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flessner 6 days ago

When you look at the market with a zero-sum perspective it becomes apparent that both active and passive investors earn average market returns - collectively they by definition are the market.

However, active investors have higher trading fees/management costs, so they are bound to perform at least slightly worse on average. It's just mathematics.

cosmicgadget 6 days ago | parent [-]

I am completely at a loss for words here.