Equity markets around the globe posted positive returns in the second quarter. Looking at broad market indices, US and non-US developed markets outperformed emerging markets for the quarter.Value performance was mixed in the US, with small value outperforming small growth but large value underperforming large growth. Value underperformed growth in non-US developed markets and outperformed in emerging markets.Small caps underperformed large caps in the US and non-US developed markets but … [Read more...] about Q2 2021 Market Review
No one knows the direction of interest rates or credit spreads. But Dimensional uses information contained in bond market prices to position a fixed income portfolio for higher expected returns. "It's our job as portfolio managers at Dimensional to constantly move the portfolio towards higher expected returns." Featuring Dimensional Fund Advisors VPs, Doug Longo, Head of Fixed Income Portfolio Strategists, Joseph Kolerich, Head of Fixed Income, Americas, and Jake … [Read more...] about Fixed Income FAQ: Targeting Higher Expected Returns
Indexing offers the benefits of transparency, diversification, and low costs. Dimensional offers these advantages while also positioning strategies for higher expected returns based on global yield curves and credit spreads. "If you think about Dimensional's strategies, they have those same qualities, but they also have the advantage of being able to take information and current market prices into consideration." Featuring Dimensional Fund Advisors VPs, Doug Longo, Head of Fixed … [Read more...] about Fixed Income FAQ: Advantages Over an Index-Tracking Fund
Negative interest rates may not translate into a negative return experience for investors. A fixed income strategy that considers currency hedging and different yield curves across the globe can position for positive expected returns versus a domestic-only strategy. "We've had positive total returns because when you think about the return of a bond, there's more than just the interest rate." Featuring Dimensional Fund Advisors VPs, Doug Longo, Head of Fixed Income Portfolio … [Read more...] about Fixed Income FAQ: On Investing Amid Negative Interest Rates
By Paul Ohanian, CFP® & Thomas Doellman, PhD Academics and industry professionals have known for some time that when people invest in the stock of publicly-traded companies, they tend to invest in companies from their home country. Known as the "home country bias," this behavioral bias is one of many that plague individuals' retirement investment portfolios. The reason? Diversification…or lack thereof! Importance of International Diversification Diversification aims to … [Read more...] about Just How Diversified is your Portfolio?
There's a whole world of investing opportunity out there. Have you considered the potential effects of home country bias in your portfolio? Read the full article by MarketWatch's Brett Arends, "Opinion: The No. 1 investment mistake retirement savers are making: Vanguard study," HERE. DISCLOSURES Scottsdale Wealth Planning, Inc. ("SWP") is a registered investment adviser. Advisory services are only offered to clients or prospective clients where SWP and its representatives are … [Read more...] about Opinion: The No. 1 investment mistake retirement savers are making: Vanguard study