Are My Investment Advisor’s Cookie Cutter Asset Mix Recommendations Hurting My Performance?

Most retail clients are very aware that the asset mix is the single most important variable in investment performance, but they would be surprised to learn that their advisors largely do not make proactive investment decisions. Active asset mix investment decisions based on projected returns for each asset class are the exception not the rule. The compliance departments have become so important that they frequently override any actual active asset mix decisions that are made. The analogy is...