Valuations and the CAPE 10: A Metric in Dire Need of Context
Larry Swedroe puts the current CAPE 10 ratio in context, and explains why higher stock market valuations don’t necessarily signal overvaluation. Larry Swedroe, Director of Research, The BAM Alliance With the Shiller CAPE 10 near 30 (29.7 as I write this), it’s...
Gurus Mostly Strike Out – Again
Larry Swedroe tallies mid-year hits and misses for 2017’s “sure thing” predictions. Larry Swedroe, Director of Research, The BAM Alliance At the start of each year, I compile a list of predictions that gurus have made for the upcoming year,...
What Fewer Stocks Means for Factor Premiums
Fewer stocks today may mean stock picking is dying, but will it doom factor premiums as well. Larry Swedroe, Director of Research, The BAM Alliance Jason Zweig, financial columnist for The Wall Street Journal, is one of the truly “good...
More Evidence on the Persistent Underperformance of Active Funds
Larry Swedroe looks at new data on active funds’ persistent underperformance. Larry Swedroe, Director of Research, The BAM Alliance Each year, Dimensional Fund Advisors (DFA) analyzes the returns from a large sample of U.S.-based mutual funds. And each year, the...
Take More Risk in Life And Less in Investing
How will you spend your tolerance for risk? Tim Maurer, Director of Personal Finance, The BAM Alliance “I just really wish I’d taken more risk in my investment portfolio,” said no one–ever–on their deathbed. That may seem like an odd...
Annuities … The Good, the Bad and the Ugly
Not all annuities are created equal. Joe Delaney on avoiding the ones that don’t fit your needs. Joe Delaney, Lifeguard Wealth, San Rafael, CA Too often, I’ve heard this all-too-familiar story. A client brings in an annuity policy to review,...
An International Angle On Active Share
Larry Swedroe continues the case against active share as a source of meaningful outperformance. Larry Swedroe, Director of Research, The BAM Alliance Active share is hailed by some to be the holy grail in terms of its ability to identify...
Two New Books About Finance for the Average Investor
Larry Swedroe recommends two new books for the average investor. Larry Swedroe, Director of Research, The BAM Alliance There are few things I enjoy as much as reading the latest information that’s shared in the world of finance. Recently, I...