Why Make a Financial Bet Against Warren Buffett?
by andrew hallam · Published · Updated
Myth: If you pay really smart people to manage your money, it will be easy for them to beat the returns of a simple index fund over time.
Reality: Their odds of doing so, after fees, are pathetically low.
This is what Warren Buffett has been saying for years, and a group of Hedge Fund selectors took offense to this notion in 2008, betting Warren Buffett a million dollars that they could beat the market over a decade.
Warren Buffett took the challenge.
He said that an index investor would win. When it comes to money, you probably shouldn’t bet against Warren Buffett. He’s currently winning with an impressive margin.
You can read about it here.
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