T. Rowe Price Mid-Cap Growth Advisor Fund (PAMCX) a Zacks Rank #3 (Hold) was incepted in June 1992 and is managed by T. Rowe Price Associates
People's United Financial Inc. (PBCT) is scheduled to report third-quarter 2016 results on Thursday, Oct 20.
M&T Bank Corporation (MTB) is scheduled to report its third-quarter 2016 earnings on Wednesday, Oct 19, 2016, before the market opens.
T. Rowe (TROW) is seeing solid earnings estimate revision activity, and is in great company from a Zacks Industry Rank perspective.
Taxable bond funds registered 3 consecutive weeks of inflows making it a wise investment option.
T. Rowe Price Capital Appreciation Advisor (PACLX) a Zacks Rank #1 (Strong Buy) invests at least 50% of its total assets in stocks
The Dog Ate My Planet - David Leonhardt Advanced Economies and Related Policy Debates - Olivier Blanchard Blanchard Discusses Policy Tools for Low-Growth Economies (video) - PIIE Stop pretending that an economy can be controlled - OECD Insights Patents as...
Below we share with you four top-rated T. Rowe Price mutual funds. Each has a Zacks Mutual Fund Rank #1 (Strong Buy)
Some of the best growth stories can be found in the emerging markets, while the asset class also looks cheap.
Mid-cap growth mutual funds are for those investors who emphasize on investing in securities that offer growth at lesser risk
According to an article in Morningstar, the Illinois State pension plan has fired all active managers and will make no further effort to "beat the market." The Illinois State Board of Investment terminated its relationship with T. Rowe Price, Fidelity, Invest and four other fund families. As a consequence, $2.8 billion of assets in the $4 billion fund will now be managed passively by Vanguard and Northern Trust. Outside management fees will be reduced from more than $10 million to $1 million. I have one question for the Board: What took you so long? Pension plans typically underperform On July 18, 2013, I wrote a blog for U.S. News. I discussed the sorry state of pension plan management. Most plans pay hefty fees to "consultants" who advise them which actively managed funds to buy and sell. These consultants usually ignore the data demonstrating most of these funds will underperform a comparable index fund over almost all time periods measured. If the consultants advised their pension plan clients to invest in low cost index funds, they would be out of a job. An exhaustive analysis of the performance of state pension plans found all of the plans studied underperformed a passively managed, index based portfolio. On the surface, this data is surprising. Given the huge amount of their assets, pension plans can afford to hire the most qualified portfolio managers, with the most impressive track records. They can also retain the best (and most expensive!) consultants to help them select funds to include in their portfolios and to do ongoing due diligence on the performance of these funds. Their large size also gives them leverage to negotiate lower fees than those available to the general public. Despite these advantages, their track record is dismal. The odds are daunting The reason for the underperformance of pension plans is not surprising once you understand the data. According to an analysis provided by Dimensional Fund Advisors, for the 15-year period ending December 31, 2015, only 17 percent of stock mutual funds and 7 percent of bond mutual funds survived and beat their index. Even if the consultants were successful in overcoming these daunting odds of picking a "winning fund", the possibility of that fund continuing to outperform is not good. Dimensional found that, of the 541 "winning" stock funds for the period 2001-2010, only 37 percent of them continued to "win" for the period 2011-2015. Fixed income funds had a better track record of outperformance. Of the 7 percent that were "winners", 51 percent continued to outperform. A primary reason for the underperformance of most mutual funds is high costs and excessive turnover. Both are hallmarks of actively managed funds. The takeaway for investors You don't have the resources of large pension plans. Even if you did, judging by their track record, you would be better off in index funds. You do have something they don't: Your investment decisions aren't influenced by politics and cronyism. You can invest based on a dispassionate review of the data. Once you understand the hype about active management is part of a well-oiled scheme to enrich consultants, brokers, and others who tell you they can reliably "beat the market", your path to retirement with dignity will become much more clear. Isn't it time to follow the lead of the Illinois Pension Plan and reject active management in all its forms, including hedge funds and other alternative investments? The views of the author are his alone. He is not affiliated with any broker, fund manager or advisory firm. Any data, information and content on this blog is for information purposes only and should not be construed as an offer of advisory services. -- This feed and its contents are the property of The Huffington Post, and use is subject to our terms. It may be used for personal consumption, but may not be distributed on a website.
