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I have to laugh at "well-managed" portfolio. That's hysterical, in fact I'm still laughing. I might even wake up in the middle of the night and laugh. Silly, a

I have to laugh at "well-managed" portfolio. That's hysterical, in fact I'm still laughing. I might even wake up in the middle of the night and laugh. Silly, active managed portfolios never beat their benchmarks over the long run. Anybody in the financial industry knows that... and index fund are only good till that strategy doesn't work anymore.

wayn3 10y ago
"your investment strategy only works until it doesn't work anymore" say what?
- chad_strategic 10y ago
  Black Swan.
morgante 10y ago
Err, what? I'm not sure where you got the idea that I'm actively managing my portfolio. The vast majority of my money is in index funds. In my view, a well-managed portfolio is one which aims to perform at market and no better or worse. > index fund are only good till that strategy doesn't work anymore. The day that index funds cease to be the optimal investment strategy (for most individuals) is the day that stocks overall have stopped being a viable investment strategy. Obviously you're just arrogantly trying to make assumptions instead of asking questions.
- tiatia 10y ago
  >> index fund are only good till that strategy doesn't work anymore. > The day that index funds cease to be the optimal > investment strategy (for most individuals) is the day > that stocks overall have stopped being a viable > investment strategy. I believe that Index funds are a very good investment strategy. But before you make condescending remarks about the previous poster, you should read up a little bit. Index funds HAVE problems, especially if too many people use them to invest. http://www.nytimes.com/2015/10/11/business/mutfund/the-ease-of-index-funds-comes-with-risk.html?_r=0 http://www.nytimes.com/2015/10/11/business/mutfund/the-ease-...
  - chad_strategic 10y ago
    See above. No kidding. My point exactly.
- chad_strategic 10y ago
  >>> The day that index funds cease to be the optimal investment strategy (for most individuals) is the day that stocks overall have stopped being a viable investment strategy. Don't worry the day will come. ;) It's called a black swan. I'm not arrogant, I'm just well educated and a student of the market. If you study the market long enough you will learn it's nothing more than just a big casino run by the federal reserve and the big banks. Yes, Index strategy was great when it was invented in the 70's and 80's and probably the 90's. But if you have everybody rushing into index funds, well that causes an imbalance in the market. Similar to 2008, the tech bubble and even all the way back to tulip bubble. (google it) I'm really sorry that disturbed your investment strategy.
  - morgante 10y ago
    It's hilarious that I'm being the one accused of arrogance when you're telling me to Google black swans and the tulip bubble as though I don't know what they are. You're being an asshole and patronizing me as though I don't know just as much about investments as you do. Index fund over-investment is a red herring which is being promoted by active managers to try to justify their fees. In truth, the market balances itself out: the more passive money there is, the greater the returns to active management become. In fact, looking through your comment history, you are in fact one of the pariahs of the internet who's trying to push your bogus options strategies on unsuspecting fools. Get lost and go spam somewhere else.
    - chad_strategic 10y ago
      No I'm not a pariah. I'm just tired of the arrogance of people that thinking they know everything about investing on Hacker news. (This has been an epic waste of my time, there is no economic incentive arguing with a d-bag such as yourself.) You are only mad at me because you are unwilling accept/understand/comprehend an alternative investment strategy. As I said before I'm really sorry I disturbed your investment strategy, ultimately hurting your fragile feelings. What it comes boils down to is that you are programmer that thinks he knows how to invest. https://xkcd.com/1570/ https://xkcd.com/1570/ Hmm... get your research correct. I don't offer services to individual clients only institutions. I'm also regulated by the SEC. Cheers!
chillee 10y ago
Are you saying that a company like Renaissance Technologies won't beat benchmarks over the long run? According to Wikipedia, "Renaissance's flagship Medallion fund, which is run mostly for fund employees,[7] "is famed for one of the best records in investing history, returning more than 35 percent annualized over a 20-year span."[4] From 1994 through mid-2014 it averaged a 71.8% annual return." If so, I would have to disagree with you.

wayn3 10y ago

"your investment strategy only works until it doesn't work anymore" say what?

chad_strategic 10y ago
Black Swan.

morgante 10y ago

Err, what? I'm not sure where you got the idea that I'm actively managing my portfolio. The vast majority of my money is in index funds. In my view, a well-managed portfolio is one which aims to perform at market and no better or worse. > index fund are only good till that strategy doesn't work anymore. The day that index funds cease to be the optimal investment strategy (for most individuals) is the day that stocks overall have stopped being a viable investment strategy. Obviously you're just arrogantly trying to make assumptions instead of asking questions.

tiatia 10y ago
>> index fund are only good till that strategy doesn't work anymore. > The day that index funds cease to be the optimal > investment strategy (for most individuals) is the day > that stocks overall have stopped being a viable > investment strategy. I believe that Index funds are a very good investment strategy. But before you make condescending remarks about the previous poster, you should read up a little bit. Index funds HAVE problems, especially if too many people use them to invest. http://www.nytimes.com/2015/10/11/business/mutfund/the-ease-of-index-funds-comes-with-risk.html?_r=0 http://www.nytimes.com/2015/10/11/business/mutfund/the-ease-...
- chad_strategic 10y ago
  See above. No kidding. My point exactly.
chad_strategic 10y ago
>>> The day that index funds cease to be the optimal investment strategy (for most individuals) is the day that stocks overall have stopped being a viable investment strategy. Don't worry the day will come. ;) It's called a black swan. I'm not arrogant, I'm just well educated and a student of the market. If you study the market long enough you will learn it's nothing more than just a big casino run by the federal reserve and the big banks. Yes, Index strategy was great when it was invented in the 70's and 80's and probably the 90's. But if you have everybody rushing into index funds, well that causes an imbalance in the market. Similar to 2008, the tech bubble and even all the way back to tulip bubble. (google it) I'm really sorry that disturbed your investment strategy.
- morgante 10y ago
  It's hilarious that I'm being the one accused of arrogance when you're telling me to Google black swans and the tulip bubble as though I don't know what they are. You're being an asshole and patronizing me as though I don't know just as much about investments as you do. Index fund over-investment is a red herring which is being promoted by active managers to try to justify their fees. In truth, the market balances itself out: the more passive money there is, the greater the returns to active management become. In fact, looking through your comment history, you are in fact one of the pariahs of the internet who's trying to push your bogus options strategies on unsuspecting fools. Get lost and go spam somewhere else.
  - chad_strategic 10y ago
    No I'm not a pariah. I'm just tired of the arrogance of people that thinking they know everything about investing on Hacker news. (This has been an epic waste of my time, there is no economic incentive arguing with a d-bag such as yourself.) You are only mad at me because you are unwilling accept/understand/comprehend an alternative investment strategy. As I said before I'm really sorry I disturbed your investment strategy, ultimately hurting your fragile feelings. What it comes boils down to is that you are programmer that thinks he knows how to invest. https://xkcd.com/1570/ https://xkcd.com/1570/ Hmm... get your research correct. I don't offer services to individual clients only institutions. I'm also regulated by the SEC. Cheers!

chillee 10y ago

Are you saying that a company like Renaissance Technologies won't beat benchmarks over the long run? According to Wikipedia, "Renaissance's flagship Medallion fund, which is run mostly for fund employees,[7] "is famed for one of the best records in investing history, returning more than 35 percent annualized over a 20-year span."[4] From 1994 through mid-2014 it averaged a 71.8% annual return." If so, I would have to disagree with you.