Diversity and Investment Performance: What Trade-Off?
Is there a trade-off between diversity and investment performance? It’s a common question with a definitive answer: No That’s my conclusion after conducting an extensive review of the literature on…
Top 10 Posts from 2022: Fama and French, Damodaran, the Equity Risk Premium
1. Fama and French: The Five-Factor Model Revisited How well has Eugene F. Fama and Kenneth R. French’s five-factor model explained returns? Derek Horstmeyer, Ying Liu, and Amber Wilkins share…
ESG (In)Efficiency | CFA Institute Enterprising Investor
Passive environmental, social, and governance (ESG) investing has become increasingly active. It’s time for a rethink. Assets have poured into passive ESG indexes in recent years. As more investors look…
The Six Stages of Asset Bubbles: The Crypto Crash
“At some point in the growth of a boom all aspects of property ownership become irrelevant except the prospect of an early rise in price.” — John Kenneth Galbraith Countless…
Evaluating Benchmark Misfit Risk | CFA Institute Enterprising Investor
This article is adapted from a version originally published in the fall issue of The Journal of Performance Measurement®. Overview Investment management is a three-part process: Set goals for risk and…
What Can AI Do for Investment Portfolios? A Case Study
Artificial intelligence (AI)-based strategies are being increasingly applied in investing and portfolio management. Their contexts, utility, and results vary widely, as do their ethical implications. Yet for a technology that…
Frontier and Emerging Markets: Inflection Points
Today’s spiking inflation, rising interest rates, and billion-dollar investment frauds are good reminders that a clear understanding of the past helps us better anticipate the future. Indeed, it can provide…
Myth-Busting: Alts’ Uncorrelated Returns Diversify Portfolios
Introduction Alternative investments accounted for $13 trillion in assets under management (AUM) in 2021, nearly twice what it was 2015. By 2026, that figure is expected to reach more than…
Private Markets: Guardians at the Gate?
Earlier this year, the head of the US Department of Justice’s anti-trust unit vowed to crack down on the buyout sector’s aggressive deal-making practices. What that implied wasn’t entirely clear.…
Every Day Is Tax Day: Five Tax Strategies for HNW Clients
Tax season in the United States shouldn’t be confined to March and April alone. Our clients’ taxes and the tax-savings strategies we can devise for them should be on our…
