Tracking AAII Stock Screens
Comments posted to “2011 Year-End Screening Review: A Difficult Year for Stocks and Strategies” by Wayne A. Thorp, CFA, in the January 2012 AAII Journal:
Please congratulate Wayne Thorp, CFA, on his excellent article on the 2011 Year-End Stock Screens. It’s well written, well presented and easy to grasp. Wayne’s contributions have always been excellent, and his style of writing makes even mind-boggling data and statistics easy to understand.
John Van Kirk
Wayne, great article—thanks. What applications do you use to pe
Britni from California
Wayne Thorp responds:
We use AAII’s Stock Investor Pro to backtest our stock screens. For information on the methods we follow to arrive at the performance figures we report, please refer to the FAQs section of the Stock Screens: www.aaii.com/stock-screens/faqs.
Financial Statement Enlightenment
Comment posted to “Introduction to Financial Statement Analysis” by Z. Joe Lan, January 2012 AAII Journal:
This article is business school accounting and finance 101 made simple. I find it very refreshing, especially on cash flow analysis and how all the other statements tie in together. Looking forward for the next article.
Roland Kyei Atupem, Boston, Mass.
Using AAII’s Guide to the Top Funds
Comment posted to “The Individual Investor’s Guide to The Top Mutual Funds 2012” by AAII staff, in the February 2012 AAII Journal:
Great wealth of data here. Will take some time to digest. One possible suggestion for the future: Could you put the “ticker” sysmbol in its own column? Thanks for all the work in putting this together!
Dave from Washington
AAII editors respond:
Ticker symbols are listed on their own column in the Expanded Fund Listings available for download in the online version of the article at www.aaii.com/journal/article/the-individual-investors-guide-to-the-top-mutual-funds-2012.
Mutual Funds Versus ETFs
Comments posted to “Choosing Between Mutual Funds and ETFs” by Charles Rotblut, CFA, in the February 2012 AAII Journal:
ETFs [exchange-traded funds] allow you to check the price during the day, and to place limit orders or to trade during the day. That way you can know the price that you pay or price that you get. With mutual funds, you don’t know the price during the day; you have to put in an order ahead of closing and get the closing price, which is unknown when the order is placed. Vanguard has several ETFs that are the same as their mutual funds; these allow you to choose either a mutual fund or ETF and get the same investment.
Kendal from California
You don’t have as much strike price control with a mutual fund, but you have to check to make sure you are choosing the right strike price when buying or selling an ETF, because net asset value may be over- or under-priced with ETFs. In the end, I wish I had created my company’s 401(k) plan with a company that allows ETFs within the 401(k) plan. Instead I went with Vanguard, which has some good mutual funds, but is not giving me the granular diversification I could get with ETFs. Vanguard has ETFs, but they can’t be purchased in the 401(k), only within the IRA or non-retirement brokerage accounts.
Indigo from California