Summary of Christopher M. Schelling's Better than Alpha

Download or read book Summary of Christopher M. Schelling's Better than Alpha written by Everest Media and published by Everest Media LLC. This book was released on 2022-03-02T07:00:00Z with total page 37 pages. Available in PDF, EPUB and Kindle. Book excerpt: Please note: This is a companion version & not the original book. Sample Book Insights: #1 The market capitalization of publicly traded US stocks is roughly $35 trillion. It is a marketplace dominated by giant investment management firms such as BlackRock, with $7. 4 trillion in assets under management, and the Vanguard Group, with $5. 3 trillion. #2 The Investment Company of America, which was founded by JBL in 1934, has averaged a 12. 0% annual net return since its inception. It has outperformed the SP 500 by 52 percent, and it has done even better in down years. #3 The Lovelace family has built the Capital Group into a great company, but it is certainly not the only one that has relied on valuation-based processes to generate excess returns over long periods of time. #4 The factors that define stock markets today were discovered by Professor Fama and his colleague Kenneth French, who introduced three common factors that were predictive of stock returns along with two for bonds.