📉 Professional managers are losing to the market again
Picking individual stocks remains a difficult task even for experts. According to Morningstar data cited by The Wall Street Journal, only 27% of actively managed U.S. large-cap funds outperformed their passive alternatives during the 12 months ended June 30.
Over the long term, the result is even more striking: just 13% managed to beat their benchmark indexes over the past decade. Even the AI boom—touted as a major opportunity to pick winners—has not changed the situation significantly. (The Wall Street Journal)
For many investors, the figures once again strengthen the case for low-cost index funds.
Picking individual stocks remains a difficult task even for experts. According to Morningstar data cited by The Wall Street Journal, only 27% of actively managed U.S. large-cap funds outperformed their passive alternatives during the 12 months ended June 30.
Over the long term, the result is even more striking: just 13% managed to beat their benchmark indexes over the past decade. Even the AI boom—touted as a major opportunity to pick winners—has not changed the situation significantly. (The Wall Street Journal)
For many investors, the figures once again strengthen the case for low-cost index funds.