An alternate to the Sharpe ratio could help advisors calculate how much pain investors must endure for each unit of gain. Here's how to run the numbers.
After years of low interest rates and rising stock markets, once-conservative strategies might actually be putting investors in risky situations. Here's where some income investors are going wrong.
There are a number of steps traditional mutual funds and ETF providers can perform to take advantage of a surge in automated investing.
Because the various fund sponsors report data inconsistently and often with delays, it's hard to get a clean comparison between rival offerings.
BlackRock agreed to pay $12 million to settle U.S. regulatory claims that it failed to disclose a conflict of interest of a top portfolio manager.
For clients who want retirement income with minimal equity risk, advisors should recognize the 'mortality credit' advantage that the pooled funds in an immediate annuity can offer.
The more portfolio managers invest in their own funds the better, according to a recent Morningstar study.
The world's largest bond fund has cut back on U.S. securities as yields are expected to rise this year.
Clients who turned 70 1/2 last year need to take their first required minimum distribution by April 1 or face a tax of 50%; Plus, reducing fees is the best way to boost investment returns.
A study by S&P Dow Jones Indices -- which clearly has a horse in the race -- says clients will profit more from buying a fund tracking the S&P SmallCap 600 index than one tracking the Russell 2000.
The total amount of outstanding municipal securities and loans in the market rose 0.6% to $3.65 trillion in the fourth quarter of last year, as U.S. bank muni holdings increased 2.5% and mutual fund muni holdings rose to a record high $658 billion.
Instead of a broad stock index, should advisors consider ETFs weighted by dividend payments?
Even after defaults, high-yield bonds have earned above-market returns.
After suffering continuing losses in his prior role as manager of Pimco, Gross now sees his first month of net withdrawals at Janus Global Unconstrained Bond Fund.
Many investors traditionally bought high and sold low, losing out on market averages. But a new Morningstar report shows that the typical investor now is posting returns that are closer to those of mutual funds.
Municipal bond sales in the U.S. are set to increase in the next month while the amount of redemptions and maturing debt rises.
Bankers at the National Municipal Bond Summit said they believe new bond issuance will increase, especially in the high-yield senior living and charter school sectors.
Microsoft sold $10.8 billion of debt in its biggest bond sale on record, taking advantage of investor demand for the highest-rated corporate securities.
Janus Global Unconstrained Bond Fund attracted an estimated $85.6 million in net new money in January, the lowest amount since Pacific Investment Managements former investment chief Bill Gross took over as manager in October.
Bill Gross invested more than $700 million of his own money in his unconstrained bond fund, Janus Capital Group's CEO Dick Weil said today in a conference call with investors and analysts.
As federal regulators consider extending bank-like oversight to asset managers, industry officials warn of adverse effects for investors.
Bill Gross said he was fired from Pimco, the first time he's publicly confirmed that he was dismissed from the firm he co-founded in 1971.
Investors may be able to generate extra returns (without extra risk) by betting on unpopular equities. Heres how.
The majority of money gathered by Grosss new fund at Janus Capital Group came from the same Morgan Stanley brokerage where his personal financial adviser works, according to the Wall Street Journal.
Vanguard Group plans to offer its first ETF focused on the $3.6 trillion U.S. municipal-bond market.
Pimco's biggest mutual fund had the worst year of client withdrawals in the history of fund management as the firm lost both of its co-chief investment officers, Bill Gross and Mohamed El-Erian.
A comparison of 'decision rules' with rebalancing suggests that advisors may not be giving one simple strategy the credit it deserves.
Mutual conversions soared this year as mutual thrift executives sought to raise capital at the behest of investment bankers and others. With many of the biggest mutuals having converted this year, there may be a drop-off in conversions in 2015.
Municipals delivered solid performance overall thanks to the strength of the long duration and high-yield segments.
When it comes to the ability of the U.S. government to finance itself in the bond market, this year will go down as as one of the best on record -- and dealers say 2015 will be no different.
