The first two columns in this series by Brad Steiman offered answers to frequently asked questions about active vs. passive investing, and explored a general set of ideas around market efficiency. The main purpose has been to help build a framework for educating clients on the debate.
There are other good reasons to approach the topic [...]

The statement that a money manager or broker cannot, with consistency, outperform “the market” is cause for a fight with most Wall Street types. So, I guess the first thing we should do is ask and answer, “Is this true that money managers cannot consistently outperform “the market”?
Let’s begin with some factual data and the [...]

Widely cited as the father of the efficient market hypothesis and one of its strongest advocates, Professor Eugene Fama examines his groundbreaking idea in the context of the 2008 and 2009 markets. He outlines the benefits and limitations of efficient markets for everyday investors and is interviewed by the Chairman of Dimensional Fund Advisors in [...]

Anyone who has been to a fortune teller who reads tea leaves will tell you that if you stare at the patterns long enough, the remnants in your cup can magically begin to look like the vision of the future the fortune teller is foretelling. In the realm of investing, the same is true with [...]

Eugene Fama, The Robert R. McCormick Distinguished Service Professor of Finance at the University of Chicago Booth School of Business, sat down with Dean Edward Snyder and an audience at the Chicago Booth Management Conference for an informal discussion about financial markets. He discussed common [...]