Active investment management’s weekly magazine for fee-based advisors

The following posts are related to industry trends. Scroll down to see more articles.

5 top concerns faced by financial advisors in 2016

Financial advisors greeted 2016 in a relatively upbeat mood—what are they thinking about now? Though we still have several important months to go, 2016 has already been a remarkable year on several fronts: The worst post–WW II start ever for the U.S....

Investing in election-year markets

Presidential election years are unique, and this election year is shaping up to be like no other. The impact of elections on markets and investor portfolios can be significant. Here we take a historical look at how markets have behaved during these...

The case for mechanical trading strategies

When it comes to implementing trading strategies, there are many compelling reasons to rely on computers rather than human discretion. Computers have been used in the investment business for more than 40 years. Initially, fund managers used computers...

Why goals-based investing makes sense

Financial advisors and investment managers use 21st-century tools to help clients achieve “real” investment success. Financial advisors who use fee-based managed accounts can more effectively help clients meet their investment objectives if they...

The volatility cycle

Are lower-risk portfolios with higher returns really too good to be true? More risk equals more return. Less risk equals less return. These are the commandments of the capital asset pricing model (CAPM), taught to first-year business students all around...

Possible cure for the summertime blues

June, July, and August will be upon us soon. Yep, the dreaded summer months that historically elicit the chant “sell in May and go away” each year. For most equity indexes, this advice has usually been true for more than 50 years. But, there are certain...

The benefits of simplicity

The principles of Occam’s razor offer insights for investors, investment managers, and strategists “There never was a sounder logical maxim of scientific procedure than Ockham’s razor: Entia non sunt multiplicanda praeter necessitatem. That is to...

Now’s the time for value

John P. Reese is co-founder of Validea Capital Management. He is the manager of Validea Capital’s active equity ETF and separate accounts, and the subadvisor to the Consensus Funds in Canada. John is the author of “The Guru Investor: How to Beat the...

Why smart clients do dumb things

Highly intelligent people are often susceptible to making poor investing decisions—behavioral research offers some clues why History books are full of examples of faulty thinking by some of the most intelligent people of their time. News articles remind...