Evolution in Investment Management

What has worked what has not and why


ETFs vs Mutual funds - Alpha

Hedge funds vs Index funds - Alpha

Structured products vs Complexity

These things don't matter til they matter - then you get a selloff

Reverse evolution set the industry back 20 years -

Can't stand in a puddle and not get your feet wet

!0 year lead in a trillion dollar market........

50% of the problem is a culture issue and this will take a generation to evolve...case closed

Retail Mrket is trapped because they can continue to "get away with it"

Banks and Brokers are in Business the Make Money (for themselves) with Your Money

Nothing wrong with that that is their culture and their business model any way they can do that they will.....

This is a transaction and fee model not a preformance Model.

Hedge fund management is a performance model..

Modern Portfolio "Theory" - Waiting for the Tooth Fairy in the Land of Make Believe

While They Collect their Fees.......The Industry has everyone believing in and Playing Their Game......The reality is if something is hard to think about then people tend to believe it less....

Farnam Street Blog 12-11-2010