Hear me out for a second.
In this sub, the constant advice is to never to listen to anyone and to always "do your own research" and "learn everything yourself" and "never invest in a business you don't know back and forth" to decide what to buy. But what chance is there that a lay investor is going to be able to accurately understand entire businesses they aren't a part of? And even if they could, what chance is there that even if they could understand the lay of the land that they'd actually have any unique insight that the major market drivers, hedge funds, and rich people with huge resources and more in depth research and insider knowledge haven't already priced in?
I know many of you will say: that's why you buy low cost index funds! And I agree! But I'm speaking more to all the posters here who advocate buying stocks, but think that "research" will magically help them. Is there actually any data on individual's who do serious research outperforming people who just pick stocks based on CNBC shows or Forbes magazine articles, much less people who go with actively managed funds?
Submitted January 17, 2018 at 10:41AM by ThisIsTheWater http://ift.tt/2Dp6TGU
