By Jack Forehand — When we started managing money, I used to focus on what I knew. Today, after over 12 years doing it, I have learned it is best…
Tag: Factors
Smart Beta Investing May Not Be So Smart
A new study has raised questions as to whether smart beta mutual funds, which are on course to reach $1 trillion in assets by the end of 2017, are as…
Study Reveals New Predictive Factors for Stock Performance
A recent study by finance professors at the University of Missouri and Renmin University of China set out to analyze the predictive power of more than 18,000 factors with respect…
Book Value - A Buffett Favorite, But Far From Perfect
Article Summary Warren Buffett reports Berkshire’s book value in Berkshire’s Annual Letter, but Buffett admits it is not perfect in determining the value of a firm. The price-to-book ratio is…
How to Invest Like Buffett but via Factors
As the debate continues concerning how quantitative model performance compares to that of active funds, a Bloomberg article from earlier this month discusses the findings of an AQR study that…
Valuations Matter in Factor Strategies
It’s a familiar investment conundrum: when a strategy outperforms and more investors pile in, it can get more expensive and therefore be less likely to outperform going forward. This is…