FactSet Rising Stars Index

Click the link below for historical returns of Global Beta indexes, calculated by S&P Dow Jones.

The Strategy

The FactSet Rising Stars strategy first navigates the top 3000 securities by market capitalization that are listed on the NYSE and Nasdaq exchanges and vets them for liquidity standards. Next, we look at the securities recent year over year revenue growth rate vs the average annual revenue growth rate they need to achieve over the next decade to justify their current price-to-sales ratios. We then look at the market share growth rate each company has demonstrated year over year within each subindustry, according to “RBICS” classifications, in technology. We then look at the growth rate for each subindustry as a whole for which each company participates in. Lastly, we look at each company’s year over year growth rate of their operating margins. We score each company by each aforementioned pillar, based on those growth rates. The top 100 are selected into the final index and are weighted by those scores relative to each other.

Factor Correlation (12/31/19 – 12/31/20)

Data sources from Factset
Please see factor definitions 

Geometric Attribution (9/30/20 – 11/30/2020)

Data sources from Factset
Please see factor definitions 

Attribution (9/30/20 – 12/31/20)

FactSet Rising Stars IndexS&P Composite 1500Attribution Analysis
Port. Average WeightPort. Total ReturnPort. Contrib. To ReturnBench. Average WeightBench. Total ReturnBench. Contrib. To ReturnGeometric Allocation EffectGeometric Selection EffectGeometric Total Effect
Total (Gross)100.0038.3938.39100.0013.2413.241.4520.4721.91
Total (Net)100.0038.3438.34100.0013.2413.241.4220.4521.86
Internet and Data Services11.5033.064.196.6011.900.830.022.192.21
Semiconductor Equipment and Services10.3449.145.500.6443.540.252.540.463.01
Semiconductor Manufacturing5.8339.472.324.3613.280.580.021.241.27
Communications Equipment5.5652.312.966.8315.080.960.031.651.67
Computer Hardware and Storage2.9442.021.260.2635.470.080.530.140.67
Electronic Components2.6417.110.430.3229.750.090.27-0.220.05
Manufacturing Equipment and Services2.1537.730.840.0421.320.
Technology Consulting Services1.5835.680.540.9712.900.13-
Consumer Electronics1.2241.120.510.0039.000.000.27-0.040.24
Commercial Electronics1.1963.400.610.1840.490.
Other Telecommunications Services0.60105.590.501.378.650.120.030.390.43
Information Technology Distribution0.3820.420.100.1217.710.

Data sources from Factset

Top 10 Holdings (9/30/20 – 11/30/20)

Global Beta Rising Stars IndexAttribution Analysis
TickerPort. Average WeightPort. Total ReturnPort. Contrib. To Return
Total (Gross)100.0025.2525.25
Total (Net)100.0025.2225.22
MDLAMedallia, Inc.1.6627.610.47
MDBMongoDB, Inc. Class A1.6624.100.41
SMARSmartsheet, Inc. Class A1.6617.420.31
TWLOTwilio, Inc. Class A1.6629.540.56
VHCVirnetX Holding Corporation1.662.850.07
AVGOBroadcom Inc.1.5510.230.16
IDCCInterDigital, Inc.1.555.610.11
FORMFormFactor, Inc.1.3764.460.80
KLACKLA Corporation1.3330.550.42
CMTLComtech Telecommunications Corp.1.2836.990.50

Data sources from Factset