Author Topic: That index funds beat managed - Warren Buffett Won a Decade-Old $1M Bet  (Read 1514 times)

FiftyIsTheNewTwenty

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"With 2017 over, Warren Buffett has sealed his victory over hedge funds in a bet he made a decade ago. The Berkshire Hathaway chairman in 2007 bet $1 million that the S&P 500 would outperform a selection of hedge funds over 10 years.

As of Friday, his S&P 500 index fund had compounded a 7.1% annual gain over that period. The basket of funds selected by Protégé Partners, the managers with whom he made the bet, had gained 2.1%, according to The Wall Street Journal. Buffett agreed to give the prize money to Girls Inc. of Omaha, Nebraska, a nonprofit he has previously supported."

https://fee.org/articles/warren-buffett-won-a-decade-old-1m-bet/

Travis

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Re: That index funds beat managed - Warren Buffett Won a Decade-Old $1M Bet
« Reply #1 on: January 05, 2018, 01:41:16 PM »
So after fees the hedge fund did as well as a CD. That has to be humiliating.

boarder42

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Re: That index funds beat managed - Warren Buffett Won a Decade-Old $1M Bet
« Reply #2 on: January 05, 2018, 01:51:51 PM »
another one has taken him up on the same bet.  they'll never learn.

Zamboni

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Re: That index funds beat managed - Warren Buffett Won a Decade-Old $1M Bet
« Reply #3 on: January 05, 2018, 02:02:51 PM »
It just makes me sad that they dupe hard working people into going along with their high fee, low performance bullcrap.