Mark Simpson

Equity Research Analyst, Stockopedia. Deep value investor, mathematician and former automotive engineer. Author of Excellent Investing: How to Build a Winning Portfolio.

Coverage and specialism: Mark Simpson co-authors Stockopedia’s Daily Stock Market Report and contributes company deep-dives, data insights and screening features. As an active investor since 2003, he specialises in identifying small-cap value situations. He has been an active podcast presenter, guest and investment conference speaker.

Background: Mark spent 18 years in automotive engineering, first at SAGEM and then at Johnson Controls and Adient. As head of Best Business Practices Europe, he focused on making engineering teams more productive, before stepping out to offer his services to companies on a freelance consultancy basis.

Qualifications: Mark holds a first-class Master of Mathematics degree from the University of Warwick and is a Six Sigmal Black Belt. His toolbox includes financial modelling, Monte Carlo analysis, experimental design, Taguchi methods and continuous improvement, many of which he now applies to equity analysis.

How he invests: Having spent two decades identifying from the inside why some businesses run better than others, he now looks for the same thing in his investments. He can spot real operational strength and competitive advantage through business analysis and company accounts, and as a mathematician, he has learnt to trust data over hunches. He is a big believer in corporate mean reversion and looks to profit by buying stocks the market currently hates and selling them when they become loved (a process that often happens surprisingly quickly!) However, he considers his real edge to be behavioural. By following clear rules to keep emotions and biases out of his decisions, he aims to generate both high and consistent returns.

And finally: His book Excellent Investing (2019) is, in his own description, "a practical guide for investors who are looking to elevate their investment performance to the next level. Learn how to play to your strengths, overcome your weaknesses and build an optimal portfolio." Mark edits a Substack, SmallCapsLife, which provides a summary of discussions on a Discord channel he helps run, usually taking a wry look at the bits of news that companies would prefer remain hidden. You can hear more about Mark and his investing approach on this podcast with Tobias Carlisle.