TITLE

The 'low volatility anomaly

AUTHOR(S)
McCormick, Dominic
PUB. DATE
April 2013
SOURCE
Money Management;4/25/2013, Vol. 27 Issue 15, p18
SOURCE TYPE
Trade Publication
DOC. TYPE
Article
ABSTRACT
The article offers the author's insights on the anomaly of low volatity funds to investment returns. The author discusses several possible explanations of the anomaly including investors who chase volatile stocks, overconfidence and setting focus on benchmarking to traditional indexes. He mentions that low volatility and exchange-traded funds (ETFs) aim to provide market return with lower risk. He advises those who build investment portfolios to track the demise of the low volatility anomaly.
ACCESSION #
87628741

 

Related Articles

  • Return-enhancing strategies with international ETFs: Exploiting the turn-of-the-month effect. Haiwei Chen; Sang Heon Shin; Xu Sun // Financial Services Review;Fall2015, Vol. 24 Issue 3, p271 

    We show that the average return over the four-day period surrounding the turn of the month is significantly positive in eight out of the nine international exchange-traded funds (ETFs). The strategy of buying-and-holding an ETF during tum-of-the-month (TOM) period and switching to holding...

  • All-ETF portfolios.  // Dow Theory Forecasts;1/20/2014, Vol. 70 Issue 3, p1 

    The article focuses on the all-exchange-traded fund (EFT) portfolios of investors in the U.S. The solid track records of ETFs outperforming the category average return is noted. The country's 0.70% expense ratio in its recommended Growth and Conservative portfolios in 2013 is revealed. Also...

  • Uncorrelate Me.  // Registered Rep;Jul2011, Vol. 35 Issue 7, p58 

    The article offers the author's insights on the investment returns that are negatively correlated in the equity market. He says that uncorrelated investments occur in a growing trend of alternative investments that are reflected in the market capitalizations of exchange-traded products (ETPs)....

  • GROWING CHOICE, Shrinking Globe. Iyer-Ahrestani, Savita // Investment Advisor;Mar2011, Vol. 31 Issue 3, p54 

    The article discusses the significance of exchange traded funds (ETFs) in managing investments in global markets. It highlights the views of several financial advisers regarding the growing number and success stories of ETFs in the global market due to the vast opportunities and benefits to...

  • Evidence of Overreaction among International Exchange-Traded Funds. Richie, Nivine; Madura, Jeff // Journal of Financial Service Professionals;Sep2006, Vol. 60 Issue 5, p66 

    International exchange-traded funds (ETFs) allow investors to invest in a tradable unit that represents an entire market. If investors engage in the same behavior when trading ETFs that they use when trading individual stocks, ETFs could suffer from overreaction. We attempt to identify factors...

  • Stock Funds. Kalwarski, Tara; Freedman, Jonah // Money;Jan2005, Vol. 34 Issue 1, p120 

    The section presents a chart showing three-year performance rankings for stock funds.

  • Investment Companies Another time-efficient means to manage your savings or pension. Gillen, Rory // Accountancy Ireland;Oct2010, Vol. 42 Issue 5, p39 

    The article discusses the flexible funds on the stock markets in Ireland which could allow investors to build a range of unit-linked funds. It highlights two of these funds including exchange traded funds (ETFs) and investment companies. It notes that investment firms are good source of...

  • The next big thing? Mace, Janine // Money Management;11/8/2012, Vol. 26 Issue 43, p1 

    The article reports that on commissions in financial advice has restrained the growth of exchange-traded funds (ETFs) in the past. The interest in ETFs has spread from direct investors and self-managed super funds to financial advisers. Offshore and institutional investors supported the ETFs,...

  • What To Know Before You Invest. APARNA NARAYANAN // Investors Business Daily;6/26/2014, pA06 

    Exchange traded funds may be the wunderkind of the

Share

Read the Article

Courtesy of VIRGINIA BEACH PUBLIC LIBRARY AND SYSTEM

Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics