What the Experts Say
Small funds, big payoff
In a search for top mutual-fund companies, don’t ignore the little guy, said Jonathan Burton in Marketwatch.com. With fewer assets under management, such firms are often in a better position to “ride bull runs and sidestep a bear’s swipe.” Among the top quartile of managers, 40 percent have less than $2 billion in total assets under management, according to research by Northern Trust, a large investment management firm. If you’re thinking of trusting your money to a boutique shop, make sure it has a “spotless record” with regulatory agencies and incentives tied to fund performance. Also, be wary of small funds that suddenly become popular. Rapid growth may overwhelm a sharpshooting firm, says Northern Trust’s Ted Krum. That may mean investing has taken a back seat to marketing.
THE WEEK'S AUDIOPHILE PODCASTS: LISTEN SMARTER
MOST POPULAR ON THE WEEK
- Why are so many elderly Asians killing themselves?
- What would a U.S.-Russia war look like
- Why I'm sick and tired of seeing naked women on HBO
- Driverless cars may be an environmental disaster
- Why Ted Cruz is the real-life Frank Underwood
- Why ABC threw its Bachelor under the bus
- Here's proof that Justin Bieber is just as spoiled as you always thought
- What would a U.S.-Russia war look like?
- Watch Zach Galifianakis get annoyed at President Obama on Between Two Ferns
- 4 easy ways to resolve life's toughest questions
Subscribe to the Week