…out, yield positive and relatively consistent returns since 2000.” Although investors often combine factors and research shows that including the Size factor “in a multi-factor portfolio boosts performance,” the article…
Search Results for: factor
Five Questions: Investing in Human Freedom with Perth Tolle
…you are working with Alpha Architect to bring your index to market, both of whom are well known for their work on factor investing. Will you consider using factors like…
Factor Investing is Falling Short
The attempts by pension funds and endowments to earn equity premiums by incorporating factor-based funds into their portfolios has fallen short, instead leaving them with uncompensated risks. This according to…
Some Lessons For My Former Investing Self
…have realized that human behavior can’t be a secondary factor when building investing models. It has to be front and center. I also would have realized that it isn’t just…
Jim Stack: Market Insights from Montana
…investors should instead look for warning signs or “factors that signify it is late in the cycle and one should be pursuing a more defensive investing course”. He cites a…
Is Warren Buffett the Greatest Factor Investor?
…on.” Based on a “factor exposure analysis” of Berkshire through a regression analysis of betas relative to common equity factors, the article said “a clear picture emerges: [Berkshire] had positive…
What Quant Value Models Can and Can't Do for You
…type of value factor, book-to-market, which is the leading factor tested in academic studies. He’s right to focus on this since when people say “value has outperformed over the long…
Trying to Put the Struggles of Value Investing in Context
…This chart from Larry Swedroe illustrates this concept. It looks the percentage of time that each factor underperforms over various periods. https://www.advisorperspectives.com/articles/2018/11/05/what-to-do-when-an-investment-strategy-performs-poorly As the chart shows, the value factor has…
Research Affiliates: Optimal Factor Investing Approach Includes Momentum
A new paper published by two executives at Research Affiliates says that the best-performing multi-factor portfolios include the momentum factor. This according to an article in Institutional Investor. The article…
Differences in Value
…the value premium, Larry Swedroe’s article, Deep Dive into the Value Factor, is a great place to start. Value stocks, and more specifically concentrated value portfolios, will have significant deviations…