Our story

Two Rivers Capital Consulting is a Denver-based Registered Investment Advisor and ETF Strategist created to serve other financial professionals. The firm was originally founded in 2001 by Bryce Kommerstad, who spent over 35 years in the investment management business. He graduated with a BA in Economics from Yale University (1971). The seeds of Two Rivers Capital Consulting date back to the mid-1980s. At that time, the partners of what later became Trend Capital Management began doing, as it turned out, seminal research on Style & Size. In those days, Style & Size were viewed mostly as convenient parameters by which to categorize managers. We came to view them as important risk/return factors.

Trend Capital Management (TCM) was launched in 1990 with strategies based on Style & Size. A proprietary quantitative methodology was developed that signaled which “Style Category” to own, and was implemented by buying a Style Index. We received a big boost in 1991 when Stanford professor and Nobel Prize winner, Wm. F. Sharpe, came out with his own landmark research showing that Style/Size explains more than 90% of risk/return in U.S. equities.

Our product was offered to the institutional market, and by the mid-90s reached $1 Billion in assets. We went on to identify other asset classes to which we could apply our work, including sectors, countries, and global regions, and developed additional products in those areas. Our most recent work extends to asset classes defined by volatility, and have added a cutting edge volatility-based product. It operates by replicating our Custom Index - TRC HBLV Custom Index - through the use of Exchange-Traded Funds. It tracks on Bloomberg (ticker TRCHBLV) and is calculated and maintained by S&P Dow Jones Indices (see Strategies). 

In more recent years, we have evolved a new business model to serve financial professionals on a consulting basis. They can use the portfolios we offer to: 1) fully outsource investment management, or 2) add new and/or complimentary strategies to what they already offer. Thus, we formed Two Rivers Capital Consulting LLC to better reflect who we are and more efficiently and cost-effectively implement our business model.