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While diversification remains the cornerstone of modern portfolio theory, many diversifying investments followed the direction of the equity markets when they collapsed during the recent financial crisis. This led many investors to suspect that their asset allocation frameworks needed refining. An analysis suggests these investors may be right.

Successful investing is often seen as the ability to consistently and accurately make predictions about the economy, markets and specific securities. In reality, success comes less from predicting the future with blinding accuracy and more from selecting securities and vehicles that perform well when an investment thesis proves correct and perform ...

This historical study suggests that monthly rebalancing appears to have minimal or no benefit in terms of end-of-year portfolio values except in years of high volatility. A look at rebalancing a 60/40 portfolio either monthly or annually from 1960 through 2009 showed an average annual difference between the two strategies of only 8 basis points.

This comparison of ultra-short duration fixed income funds with money market and short-term bond funds helps investors understand the nuances of ultra-short duration funds and, thus, make an informed decision of whether to include these investments in their portfolios.

Like cost-benefit analysis in the for-profit world, social return on investment provides guidelines that can help charitable organizations to think more strategically about outcomes and show accountability. But if SROI is to be a successful tool, analysis indicates its principles need to be applied with greater rigor.

We believe emerging markets investment in significant size will be essential to achieving above average portfolio growth in equity markets, public or private. Currently, we believe a commitment to emerging markets should fall in the range of 25% to 30% of marketable equities and private equity.

Analysis shows the inflation hedging benefits of long-term investments in commodities, which have a low correlation over time with equities. Diversification with a broad basket of commodities is best to smooth out the volatilities of individual commodities, such as oil or gold.

In building emerging market allocations into a portfolio, investors should adopt a well-structured investment process, evaluate those allocations at the portfolio level, pursue constrained optimization techniques and use a risk model to continuously control their risk exposures.

It is interesting to note that more than 13% of equities now offer dividend yields in excess of the yield available on the average corporate bond. Could equities be a better source of income? While this is debatable, we think the discussion has merit and investors should be inclined to take more equity-like risk based on relative values.

Remain diversified within the fixed income sector, allocating assets to international and high-yield bonds where appropriate, for example, to help smooth investment performance. Opportunities exist for these sectors to perform comparatively better within the context of a rising U.S. interest rate environment.

Parents who are concerned about family harmony after their deaths are wise to address the issues of estate equalization as a key element of their estate and business planning. Most of the problems that would create disharmony among their children can be handled with careful thought and with wills, trusts and business agreements that clearly dictate...

For many entrepreneurs, the experience of selling their business may involve a loss of identity and purpose, despite the financial security that usually accompanies the sale. This paper addresses the personal challenges entrepreneurs face during the transition as well as issues created by a significant change in the nature of their wealth, from ill...

Family dynamics often play a critical role in the long-term success of family businesses, and women's relational and interpersonal skills tend to make them well-equipped to manage these issues. Effective leadership within the family business is, now more than ever, dependent on the inherent relational skills that a woman can bring to the busine...

A business transition plan should provide a good fit: for the business, for family members and for the owner. A transition road map also should provide clear instructions in the event of the owner's incapacitation or death – a sound reason to establish a plan sooner rather than later.

This paper addresses how inefficiencies may be exploited to help generate alpha. This viewpoint is developed from our assertion that outperformance requires strong fundamental research and insight by skilled managers, and looks at the methods by which alpha may be extracted under the umbrella topics of Concentration, Opacity (or lack of public inf...