By Arielle O'Shea I have a 2-year-old, and like most parents, I feel pretty sure my child is a genius in the making. I frequently whisper things like, "How is he so smart?" to my husband, who whispers back things like, "And so athletic!" He's also shown some real promise as an artist -- specifically, gluing things to construction paper -- and come bedtime, his acting skills could easily earn him an Oscar. My point, other than to realize a mom's dream of bragging about her kid on the internet, is this: I hope he'll go to college. I want him to have the freedom to pursue all of his interests. But I'd also like the freedom to pursue my interests, one of which is retirement at a reasonable age. I'm not alone here. It's a question many parents ask: Should we save for college or for retirement? And while any financial planner would say that the right choice is crystal clear -- retirement is the priority, because there are student loans and other sources of funding for college -- it feels at odds with the instinct to put your kid first. But here's the thing we often forget: It doesn't have to be all or nothing. Anything you save for college reduces the need for student loans. There's no reason you can't put the bulk of your efforts into retirement while still taking steps -- small as they may be -- to build a pot of money for college, too. Here's how to do that. Use the right accounts The first thing on every saver's agenda should be a 401(k) with matching dollars, if your employer offers one. But once you've met that match, you're looking at a few account choices. You can continue saving for retirement in that 401(k). You can turn your efforts to college with a 529 plan, which allows your money to grow tax-free if it's used for education expenses. Or you can straddle both goals with a Roth or traditional IRA. Both of these are tax-advantaged retirement accounts, which means if you don't have a 401(k), they're the next-best option anyway. But if you're also juggling college, IRAs allow distributions for qualified education expenses without penalty. The Roth IRA has even greater flexibility: Because you've already paid taxes on the contributions, you can remove those (but not investment earnings) at any time. My suggestion: Calculate how much you need to be saving for retirement, then try to work toward that goal using a combination of a 401(k) and a Roth IRA, if you're eligible. In the meantime, open a 529, even if you can't yet fund it regularly -- some have no minimum or a minimum as low as $25. Look for other sources of 529 contributions In an ideal world, you'd be able to make regular, automatic contributions to the 529. In this world, you should take a little help where you can get it. Programs like Upromise and a credit card that deposits rewards into the account are a good start. (This assumes you don't carry a balance, in which case the interest will wipe out those rewards and then some.) Then politely direct family members toward your 529 -- many allow third-party contributions for this reason -- when they ask what your kid wants for the next holiday. This has the added bonus of limiting the number of toys that come into your home. If you've ever been stuck in a car with a singing truck, you know exactly how valuable that is. Turn daycare bills into college savings I know firsthand that good childcare is worth every cent, but there are a lot of cents involved. I expect my bank account and I will both do a little jig when my son is old enough to start public school. If you're also looking forward to that day, plan to use at least some of the money you're no longer spending on daycare or preschool to pad that 529: A contribution of just $300 a month for 13 years could turn into more than $70,000 at a 6% return, according to NerdWallet's compound interest calculator, even with that slightly late start. Prep your kids for their reality According to a survey from T. Rowe Price, while 62% of kids expect their parents to cover the cost of whatever college they choose, only 12% of parents said they'll be able to pay the entire cost of college. That disconnect isn't going to work out well for either party. I definitely don't remember thanking my parents for making it clear they weren't footing the bill for college, but in hindsight, I would thank them, and I plan to take the same approach with my son. The earlier you can start managing expectations, the better -- not only because your kid can tailor his or her college dreams to your budget or get comfortable with the idea of student loans, but because pursuing scholarships can provide a powerful motivation for getting good grades. The article, 'How to Save for College Without Sacrificing Retirement' originally appeared on NerdWallet. Arielle O'Shea is a staff writer at NerdWallet, a personal finance website. Email: [email protected] Twitter: @arioshea. -- This feed and its contents are the property of The Huffington Post, and use is subject to our terms. It may be used for personal consumption, but may not be distributed on a website.
