Start-up, private companies are beginning to offer Read the rest of this entry »

As in most choices, there are plusses and minuses to an index creation.  Apple represents about 3% of the S&P 500 as a market-cap weighted index.  If, however, the S&P 500 Index was an equally-weighted index it would only represent 0.2%.  Big difference.  Apple would no longer “drive” the index, reducing one’s exposure to large cap stocks.

The equally-weighted index would, however, be subject to the volatility of smaller cap stocks.  Either approach – in different times – would outperform the other, of course.    From a practical perspective, however, the fees related to the equally-weighted indices have been greater than market cap weighted indices.  Fund managers must constantly monitor and rebalance the fund to keep the equal weighting, which seems to tilt in favor of market-cap weighted indices.

President Obama’s 2014 budget proposes a cap on what Americans can save – in their Read the rest of this entry »

Small cap stocks have performed well in 2013, just as they have since the market bottom in March 2009.  In fact, they have Read the rest of this entry »

AAPL’s stock has not performed well lately.  GOOG’s, on the other hand, has.  Bottom line, it is tough Read the rest of this entry »

The stock market is at or near all-time highs….and the march upward Read the rest of this entry »

Stock markets are at or near all-time highs.  Hurrah, for now.  The VIX – or fear/volatility index – is also at or near Read the rest of this entry »