Active Management Quotes

• Index investing outperforms active management year after year.

  Jim Rogers

  Years, Investing, Management

  9 Copy quote

• Bottoms in the investment world don't end with four-year lows; they end with 10- or 15-year lows.

  Jim Rogers

  Investing Money, Years, World

  48 Copy quote

• Most investors would be better off in an index fund.

  Peter Lynch

  Would Be, Investing, Fund

  21 Copy quote

• Properly measured, the average actively managed dollar must underperform the average passively managed dollar, net of costs. Empirical analyses that appear to refute this principle are guilty of improper measurement.

  William Forsyth Sharpe

  Average, Principles, Dollars

  "Do You Want to Be Just Average?" by Larry Swedroe, www.cbsnews.com. June 9, 2010.

  11 Copy quote

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• Commodities tend to zig when the equity markets zag.

  Jim Rogers

  Commodity, Equity, Private Equity

  "Hot Commodities: How Anyone Can Invest Profitably in the World's Best Market". Book by Jim Rogers, March 27, 2007.

  57 Copy quote

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• Do not buy the hype from Wall St. and the press that stocks always go up. There are long periods when stocks do nothing and other investments are better.

  Jim Rogers

  Wall, Hype, Long

  11 Copy quote

• Get inside information from the president and you will probably lose half of your money. If you get it from the chairman of the board, you will lose all of it.

  Jim Rogers

  President, Boards, Investing

  12 Copy quote

• ... the best way to own common stocks is through an index fund.

  Warren Buffett

  Way, Common, Fund

  6 Copy quote

• Failing organizations are usually over-managed and under-led.

  Warren G. Bennis

  Leadership, Business, Failure

  "Wisdom, Honor & Hope: The Inner Path to True Greatness". Book by Cecil O. Kemp, Jr., May 1, 2000.

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• Everybody has a different strategy, but everybody agrees that active management does not beat the market.

  Tony Robbins

  Doe, Different, Strategy

  Source: www.chicagotribune.com

  5 Copy quote

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• It is very hard, if not impossible," he wrote in his study, "to justify active management for most individual, taxable investors, if their goal is to grow wealth." And he said that those who still insist on an actively managed fund are almost certainly "deluding themselves.

  Mark Hulbert

  Goal, Investing, Impossible

  4 Copy quote

• Active management strategies demand uninstitutional behavior from institutions, creating a paradox that few can unravel. Establishing and maintaining an unconventional investment profile requires acceptance of uncomfortably idiosyncratic portfolios, which frequently appear downright imprudent in the eyes of conventional wisdom.

  David F. Swensen

  Independent, Eye, Acceptance

  David F. Swensen (2009). “Pioneering Portfolio Management: An Unconventional Approach to Institutional Investment, Fully Revised and Updated”, p.8, Simon and Schuster

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• Active management is a zero-sum game before cost, and the winners have to win at the expense of the losers.

  Eugene Fama

  Zero, Winning, Games

  30 Copy quote

• I can't figure out why anyone invests in active management, so asking me about hedge funds is just an extreme version of the same question. Since I think everything is appropriately priced, my advice would be to avoid high fees. So you can forget about hedge funds.

  Eugene Fama

  Thinking, Advice, Would Be

  40 Copy quote

• Index funds have regularly produced rates of return exceeding those of active managers by close to 2 percentage points. Active management as a whole cannot achieve gross returns exceeding the market as a while and therefore they must, on average, underperform the indexes by the amount of these expense and transaction costs disadvantages.

  Burton Malkiel

  Average, Cost, Investing

  11 Copy quote

• Active management is little more than a gigantic con game.

  Ronald Ross

  Games, Investing, Littles

  12 Copy quote

• My career in academic research has not been involved with active management of securities. I've tried to understand risk-and-return relationships; also the pricing of derivative securities.

  Myron Scholes

  Careers, Risk, Research

  7 Copy quote