https://www.barrons.com/articles/whats-making-hedge-funds-weep-1543410000?mod=hp_DAY_6
My colleague posted this article and it is very interesting to many investors, especially those who choose to index. It is behind a paywall unfortunately, but here's the gist (thanks, coworker) of what it says:
“In the first three quarters of 2018 alone, there have been nearly 1,000 hedge fund closures, on pace for more than 1,300 closures for the full year. That’s about 19% of the nearly 7,000 funds tracked by hedge fund data provider BarclayHedge.”
“The Hedge Fund Research Equity Hedge index is down about 3% year to date. That trails the broad stock market. Indeed, hedge funds, based on the index, haven’t outperformed the S&P 500 in any given year since 2009.”
Personally, I hope this trend doesn't push younger people away from the market, but rather into DIY-finance and self-controlled investing practices. Maybe if the fallacy of "finance and investing is too hard for the average person" dies with this next generation, we can start to prioritize teaching basic financial principles in our classrooms. Dare to dream!
Submitted November 28, 2018 at 08:56AM by thawowtso https://ift.tt/2AtjZPN