Retirement planning can be overwhelming at times. That’s why it can be helpful to take advantage of the many retirement tools that are available.
By Lee Sun, Harvard Business School Class of '17 & Harbus Contributing Writer The allure of Silicon Valley has grown in the eyes of HBS graduates since the Financial Crisis, and it is not surprising that more and more HBS'ers are leaving school to join start-ups. The MBA curriculum has tilted in the same direction although the shift of FIELD 3 back into EC year may signal a change. But why join one start-up when you can invest in many? Why bet your post-MBA career immediately on the success of an underdeveloped idea, when you can diversify your risk by betting on many different ideas? I knew very little about growth investing so I went to interview the master. Henry Ellenbogen (HBS '98) was coined by Bloomberg as the "man who taught mutual funds how to invest in startups." Henry runs the New Horizons Fund at T. Rowe Price and invests in small, rapidly growing companies. His notable investments include Twitter, Netflix, and Work Day. You have described growth investing as a complex problem, not a complicated problem, can you elaborate? There is a difference between complex and complicated problems. Complicated systems are determinate, which means it is possible to clearly predict how changing a few inputs would affect the whole system. The car engine is a great example: once you have figured out the complicated mechanics, you know how it works. Complex problems, on the other hand, are indeterminate. Think of a chess game: each move leads to a new set of many potential responses. Growth investing is a complex problem because we are grappling with industries and companies that are on the forefront of change. We must interpret a continuous flow of new and often surprising data points. How do you best tackle this complex problem? Financial markets are made of people and machines, [and] people tend to copy what works. Market prices reflect people's assessment of current information but also historical information. The real world is very dynamic. Markets are very good discounting the past, but not discounting the future. Growth investing, either in early stage growth or durable growth, is inherently investing in sectors that are undergoing a lot of change. The companies themselves are also undergoing a lot of change. We study the underlying forces of change in great detail to make sure we approach each investment with the right framework. Take consumer businesses as an example: we need to look for companies that can understand and serve the needs of the millennial generation. What do you think is unique about the millennial generation? Consumer investing is behavioral. It is constantly changing, and social media is very important to the millennial generation. It is hard to know how to keep them loyal. Brands are leveraging paid media and the message itself is now more organic. Consistent traits and tastes are changing relatively quickly. If you study the past, retail investments are replication stories. Think of Starbucks and Chipotle: these companies perfect a box and then roll it out across the country. The key to success was to replicate with little deviation. With the millennial generation, retail companies are seeking for subscribers rather than "transactors." Millennials are not easily loyal to traditional brands like Coca Cola, but they can be loyal to brands that satisfy their own preferences. When identifying the companies that will dictate how the next generation spends its time and money, what factors are most important to you? What signals give you confidence that such companies will have a strong Act II following their Act I? Only a few companies ever get to a $1 billion valuation. Powerful Act 1 companies tend to have a large Target Addressable Market, great unit economics, and a management team that can get to a good scale. Netflix is a great example of having a powerful Act I and a strong Act II. We helped to recapitalize Netflix as it made its transition from DVD rentals to subscription content. We were comfortable [with] the likelihood that the company can successfully transform its business model. Netflix was an early leader with a sizeable customer base. The management team is strong and intellectually curious. The company tends to play offense instead of defense. The competitor set was known (e.g., HBO, Amazon) and it was hard for the industry to be disrupted from the bottom. Simplistically speaking, growth investing requires identifying great companies and having the patience to hold onto them. Are you ever tempted to trade through short-term volatility? I took over the New Horizons Fund just before it turned 50. The return of the fund was mostly contributed by 30 stocks. If one of the PMs did not sell out of Walmart, it would have been as big as the whole fund today. The collective decisions of everyone are just as big as the decision to sell Walmart. This shows that we need to take advantage of