Muscular Investing

August 2019

Muscular Investing

Vanguard Finds a Few Equity Managers Who Soar, But There's a Catch

by Brian Livingston

In a study, the Vanguard Group discovered a tiny minority of mutual-fund money managers who outperformed their benchmarks over a recent 15-year period. Unfortunately for investors, following one of those managers would have meant an agonizing wait. Figure 1... Read More 

Muscular Investing

The Best Strategies Lag the S&P 500 for 5+ Years

by Brian Livingston

As investors, we constantly hear, "Beat the market! Beat the market!" But trying to beat the market every month or year is not the way to win the race. • The most successful investment strategies actually TRAIL the S&P 500 for five years or longer. Figure 1... Read More 

Muscular Investing

Asset Rotation Protects You Against Losses, Easily and Simply

by Brian Livingston

During periods of market shocks, your money should be in something other than equities. But exactly what, without using your emotions or market timing? • With 21st-century tools, we can now use low-cost index funds to make a safe port in any storm. Figure 1... Read More 

Muscular Investing

How Volatility Clustering Exposes Bull and Bear Markets

by Brian Livingston

When the market has ‘wild days' — ups and downs of more than 3% in a single session — it isn't good. Wild days are associated with market downtrends. • Obsolete financial formulas assumed investments carried risks that were stable from year to year... Read More 

Muscular Investing

Benoit Mandelbrot, Father of Fractals, Explains Why Volatility is Not Your Friend

by Brian Livingston

Many investors think big up and down moves in the market are good for profits. Actually, crazy days are indicators of corrections and bear markets... Read More