Phone: 609 620-1770
Does Past Performance Really Matter?
I recently came across the S&P Persistence Scorecard which provides information about the percentage of professionally-managed mutual funds able to top a ‘basic’ index. The conclusion of this report: performance of actively-managed mutual funds is worse than what one may expect just from random expectations.
What conclusions can we draw from this report? Develop a coherent investment policy strategy that fits your need for return while recognizing your appetite for risk; invest in low-cost index or passively-managed funds; and avoid actively-managed funds!
Click here for more details on this report:http://img.en25.com/Web/StandardandPoors/PersistenceScorecard_June10_Final.pdf