The Triumph Of Hope Over Experience’ by Jesse Felder

Investors in stocks these days are expecting far too much, and I’m going to explain why… A Paine Webber and Gallup Organization survey released in July shows that the least experienced investors–those who have invested for less than five years–expect annual returns over the next ten years of 22.6%. Even those who have invested for more than 20 years are expecting 12.9%. Now, I’d like to argue that we can’t come even remotely close to that 12.9%. Read more