Comments on: Mutual Fund and ETF Screening Requirements http://www.theskilledinvestor.com/wp/mutual-fund-and-etf-screening-requirements-27.htm Personal Financial Articles Mon, 15 Mar 2010 20:27:14 +0000 http://wordpress.org/?v=2.3.3 By: The Skilled Investor http://www.theskilledinvestor.com/wp/mutual-fund-and-etf-screening-requirements-27.htm#comment-12370 The Skilled Investor Fri, 01 Jun 2007 17:07:36 +0000 http://www.theskilledinvestor.com/wp/mutual-fund-and-etf-screening-requirements-27.htm#comment-12370 Nindi, Thank you for commenting. Concerning your points: 1) Loads are only a way to pay an advisor. They are an extremely expensive form of advisor compensation. See this article: <a href="http://www.theskilledinvestor.com/ss.item.244/can-you-really-get-free-and-objective-investment-advice-when-you-pay-investment-sales-loads-part-1.html" rel="nofollow">Can you really get free and objective investment advice, when you pay investment sales loads?</a> 2) I am not aware of any scientific studies that demonstrate that portfolio manager characteristics, such as manager tenure are predictive of performance. Cost is the only proven predictive variable. Low cost is better. <a href="http://www.theskilledinvestor.com/ss.category.2/controlling-investment-costs.html" rel="nofollow">See these 15 articles on "Controlling Investment Costs."</a> 3) Lower PE ratios are a value tilt to a portfolio. This is supported by the scientific finance literature. However, one needs to balance the investment costs of pursuing a value tilt versus just investing if the broadest index mutual fund or ETF with the lowest costs. The Skilled Investor Nindi,

Thank you for commenting.

Concerning your points:

1) Loads are only a way to pay an advisor. They are an extremely expensive form of advisor compensation. See this article: Can you really get free and objective investment advice, when you pay investment sales loads?

2) I am not aware of any scientific studies that demonstrate that portfolio manager characteristics, such as manager tenure are predictive of performance. Cost is the only proven predictive variable. Low cost is better. See these 15 articles on “Controlling Investment Costs.”

3) Lower PE ratios are a value tilt to a portfolio. This is supported by the scientific finance literature. However, one needs to balance the investment costs of pursuing a value tilt versus just investing if the broadest index mutual fund or ETF with the lowest costs.

The Skilled Investor

]]> By: Money Smart Life » Carnival of Investing - Super Bowl Edition http://www.theskilledinvestor.com/wp/mutual-fund-and-etf-screening-requirements-27.htm#comment-22 Money Smart Life » Carnival of Investing - Super Bowl Edition Mon, 05 Feb 2007 14:02:48 +0000 http://www.theskilledinvestor.com/wp/mutual-fund-and-etf-screening-requirements-27.htm#comment-22 [...] Fantasy Football No football season would be complete without a fantasy footall league to help you track and trade your favorite players. Having the right tools to analyze this year’s top picks can make or break the season. The same can be said about screeing tools for investing. Read about “seven scientifically based fund selection criteria and reports on the capabilities of free on-line website tools to do screens using these criteria.” The Skilled Investor presents On-line screening of mutual funds and ETFs: minimum requirements posted at THE SKILLED INVESTOR Blog. [...] […] Fantasy Football No football season would be complete without a fantasy footall league to help you track and trade your favorite players. Having the right tools to analyze this year’s top picks can make or break the season. The same can be said about screeing tools for investing. Read about “seven scientifically based fund selection criteria and reports on the capabilities of free on-line website tools to do screens using these criteria.” The Skilled Investor presents On-line screening of mutual funds and ETFs: minimum requirements posted at THE SKILLED INVESTOR Blog. […]

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