AlphaBet ETFs

/AlphaBet ETFs

AlphaBet ETFs

By | 2017-08-18T17:10:40+00:00 December 19th, 2013|Uncategorized|2 Comments

Vanguard’s attempt at satire.

Vanguard is expanding its ETF lineup with the introduction of the AlphaBet series of ETFs, an innovation in the ever-growing ETF space. Together these 26 portfolios, based on the initial letter of the ticker symbol of each company in the Standard & Poor’s 500 Index, provide investors with U.S. equity market beta building blocks by covering the index from A to Z.

http://vanguardadvisorsblog.com/2013/12/04/introducing-vanguards-new-alphabet-etfs/

How much alpha can you generate by spelling your name?

I tried W-E-S and earned an average of around 18% from 1994 to 2013.

Woohoo.

RAFI has some thoughts on the subject as well: http://www.researchaffiliates.com/Our%20Ideas/Insights/Fundamentals/Pages/F_2011_Nov_Alternative_Beta.aspx


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About the Author:

Wes Gray
After serving as a Captain in the United States Marine Corps, Dr. Gray earned a PhD, and worked as a finance professor at Drexel University. Dr. Gray’s interest in bridging the research gap between academia and industry led him to found Alpha Architect, an asset management that delivers affordable active exposures for tax-sensitive investors. Dr. Gray has published four books and a number of academic articles. Wes is a regular contributor to multiple industry outlets, to include the following: Wall Street Journal, Forbes, ETF.com, and the CFA Institute. Dr. Gray earned an MBA and a PhD in finance from the University of Chicago and graduated magna cum laude with a BS from The Wharton School of the University of Pennsylvania.