The Impact Of Cycles On Equal-Weighted And Market-Weighted Portfolios
It is fairly common knowledge in financial circles that equal-weighted portfolios tend to outperform portfolios weighted by market capitalization, whether … Read more
Lawrence Hamtil
The Asian Financial Crisis 20 Years Later
Next month marks the beginning of the 1997 Asian financial crisis, which saw the equity markets of several nations plunge … Read more
Rebalancing, While A Drag In A Rising Market, Can Be A Lifesaver In A nasty bear market
It is strange to contemplate, but we are now just a few months removed from the tenth anniversary of the … Read more
The Market Is Not As Top-Heavy As It May Seem
In “Relative Equity Valuations, Diversification, and Creative Destruction,” I argued that one of the main attributes of the U.S. equity … Read more
The U.S., Europe, And The Growth – Value Divergence
I have written a few times why comparing valuation metrics for the U.S. equity market and most others around the … Read more
Value Investing Is Still A Winning Strategy
Going back to December of 1974, value stocks have outperformed growth stocks by an average of more than 200 basis … Read more
Cycles, Sectors, And The Perils Of Aggregated Data
The 20th century ended with a bang with U.S. equities peaking on March 24th, 2000 with the apex of the … Read more
What Will It Take For Europe To Outperform?
Going back to December of 1970 (the earliest for which I can find data), the Wilshire 5000 total return index … Read more
When It Comes To Foreign, There’s No Reason To Own Everything
The trend toward “passive” investing – by which I mean investing in low-cost index-type funds that own broad swathes of … Read more
The Role Of Luck In Investment Success Is Overrated
Of Dollars and Data shared an interesting post titled, “Bad Investment Results? Your Birth Year May Be to Blame: How … Read more
The Limits Of Mean Reversion
In his latest quarterly letter, GMO’s always interesting Jeremy Grantham lamented the refusal of U.S. equity valuations, and the stubbornly … Read more
Why You Should Consider Global Small Caps
Because the American equity markets have enjoyed an abnormally long period, – historically speaking, – of relative outperformance versus the … Read more
The Right And The Wrong Arguments For Indexing
As an adviser who allocates a large portion of client assets to low-cost index-type ETFs, and who manages a fair … Read more
Credit Analysis and Relative Equity Valuations
Last week, I discussed how the key factors of diversification and dynamism explain, if not justify, the premium valuation that … Read more
Relative Equity Valuations, Diversification, And Creative Destruction
Fascination with the stock market has become a national obsession, not least because the financial well-being of the majority of … Read more
