Investing Research Articles

…the author provides a comprehensive overview of equity risk premium concepts and values, stressing the mid-20th century break in key financial relationships.

…value investors are generally risk avoiders, and growth investors are typically risk seekers. Buying risk from one group and selling it to the other may be profitable.

…small-capitalization stock funds from other countries offer optimal diversification benefits for investors holding broad U.S. stock market indexes.

…when investors/traders are depressed, as measured by the gap between implied volatility and historical volatility, so are stock prices.

Do mutual fund investors move their money into and out of the stock market at the right times, or the wrong times? In their August 2006 paper entitled “Mutual Fund Flows and Investor Returns: An Empirical Examination of Fund Investor Timing Ability”, Geoffrey Friesen and Travis Sapp examine the flows of funds to/from individual mutual… Keep Reading

…the incorporation of folk medicine by pharmacology offers a model for bringing technical analysis into the financial economics fold.

…investing based on the principles of behavioral finance is indistinguishable from value investing, producing similar raw excess returns.

…stock market booms arise from the confluence of strong economic growth and low inflation. Excessive (?) monetary policy reaction to rising inflation kills the booms.

…technical trading is more likely to be successful when applied to small-capitalization and illiquid stocks.

…past research indicates that there may be a good short-term price trade (but watch out for frontrunning) and a good longer-term volatility play for forced resignation of a CEO with replacement by an outsider.