Are vanguard's managers good stock-pickers or style-pickers?
Publication
, Journal Article
Reinker, KS; Tower, E
Published in: Journal of Portfolio Management
January 1, 2005
Jared Kizer's article in the Winter 2005 issue indicates for Vanguard's managed funds that the return to stock-picking skill is not enough to offset the additional transactions costs of a managed portfolio. Thus, the superior performance of Vanguard's managed portfolio was due entirely to its tendency to overweight small stocks and value stocks relative to the index portfolio during a period when stocks with these two characteristics outperformed the market. So, it is style-picking skill rather than stock-picking skill that leads to the superiority of the managed portfolio in this particular instance. Similarly, style-picking skill explains the lower risk for the managed portfolio.
Duke Scholars
Published In
Journal of Portfolio Management
DOI
ISSN
0095-4918
Publication Date
January 1, 2005
Volume
31
Issue
3
Related Subject Headings
- Finance
- 3502 Banking, finance and investment
- 1502 Banking, Finance and Investment
Citation
APA
Chicago
ICMJE
MLA
NLM
Reinker, K. S., & Tower, E. (2005). Are vanguard's managers good stock-pickers or style-pickers? Journal of Portfolio Management, 31(3). https://doi.org/10.3905/jpm.2005.500367
Reinker, K. S., and E. Tower. “Are vanguard's managers good stock-pickers or style-pickers?” Journal of Portfolio Management 31, no. 3 (January 1, 2005). https://doi.org/10.3905/jpm.2005.500367.
Reinker KS, Tower E. Are vanguard's managers good stock-pickers or style-pickers? Journal of Portfolio Management. 2005 Jan 1;31(3).
Reinker, K. S., and E. Tower. “Are vanguard's managers good stock-pickers or style-pickers?” Journal of Portfolio Management, vol. 31, no. 3, Jan. 2005. Scopus, doi:10.3905/jpm.2005.500367.
Reinker KS, Tower E. Are vanguard's managers good stock-pickers or style-pickers? Journal of Portfolio Management. 2005 Jan 1;31(3).
Published In
Journal of Portfolio Management
DOI
ISSN
0095-4918
Publication Date
January 1, 2005
Volume
31
Issue
3
Related Subject Headings
- Finance
- 3502 Banking, finance and investment
- 1502 Banking, Finance and Investment