Afterpay Touch (APT) goes through the Quality Filter Model

with Hugh Dive from Atlas Funds Management Since listing in June 2017 Afterpay’s share price has been one of the strongest performers of all-time on the ASX rising in less than two years from $1 to $25? This Fintech now has a market capitalisation of $5.8 billion and is one of the most polarising stocks on the ASX, with both strong supporters and sceptical detractors. APT’s supporters believe that this financial technology company is going to grab a large slice of the US retail market worth US$3.8 trillion in total annual turnover, promising even faster sales growth. Hugh Dive applies the Quality Filter Model (QFM), the process at the heart of the Atlas’ investment process, which is used in conjunction with a series of valuation metrics and risk management tools to identify companies about to blow up or be struck by torpedos. The underlying theme behind the QFM is that history has shown that it is easier to add alpha to portfolios by avoiding torpedoes than by picking winners!