In the financial world, there are a multitude of gauges investors can use to track Mr. Market. A pair of the most innovative are hedge fund and insider trading interest. At Insider Monkey, our research analyses have shown that, historically, those who follow the best picks of the best fund managers can beat the market by a significant margin (see just how much).
Just as crucial, positive insider trading activity is a second way to look at the investments you’re interested in. Obviously, there are a number of stimuli for an upper level exec to get rid of shares of his or her company, but just one, very obvious reason why they would behave bullishly. Many academic studies have demonstrated the impressive potential of this strategy if shareholders know where to look (learn more here).
Furthermore, let’s examine the latest info surrounding Virtus Investment Partners Inc (NASDAQ:VRTS).
What does the smart money think about Virtus Investment Partners Inc (NASDAQ:VRTS)?
At the end of the second quarter, a total of 13 of the hedge funds we track were long in this stock, a change of 8% from one quarter earlier. With hedgies’ capital changing hands, there exists a select group of notable hedge fund managers who were boosting their holdings substantially.
Out of the hedge funds we follow, Horizon Asset Management, managed by Murray Stahl, holds the largest position in Virtus Investment Partners Inc (NASDAQ:VRTS). Horizon Asset Management has a $16.9 million position in the stock, comprising 0.2% of its 13F portfolio. The second largest stake is held by Anand Parekh of Alyeska Investment Group, with a $14.1 million position; the fund has 0.7% of its 13F portfolio invested in the stock. Some other peers with similar optimism include Jim Simons’s Renaissance Technologies, John Brennan’s Sirios Capital Management and Chuck Royce’s Royce & Associates.
As industrywide interest increased, certain bigger names have been driving this bullishness. Horizon Asset Management, managed by Murray Stahl, initiated the most valuable position in Virtus Investment Partners Inc (NASDAQ:VRTS). Horizon Asset Management had 16.9 million invested in the company at the end of the quarter. Anand Parekh’s Alyeska Investment Group also initiated a $14.1 million position during the quarter. The other funds with brand new VRTS positions are Jim Simons’s Renaissance Technologies, John Brennan’s Sirios Capital Management, and Chuck Royce’s Royce & Associates.
Insider trading activity in Virtus Investment Partners Inc (NASDAQ:VRTS)
Insider buying is at its handiest when the company we’re looking at has experienced transactions within the past 180 days. Over the last six-month time frame, Virtus Investment Partners Inc (NASDAQ:VRTS) has seen zero unique insiders buying, and zero insider sales (see the details of insider trades here).
We’ll go over the relationship between both of these indicators in other stocks similar to Virtus Investment Partners Inc (NASDAQ:VRTS). These stocks are Financial Engines Inc (NASDAQ:FNGN), Evercore Partners Inc. (NYSE:EVR), WisdomTree Investments, Inc. (NASDAQ:WETF), Cohen & Steers, Inc. (NYSE:CNS), and Gamco Investors Inc. (NYSE:GBL). This group of stocks are in the asset management industry and their market caps match VRTS’s market cap.
| Company Name | # of Hedge Funds | # of Insiders Buying | # of Insiders Selling |
| Financial Engines Inc (NASDAQ:FNGN) | 8 | 0 | 0 |
| Evercore Partners Inc. (NYSE:EVR) | 13 | 0 | 0 |
| WisdomTree Investments, Inc. (NASDAQ:WETF) | 16 | 0 | 0 |
| Cohen & Steers, Inc. (NYSE:CNS) | 6 | 0 | 0 |
| Gamco Investors Inc. (NYSE:GBL) | 5 | 0 | 0 |
Using the returns shown by Insider Monkey’s tactics, regular investors should always watch hedge fund and insider trading sentiment, and Virtus Investment Partners Inc (NASDAQ:VRTS) applies perfectly to this mantra.
