62 results found

Time-based rebalancing is inefficient. Research suggests that tolerance band rebalancing strategies minimise trading and boost portfolio returns. Such threshold approaches may be used in both the portfolio accumulation and decumulation phase, and act as a pre-commitment device for clients.

Michael Kitces | 1.00 CE

Public policy matters to performance at every level. Yet modern politics faces a crisis of ideas, relevance and trust. The trick is to let markets do their work.

Ruth Richardson | 0.50 CE

Culture is at the heart of competitive advantage today - this is particularly the case for investment firms where people and their judgments are the chief assets.

Carol Geremia | 0.25 CE

In a world where 0.6%pa is top quartile, winning is difficult and losing is easy. There are big gains to be made in surprising places. Even 1%pa adds up to a huge difference over time.

Tim Farrelly | 0.50 CE

Advisers are increasingly eschewing active managed fund managers, and instead are supplanting themselves as tactical managers of "passive" ETF funds.

Michael Kitces | 1.00 CE

When it comes to investing across the capital structure, it all adds up, but debt and equity’s relative contributions to returns shift markedly through time.

Jason Thomas | 0.25 CE

The number of publicly listed companies in the US has roughly halved since 1996, a phenomenon which spans other regions. The trend is likely to persist, and it has significant implications for investors.

Ensuring your investment process has the flexibility to incorporate sustainability factors all adds up to improved longer term portfolio performance outcomes.

Amanda McCluskey | 0.50 CE

Building genuinely diversified portfolios, where every investment represents an active decision, makes for a champion team of investments.

Michael O'Dea | 0.50 CE

Investing is simply deploying savings to generate returns, yet abstractions such as indices are creating unnecessary complexity. Nowhere in an effective investment process need there be any reference to the prospects for a market index.

Andrew Clifford | 0.50 CE

Loss avoidance and simplicity are highly attractive to the human mind. However, uncertainty is often the source of superior returns and creativity can be a key source of alpha, delivering idiosyncratic outcomes.

William Low | 0.50 CE

In a developed world full of challenges, a consistently applied process that focuses on both the cyclical and secular outlook is something that every investor can apply.

Tony Crescenzi | 0.50 CE

Investors need to employ a rigorous and consistent valuation methodology, seek to minimise forecast error bounds and disregard traditional cap weighted benchmarks.

Warryn Robertson | 0.50 CE

Janet Yellen says another crisis is not likely, yet signs of stress are growing and valuations are stretched. Investors need a strategy for weathering a storm, whether or not there is one on the horizon.

Robert Gay | 1.00 CE

There is a growing body of evidence suggesting that chronological (C) age is dominated by biological (B) age as a better proxy for longevity risk. Practitioners must consider both ages when building portfolios and structuring retirement spending strategies.

Moshe Milevsky | 1.00 CE

Researchers propose a range of improvements to traditional time-based rebalancing, including threshold and cash flow strategies, designed to increase effectiveness and efficiency.

People often consider risks in isolation, and overpay for protection as a result. Rather than hedging against specific risks, investors should think like a game theorist.

As some institutional investors build internal impact investing capabilities, the inclusion of impact investments in portfolios may be on the cusp of becoming mainstream.

The relationship between organisational culture and relative performance has significant implications for active asset managers, given their dependence on effective collaboration and decision making.

Portfolio construction practitioners have traditionally split into two camps - passive indexers, or active investors aiming to either pick winning companies or fund managers who can identify such companies. In this Critical Issues Forum session at the 2011 Conference, US-based researcher Michael Kitces provided a new and robust framework to understand the opportunities for value creation in portfolios...