I read the headline that billions of dollars is wasted on investment advice and thought - so what's new?
But then I remembered that the vast majority of those in charge of managing money actually think that they can pick winners. They can't - and here's yet more evidence...
http://www.thereformedbroker.com/2013/09/23/dont-feel-bad-the-pros-cant-pick-managers-either/
Here's a link to the research paper.
I like what the inventor of the first index fund and Vanguard founder, Jack Bogle said: "If picking stocks is a 'random walk' down Wall Street (referring to Burton Malkiel's book), then picking managers must be an obstacle course through Hell's Kitchen."
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