Thoughts and musings from my desk to you.

Tax Efficiency: Vast Benefits Easily Overlooked

Traditional investment advice normally focuses on allocation into buckets. These buckets could be traditional mutual funds, or ETFs, or managed accounts holding individual stocks. In most cases, the allocation buckets are tactically rearranged, and the securities within mutual funds and managed accounts are also actively rearranged.

Considering that studies like the SPIVA Report from Standard & Poor’s routinely show that the vast majority of active managers underperform their benchmarks over any discernable timeframe, it makes you wonder what master “traditional advice” is serving.