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Mutual Fund/ETF Research Newsletter February 2013 edition
Skeeter, you must be grinning watching this fuse burn down :
...most...of these prior choices have indeed lived up to our expectations and performed well...
...it is indeed possible to find good funds that will do well as compared to benchmark indexes...
...one has access to information which allows him/her to usually be able to identify so many excellent funds in advance of their subsequent performance...
Let me further help...I tend to agree with Dr. Madell.
"-One potential benefit of managed funds over index funds is if the manager is skilled enough, he/she can shift to some defensive investments, including cash, if and when we enter a bear market. An index fund must remain fully invested. "
A lot of managed funds who were supposedly "skilled" did worse than index in 2008. It turns out we are often mistaking luck for skill.
Having said that I do invest in managed funds. I hope my managers are either skilled or lucky or preferably both. Well... at least the majority funds... or some... or or hopefully, they do at least perform close to index and maybe not blow up next time! (please)
Comments
MJG's gonna love this one.
Skeeter, you must be grinning watching this fuse burn down
A lot of managed funds who were supposedly "skilled" did worse than index in 2008. It turns out we are often mistaking luck for skill.
Having said that I do invest in managed funds. I hope my managers are either skilled or lucky or preferably both. Well... at least the majority funds... or some... or or hopefully, they do at least perform close to index and maybe not blow up next time! (please)