Fees for active management are generally higher than for passively managed funds. Actively managed funds have higher trading costs since there is a greater turnover in fund holdings. These funds also have the additional costs of compensation for fund management. These factors lead to increased fees...
In the ASX 200, seven of the top ten holdings areeither banks or mining companies– these types of companies arenot known for growing every year at above 10%. For example, the top ASX 200 holding is the Commonwealth Bank (CBA). According to theMarket Screenersite, CBA’s 2024 Earnings ...
The practice of paying dividends to shareholders was first done back in the 1600s by the Dutch East India Company. Many companies do not pay dividends to shareholders, and the ones that do are under no obligation to continue paying them. Profit-sharing is the primary reason why companies pa...
There are several factors, such asfund liquidity, that you should consider when investing in index funds. I would say the four most critical aspects you should consider before outlining your portfolio are investment goals, diversification, return on investment goals, and minimums. Short and long-t...
Saving in organized retirement accounts is just one type of saving, but there are many more options. The government has specific rules and limits on how much you can save each year in tax-sheltered accounts.8 However, there are no limits on the savings you can put into ordinary taxablebrok...
I have a question that's probably kind of dumb, but if you'll indulge me regarding taxable accounts: how often and when are we actually taxed? For example, if you have 500 shares of VTI in a Vanguard account, are you taxed capital gains only when you withdraw it? Are you taxed ...
Clients can customize their Wealthfront portfolio by adding or deleting certain ETF holdings or building their entire portfolio from scratch. Portfolios over $500,000 are eligible for smart beta. No fractional shares with the automated portfolios, which means some cash may remain uninvested. S&P 500...
Side Note: It is surprising how easy it is to delude yourself into thinking you know where the markets are going, no matter how many times you failed to make accurate predictions in the past! Ranges Let’s return to the ranges I talked about before. I mentioned that I try to have 0%...
Many of us could have retired in 2021 and look at where we are. Tesla has been dead money for 3 years and it has been a crazy roller-coaster. If I had sold all my Tesla then and put on VTI I would have more than double than what I have but I also though at the...
Many of these external threats are completely exogenous: that is, their parameters cannot be altered by agency strategic actions, at least in the short-run. Strategic analysis and action must, therefore, take these aspects of the external environment as given. But in some circumstances, aspects ...