Active Mgmt vs. Passive - Net of fees
Do you guys ever get wholesalers for ETFs or Powershares citing studies
that have “proven” that passive funds outperform active, net of
management fees? Is this actually true??
OOOOOOHHHHH. I love this post.
YES. I bet you could have a study done that “proved” monkeys have very stimulating converstations.
Define “passive”
Is Poweshares Passive or Active, or…something else.
Heh supposedly Powershares are “the best of both worlds”…somewhere
in the middle. I would categorize them as passive, relatively
speaking.
Powershares are active in my mind...if you take a "dumb" (cap weighted) index and try to screen for certain characteristics, I say that's activity. Therefore, it's active. Not as active as a fund w/100%+ turnover, but it's still requires action to be different from a passive approach.....it's low turnover, but so are lots of managers.
Conceptually it makes a lot more sense to me than just buying a cap-weighted index, but who knows if it'll work better in the long run. Backtesting doesn't count--my life (or yours) would be a lot better off if I knew what the "past" would look like 10 years from now...
I thought the monkey study was ongoing in bank lobbies w/brokers (and their conversations) there.
OK, that wasn't very nice, but it struck me as clever.
Clever...no. I heard better cutdowns on the playground in 3rd grade.
If you are gonna try to be a douche bag and make a snide remark for no reason, at least make it worth me reading.
At least then you'd be a clever douche bag.
OK, this calls for a vote: clever comment or no?
BankFC: I bet you could have a study done that "proved" monkeys have very stimulating converstations.
Me: I thought the monkey study was ongoing in bank lobbies w/brokers (and their conversations) there.
Ok, so no one actually knows…just more wholesaler propaganda I guess…
[quote=Cowboy93]
OK, this calls for a vote: clever comment or no?
BankFC: I bet you could have a study done that "proved" monkeys have very stimulating converstations.
Me: I thought the monkey study was ongoing in bank lobbies w/brokers (and their conversations) there.
[/quote]I thought it was clever you douche bag....
LOL
In the future, that will be a capital D capital B when using my title D Bag please. Perhaps I should change my handle; somehow I see the moderator types taking issue with that. Oh well, I've been called worse, usually at home!
OK...1 clever, 0 not clever votes. Let's close the polls!
By the way, FC's comment that you can "prove" anything is wise: backtesting is the lazy mind's way of "proving" something as he shows using his monkey example.
[quote=Cowboy93]
In the future, that will be a capital D capital B when using my title D Bag please. Perhaps I should change my handle; somehow I see the moderator types taking issue with that. Oh well, I’ve been called worse, usually at home!
OK...1 clever, 0 not clever votes. Let's close the polls!
By the way, FC's comment that you can "prove" anything is wise: backtesting is the lazy mind's way of "proving" something as he shows using his monkey example.
[/quote]I double-dare ya to try to change your forum name and see if it goes through.....
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