A Quote by William J. Bernstein

99% of fund managers demonstrate no evidence of skill whatsoever.

William J. Bernstein

Quote Topics

Demonstrate Evidence Fund Managers Skill Whatsoever

Quote Author

William J. Bernstein
Born: 1954

I think there are probably too many hedge fund managers in the world, as well as active fund managers. The hedge fund industry is very efficient. We see a lot of hedge funds open and a lot close. It's very binary. You either succeed or fail in the hedge fund world. If you succeed, the amount the managers make it beyond most people's wildest dreams of wealth.

Martin Gilbert

Hedge fund managers charge so much more than mutual fund managers; alpha is even harder to come by. They end up selling a variety of things beyond mere outperformance.

Barry Ritholtz

Fund investors are confident that they can easily select superior fund managers. They are wrong.

John C. Bogle

99.99% of your creation is complete before you see ANY physical evidence of it.

Esther Hicks

Among my greatest disappointments about the mutual fund industry - in addition to excessive costs and excessive focus on the short-term - is that fund managers have been passive participants in corporate governance.

John C. Bogle

The fund scandals shined the spotlight on the fact that mutual fund managers were putting their interests ahead of the fund shareholders who trusted them, which had much more substantial consequences in the form of excessive fees and the promotion - as the market moved into the stratosphere - of technology funds and new economy funds which were soon to collapse.

John C. Bogle

I'm making a case against how money managers are handling customers' money. The objective of the customer is not being met if the fund managers are diversifying their assets into hundreds of businesses. If they do this, they are typically performing close to the indexes. But that's not the way wealth is created.

Michael Lee-Chin

There is no evidence that changing your managers repeatedly leads to success, but there is evidence at Manchester United, I was managing there for 26 years I won 38 trophies.

Alex Ferguson

After costs, only the top 3% of managers produce a return that indicates they have sufficient skill to just cover their costs, which means that going forward, and despite extraordinary past returns, even the top performers are expected to be only as good as a low-cost passive index fund. The other 97% can be expected to do worse.

Eugene Fama

Even if the absence of evidence for a given god were not evidence of its absence, it would still be evidence that the belief in that god is unreasonable. That's the only proposition that any atheist of any kind has to demonstrate in order to win the argument. Because anything beyond that... is just having fun.

Scott Clifton

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

By freethinking I mean the use of the understanding in endeavoring to find out the meaning of any proposition whatsoever, in considering the nature of the evidence for or against, and in judging of it according to the seeming force or weakness of the evidence.

Anthony Collins

Millions of mutual-fund investors sleep well at night, serene in the belief that superior outcomes result from pooling funds with like-minded investors and engaging high-quality investment managers to provide professional insight. The conventional wisdom ends up hopelessly unwise, as evidence shows an overwhelming rate of failure by mutual funds to deliver on promises.