Quantamize Review
  • Research Tools
  • Analysis Tools
  • Value
4

Summary

If trading is your thing, you may have heard of the platform Quantamize. Quantamize is a platform that uses algorithms as well as many other tools and features to assist their traders in research. Read our thorough review to learn the pros and cons of Quantamize and decide if this platform is the one for you.

Quantamize

Quantamize is a platform for generating trade ideas based on algorithmic ranking of stocks, options, ETFs, and cryptocurrencies. The platform is helpful for beginning traders who prefer a simplistic view of what stocks are rated highly by Quantamize’s algorithms, but as for many algorithm-based platforms there is relatively little insight into why a particular stock or option is recommended. Overall, Quantamize is easy to use and inexpensive for medium-term traders looking to find new ideas and research for trades.

Quantamize Pricing Options

Quantamize offers all users a 21-day free trial with no credit card required before putting up a paywall. After the trial, the platform costs $49 per month, with the option for a 50% discount on the first three months.

Q-Factor Scoring

The heart of Quantamize is the Q-Factor score, which is the ranking assigned to every stock according to the platform’s algorithm. The Q-Factor score is determined at the beginning of every month by a proprietary model and is described simply as a grade from A to F for every stock. Some stocks have more than one Q-Factor score, since the algorithm divides stocks according to market cap and sector and many stocks fall into multiple categories.

Quantamize Q-Factor Score

According to Quantamize, the models take into account value, volatility, growth, and technical. However, none of these individual factors are revealed in the grade assigned to any particular stock and Q-Factor scores may or may not be applicable over timescales shorter or longer than one month. Although Quantamize offers basic charts showing the historical performance of their Q-Factor scores, traders should be extremely wary and careful to conduct their own technical and fundamental analyses before trading on Quantamize’s recommendations.

Quantamize Historical Performance

Quantamize Features

Top Stock Ideas

One of the most helpful features of Quantamize for active traders is the Global Top Stock Picks page, which is update monthly as new Q-Factor scores are released. Here, Quantamize quickly displays all A-rated and F-rated stocks by sector. The stock ideas are also grouped according to their country of origin and market cap, so there are numerous options for traders who employ different strategies or who are looking to diversify their portfolios.

Quantamize Top Buy Stocks

Stock Pages

Once you’ve identified a stock of interest based on Q-Factor scores, Quantamize does a relatively nice job of summarizing everything you need to know about that stock on a single page. Quantamize’s stock pages include most essential fundamental data, as well as charts of investor sentiment and news sentiment and volume. It’s like a cleaner, more focused version of Yahoo Finance.

Quantamize Stock Fundamentals

Pre-made technical charts display price history, RSI, and Bollinger Bands, although Quantamize is by no means a technical analysis platform and the charts are not interactive.

Quantamize Technical Charts

Quantamize goes one step further by providing stock research reports for individual stocks – there are typically one to four added to the platform each day. However, these reports add surprisingly little beyond what is available on the stock pages, with the exception of a bullet pointed highlight of the information gleaned from the stock fundamentals table.

Model Portfolios

Just as the top stock ideas offers individual stock picks, Quantamize aggregates its top stocks into sector-based portfolios. These don’t necessarily provide much more information beyond the top stock ideas – the portfolios are largely just collections of A-rated stocks – but they are nice because they come with continuously updated metrics of performance. Thanks to this, traders can do their research to see which sectors Quantamize’s algorithms typically work best for, and copy those portfolios in their own trades.

Quantamize Model Portfolio

ETF Recommendations

Quantamize is also extremely useful as a tool for comparing ETFs and making profitable short-term ETF trades. The platform’s algorithms issue every ETF a “buy,” “sell,” or “neutral” rating, and clicking on any ETF breaks that rating down according to the four individual factors evaluated in the Q-Factor scoring system.

Quantamize ETF Score

Quantamize also includes the ability to quickly add ETFs to a heatmap for comparison. However, the helpfulness of correlating the modeled relatedness of two or more ETFs is debatable, especially given that there is no side-by-side comparison of the historical performance or fundamentals of multiple ETFs.

Quantamize ETF Correlation

Options Recommendations

Recommendations for options trades within Quantamize have an excellent historical performance, although the recommendations themselves come with surprisingly little information. The rationale behind any options trade is limited to the stock’s Q-Factor score and a brief comparison of the implied volatility relative to their model forecast. Traders should be extremely cautious when using Quantamize’s options trades given the risk of options trading and the lack of supporting information.

Quantamize Options Trade

Cryptocurrency Recommendations

Quantamize has more useful information about trading cryptocurrency than about trading options. The platform assigns “buy” and “do not own” ratings to more than 30 different cryptocurrencies and offers a correlation heatmap similar to that used to analyze ETFs. Here, the correlation analysis makes more sense as many cryptocurrencies are intimately related.

Quantamize Cryptocurrency

Quantamize also releases relatively frequent research reports centered around cryptocurrencies, which give more information about trends that the Q-Factor scoring algorithm is picking up on.

Customization and Layout

The layout of Quantamize’s browser-based platform is easy to follow, with stocks, ETFs, options, and cryptocurrency cleanly separated in the ever-present side menu. The tables are cleanly formatted and there are plenty of pop-up descriptor panels to give you extra information as you move around the page. One thing I did find annoying, though, was the chat box that is always present in the lower righthand corner of the page that frequently pings with new suggestions and messages.

Note that while Quantamize does offer basic watchlists, they are only available for stocks and you can only have one watchlist. The watchlist is useful mostly because you can receive email alerts for new research reports on stocks that are in your watchlist.

Quantamize Platform Differentiators

Quantamize is one of a handful of trading platforms that makes trading recommendations based on an algorithm. What sets Quantamize apart is that the algorithm has a relatively strong history of performance. Furthermore, Quantamize has adjusted the algorithm to work on not only stocks, but also options, ETFs, and cryptocurrencies. The latter is particularly unique, since there are still relatively few mainstream algorithmic trading platforms focused on cryptocurrencies.

With those important points in mind, traders should be wary when using Quantamize as most recommendations come with very little supporting information outside a single letter grade representing the data in the algorithm.

What Type of Trader is Quantamize Best For?

Quantamize is best for traders who want to use a computer algorithm to generate new trade ideas over one-month timescales. That means that Quantamize is ideally suited for entry- and mid-level traders who want to grow their portfolios, but who don’t have the time or skills needed to identify potentially profitable trades. While the historical performance of Quantamize is reassuring that traders who use the platform to save time can be profitable, it is very important that traders do their own research to dig deeper into the trends that the platform’s algorithm found before committing to trades.

Pros

  • Algorithm-based trading recommendations with strong history of success
  • Trade recommendations are based on one-month timeframe
  • Works for stocks, ETFs, options, and cryptocurrency
  • Frequent research reports for cryptocurrency recommendations
  • Stock ideas and model portfolios are grouped by market, market cap, and sector

Cons

  • Q-Factor scores do not include detailed information about algorithm results
  • Options recommendations contain very little supporting information
  • Stock research reports add little information beyond fundamentals