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RiskModels / Stocks / TFPM

TFPM (TFPM)

Daily ERM3 factor decomposition: how much of TFPM's variance is explained by the market, its sector, and its subsector — and the ETF notionals that would neutralize each layer.

Price
$29.04
Market cap
$6.0B
23-day vol
43.5%
Sector proxy
XLB
Subsector proxy
XME

Risk DNA

41% of TFPM's variance is systematic (explainable by market, sector, and subsector factors); the rest is stock-specific.

Market 8.9%Sector 10.8%Subsector 21.8%Stock-specific 58.6%

ETF hedge ratios

Dollars of ETF to short per $1 of TFPM held — executable hedge weights, not regression betas. L1 hedges market only; L3 adds sector and subsector layers.

LevelMarket (SPY)Sector (XLB)Subsector (XME)Explained risk
L1$-1.92——8.9%
L2$-1.14$-1.02—19.6%
L3$-0.65$-0.64$-0.4641.4%

Data as of July 28, 2026. Updated daily from the ERM3 pipeline.

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