The Market Has No Memory – David Booth

By David Booth Executive Chairman and Founder DFA   I have worked in finance for over 50 years, and it seems that every January the same thing happens. Lots of folks look back at last year’s performance to draw conclusions they can use to predict what markets will do in the year to come. I don’t…
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DFA – Hindsight Is 20/20. Foresight Isn’t

Hindsight Is 20/20. Foresight Isn’t   12/2/19 The year 2019 served up many examples of the unpredictability of markets. Interest rates that US policy makers expected to rise fell instead. American consumers’ confidence weakened as the year began,1 and news headlines broadcast fears of an economic slowdown. But investors who moved onto the sidelines may have…
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Understanding Employee Stock Programs (ESOP)

How an Employee Stock Ownership Plan (ESOP) Works By NCEO.org   ESOPs Provide a Variety of Significant Tax Benefits for Companies and Their Owners. ESOP Rules Are Designed to Assure the Plans Benefit Employees Fairly and Broadly Employee ownership can be accomplished in a variety of ways. Employees can buy stock directly, be given it…
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DFA – IPOs: Profiles Are High. What About Returns?

Initial public offerings (IPOs) often attract media and investor attention. New Dimensional research reveals some of the challenges IPO investors face.   Initial public offerings (IPOs) often attract initial public interest—especially when familiar brands become broadly available to investors for the first time. In recent months, investors have had the opportunity to buy shares of ride‑hailing networks Uber…
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Timing Isn’t Everything – DFA

The lure of trying to time the market may tempt even long-term investors. But outguessing markets isn’t as straightforward as it sounds. Over the course of a summer, it’s not unusual for the stock market to be a topic of conversation at barbecues or other social gatherings. A neighbor or relative might ask about which…
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