Friday, June 26, 2015

White Lies The Industry Tells Itself

The service we provide is valuable and worth every penny people pay.

Just wait till the next downturn. That is where we outperform.

I am a highly trained financial professional and deserve the money I am paid.

I control my outcomes.

We are investment focused (not sales/marketing focused).

Investments is what we are all about.

We can beat the market.

Costs don't matter when you beat the market.

This is an exclusive investment.

We have a differentiated product, process, people, approach.

We are active (not closet indexers).

We consistently produce alpha.

The quality and amount of our experts, technology, resources matters.

There is implied skill in our outcomes.

It is all about investing (not gathering funds).

Our costs and fees are fair. You get what you pay for. 

Tricks of the trade: change the base year; change the benchmark; gross of fees; advertise only the winners; spin the departure of a manager; change the risk measure that works best; look at our fund rating (even though it has no predictive value); focus on a three year record; selectively choose which funds, criteria, which period to advertise.


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