Nobody can establish who first used the phrase 'evidence-based investing', and no regulator defines it. Robin Powell, who was given the name by Larry Swedroe in 2015 and is sometimes wrongly credited with coining it, sets out what it actually means: four tests of what counts as evidence, borrowed from a medical parallel that hit the same crisis twelve years ago. Including where he goes further than a global tracker, and why he holds that position less firmly than he used to.
Between shares and bonds, rebalancing your portfolio doesn't raise returns and usually costs a little. Its value is that it makes you buy what has crashed and sell what has soared, which instinct tells you not to do. The US evidence shows when it bites, how often to bother, and how to make it automatic.
Robin Powell
2 days ago7 min read
SUBSCRIBE
Simply provide your email address to receive our regular update.
