Princeton Asset

Tag: portfolio

  • The Illusion of Neutrality in Total Market Portfolios: Three Engines Driving Returns

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    Most investors think portfolio construction is mainly about asset allocation. But there is another layer hiding underneath: The mechanism that determines how portfolio weights evolve over time. Two portfolios can own nearly identical assets and still produce materially different long-term outcomes because they use different “weight update engines.” After running long-horizon backtests comparing Vanguard Total…

  • The Hidden Cost of “Just Buy VT”

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    For years, the default advice for global equity investing has been simple: buy a total-world index fund and leave it alone. Funds like Vanguard Total World Stock Index Fund ETF Shares are designed to provide broad global diversification in a single package. But there is an important question hiding underneath that simplicity: Does owning the…