I have become intrigued with the idea of tilting, but only within index funds and really only as applies to midcap vs small cap +/- value, and emerging markets.
I currently have quite a tilted portfolio, 100% in US low-cost index funds (36% LC, 28% MC tilted to value, 30% SC tilted to value, and the remainding [6%] in "real estate" buried within equity index funds).
High-income professional in mid-30s with plans to stay all equities for quite awhile.
I recently read A Random Walk Down Wall Street and thoroughly enjoyed it. I am interested in reading more about asset allocation (in particular tilting - be it small/mid cap, value, emerging markets, or otherwise) and would be interested in your recommended books. I have seen mixed reviews on The Intelligent Asset Allocator (Bernstein) and All About Asset Allocation (Ferri). Would you recommend either of these books or any others?
Any help is appreciated.
Thank you!
Asset allocation
Re: Asset allocation
If you want to read about factor investing this book is available: https://www.amazon.com/Your-Complete-Gu ... +investing
Re: Asset allocation
If you are at all conversant with spreadsheets and programming, it is instructive to try to replicate the Fama-French analysis using their 3-factor data sets. It really gives you a sense of how simple the factor model is, how well it works in many situations, and also its limitations.
Re: Asset allocation
Thanks for the recommendation...I will take a look at the book. I wish my spreadsheet/programming skills were better, but they are sadly lacking.
Re: Asset allocation
You are already very substantially tilted away from large caps and foreign stocks. How more intrigued would you like to be ?
Re: Asset allocation
I would recomend All About Asset Allocation (Ferri), its a good read.
“While money can’t buy happiness, it certainly lets you choose your own form of misery.” Groucho Marx
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Re: Asset allocation
"While some mutual fund founders chose to make billions, he chose to make a difference." |
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