This is a summary of links featured on Quantocracy on Thursday, 12/15/2016. To see our most recent links, visit the Quant Mashup. Read on readers!
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The Price Is Wrong [Basis Pointing]In this piece, we compare U.S. equity mutual funds annual expenses to our estimate of their potential future pre-fee excess returns. We demonstrate that many funds are priced to failtheir fees approach or exceed their potential future pre-fee excess returns. Whereas investors might have tolerated overpriced funds like these in the past, theyre unlikely to do so in the future. Given this,