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Do financial experts make better investments?

Financial experts do not make higher returns on their own investments than untrained investors, according to research by a Michigan State University business scholar.

The first-of-its-kind study analyzed the private portfolios of mutual fund managers and found the managers were surprisingly unsuccessful at outperforming nonprofessional investors. The findings suggest average investors might be better served to handle their own portfolios rather than pay the often-high fees charged by mutual fund managers, said Andrei Simonov, associate professor of finance. (more…)

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