While in the short run any number of variables can and do move stock prices, over the long run, corporate earnings drive returns. The price investors pay for that stream of earnings is equally as important. While value is generally not a reliable short-term timing indicator, valuations can inform secular viewpoints toward various asset classes. …

It is that wonderful time of year again where mutual fund capital gain distributions are compared to lumps of coal in investor’s stockings. A rebounding stock market and another year of outflows from actively managed mutual funds means capital gains distributions for remaining shareholders. Traditional mutual funds face this problem due to the fact that …