Objective research to aid investing decisions

Value Investing Strategy (Strategy Overview)

Allocations for June 2024 (Final)

Momentum Investing Strategy (Strategy Overview)

Allocations for June 2024 (Final)
1st ETF 2nd ETF 3rd ETF
Filter Research

Investing Research Articles

3527 Research Articles

Misunderestimating Volatility?

…sloppiness in applying statistics can lead to severe misestimates of variability. People should rely on definitions, not intuitions, in assessing volatility.

Sources of Volatility’s Predictive Power for Stock Returns

…volatility-based portfolio strategies derive their effectiveness from: (1) the difference between realized volatility and implied volatility ; and, (2) the difference between call-implied volatility and put-implied volatility.

Asset Growth and the Cross-Section of Stock Returns

Does strong (weak) past growth in a company’s total assets predict high (low) future stock returns? Or, does investor overreaction to past data predict the opposite? In the July 2007 update of their paper entitled “Asset Growth and the Cross-Section of Stock Returns”, flagged by a reader, Michael Cooper, Huseyin Gulen and Michael Schill examine… Keep Reading

Invest Like the Ivy League?

…investing like the Ivy League means a contrarian emphasis on small growth factors with heavier than average use of hedge funds and private equity funds.

Measuring the Level and Persistence of Active Fund Management

…fund investors should focus on funds with high “Active Shares” (holdings very different from their benchmark indexes), low assets under management and high last-year returns.

Growth Versus Value and the Yield Curve

A reader inquires: “Ken Fisher did a statistical study in his book, The Only Three Questions That Count: Investing by Knowing What Others Don’t, which states that growth (value) is in favor when the yield curve flattens (steepens). Any truth to this?” To test this hypothesis, we compare the performances of paired growth and value… Keep Reading

Implications of Short Selling with No Tick Test

…removal of the tick test for short selling apparently: (1) mitigates overvaluation of stocks; (2) leads to temporary undervaluation of easily borrowed stocks; and, (3) disrupts trading systems that rely on dispersion of analyst earnings forecasts.

The Little Book That Makes You Rich: A Proven Market-Beating Formula for Growth Investing (Chapter-by-Chapter Review)

…the book is a clear and concise summary of Louis Navellier’s systematic approach to constructing and maintaining a timely growth stock portfolio intended to outperform in all market conditions.

Robert McHugh Objects to Our Evaluation of His Commentaries

Robert McHugh, Ph.D. sent comments on our review of his stock market commentaries (“Robert McHugh: Caution Is Warranted”). The following exchange presents Dr. McHugh’s messages without editing. We have edited our responses for formality, brevity and inclusion of links:

Best-of-Breed for Get-Rich-Quick Option Tips

The unreal deal, as found in the cyber-alleys off Wall Street…