Author Topic: Article: every active mutual fund fails to beat the SP500  (Read 1820 times)

nereo

  • Senior Mustachian
  • ********
  • Posts: 17592
  • Location: Just south of Canada
    • Here's how you can support science today:
Article: every active mutual fund fails to beat the SP500
« on: March 15, 2015, 11:17:15 AM »
For your reading interest: http://www.nytimes.com/2015/03/15/your-money/how-many-mutual-funds-routinely-rout-the-market-zero.html?_r=0

In short, after 5 years, out of 2,862 actively managed funds each with a broad portfolio of largely US stocks, only 2 have beaten the market the first 4 year-long periods, and they both seem likely to loose money at the end of this period.

A low-cost index fund beats out almost all actively managed mutual funds yet again!


arebelspy

  • Administrator
  • Senior Mustachian
  • *****
  • Posts: 28444
  • Age: -997
  • Location: Seattle, WA
Re: Article: every active mutual fund fails to beat the SP500
« Reply #1 on: March 15, 2015, 11:32:05 AM »
Mod Note: ongoing discussion here: http://forum.mrmoneymustache.com/index.php?topic=33468

Locking thread to keep discussion in one place.
I am a former teacher who accumulated a bunch of real estate, retired at 29, spent some time traveling the world full time and am now settled with three kids.
If you want to know more about me, this Business Insider profile tells the story pretty well.
I (rarely) blog at AdventuringAlong.com. Check out the Now page to see what I'm up to currently.