Results for 'larry swedroe'
Questions for Larry Swedroe, please
For football fans — sorry, US readers, I mean soccer fans — the summer can drag. It’s that time of year when we feel obliged to rediscover our interest in cricket and, for two weeks only during Wimbledon, tennis. But there is one consolation to the lack of matches and that’s the transfer gossip. […]
An interview with Larry Swedroe
A while ago I mentioned the inaugural Evidence-Based Investing Conference, which is taking place in New York City in November. Over the next couple of months, I’m going to be helping to promote the event with a series of interviews with some of the speakers.
Measly fines for closet index funds do nothing to stop them
By ALEX MOFFATT Ireland’s Central Bank issued a press release in early November about a fine it had imposed on an investment company. The company, Mercer Global Investments Management Limited (MGIM), is not a big name in the investment world and the fine, of €117,500, is trivial in an industry that routinely […]
How do small value stocks perform in a recession?
By LARRY SWEDROE The stock market serves as a relocation centre at which money is moved from the active to the patient. — Warren Buffett Over the long term, small value stocks have rewarded investors with higher returns for their incremental risks. Over the period July 1926-August 2022, as measured […]
Predicting growth isn’t the same as predicting returns
By LARRY SWEDROE While growth stocks produced higher returns on assets and equities and faster growth in earnings than value stocks, value stocks have provided higher returns over the long term. There are several reasons for this result, which likely surprises many investors: While growth stocks have produced higher growth in earnings, […]
Mutual fund alpha as a predictor of stock returns
By LARRY SWEDROE Mutual funds (a type of institutional investor) are generally considered “smart money” that exploits the behavioral biases of “dumb” retail money. Recently, however, some holes have been poked in that bit of conventional wisdom. For example, Roger Edelen, Ozgur Ince and Gregory Kadlec, authors of the 2016 study […]
How good are analysts at forecasting earnings growth?
By LARRY SWEDROE In a recent article for The Evidence Based Investor I showed that while growth stocks have produced higher returns on assets and equities (i.e. they have been more profitable), and faster growth in earnings than value stocks, value stocks have provided higher returns over the long term. While that […]
Valuations and earnings growth rates
By LARRY SWEDROE The expected rate of growth in future cash flows plays a pivotal role in investment analysis and valuations. It is the faster rate of growth in those cash flows that results in higher valuations (higher P/E ratios) for growth stocks versus value stocks. Not only have growth stocks had […]
