How to Make Sense Out of Mutual Fund Data

If you are like most individual investors, you track your investments carefully. For your stock investments that means watching the share price, and for bonds that means watching the bond price. What about mutual funds? Many individuals track the fund’s net asset value (NAV). And in the process they may have found that their fund’s…

 

Most AAII Readers Conduct Their Own Research of Mutual Funds & ETFs

The February 2017 issue of the AAII Journal contains the updated Individual Investor’s Guide to the Top Mutual Funds. This valuable member benefit included 728 in the print version, while online there is information covering nearly 1,600 funds. AAII members that are new to mutual fund investing also have access to explanatory articles in the Funds/ETFs section…

 

Protect Your Capital – Never Chase High Yield

This week’s AAII Weekly Digest highlights these “must-read” AAII articles:   Interest Rate Sensitivity and Bond Pricing How can it be that there are times when “safe” assets such as high-quality corporate bonds or U.S. Treasuries exhibit levels of price volatility that may normally be associated with the stock market? This article outlines a set…

 

AAII Readers Reveal How They Select Mutual Funds & ETFs

A mutual fund is an investment vehicle made up of a pool of funds collected from many investors for the purpose of investing in securities such as stocks, bonds, money market instruments and similar assets. An exchange-traded fund (ETF) is an investment fund traded on stock exchanges, much like stocks. An ETF holds assets such…

 

From Saver to Spender: Managing Your Money in Retirement

This week’s AAII Weekly Features highlight these valuable AAII articles: Qualitative Guidelines for Mutual Fund Selection: Looking at the type and frequency of communications, portfolio holdings, manager stability and expense ratio caps can help with the fund selection process. Retirement Readiness Is Being Assessed in the Wrong Manner: No consensus exists on an acceptable risk…

 

Two Traits that Give Active Mutual Funds an Edge

American Funds says that some actively managed funds are better than passive (index) funds. Specifically, the company argues that actively managed funds with low expense ratios and high levels of manager ownership (a group that Amercian Funds calls “Select Active”) outperform their index peers. The outperformance is evident over one-, three-, five-, and 10-year rolling…

 

Qualitative Guidelines for Mutual Fund Selection

This article originally appeared in the June 2014 issue of the AAII Journal. Many articles exist on how to use financial data to pick solid mutual funds. But what comes after screening based on quantitative metrics? What about the other side of fund selection—the qualitative criteria that can help investors better understand and select investments to fill their…

 

The Individual Investor’s Guide to the Top Mutual Funds 2016

This week’s AAII Weekly Features highlight these valuable AAII articles: The Individual Investor’s Guide to the Top Mutual Funds 2016: AAII’s annual mutual fund guide provides information and performance statistics on more than 730 funds. The Truth About Top-Performing Mutual Fund Managers: Top-performing mutual fund managers will likely underperform their benchmarks at some point, but investors…

 

Survey: Many Investors Misunderstand Risk-Return Relationship

A new TIAA-CREF survey finds more than half of investors look to short-term performance factors when making investment decisions, while nearly one-third mistakenly believe all investments carry the same overall level of risk. According to the survey results, 36% of investors look to one-year performance as the “most important indicator of an investment’s return,” with…