Nonsense. In fact 99.99% of all money managers won't achieve that, not even close to that over long horizons (20+ years). 8% annualized after fees over the risk-free rate puts your squarely in the top 1% of all professional money managers, regardless of their investing or trading style. With rates close to zero your 20% figure looks quite delusional.
I think cause many money management teams charge 3-6% management fees, they are not going to risk much and not be able to make much. I often think they want to just be able to cover these fees. Long term trading makes it very hard to make 20% year in year out, it is usually one out of three years where one can make 30-60% and the other two years fighting to not take a loss. I know of no one money manager in my 35 years that has had 20% year in and year out for long duration.
that is true however, all of them seem to have good period, typically with small FUM, and after that return even below index for many years. Average still looks okay. Looks like too large funds are unmanegable, waste of time and attract all sorts of activity that decreases return . Probably these guys burn out as well. 10 years of good returns, thats it. Only lazy ones can last longer
If you can consistently time proper entries/exits into/out of doom/euphory it already makes you very good speculator. So no contradiction with OP's statement.
Ok, you right. I argue with 5% number ! Fund managers take fees, 3%+, this is legally, and where is lots of money, there is a bit of corruption, so i estimate TRUE fees really around 5% PA. Giving them money, haha, good luck to matching SPY return. Better idea to play doom/eufory scenario and expect 5% outperformance vs SPY. You need couple of cycles though to get boom/bust recognition right.
If I can do better than a money manager then I would also be a money manager but a better one. With low fees and my main point would be to make my clients more and more profits.
keep dreaming. fund managers are not there because of their quality but because of connections. They are usually not bright either and sure not good speculators. Things are changing fast as internet offers high quality/value alternatives where really anyone taht can demonstrate skill will be able to manage via trade duplication, etc.
I am able to make more than 50% profits each month and i feel yes am better than any other money managers to trust so i trade for myself after some bad experiences with other money managers.