Category Archives: index funds

The Paradox of Skill

Print PDF November 10, 2011 The Paradox of Skill Brad Steiman Director and Head of Canadian Financial Advisor Services and Vice President of Dimensional Fund Advisors   In What’s the Significance, we addressed the importance of considering statistical significance when drawing … Continue reading

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Morningstar Nominees for Manager of the Year 2011

Print PDF Click on the image below to enlarge it.  Note that there is only a 5% chance of getting a t-stat of 2 or more if the manager’s outperformance of the benchmark is really zero (no alpha), or said … Continue reading

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Simple Investing for Troubled Times

Print PDF Troubled times bring out the worst in the financial media. It understands that creating fear and anxiety boosts readership and viewers. Brokers love to explain how it really is different this time, and why new strategies are required … Continue reading

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IFA’s Concerns with ETFs

Print PDF With the Securities and Exchange Commission’s launching of a broad, agency-wide review of exchange-traded funds and the recent Senate subcommittee hearings concerning the rapidly growing $1 trillion ETF industry and its potential impact on market volatility, now is … Continue reading

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Court Rules Kraft’s 401(k) Plan May Have Holes

Print PDF A recent ruling from the United States District Court, Northern District of Illinois, Eastern Division (George v. Kraft Foods Global, Inc., No. 08 C 3799), should strike fear in the hearts of trustees and plan administrators for both … Continue reading

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Non-Traded REITs: One More Way for Investors to Be Parted from Their Money

Print PDF A real estate investment trust (REIT) is a security that trades like a stock on the major exchanges and invests in commercial real estate directly, either through properties or mortgages. They commonly invest in shopping malls, hotels, office … Continue reading

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Stock Pickers Are Picking Your Pockets

Print PDF The top three ranked tennis players in the world are Rafael Nadal, Novak Djokovic and Roger Federer. This is no small achievement. The rankings are done based on a complex system that requires them to compete in a … Continue reading

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401(k) Participants Need an "Arab Spring"

Print PDF Let me start with the obvious (or what should be obvious, but isn’t): Retirement plans of all stripes should have only index funds or passively managed funds as investment options. There should be no actively managed funds (where … Continue reading

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“Introducing” Index Mutual Funds to 401(k) Plans

Print PDF By Ary Rosenbaum, Esq. May 16, 2011 The Internet was created in 1969. The first broadcast in high definition television was in 1996. The DVD was first released in 1998 and the Blu-Ray player made its debut in … Continue reading

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Don’t Believe the Mea Culpa of Your Broker

Print PDF In my blog last week, I took financial pundit, James Altucher, to task for confidently predicting the Dow would reach 20,000, while advising investors to avoid buying stocks. I noted that neither Mr. Altucher, nor anyone else, can … Continue reading

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