and screening process to improve the risk and return characteristics of actively managed portfolios. Strategy Features include: 1) Long-term strategy supported by 30+ years of peer-reviewed research 2) Pursues alpha using monetary conditions and firm-specific metrics to select securities 3) Weights securities by proprietary IFED score instead of market capitalization 4) Avoids the timing issues inherent with factor and smart beta investing 5) Adjusts automatically with changes in market conditions to avoid becoming out-of-favor 6) Designed to capture upside potential, while limiting downside risk 7) Replicable, investable, rules-based and transparent 8) Customizable to meet specific client needs