THE BABB BEAT

A cornerstone of Dimensional Funds research is the idea that there are higher expected returns within different asset classes also referred to as ‘Dimensions’ of return. For instance, it is widely understood that stocks should outperform bonds [...]

Previously, we looked at research that showed mutual fund management largely underperforms the benchmark. But what about those famed investors that have consistently outperformed? Well, if you recall, most outperformers have a hard time replicating their success. [...]

Previously, we highlighted research that concluded “portfolios with fewer stocks are more likely to underperform than portfolios with more stocks, because larger portfolios are more likely to include some of the relatively small number of stocks that elevate [...]

Every year Dimensional funds analyzes the past performance of all available mutual funds to see how this group performs relative to their benchmark. Their findings have consistently shown that mutual fund management as a group, largely underperform the [...]

We all know the saying “Don’t put all your eggs in one basket.” This idea is especially relevant when it comes to designing and implementing retirement portfolios. Why? Well, let’s look at the historical returns of individual [...]

If you were to Google ‘yield curve inversion’ you would find many recent articles written about what this means and the possible implications for future stock returns. Some of the headlines include: “The Yield Curve Inverted in [...]

To say that the news of today has grasped our attention, would be an understatement. The headlines have seemingly paralleled the 1970’s and understandably, prognosticators are trying to parse the information to gain a sense of [...]