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Post by chang on Feb 21, 2023 12:25:26 GMT
A new article from the well-known Ed Tower of Duke Univ.: Vanguard's Active Funds Beat their Benchmarks
Click "Download This Paper" to get it. Abstract
Jack Bogle, Vanguard's founder, argued that high expenses and turnover doom mutual funds to inferior returns. This is generally true. In this paper I explore whether this is also true of Vanguard's actively managed mutual funds. Much of Vanguard's reputation rests on its index funds. Should its Active funds get equal or even greater respect? I find that
• Vanguard's active funds on average over-return their benchmarks.
• Vanguard's active funds that act like passive funds with below median expense ratios and turnover have higher excess returns than those with above median expense ratios and turnover.
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Post by chrisjen17 on Feb 24, 2023 4:07:59 GMT
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