Hedge Fund Reality Part 2

In our last blog, we discussed the performance of hedge funds. Jonathan Clements continues to support our overrated hedge fund claims in a recent post. Investments that seem complicated aren’t always high performers.

Our firm has always believed that building diversified portfolios using low-cost, tax efficient asset class and index funds was the best model for investors. Clements may say it best, “Index funds may not give you bragging rights at the neighborhood barbecue. But you’re probably the only person there who isn’t lying about their investment performance.”

For us, the attraction to a more simplified straightforward investment approach is far greater than the fabricated allure represented on Wall Street.

And since we are talking about hedge fund performance, review the latest results from Warren Buffett’s “million dollar bet” against hedge funds. The nine-year results speak for themselves.