why index beats most active funds study is biased# Investment - 投资
s*d
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they compare the index (without expense, or the minimum expense) against
all active funds.
1) many active funds are obviously losers, e.g. very high expense ratio,
high front/back end load funds, poor management, etc. yes, they are
included. If you want a fair comparison, please at least add those
SP500 index funds with 2% expense ratio or more in too.
2) many active funds are not trying to minimize the risk while
maintaining similar performance. they have less standard deviation
and have compar
all active funds.
1) many active funds are obviously losers, e.g. very high expense ratio,
high front/back end load funds, poor management, etc. yes, they are
included. If you want a fair comparison, please at least add those
SP500 index funds with 2% expense ratio or more in too.
2) many active funds are not trying to minimize the risk while
maintaining similar performance. they have less standard deviation
and have compar