For years, we’ve been sharing the results of Dimensional Fund Advisors’ annually updated “Mutual Fund Landscape” analysis. As we first expressed back in 2013, “This analysis of the US mutual fund industry performance casts doubt on the ability of investors to form a winning long-term strategy by picking outperforming funds based on past returns. It also raises questions about the effectiveness of investment strategies that attempt to add value by identifying mispriced securities.”
This is one message that bears repeating. Especially since, this year, somebody got creative over at Dimensional and produced an engaging video version. Check it out!
Speaking of Vanguard versus AQR, another frequently asked question we get here at Hill Investment Group is why we typically use Dimensional Fund Advisors instead of Vanguard for the core of our portfolio builds. Vanguard typically beats Dimensional in terms of raw fund expense ratios (i.e., how much the investor pays to fund management). And we often emphasize how important it is to manage costs. Shouldn’t that mean Vanguard is the obvious choice?
Our answer: Expense ratios are an important consideration, but they’re not the only one.
At HIG, our Investment Policy Committee (IPC) is tasked with remaining current on these sorts of comparisons. To supplement our own, independent analyses, we also keep an eye on the work of respected colleagues, such as the BAM ALLIANCE’s Chief Investment Officer Jared Kizer, CFA. As a former colleague, Jared graciously agreed to let us share his own recent research report here: “Comparing DFA- vs. Vanguard-Oriented Portfolios.”
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I found Jared’s analysis compelling, and I hope you do as well. Enjoy the read.
For years, Capital One® has been hiring outspoken celebrities like Samuel L. Jackson, Charles Barkley and Spike Lee to ask folks, “What’s in your wallet?” It’s a memorable ad campaign – and probably a successful one, as they run it every year during March Madness. But perhaps a more relevant question these days is, “What’s in your digital wallet?” Do you have the apps in place to manage your wealth, wherever you may roam?
Here’s a summary of the apps you’ll find in our own digital wallets here at Hill Investment Group:
HIG Wealth Access – A handy overview of your total wealth, including assets and liabilities such as home(s) and debt loads.
HIG Client Portal – A place to check your financial portfolio, as well as to securely store critical electronic documents. HIG’s client portal includes accounts we manage as well as those held elsewhere (such as in a client’s company retirement plan).
Custodian Login – Custodian account logins (for us, that’s Schwab), so you can deposit checks, initiate other financial transactions, and review account information.
Banking/Credit Cards – Bank and credit card account logins, so you can keep an eye on your spending and saving activities.
One of our goals is to enable all clients to Take the Long View® by having easy access to their information. Please reach out to us if we can answer additional questions about what’s in your digital wallet or we can point you in the right direction for your set-up.
For years, Capital One® has been hiring outspoken celebrities like Samuel L. Jackson, Charles Barkley and Spike Lee to ask folks, “What’s in your wallet?” It’s a memorable ad campaign – and probably a successful one, as they run it every year during March Madness. But perhaps a more relevant question these days is, “What’s in your digital wallet?” Do you have the apps in place to manage your wealth, wherever you may roam?
Here’s a summary of the apps you’ll find in our own digital wallets here at Hill Investment Group:
HIG Wealth Access – A handy overview of your total wealth, including assets and liabilities such as home(s) and debt loads.
HIG Client Portal – A place to check your financial portfolio, as well as to securely store critical electronic documents. HIG’s client portal includes accounts we manage as well as those held elsewhere (such as in a client’s company retirement plan).
Custodian Login – Custodian account logins (for us, that’s Schwab), so you can deposit checks, initiate other financial transactions, and review account information.
Banking/Credit Cards – Bank and credit card account logins, so you can keep an eye on your spending and saving activities.
One of our goals is to enable all clients to Take the Long View® by having easy access to their information. Please reach out to us if we can answer additional questions about what’s in your digital wallet or we can point you in the right direction for your set-up.