Active Management a sham

poseidon1

There will always be the rare exception to any rule, and in the case of this debate Berkshire Hathaway's comparative long term performance against the S & P 500  is such an exception- 

https://finance.yahoo.com/news/one-chart-shows-how-warren-buffett-trounced-the-sp-500-over-the-past-60-years-191155882.html

This seems to be the case even with regard to the younger B class shares which overall doubled its return compared to the S & P 500 for the period 1996 to 2024.

However Buffet himself did concede that most investors would be better advised buying a low cost index tracker .

BritishInvestor

poseidon1 said:

There will always be the rare exception to any rule, and in the case of this debate Berkshire Hathaway's comparative long term performance against the S & P 500  is such an exception- 

Probably not

http://docs.lhpedersen.com/BuffettsAlpha.pdf

BritishInvestor

 after 25 years of notable success.

Probably not at beating the market.

https://finalytiq.co.uk/woodford-vs-ftse-uk-equity-income-lets-set-the-record-straight/

https://www.aqr.com/-/media/AQR/Documents/Insights/White-Papers/AQR-More-Superstar-Investors-Woodford-and-Smith-A4.pdf

dunstonh

BritishInvestor said:

 after 25 years of notable success.

Probably not at beating the market.

https://finalytiq.co.uk/woodford-vs-ftse-uk-equity-income-lets-set-the-record-straight/

https://www.aqr.com/-/media/AQR/Documents/Insights/White-Papers/AQR-More-Superstar-Investors-Woodford-and-Smith-A4.pdf

That article covers the period post credit crunch.  UK equity income was the place to be pre-credit crunch.  It completely went off the boil after 2008 but that article focuses on 2009+

So, any comparison of Woodford needs to be for the period when UK equity income was King.



and 2008 to date to show the reason why trackers have been best in this period:

BritishInvestor

dunstonh said:

BritishInvestor said:

 after 25 years of notable success.

Probably not at beating the market.

https://finalytiq.co.uk/woodford-vs-ftse-uk-equity-income-lets-set-the-record-straight/

https://www.aqr.com/-/media/AQR/Documents/Insights/White-Papers/AQR-More-Superstar-Investors-Woodford-and-Smith-A4.pdf

That article covers the period post credit crunch.  UK equity income was the place to be pre-credit crunch.  It completely went off the boil after 2008 but that article focuses on 2009+

So, any comparison of Woodford needs to be for the period when UK equity income was King.



and 2008 to date to show the reason why trackers have been best in this period:

See the first article.