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: Risk and Size Cycles Diverge

The size and risk trades are about to diverge. Credit trends point to smaller cap leadership, while contrarian signals indicate that the low-priced, beta run is tired. As the Fed’s liquidity-fueled equity bounce fades and the banking system settles, unlocking of the credit cycle should spur further leadership among the smaller fry and concurrently penalize high beta shares. In perverse fashion, the asynchronous pattern between size and style could support small cap outperformance in a down tape.