Written by David Fabian, September 12th, 2017
The “fund of funds” style is a portfolio tactic that has been used successfully for many large investment companies. Think about those target-date or target-risk funds in your 401(k). They are essentially a single mutual fund filled with 8-12 underlying funds to create a highly diversified investment strategy using varying asset classes.
It was initially assumed that this same dynamic would be readily embraced in the exchange-traded fund format as well. However, after several failed attempts, it’s becoming apparent that ETF investors want certain attributes within a “fund of fund” strategy that they can’t find elsewhere. The following three examples highlight the largest of this breed and how they have developed over the last decade.
Read the complete article at NASDAQ.com
Written by David Fabian, August 19th, 2017
The summer is rapidly closing and a new season will shortly be upon us. The seasonality of the markets this time of year has always been a tricky proposition as well. With that in mind, I’m going to outline my current thoughts on some of the big picture charts. Read more
Written by David Fabian, August 16th, 2017
The notorious website Zerohedge has a thought-provoking tagline that reads: “On a long enough timeline the survival rate for everyone drops to zero.” There’s plenty of truth to that sentiment and drives the philosophical underpinnings of their news and/or investment opinions. I’m not promoting their outlook, but I will take my own thinking down a similar track and add that:
“On a long enough timeline, everyone is a trader.” Read more
Written by David Fabian, July 29th, 2017
Active investors are continually looking for innovative ways to beat the market. They want to believe that some perfect combination of fundamental or technical indicators will lead to the holy grail of outperformance (otherwise known as alpha).
In the broadest sense, there are two ways to beat the market: on the upside or on the downside. You either take more risk or less than the benchmark. Read more
Written by David Fabian, July 18th, 2017
The markets are doing that thing again. That thing where everything looks easy. Where the trends are picture perfect. Where good stocks keep doing good things and bad stocks keep doing bad things. Where shorting the VIX seems like the easiest money in the world and where commodities are so fractured as to be all but unbearable to own. Read more