Learning Center

Worried about equity valuations? Trying to time the market to sit out a correction? Take Larry Swedroe’s short quiz. We have data for 91 calendar years (or 1,092 months) of U.S. investment returns over the period 1927 through 2016. The average monthly return to the S&P 500 has been 0.95%, and the average quarterly return...

Read More →

Tim Maurer looks at how the GOP’s new tax plan could affect you and your money. Tim Maurer makes an appearance on Nightly Business Report to discuss how the proposed Republican tax plan could affect middle-income Americans, home buyers and, perhaps, even retirement savers. View the Video By clicking on any of the links above,...

Read More →

Larry sSwedroe on the import of a study into the diminishing S&P 500 effect. Short-term drifts in stock (as well as bond, commodity and currency) prices have been well- documented in the academic literature. The fact that prices fully adjust to new information gradually, over time, rather than instantaneously, is a violation of the efficient...

Read More →

Larry Swedroe unpacks research into whether other common factors explain the anomaly. One of the significant problems for the first formal asset pricing model developed by financial economists, the capital asset pricing model (CAPM), was that it predicts a positive relationship between risk and return. However, empirical studies have found the actual relationship to be...

Read More →

Manisha Thakor talks gender equality with SHE Summit founder and author Claudia Chan. Manisha Thakor hosts S.H.E. Summit founder Claudia Chan on the MoneyZen Podcast to discuss her new book, “This Is How We Rise,” and to explore how gender equality can help alleviate injustices across the world. By clicking on any of the links...

Read More →

Will disciplined value investing be rewarded long term? Larry Swedroe on the evidence, and current stock valuations. Having a well-thought-out investment plan is the necessary condition for successful investing. However, it’s not sufficient. The sufficient condition is having the discipline to stay the course during the virtually inevitable periods when a strategy underperforms. That, of...

Read More →

Turnover and Returns Can Coincide Larry Swedroe, Director of Research While there has been a strong and persistent trend toward passive investing, actively managed funds still control the lion’s share of assets under management. Lubos Pastor, Robert Stambaugh and Lucian Taylor contribute to the literature on actively managed mutual funds with their study “Do Funds...

Read More →

The Role of REITs in a Diversified Portfolio Larry Swedroe, Director of Research Many investors think of real estate investment trusts (REITs) as a distinct asset class because, in aggregate, they historically have had relatively low correlation with both stocks and bonds, and their returns were not well explained by the single-factor CAPM model. For...

Read More →