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Endowment Wealth Management In the News: Tactical Allocation Funds Prove Market Timing Is Just Hype

By October 10, 2014No Comments

October 10, 2014

ETF Model Solutions Chief Investment Officer, Prateek Mehrotra was published in an article on Seeking Alpha today discussing the poor results that tactical mutual fund managers have delivered to their investors.  The article, titled Tactical Allocation Funds Prove Market Timing Is Just Hype  discusses that, in general, because of high fees and poor returns, investors would be better served by maintaining a pre-set allocation and periodically re-balancing.  Quoting Morningstar, “only 10 tactical allocation funds have managed to beat moderate allocation funds in a five year basis, with not a single one beating the S&P over that same time period.”

To read the entire article, as well as other content written by Prateek, visit his Seeking Alpha page at seekingalpha.com and click on “All Articles” link in the left margin located under his picture.

 

Prateek Mehrotra, CIO of ETF Model Solutions