A Quote by Michael LeBoeuf

A Financial Research Corporation study determined that the expense ratio is the only reliable predictor of future mutual fund performance.

Michael LeBoeuf

Quote Topics

Corporation Determined Expense Financial Fund Future Mutual Mutual Fund Only Performance Ratio Reliable Research Study

Quote Author

Michael LeBoeuf
American - Businessman

In every mutual fund prospectus, in every sales promotional folder, and in every mutual fund advertisement (albeit in print almost too small to read), the following warning appears: "Past performance is no guarantee of future results."

Paul Samuelson

There are a lot of parallels between being a mutual fund manager and being a general manager. Both in the financial markets and in baseball, we're dealing with a world where uncertainty reigns. We're trying to predict the future performance of human beings. It's a fundamental difficulty for which we both have to account.

Paul DePodesta

Mutual fund managers are trapped in this rather deadly vicious circle: the more successful they are, the more money flows into their mutual fund. Then, it is more difficult for them to beat the market averages or even to match their own past performance.

Ron Chernow

I have become increasingly convinced that the past records of mutual fund managers are essentially worthless in predicting future success. The few examples of consistently superior performance occur no more frequently than can be expected by chance.

Burton Malkiel

Past behavior is the most reliable predictor of future behavior.

Gordon Livingston

I believe Washington should be a more active participant focusing on the issue of why corporate shareholders and mutual fund shareholders are not given fair treatment by corporate management and mutual fund management. We need to develop a national standard of fiduciary duty to ensure that these agents, if you will, are adequately representing the principles - pension beneficiaries and mutual fund shareholders - whom they are duty bound to serve.

John C. Bogle

Mutual fund manager performance does not persist and the return of stock picking is zero.

William J. Bernstein

There no longer can be any doubt that the creation of the first index mutual fund was the most successful innovation - especially for investors - in modern financial history.

John C. Bogle

We need a federal government commission to study the way our financial services system is working - I believe it is working badly - and we also need more educated investors. There are good long term low-priced mutual funds - my favorite is a total stock market index fund - and bad short term highly priced mutual funds. If investors would get themselves educated, and invest in the former - taking their money out of the latter - we would see some automatic improvements in the system, and see them fairly quickly.

John C. Bogle

Many financial advisors recommend that you diversify for your own protection. What they fail to tell you is that it is also for their protection. Since most financial advisors cannot tell you exactly which stock or mutual fund is a great investment, they tell you to buy a bunch of them.

Robert Kiyosaki

There may be less of a chance of losing all the money you put into a mutual fund than there is of losing all the money you put into lottery tickets, but you're never going to win big in a mutual fund.

Robert Kiyosaki

My favourite holdings are Vanguard's Wellington Fund, a balanced mutual fund which is a legacy investment from my first career at Wellington Management Co., and the Vanguard 500 Index Fund.

John C. Bogle

Regular crises perpetuate the past by reinvigorating cycles which started long ago. In contrast, (capital-C) Crises are the past's death knell. They function like laboratories in which the future is incubated. They have given us agriculture and the industrial revolution, technology and the labour contract, killer germs and antibiotics. Once they strike, the past ceases to be a reliable predictor of the future and a brave new world is born.

Yanis Varoufakis

I believe that the mutual fund industry's biggest shortcoming is too much focus on the momentary price of a stock - an illusion - and too little focus on the intrinsic value of the corporation - the ultimate reality. I'm comforted by the fact that Warren Buffett feels the same way.

John C. Bogle

Surprise! The returns reported by mutual funds aren't actually earned by mutual fund investors.

John C. Bogle

Italy even in the future will not need aid from the European Financial Stability Fund.