For a while now, I have been fascinated about the idea of developing an investment strategy that consistently generates risk-adjusted returns that beat those of the broad market.
As part of my “Why Bother Picking Stocks?” series, I concluded with a fair level of confidence that, perhaps contrary to what many would consider common sense, achieving such goal likely does not involve finding “winning stocks” to invest in. At the core of my thesis, I have become ever more skeptical that investment professionals (let alone the lay person) can be successful at stock-picking over a period of many years, with only a handful of legendary fund managers making up a very small group of exceptions.
I have published an article on Seeking Alpha in which I develop this subject further. Check it out.
#portfolio #investments #stockpicks #whybother