Episode 195: Why is it So Difficult to Beat the Market?

It doesn't seem like it should be that hard to beat the market. The trouble is that many more factors play a role in your investment success than you realize. There are over 400 billion dollars in stock trades a day all with one objective; to make money. Professionals and laymen alike are all working with bits of information trying to give their best guess at how things will turn out. Listen today to find out why it’s next to impossible to beat the market every time.

 

Key Points from this Episode:

[00:02:00] Interesting info on how stock pricing works

[00:02:30] How does dollar-weighted knowledge work?  

[00:02:30] Professional market knowledge does it measure up?

[00:05:00] So why is it so difficult to beat the market?

[00:08:25] Evidence of mutual funds and ETF successes and failures.