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The Compound and Friends

Custom Indexing is a Tidal Wave (with Patrick O'Shaughnessy)

The Compound and Friends

Josh Brown

Investing, Business News, News, Business

4.7 • 2.2K Ratings

🗓️ 25 December 2020

⏱️ 56 minutes

🧾️ Download transcript

Summary

On the final episode of The Compound Show in 2020, Josh talks to Patrick O'Shaughnessy, CEO of O'Shaughnessy Asset Management about the wildly successful launch of his firm's proprietary custom indexing platform, Canvas. Please see the disclaimer below. If you're enjoying the show, the best way to support it is to leave a rating or review: https://podcasts.apple.com/us/podcast/the-compound-show-with-downtown-josh-brown/id1456467014 The opinions, viewpoints and analyses expressed herein are solely those of Patrick O’Shaughnessy of O’Shaughnessy Asset Management, LLC and should not be regarded as opinions or advisory services provided by Ritholtz Wealth Management or performance returns of any Ritholtz Wealth Management Investments client. The opinions expressed in this program are for general informational purposes only and are not intended to provide specific advice or recommendations for any individual or on any specific security. O’Shaughnessy Asset Management LLC is a sub advisor and independent money manager for Ritholtz Wealth Management. CANVAS® is a registered trademark of O’Shaughnessy Asset Management LLC. Ritholtz Wealth Management manages its clients’ accounts using a variety of investment techniques and strategies, in addition to CANVAS®, which are not necessarily discussed in the commentary. The views reflected in this commentary are subject to change at any time without notice. Nothing in this podcast constitutes investment advice, performance data or any recommendation that any particular security, portfolio of securities, transaction or investment strategy is suitable for any specific person. To determine which investments may be appropriate for you, consult your financial advisor prior to investing. As always please remember investing involves risk and possible loss of principal capital; please seek advice from a licensed professional. Ritholtz Wealth Management is a Registered Investment Advisor. Advisory services are only offered to clients or prospective clients where Ritholtz Wealth Management and its representatives are properly licensed or exempt from licensure. No advice may be rendered by Ritholtz Wealth Management unless a client service agreement is in place. Ritholtz Wealth Management clients may also be charged fees for their investments that are allocated to O’Shaughnessy Asset Management LLC. The terms and conditions under which the client shall engage the third party investment advisory firm shall be set forth in a separate agreement between the client and O’Shaughnessy Asset Management LLC. Hosted on Acast. See acast.com/privacy for more information. Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0

This week, sometime in the middle of the night while I was sleeping, the Compound Show podcast

0:09.4

broke a million lifetime downloads. A million downloads.

0:15.0

downloads.

0:16.0

Downloads are the most widely cited stat in the podcast and world.

0:20.0

They're like, let's say, page views for websites.

0:24.0

Libson is one of the biggest podcast media hosting platforms in the industry.

0:29.5

According to Libson, there are now over 850,000 podcasts in existence.

0:37.0

Over 10% of them, though, have only ever published a single episode.

0:42.1

So that's what they call the pod fade. So pull those out and you still

0:46.2

have quite a lot of different podcasts, unlimited choice, all different sorts of things that anyone can be listening to at any given time.

0:57.0

Most podcasts though never really find their audience.

1:01.0

And you know even if they keep going you there are a podcast that have done hundreds of episodes that almost nobody listens to and it takes I guess a lot of fortitude to keep going when you're posting something every week and nobody hears it but those do exist as well.

1:17.7

I want to break down a little bit about what you would call podcasts that matter and the numbers are, I mean this kind of blew

1:26.0

me away.

1:27.0

It was way different than what I understand there are power laws in anything to do with media, but I was very, very surprised by this.

1:35.1

Okay, Lipsen says that if the newest episode of your podcast gets within its first 30 days of release.

1:43.0

So one episode, right?

1:45.2

If it gets more than 136 downloads,

1:50.6

you are in the top 50% of podcasts.

1:54.0

So all you need is 136 people

1:58.0

to listen to your podcast and you're in the top half.

2:01.0

If you get more than 1,100 downloads, you're in the top half. If you get more than 1,100 downloads you are in the top 20% of all

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