…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…
…which you can do in an index fund. I don’t mind though, because I’ll bet that the risk management team at each of the fund companies saw what was happening…
…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…
…trade unwound (click here for my article). Prior to the selloff in Valeant, it was more than seven percent of the fund. The 13D Activist fund explicitly buys and sells…
…lot of times, we talk about ratios like price-to-earnings or price-to-sales, but I think it’s helpful to look at the numbers themselves to compare companies. When I look at the…
…Mohamed El-Erian, quit abruptly and started an ugly, public feud. All of a sudden, stories about Gross’ mean-spirited and erratic behavior, like disallowing employees from looking him in the eyes…
…can use them here to describe how we mostly, but not entirely, keep clean of these items. Derivatives Leverage Concentration Short-Selling Derivatives are securities whose price is derived from the…
…was emerging research that suggested that small cap companies outperformed large cap companies (read my primer on small caps here). Back then, the term ‘small cap’ didn’t even exist. Booth…
…with buybacks. When a company cuts their cash dividend, shareholders revolt and stock prices crumble. On the other hand, companies change their buyback policies all the time without much hoopla…
…less than 0.10 percent thanks to price wars among issuing companies. The silly ETFs are simply a byproduct of innovation and competition. It’s impossible to compete with Vanguard or iShares…
