Uh, Is The Federal Reserve Now Listening to … Twitter?
Federal Reserve analysts have published a paper describing what they call the Twitter Financial Sentiment Index, or TFSI.
Morningstar: When Direct Indexing Truly Pays
(Morningstar) Direct indexing consists of sampling the stocks of an equity index directly, rather than through a fund. One reason to index directly is to implement shareholder preferences, such as environmental, social, and governance factors. However, as many index funds also incorporate such preferences while being easier to implement, and the expected payoff for indulging one’s personal inclinations is exactly zero, this motivation seems unappealing.
Customize Portfolios in a Tax-Efficient Way Through Direct Indexing
(Yahoo) There are a few ways to diversify an overly concentrated portfolio. Equity derivative structures is one method. Another is through exchange traded funds. Equity collars is another option. But the most tax-efficient way for advisors to customize their clients’ portfolios is through direct indexing.
How Direct Indexing Actually Works
Direct indexing is an investing strategy that involves purchasing the components of an index directly. The approach has typically been reserved for investors with sizable portfolios, such as institutions or high-net-worth individuals, but the introduction of zero-commission trading and fractional shares makes direct indexing accessible to more people these days.
Stock Investors Are on Notice After Wall Street’s Fear Gauge Jumps
From wrong-way calls on bonds to Big Tech and the economy, it’s been an awful year for conventional wisdom.