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The 'edge' is holding the investments over long periods of times. Agents are merely automating the portfolio managing part for lower costs.
by whazor 11d ago
The 'edge' is holding the investments over long periods of times. Agents are merely automating the portfolio managing part for lower costs.
- dakolli 10d agoSure, but why would the organizations managing ETFs employ the same low cost agents + their own insights and provide a better return.
- whazor 10d agoYeah and you probably have to. An ETF easily has >1000 different stocks and even being weighted. So it has a completely different risk appetite by being so averaged. But ETFs do have to follow particular rules defined by their product description. So it is still interesting to benchmark against.