I’ve posted Entry #29 to my weekly Valuation-Informed Indexing column at the Value Walk site. It’s called Valuation-Informed Indexing Is Not the Same Thing As Tactical Asset Allocation.
Juicy Excerpt: The similarity is that both VII and TAA call for occasional allocation shifts. The big difference is in the thought process that goes into the decision-making process as to when to make those shifts and what sorts of shifts to make. The allocation shifts made by Valuation-Informed Indexers are not optional shifts made with the hope of gaining some short-term edge. They are mandatory shifts. They are made solely with long-term considerations in mind. They are strategic shifts, not tactical shifts.