Think You’re Smarter Than A Hedge Fund Manager?
In the Globe and Mail’s Strategy Lab investment competition, the indexed portfolio I created last September is in last place.
My colleagues Norm Rothery, Chris Umiastowksi and John Heinzl are three hares that have left me – the indexed tortoise – far behind.
Does this mean you should abandon an indexed strategy in favour of individual stocks?
Not necessarily. Because of their low costs, passive strategies (such as mine) are relentless pursuers. And with patience, they can beat the returns of most professional investors.