The ideal investing approach should control downside risk while also achieving a reasonable rate of growth. Here are a few suggestions.
Investors have gotten more desperate in their pursuit of yield, reaching for ever-dicier products. What could possibly go wrong?
The U.S. Securities and Exchange Commission is preparing a sweeping set of rules to target mutual funds whose rapid growth and migration into more complex strategies could pose risks to the financial system, the agencys chairman said.
Calling it a good investment, Northwestern Mutual completed its $2.7 billion sale of asset manager Russell Investments to the London Stock Exchange Group after 15 years of ownership.
A recent study compared advisors reactions during the last financial meltdown to PTSD. Heres my advice for beating stress when markets go haywire.
An analysis compares portfolios built using 'smart beta' indexes against those whose components are weighted by market cap. See the results.
John Jacobs, executive vice president of global information services at Nasdaq and pioneer of the QQQ ETF, reflects on the growth of the ETF industry and shares his predictions on upcoming trends.
Treasuries gained, sending 10-year yields a one-month low, as jobless claims rose, business- equipment orders fell and home sales were less than forecast, raising concern about the health of the economic recovery.
The likelihood that a powerful tech innovator such as Google will enter the asset management space and upend the market has increasingly become a matter of concern and speculation within the financial industry.
Despite the sector's underperformance this year, your clients may still want to consider U.S. small-cap funds over the long term.
Legg Mason attracted $5.1 billion into its bond funds in October, the most in more than seven years, after the departure of Bill Gross from Pimco prompted investors to reallocate billions of dollars.
Clients report Social Security's employees being uninformed of the agency's rules, or worse, providing wrong information; Plus, the downside of target-date funds
The Fix LA Coalition, an effort spearheaded by labor unions and its allies, wants Los Angeles City Attorney Mike Feuer to file a regulatory complaint against the underwriters involved in 2006 interest rate swaps saying the risks weren't disclosed.
At the heart of increasing employee resentment, and more than a dozen lawsuits against 401(k) plans, are a raft of obscure fees and services; Plus, your clients will see real advantages in using robo advisors.
Advisors examine their positions with Pimco and debate Bill Gross's influence as October saw a record $27.5 billion in outflows from Total Return Fund.
Investors should weight the cost of paying debt with savings versus the gains from keeping the money in their retirement account; Plus, how to bolster low retirement savings, and when to consider high-yield funds.
The Pimco Total Return Fund suffered an estimated $27.5 billion of withdrawals in its first full month after the Sept. 26 departure of Bill Gross, its worst month ever for redemptions.
The Securities and Exchange Commission today sanctioned 13 firms for improperly selling Puerto Rico bonds in denominations below a $100,000 minimum denomination set in a $3.5 billion offering earlier this year.
Janus Capital is making waves in 2014 as it tries to climb toward the top of the asset management industry mountain.
BlackRock, the worlds biggest money manager, cut fees on certain share classes of three fixed- income funds as the departure of Bill Gross from Pacific Investment Management is sending billions of dollars to competing firms.
Big tax bill looms for mutual fund investors; 4 secrets to getting more from your 529 account; How taxes and trading costs kill investment returns
5 career checkpoints on the road to retirement; 3 Social Security myths you shouldn't believe; Why I won't own bond funds in my retirement portfolio
Do the instruments make sense in an low-rate environment? And if so, should you build them in-house? Get tips from fixed-income experts.
Abigail Johnson has climbed the ranks of Fidelity Investments, the company started by her grandfather in 1946, over more than 25 years, starting as a stock analyst and working her way through almost every major division.
Bill Grosss Janus Global Unconstrained Bond Fund received $66.4 million in client deposits in September, the month Gross announced he was leaving Pimco to join Janus Capital Group Inc.
Before advisors recommend the increasingly popular hedged investment strategy, they better know the basics.
Withdrawals from a Pimco exchange-traded fund that was run by Bill Gross slowed yesterday after record redemptions the day the star trader left.
