http://theguruinvestor.com/2009/02/26/study-index-funds-top-mutual-hedge-funds/ Thoughts, ideas and insight from the top minds in the investment world Wed, 16 May 2012 17:25:29 +0000 hourly 1 http://wordpress.com/ http://theguruinvestor.com/2009/02/26/study-index-funds-top-mutual-hedge-funds/#comment-82 Tue, 10 Mar 2009 21:12:57 +0000 http://theguruinvestor.com/?p=1189#comment-82 Gentlemen – Gentlemen – Gentlemen — Why is it that given a series of data and a computer our friends in the consulting field and academia (that means you Mr Hulbert and Dr. Kritzman)consistently respond with the same message i.e., index funds yield a higher return. Please stop that train of thought – most of us know this is statistically accurate or can be shown as statistically accurate, however, it is not important. What is important is how much money any investor makes over time. How much an individual makes is a function of human behavior and their level of fear and greed. Index funds, actively managed mutual funds or hedge funds did absolutely nothing to keep millions of individuals and institutions from selling last year or for that matter buying in 1999. The fact is that your studies only create a world of speculators buying “the market” or the latest trading strategy instead of becoming an owner in a business through common stock ownership.

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