Picking the Right Funds Makes a Huge Difference
Why fund selection matters.
It's such a fine line between stupid, and clever.--David St. Hubbins
It's amazing to me how people will spend way more time researching fun expenditures like cars and flat-screen TVs than they will on developing an investment plan and selecting their investments. Sure, it isn't as fun, but it's your retirement, your house, and your kids' college education!
It's not too hard to pick funds that will at least outperform their peers over the long haul, and it only takes a little more work to upgrade from there so that you've meaningfully improved your chances of excellent performance while reducing your chances of lousy performance. Not to suggest that there's a foolproof method guaranteeing top-quartile returns, but there are very dependable methods to get mostly above-average results and limit cellar-dwellers.