All You Need to Know about Mutual Funds

All you need to know about mutual funds, and the stock market generally, is encapsulated in this paragraph–

Shunning the iPhone maker is turning out to be one of the worst blunders in 2014 for mutual fund managers, who are trailing their benchmark indexes by the most in almost a decade. Investors who clung to winners from the first five years of the bull market—such as Internet companies and small stocks—got burned in the sixth as chipmakers, utilities, and high-dividend stocks rallied. Last year proved a particularly poor blueprint for this one. Apple rose 5.4 percent in 2013, its second-worst return in a decade, while Amazon.com (AMZN) rose 59 percent and Twitter(TWTR) more than doubled after going public. Those two are down 26 percent and 45 percent, respectively, in 2014.

source: https://www.businessweek.com/articles/2014-12-18/mutual-fund-managers-2014-is-another-flop

As my father, the late Professor OJ Firestone said, “The stock market is for insiders only.”

Anyone who tells you that they can time the markets, stock pick better than average, choose winners from losers, trade options or derivatives successfully, are the same type of people who tell you they can consistently win at the horse track via Win, Place, and Show bets.

That’s why I’m writing the Real Estate Handbook and coaching people to success in the one industry that is really a business model for dummies.

@ profbruce @ quantum_entity