On a recent episode of WealthTrack, Consuelo Mack interviewed financial journalists Jason Zweig and James Grant regarding the lagging performance of value stocks and the pressure to move to passive…
Tag: Passive Investing
Passive Investing Could Cause Market Trouble
“A fundamental shift in market structure towards rules-based, passive investing over the past decade means a lot of trading is no longer based on fundamentals” and the shift could lead…
Some Thoughts on Howard Marks’ Most Recent Memo
By Jack Forehand (@practicalquant) — Howard Marks’ memos provide some of the deepest and most thought provoking insights in the investing world today. They are on par with Warren Buffett’s annual…
Swedroe Addresses Indexing Concerns
In a recent article for ETF.com, Larry Swedroe breaks down concerns regarding passive investing, including the notion that it has “become such a force that the market’s price discovery function…
Is Index Investing Still Passive?
Passive investing has grown to the point where “putting your money in an index-tracking fund is a move requiring an active decision,” say researchers at Sanford C Bernstein & Co.…
Harvard Alumni Advise Endowment to Buy Index Funds
According to some Harvard University alumni– who have criticized the school’s endowment fund for underperforming the S&P 500 over the last decade—the school should use the savings it gets by…
Combining Active and Passive Investing Can "Smooth the Ride"
A “partnership” of both active and passive investing can help smooth out some rough patches in portfolio performance, according to a recent Vanguard article. “The addition of a reliable investment…
Evaluating Luck or Skill in a Stock Picker
Investors choose fund managers based on their performance, says a recent article in The Wall Street Journal, but being able to evaluate stock picking skill is extremely tough. This is…
LTCM Partner Advocates for Indexing
Victor Hahgani, a founding partner of long-defunct Long-Term Capital Management, believes you should “think twice before trying to beat the market,” according to a recent article in The Wall Street Journal.…
Asness of AQR Says Passive Growth Is Good for Industry
Cliff Asness, co-founder of AQR Capital Management, thinks the flow of money into passive investing has been a positive for the industry, according to a recent Bloomberg article. Per the article,…