Think Actively Managed Funds Always Outperform? Think Again
When I tell people about the seven-day race I ran in the Sahara last year, they ask questions. The most common one is, “Why?”
The overall business sentiment among small business owners remains subdued and less optimistic during this holiday season.
According to the NFIB, the small business optimism index remained unchanged at 96.1 in October. The reading was below the consensus estimate of 96.4.
According to the NFIB, the Small Business Optimism Index increased to 96.1 index points in September 2015, compared to its 95.9 level in August.
China is aiming for 7% GDP growth in 2015. This downwardly revised aim is primarily due to slowing global demand for Chinese exports.
The Chinese stock market meltdown is just one of the indicators of how fragile the Chinese economy is.
After the June crash in China’s stock market, regulators took drastic measures to prevent future stock market meltdowns like banning large shareholders from selling stocks.
The precious metals market is feeling the heat of recessionary trends in the world economy. All three precious metal funds show a similar downward trend.
Vanguard Precious Metal and Mining Investment Fund (VGPMX) lags in diversification, as it’s a pure sector fund.
As the name implies, alternative mutual funds seek to accomplish the fund’s objectives through non-traditional investments and trading strategies.
A high tracking error shows that the fund has failed on many occasions to meet its return requirement. The annualized tracking error of VGPMX is 24.79.