 Quote:
Originally Posted by utrecht
I pretty much agree with the indexing crowd, but what if I wanted an emerging markets fund and there was one with a 40 year track record of beating the Emerging markets index? Im not talking about switching to whichever fund beats the emerging market index the past year. im talking about one that has beaten it last year, the last 3 years, the last 5 years..10 years....20 years...ect.
You would still have a problem picking that fund instead of the index fund?
PS..I doubt there is an emerging market index or a fund thats 40 years old. This is just an example.
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LOL. Ohh you are testing my resolve...Well the standard answer would be that past performance doesn't predict future returns, and in the history of MF's no one has beaten an appropriate index for anything close to that long so it is heading for a fall. All that said it would be mighty tempting wouldn't it  .
DD
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