Chuck Jaffe of Marketwatch points out an unsuprising fact - Find a fund whose money manager has some of his or her own money at stake and you'll find better returns. The SEC requires managers to disclose the amount of their personal stake in the fund. The two lowest brackets: $0 and $1-10,000.
Overall: 40% of funds contain not a cent of the manager's money.
Among Morngingstar's Top Picks: managers averaged over $300,000 of their own money invested in the fund.
There's one disclosure you should consider looking up before you invest.
No comments:
Post a Comment