Whether they go by such names as “unconstrained,” “tactical asset allocation,” “absolute return,” or “go anywhere,” Wall Street touts the advantages of funds that have the freedom to shift asset allocations to wherever they see the best opportunities. It certainly sounds appealing. And investors must believe these funds have advantages as the number of such funds grew from 61 in January 1998 to 110 as of June 30, 2013, according toVanguard’s January 2014 paper “Broader opportunities, same limited results: An analysis of go-anywhere funds. And total assets for this group of funds increased six fold, from about $60 billion to $356 billion over the same period.
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