Momentum in U.S. Corporate Bond Returns
August 6, 2010 - Bonds, Momentum Investing
…evidence indicates that investors may be able to exploit momentum in U.S. corporate bond returns by focusing on past winners among low-grade issues.
August 6, 2010 - Bonds, Momentum Investing
…evidence indicates that investors may be able to exploit momentum in U.S. corporate bond returns by focusing on past winners among low-grade issues.
August 5, 2010 - Technical Trading
…given the fairly small size of any abnormalities, standard deviations of returns that are much larger than any abnormalities and the rareness of signals, it seems unlikely that a trader could materially exploit bullish and bearish engulfing candlesticks for the S&P 500 Index at the portfolio level.
August 5, 2010 - Technical Trading
In his 2010 book entitled Harmonic Trading: Volume Two Advanced Strategies for Profiting from the Natural Order of the Financial Markets, author Scott Carney “offers unprecedented strategies that identify the areas where overall trend divergence and harmonic pattern completions define the most critical technical levels. In addition, the new ideas presented in this material advance… Keep Reading
August 4, 2010 - Technical Trading
…Harmonic Trading: Volume One describes an approach to developing expectations for the behavior of financial asset and asset class prices based on the belief that these prices naturally follow trajectories (form patterns) generated by a process governed by Fibonacci ratios. Although the book offers many examples of pattern analysis, it does not quantify the benefits of such analysis in terms of per-trade or portfolio level profitability.
August 3, 2010 - Equity Premium
…evidence from the most credible models of the historical U.S. equity risk premium converge to an annual value in the range 4% to 4.5% during 1872-1950 and 1951-2008.
August 2, 2010 - Fundamental Valuation
…evidence indicates that portfolios constructed from ranking stocks based on complex valuation metrics may materially outperform those constructed from simple valuation metrics.
July 30, 2010 - Individual Gurus
Navellier & Associates, Inc. offers one Navellier-branded mutual fund, Navellier Fundamental A (NFMAX), “designed to achieve the highest possible returns while minimizing risk.” Selection criteria for fund holdings, re-measured quarterly, “include earnings growth, profit margins, reasonable price/earnings ratios based on expected future earnings, and various other fundamental criteria.” Using NFMAX weekly adjusted closing prices from… Keep Reading
July 30, 2010 - Volatility Effects
…evidence suggests that investors may be able to gain an edge by considering the recent historical relationship between average stock price variance and future short-term market return.
July 28, 2010 - Investing Expertise
…for the sake of realism, investment strategy developers should rigorously examine the defensibility of any assumptions embedded in their inference processes.
July 27, 2010 - Fundamental Valuation
…evidence indicates that investors may be able to earn abnormal returns by exploiting systematic outperformance (underperformance) of stocks with very low (high) historical accrual volatilities.