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Introducing our new portfolio review service for professionals
The vast majority of pensions funds, charities, endowments and other institutional portfolios have underperformed the market for decades. The way to stop the rot is to have an independent portfolio review, reduce fees and complexity, and increase diversification. From today, that’s precisely what TEBI is offering. As anyone who’s read The...
Factors in focus: An overview (5/5)
In this series of videos for Sparrows Capital we’ve looked at four different investment risk factors — in other words, four specific attributes that explain the return and risk of securities over the long term. The fifth and final video provides an...
Institutional investors vs individuals: Who wins?
Alpha is a zero-sum game, so if there are losers, there must be winners. But are those winners more likely to be institutional investors or individuals? LARRY SWEDROE presents the latest academic evidence. In his famous 1991 paper, The Arithmetic...
Indexing has saved Americans $357 billion since 1996
$357 billion is not an insignificant sum. And that’s what investors in the United States have saved over the last 25 years by using index funds tracking the S&P 500, S&P 400 and S&P 600. The good news is that, although...
Specialised ETFs: high fees, poor performance
By LARRY SWEDROE The growth of exchange-traded funds (ETFs) has been significant since the first ones went public in 1993. By 2020, assets managed by ETFs in the U.S. alone surpassed the $5 trillion mark, about 17 percent of the...
David Booth on 50 years of indexing
Several people have laid claim to inventing index funds, but John “Mac” McQuown has a stronger claim than most. It was in 1971 that the former farmhand from Illinois set up a think tank with the goal of turning academic research...
Factors in focus: Momentum (4/5)
Most of the main risk factors — value and size, for example — are essentially bets on relatively unloved stocks. But momentum is the exact opposite: it’s a tilt towards the most popular stocks. In other words, compared to other factors,...
