While some analysts argue that the S&P 500’s higher-than-average price-to-earnings (P/E) ratio is setting up a weak 2022, an article in Fisher Investments posits that valuations are actually down over…
What If Inflation Doesn’t Come Down?
An opinion piece in CFA Institute posits that inflation will decline in 2022 and beyond, but poses the question of what could happen if inflation isn’t as transitory as many…
Some Observations on the Current Market Valuation
By Jack Forehand, CFA, CFP® (@practicalquant) — We have had a massive run in the US market since the 2020 bear market bottom. Although the wall of worry has been our constant companion…
Best Bets for 2022: Small Caps And Global Banks
Looking ahead to 2022, two investment strategists at trillion-dollar firms are betting on U.S. small cap stocks and global banks. The remarks, which came at the Forbes/SHOOK conference in Chicago,…
How Valuable Is Tax-Loss Harvesting?
Tax-loss harvesting—the process of selling off stocks or assets that have dropped in value and taking the losses to offset capital-gains tax liability—is common this time of year as investors…
How Long Will The IPO Ride Last?
The IPO market has raised nearly $300 billion with more than 900 companies going public this year, after the list of public companies in the U.S. shrank for two decades,…
“Even Crazier” Than The Dotcom Bust Says Munger
In remarks made at the Sohn Conference in Sydney, Australia, Berkshire Hathaway’s Charlie Munger said that the current economy is “even crazier” than the dotcom boom and bust in the…
Inflation, Factors & Stock Returns with O’Shaughnessy Asset Management’s Ehren Stanhope
In this episode, we speak with O’Shaughnessy Asset Management’s Ehren Stanhope about his excellent research paper “The Great Inflation, Factors, and Stock Returns.” We discuss the history of inflation and…
A Harvard Professor Takes On Private Equity
A highly-regarded professor at Harvard Business school is claiming that he’s come up with a better alternative to private equity by recreating their returns through an array of publicly traded…
Generating Alpha From Hidden Earnings Data
A new research paper co-authored by professors at the MIT Sloan School of Management and Harvard Business School purports that even the most expert analysts overlook a number of off-the-income-statement…