Morningstar Inc. cut the rating of Pacific Investment Management Co.s Total Return Fund, the worlds largest bond fund, to bronze from gold after co-founder Bill Grosss exit.
Bill Gross, co-founder and co-chief investment officer of Pimco, will join Janus Capital Group, the company said.
Some managers may out-perform short-term, but "you can't tell good luck from good skill, or bad luck from bad skill," the Nobel winner says.
In the past, most dividend payments have continued, and many increased, even when stock prices have fallen.
Clients often place too much importance on high performance and not enough on consistent returns.
When it comes to predicting where U.S. borrowing costs are headed, the bond market isn't taking Wall Streets advice seriously.
Investors have returned to equity funds now that the financial meltdown is a distant memory.
Mutual-to-stock conversions are facing new hurdles, as evidenced by events at a pair of Massachusetts mutuals. Depositors at Beverly Bank recently rejected its proposed conversion, while Reading Co-op Bank changed its bylaws to make it more difficult to convert.
A group of bondholders trying to recoup their investment in a failed Moberly, Mo. artificial sweetener plant has added as a defendant Raymond James Financial Inc. which acquired the bond deal's underwriter and lawsuit's original target.
How to avoid investment bubbles; Real estate's rebound retracts; Warning signs of a 20% tumble in the market
Wealth gap lasts into retirement years; Will federal retirement wipe out Social Security benefits; Never too young to start saving for retirement
A Vanguard model aiming to forecast the next decades returns offers some useful takeaways.
UBS is facing more than $600 million in damage claims filed by Puerto Rico investors in closed-end bond funds, the bank said in its second quarter earnings report Tuesday.
New rules will require institutional prime funds to allow NAV to float to market value.
U.S. investors are used to treating money-market mutual funds as the equivalent of a checking account. That is about to change for the riskiest of the funds.
Index mutual fund assets are at new heights but the pressure to keep costs down deters new entrants, says a Lipper analyst..
With $7.86 billion in assets, PIMCO has the largest share of the active ETF market. While these products are gaining ground, they still make up just a small fraction of the total ETF market and PIMCO has yet to break into the top 10 providers overall.
While there has been rapid growth in U.S. ETFs over the last few years, there has been almost exponential growth of these products worldwide.
U.S equity fund assets are near record levels, but in a reversal of last years trend, investors are putting more money into bond funds than U.S. stock funds.
Puerto Rico Gov. Alejandro Garcia Padilla came out swinging with a defense of his economic and fiscal programs after Moody's Investors Service lowered the island's credit ratings farther into junk territory.
Amid an outreach overhaul, the agency's Division of Investment Management says it wants asset managers to give advisors and investors a 'clear and concise' picture of their investment strategies.
Are mutual funds hurting your clients' portfolios at tax time?
Many investors just guessing; Same-sex families lag in savings; Growth investments for retirees
Kathleen Tarr says AT&T Inc. employees looked to her as their de facto 401(k) expert. Visiting their homes and offices, she advised them on their retirement plans as they called up balances on computer screens.
In grading investment performance, it turns out that consistency is even more important than asset allocation.
Financial advisor use and recommendation of ETFs is continuing to grow, outpacing all other investment vehicles surveyed by the FPA's Journal of Financial Planning and the FPA Research and Practice Institute.
If youre comparing a multi-asset client portfolio to the S&P 500, youre setting yourself up for trouble.
BlackRock's Laurence D. Fink, who oversees the world's biggest exchange-traded fund lineup, said leveraged ETFs are a structural problem and have the potential to "blow up" the industry.
Sure, today's rates are low. That makes it a great time to protect your clients against unexpected rises tomorrow. To arm your clients' portfolios against inflation, here are five investment categories to consider.
High-speed trading isnt such a big problem for investors - but the underlying structure of the U.S. financial markets just might be.
The fund association maintains the industry is already heavily regulated, and in the event of failure a single fund can exit the market in an orderly process with little disruption, unlike banks.