A few days ago, I received a comment so dumb I just couldn’t ignore it. Here it is, from a certain Ettore, who is without a doubt a Master Stock Trader :
Just for the hell of it, I checked how much hedge funds made in the last few years:
In the last ten years, hedge funds are up 27% while the S&P 500 is up 72.19%. Or if you want another source:
Source: http://www.economist.com/news/finance-and-economics/21568741-hedge-funds-have-had-another-lousy-year-cap-disappointing-decade-going
I’m not sure what you want me to say here. Hedge funds have been underperforming a simple index ETF (like I recommend in this video) for longer than you’ve been alive (note: I’m assuming you’re fourteen year old because you talk like one).
In any event, I have no idea what point you’re trying to make. In my original article, I claim that people should be satisfied with a 10% annual return. Hedge funds have averaged something like 2.5% over the last fifteen years. What exactly are you trying to say here? That “pros” make more than that? They don’t.
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