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After costs, only the top 3% of managers produce a return that indicates they have sufficient skill to just cover their costs, which means that going forward, and despite extraordinary past returns, even the top performers are expected to be only as good as a low-cost passive index fund. The other 97% can be expected to do worse.
Eugene Fama
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"After costs, only the top 3% of managers produce a return that indicates they have sufficient skill to just cover their costs, which means that going forward, and despite extraordinary past returns, even the top performers are expected to be only as good as a low-cost passive index fund. The other 97% can be expected to do worse."
— Eugene Fama

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After costs, only the top 3% of managers produce a return that indicates they have sufficient skill to just cover their costs, which means that going forward, and despite extraordinary past returns, even the top performers are expected to be only as good as a low-cost passive index fund. The other 97% can be expected to do worse. — Eugene Fama

About Eugene Fama

Eugene Fama was a Economist from United States (1939–present).

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Frequently Asked Questions

Who said "After costs, only the top 3% of managers produce a return that indicates they h…"?
This quote is attributed to Eugene Fama, a Economist from United States.
When did Eugene Fama live?
Eugene Fama lived from 1939 – present.