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Because hedge funds don't beat the market for more than a year or two at a time, no one does. It's all a scam. Nothing beats just holding index funds.
by alar44 5y ago
Because hedge funds don't beat the market for more than a year or two at a time, no one does. It's all a scam. Nothing beats just holding index funds.
- CrazyStat 5y agoRenaissance's Medallion fund, net fees, has beat the market almost every year since 1990. Twice by more than 100 percentage points. Maybe Simons is psychic and all the quant stuff is just a coverup.
- aradox66 5y agoThat's only true on average.
- astrange 5y agoIf you fail too hard at investing you have to quit, but if you’re too successful you also quit because you retire or the technique doesn’t work for too large a fund. Note, “just hold index funds” as a strategy should be dominated by “borrow a lot of money and put it in index funds” by the same arguments. Don’t see robos offering that though.