3 ms·
The problem is fundamentally that fund managers consume a large portion of the returns, after you factor the cost of the fund manager the result is negative. T
by fleitz 13y ago
The problem is fundamentally that fund managers consume a large portion of the returns, after you factor the cost of the fund manager the result is negative.
To put it succinctly: On average fund managers reduce ROI.
As an alternative measurement, if you take the funds managed by most managers and look at the portfolio 1 year ago the fund would be better off with the previous year's portfolio. (This time mostly because of transaction costs)
- lutusp 13y ago> The problem is fundamentally that fund managers consume a large portion of the returns, after you factor the cost of the fund manager the result is negative. Yes, a point I make in my article, but didn't make in my post. Fund managers are very difficult to justify.