compounding. We must remain true to a larger mission of strategic moves rather than constantly make tactical trades. On a more personal note, what was your most memorable moment at HBS? The most memorable would have to be the first few mini classes at the start of RC year. I remember being introduced to the case method, and the rapid fire of new concepts and new people definitely raised my anxiety level. For someone who did not come from a business background, I still recall The Beer Game to this day. What is the most impactful part of HBS? There are a lot of similarities between what I do today and what I learned at HBS. What you learn at HBS - there is a blocking and tackling of the case, and the analysis, but there are always one or two things that really matter. You have to learn the basics first, then learn to quickly identify the one or two derivative factors that matter the most. I continue to practice and refine this skill on a daily basis. We understand that you are a very busy man. If now you suddenly get one more hour every day, how would you use it apart from work? I'm pretty good at managing my time. Twice a year, I get away from the office to review my time management plan. Specifically, I think about how much time my team is allocating its time. For example, early stage growth vs. durable growth; meeting with boards vs. reading and thinking. It is never perfect, but it is usually pretty good. I'm trying to spend incrementally more time on quiet reflection. A couple of times a week, I get up early and write, about any topic. I really enjoyed carving out time to collate ideas - to do hard thinking. Class of 1998 Section I produced more than 20 CEOs and founders of hot startups. If you did not become an investor, what would you have rather done? I have always wanted to be an investor, but I would say investing can be viewed as an expression of the concepts you learn in science. Investing is about finding balance. I would argue political tensions - Europe or the US, is a reflection of imbalance; there has been too much focus on wealth creation. When I am searching for companies that will define the next generation, I firstly check for balance. When you first joined T. Rowe Price, what surprised you the most about the firm? How little structure there was - I decided how to spend my own time. A key part of this job is coming out with my own game plan, and allocating time accordingly. You have to differentiate yourself in order to lead to superior returns. So what do you do to differentiate yourself? One of the things that I study a lot is how the human brain works. Investing requires you to maintain a mental balance. Great investors can control their emotions. Take public market investing as an example: every morning I come to work, I am flooded with so much news and so many different price points that securities can transact at. You need to be able to detect the subtle signals through the market noises. This is counter to how the human brain is wired. I fundamentally do not believe in efficient markets, the human brain is emotional. Thus I spend a lot of time trying to understand how the human brain works. What are your favorite part of Baltimore? Baltimore is a great city. Within a 45 minute driving radius of the office, you can have any type of living environment you want. You can live near the water, you can live on a farm, or you can live in Washington D.C. Baltimore really is a unique place that caters to all tastes. I have learned a lot today, thank you so much for your time, I hope to see you back on campus soon. As I was about to exit Henry's office, I noticed his class card is actually placed right above his computer screen... __________________________ Lee Sun (HBS '17), is a new writer aspiring to become an amateur financial news reporter. Starting out his career in a software start-up, then having a taste of engineering, investment banking, consulting and investment management, Lee is pursuing his passion for investing by interviewing top investors. -- This feed and its contents are the property of The Huffington Post, and use is subject to our terms. It may be used for personal consumption, but may not be distributed on a website.
Here is a look at three major cloud computing deals of recent times.
T. Rowe Price Group, Inc. (TROW)'s organic growth and diverse business models remain the company's key strengths. However, its asset management business is undergoing cyclical pressure in the current low rate environment.
T. Rowe Price Personal Strategy Income (PRSIX) a Zacks Rank #1 (Strong Buy) in July 1994 and is managed by T. Rowe Price Associates.
Scofield: Textron в 2007 году приобрела AAI Corporation. Bit Defender (BD) в 2007 году вышла на российский рынок. Т. В.: BD я уже упоминала в связи с обнаружением вредоносной программы в компьютерах киевского правительства, основанной на программе Bit Defender. Мифические «Русские хакеры» тогда помогли в получении вполне реального многомиллионного контракта ее материнской компанией SoftWin.