Alpha Architect Research Blog

The Newest Alpha Architect Research and Insights


How to Explain Momentum with Rational Investors — It’s complicated.

A recent theory paper from researchers at NYU and Rutgers attempts to explain the empirical evidence on stock serial correlation (e.g., short-term reversal, long-term stock reversal, and classic stock momentum). The interesting wrinkle with this paper is the authors don't need to assume irrational ...

Our Introduction to Alpha Architect Video

The video maps out our mission, our core beliefs, and explains what we are trying to accomplish in the asset management business ...

Greatest Stock Picker of All Time: Buffett or Lynch?

Who is the greatest stock picker of all time? Many investors knee-jerk reaction is Warren Buffett. Understandable response, but is that the answer? Maybe not... So who is the greatest investor of all time? A few years ago, I asked this ...

Active Versus Passive for the US and the Canadian Markets

We all hear about the massive move away from active to passive in the US market. We also hear arguments that passive may eat the world and that active management is a zero sum game (seems like a reasonable hypothesis, ...

Factor Investing is More Art, and Less Science

Albert Einstein is reported to have said the following: The more I learn, the more I realize how much I don’t know. I can relate. Having studied finance for a long time (PhD, professor, books, articles, etc.), I think I ...

DIY Asset Allocation Weights: February 2017

Do-It-Yourself tactical asset allocation weights are posted. Create a free account here if you want to access the site directly. Sign in here if you already have a free account. Strategy Date Domestic Value Domestic Mom Int'l. Value Int'l. Mom Real Estate Commodities ...

Berkin and Swedroe’s Factor Investing Book

Well, I was midway through a formal book review on Larry and Andrew's new book, "Your Complete Guide to Factor-Based Investing," when I noticed that the team over at GestaltU already wrote the review I was going to write -- ...

Shooting Yourself in the Foot with Socially Responsible Investing

Socially responsible investing (SRI). Environmental, Social, and Governance investing (ESG). Impact investing...and so on... These socially responsible investing concepts can be roughly described as portfolio strategies that allocate investment dollars based on ethical, social, sustainability, or other factors. This form of ...

Treasury Bills Outperform Most Stocks — Say What???

Each morning we peruse a variety of research sites to see if there is anything exciting, new, and intriguing. Rarely does one find something that triggers a knee-jerk reaction like a recent paper by Hendrik Bessembinder. The title almost FORCES ...

1042 QRP: Weighing the High Cost of Floating Rate Notes

Weighing the High Costs of Floating Rate Notes as 1042 QRP
This cost-benefit analysis of floating rate notes as a 1042 QRP asset class will open your eyes to their high costs, ongoing fees and sub-optimal attributes ...

Performance figures contained herein are hypothetical, unaudited and prepared by Alpha Architect, LLC; hypothetical results are intended for illustrative purposes only. Past performance is not indicative of future results, which may vary. There is a risk of substantial loss associated with trading stocks, commodities, futures, options and other financial instruments. Please click Full Disclaimer for additional disclosures.