Cirrus Research, LLC is an independent research firm dedicated to delivering innovative analysis and insights to mid, small and micro cap investors. Our approach is idea driven and disciplined, our services strategic and quantitative, and our products solely focused on the discovery of arbitrage and opportunistic situations for our clients.

In this endeavor we employ historically deep and accurate data across multiple markets. Our products utilize proprietary modeling and valuation tools specifically constructed to analyze and forecast volatility and risk in under-researched areas of the markets. Helping our clients achieve superior risk-adjusted returns through original and anticipatory analyses is our goal.

Cirrus Capsule: Historic Bounce in March became mixed in May as Bear Market Rally stalls.

In a short few weeks, the Russell rebounded roughly 50% from its March 9 bottom.  A look at several key indicators argues for taking profits. The reluctance of some to take profits is due partly to the fierce bounce and the risk that such a sharp economic break must be paired with an equally sharp recovery. The sheer momentum in markets has fueled concerns that a market recovery of this strength must stem from some fundamental underpinning.  Market returns in the past few weeks have been mixed – change is already underway (see Heatmap, below). As this bounce stalls, a pronounced rotation from low to high quality is likely.

Cirrus Heatmap:
Small Cap “Bounce” March 9 – May 8, 2009 vs. “Post-Bounce” May 8–22, 2009

2009 Cirrus Research “Sky High” Award

Committed to supporting innovative investment research, Cirrus Research is pleased to announce the recipient of its 2009 “Sky High” Award for Research Excellence – Jacob K. Mazour, a student at Yale School of Management. Mr. Mazour, the first recipient of this award.

The runner-up paper was submitted by Nicholas Coppola, Kyle Husted and Eugene Young, students at Wake Forest University’s Babcock Graduate School of Management.