…the article really highlighted their alternative mutual funds, strategies like managed futures and long-short equities. However, it makes perfect sense to focus on these funds for two reasons. First, AQR…
…1.5 percent per year. Some of the replacement funds were more expensive. In a different, more common asset class, the fund we used was 0.15 percent and the new fund…
…the company. The implication is obvious: small companies have outperformed large companies. The largest (and most familiar) stocks have the worst performance and the smallest companies are heads and shoulders…
…or, in a perfect world, doing both. So far, we’ve looked at three equity factors: size (small companies tend to outperform large companies), value (cheap companies tend to outperform expensive…
…made the index because they wrote their rules to comply with regulations. Decades ago, regulators sensibly wanted to create guardrails around funds in the old days of active management. They…
…fund managers in both the percentage of funds that underperformed and the magnitude of the underperformance. I will say that the numbers are a little biased because all three indexes…
…a limit order, which says ‘do my order at a specific price or better.’ A stop-loss order says ‘if the price falls below some threshold, enter a market order.’ There…
…companies by where their revenue is earned. For example, the top 10 holdings of the China index includes several US companies like Qualcomm, Texas Instruments and Yum Brands (parent company…
…when you look at category returns, it’s much harder to compare results on an apples-to-apples basis. Looking at category returns can be useful, especially in esoteric strategies (which the bond…
…maybe oil would be competitive, but that’s not how it turned out. But here’s another problem: despite the low returns, commodities have extremely high volatility. Wow! Oil is 2.3 times…
