Remix.run Logo
Eddy_Viscosity2 5 hours ago

> a hedge fund can beat the market for 2-4 years but at 10 years and up their chances of beating the market go to very close

In that case the winning strategy would be to switch hedge funds every 3 years.

perlgeek 5 hours ago | parent | next [-]

The problem is that you don't know in advance which will be doing well when.

skeeter2020 4 hours ago | parent | prev [-]

Except you don't know which fund is going to "go on a hot streak" or when the magic will end. The original statement only holds when looking at historical data; it's not predictive.