Sentences with phrase «concentrated portfolios»

For this article, editors sought out actively managed funds with relatively concentrated portfolios — typically 50 companies or fewer — and a solid long - term performance track record.

We run concentrated portfolios because, in our experience, concentration works.

He cites contributor Roger Nussbaum, who provides a balanced discussion of diversification, stock picking, concentrated portfolios, and recent strong opinions.

My favorite value investors seem to be all over the place on this issue, some opting for very concentrated portfolios, others for relatively diversified portfolios.

The best absolute performance in investing is likely to come from concentrated portfolios (30 - 50 % annual returns).

She found a kindred spirit in Ariel when she joined the firm in 2011, where her investment philosophy of applying independent thinking and owning high - conviction, concentrated portfolios coincided with the firm's philosophy.

That is, both tightly concentrated portfolios and widely diversified portfolios appear to do less well than portfolios of intermediate size.

Can active managers improve performance by moving from relatively diversified to relatively concentrated portfolios?

Many traditional value investors have concentrated portfolios of less than 50 names.

These cocky investors claim that they create these concentrated portfolios because they are only investing in their best ideas.

These concentrated portfolios typically include no more than ten to fifteen individual securities.

pabrai and berkowitz i think both did that in 2001 - 02, and they follow a lot of the value stuff in terms of concentrated portfolios.

But since his early days managing money in the 1980s, Berkowitz has run concentrated portfolios.

His bosses criticized him for running highly concentrated portfolios, even though, Berkowitz says, his returns regularly trounced the market.

Works best on smaller caps than large and in concentrated portfolios.

Bonnie Sewell, a wealth manager at American Capital Planning who oversees money for high - net - worth clients across the country, says concentrated portfolios can prove incredibly volatile.

This applies to widely diversified or concentrated portfolios.

Concentrated portfolios aren't for everyone, cautions Russel Kinnel, Morningstar's director of manager research.

As a result, value investors have concentrated portfolios: not because they reject diversification, but rather because they operate within the boundaries of their competence.

Truly active managers are those who run concentrated portfolios, who rely on their judgment to pick stocks rather than manage a diverse portfolio that hugs an index to reduce tracking error.

The fortunes of concentrated portfolios, such as those maintained by a traditional stock - picker, are also impacted by the level of market skewness, among other factors of importance.

We believe that adequately diversified, concentrated portfolios have the highest probability of generating good absolute returns.

Now I believe in concentrated portfolios, and even concentrated by sector and industry, but this is way beyond my willingness to take risk.

Jae Jun's back - test methodology was to create two concentrated portfolios, one of 15 stocks and the other of 10 stocks.

This is because simply ranking bonds by yield volatility across the universe can potentially result in highly concentrated portfolios in duration or quality, which in turn can cause greater portfolio volatility.

It's slightly less applicable to mid - cap / small - cap stocks and still less applicable to concentrated portfolios (where the valuations of individual stocks would become more dominant).

The Black - Litterman model supports both absolute views (expected return for the given asset) and relative views (asset # 1 will outperform asset # 2 by X), and addresses many of the shortcomings of mean - variance optimization, which often results in concentrated portfolios based on past asset performance.

As well, mutual funds invest in more than a handful of stocks because concentrated portfolios tend to be volatile.

The same is true for some amateur investors that run concentrated portfolios, and happen to get it right for a while, until the cycle plays out and they didn't have a second idea to jump to.

Both the Australian and International funds are concentrated portfolios of businesses that should deliver us healthy investment performance over long periods of time.

He is often quoted regarding his expertise in high active share, concentrated portfolios.

Many of the best investment professionals run concentrated portfolios (e.g. top 10 stocks = 65 % + of the portfolio's value).

Our portfolio managers build concentrated portfolios, averaging just 30 positions — we build each portfolio focused on premium wealth - generating strategies for our clients.

On the other hand, the concentration of high yields in particular sectors tends to force yield seeking investors into concentrated portfolios, a risky endeavor.

Why Capital Wealth Focuses on Concentrated Portfolios.

One of the side - effects of extreme concentration is idiosyncratic portfolio performance — concentrated portfolios behave differently from the market.

A well - known Canadian proponent of concentrated portfolios is Steadyhand: their Small - Cap Equity Fund, for example, includes just 17 stocks.

Investors with heavily concentrated portfolios can see periods of outperformance, but, this often requires an element of market timing, which introduces another element of risk usually reserved for more tactical plays.

We argue that investors would benefit if managers held more concentrated portfolios.»

But this book trains the telescope on the less explored parts of the investment skies and provides us with the secret to success: run concentrated portfolios with permanent capital to prevent against capital withdrawals just at the depressed times when bold investment action is called for.

Ramsey is out of his league when trying to opine on whether concentrated portfolios offer value of not.

He further criticized concentrated portfolios, saying that they were far too risky, saying that you had to have at least 100 stocks in a portfolio to achieve diversification.

In his view, high active share means concentrated portfolios that can have high over-performance or high under - performance, but it does not reliably predict which.

Can active managers improve performance by moving from relatively diversified to relatively concentrated portfolios?

This may be due to different weightings between the overall S&P 500 weightings and the weightings of the more concentrated portfolios.

Investors with heavily concentrated portfolios can see periods of outperformance, but, this often requires an element of market timing, which introduces another element of risk usually reserved for more tactical plays.

The fund holds one of the most concentrated portfolios in the segment and currently tilts toward consumer staples companies.

«Market - beating managers express their insights in concentrated portfolios that differ dramatically from the character of the broad market» David Swenson

The sequential model ranks stocks by factors sequentially Allows investors to prioritise factors and results in concentrated portfolios However, the factor sequence matters and only a few factors can be considered INTRODUCTION In a recent research report we showed how investors can combine factors

«We believe that exceptional returns are created by concentrated portfolios, as excellent ideas are few and far between.