…about 0.12 percent from about 0.70, while the average fee (data from Lipper) for all mutual funds is currently around 1 percent. The massive inflow of funds to Vanguard, however,…
Search Results for: low-volatility funds
Is It Time for Active Managers to Shine?
“Passive funds tend to attract more inflows after the underlying indexes have performed well, so they’re driven by momentum rather than by analysis of company valuations and fundamentals,” according to…
Active Management Versus Passive Investing: How to Choose
…manager. The article cites Morningstar data showing that, last year, the flow of funds into passive strategies totaled $505 billion, while $340 billion was withdrawn from active management. The trend,…
Stock-Pickers Have Underperformed Benchmarks for the Past 15 Years
According to the latest S&P Indices Versus Active funds scorecard, over the last 15 years (ended December 2016) 82% of all U.S. funds were unable to beat their benchmarks, according…
Yale's Actively Managed Fund Performance Waning
…“smart-beta” funds haven’t been around long enough to allow a performance comparison against index investing, he writes, a quantitative approach can be “back-tested to see how it would have performed…
FPA Crescent is a Winning Active Fund
…sets Crescent apart from most index funds and allows it to “forestall competition from active funds that use algorithms—unless such funds can somehow replicate what lies inside Romick’s head.” …
Robo-Investing is Gearing Up
As money managers allocate more resources to quantitative model-building, they are also amping up robo-advising services for clients seeking low cost investment alternatives, writes Validea CEO John Reese in this…
Environment Could Be Ripe for Small- and Mid-Cap Stocks
…“upside potential” (they are currently 26% below peak levels). Smaller companies tend to outperform in a rising rate/strong dollar environment. “If the current transition to a more reflationary environment takes…
Index over Active Management Still Requires Discipline
…to index investing, he argues, is “up-ending the asset management industry.” Still, according to Reese, investors should exercise discipline when choosing index funds, as such funds can also suffer long…
Zweig: Emerging Markets Look Good, But Don’t Rush In
Funds are pouring into emerging market funds, with one-twelfth of total holdings having come in over the past 90 days, writes Jason Zweig of The Wall Street Journal. Presumably, he…