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Actively managed funds with low costs and a value investment style, can be a good alternative to picking stocks. It can be a good idea to identify actively man
by thomasfl 5y ago
Actively managed funds with low costs and a value investment style, can be a good alternative to picking stocks.
It can be a good idea to identify actively managed funds that have performed better than the market in the past (ie. they have got alpha). Which investment style the fund has used, can be identified using number crunching (using fama french factor analysis). For example Warren Buffet uses a mixture of value and quality investement style.
I work for a Fintech startup. We are working on a tool to do quantitative fund analysis.
- VBprogrammer 5y agoActively managed funds don't tend to come with low costs as a general rule. It's more expensive to pay a bunch of interns to sit around generating reports and a rockstar to actually pick which stocks to buy or sell at each moment than it is to simply make a few trades to keep the portfolio in line with the market.