Since 1994, DALBAR’s Quantitative Analysis of Investor Behavior (QAIB) has measured the effects of investor decisions to buy, sell and switch into and out of mutual funds over short and long-term timeframes, and since it’s inception, the study has found that investors are consistently underperforming the broader market. Does Passive Investing Have A Cap Of Market Cap? According to the latest report, 2017 was no different. Even though the S&P 500 gained 21.86% last year, according to DALBAR, the average equity fund investor only saw a return of 20.64%, an underperformance of 1.19%. The average equity fund investor outperformed through…
The Average Investor Underperforms But Why?
Sign up now and get our in-depth FREE e-books on famous investors like Klarman, Dalio, Schloss, Munger Rupert is a committed value investor and regularly writes and invests following the principles set out by Benjamin Graham. He is the editor and co-owner of Hidden Value Stocks, a quarterly investment newsletter aimed at institutional investors. Rupert owns shares in Berkshire Hathaway. Rupert holds qualifications from the Chartered Institute For Securities & Investment and the CFA Society of the UK. Rupert covers everything value investing for ValueWalk