- Putting a Value on Your Value – Quantifying Vanguard Advisor’s Alpha® Capital markets will continue to behave in the manner they always have and the Advisor Alpha that Vanguard describes is based on the things we can control, which is what we have continued to preach and where the true value proposition lives.
- A Vote for Small Cap Stocks? Many of you who have worked with us have heard us discuss the size, value and profitability “premiums” that exist in the capital markets. Oftentimes, it is easy to forget that these premiums don’t phone ahead and let us know when they’re on the way. They may lay dormant for quite a while and then explode into view for a short time only to disappear again. Or they may persist at a marginal level for a very long period of time. We all must remember that in order to capture these premiums, we all must stay disciplined and in following the asset allocation that was developed to suit our individual needs.
- The Rules of Prudent Investing Some of the most complex problems investors face can be solved with simple solutions. These rules may help investors build and adhere to a well-designed investment plan.
- Why Our Advice is Always the Same It can be hard to hear the best course of action during tough market times may be to do nothing. It can be even harder to hear the message repeatedly as things seem to get worse. But it is a message we would not repeat if we did not truly believe it was in your best interests.
- The Importance of Rebalancing Rebalancing may be one of the most basic principles of prudent investing, but it can also be one of the most difficult to practice as well. Often times, investors are required to sell assets that are outperforming the market to buy ones that are underperforming. This can be a difficult task, but one that is necessary to help investors sell high and buy low while taking an appropriate level of risk.
- Discipline: An Important Determinant of Returns Academic evidence has long argued asset allocation is the most crucial determinant of portfolio performance. This article suggests another important factor of portfolio performance is an investor’s discipline to adhere to their asset allocation.
- The Role of Fixed Income For many investors, fixed income is an important part of their investment plan. However, the role fixed income plays in a portfolio is often misunderstood.