Is your investment manager the equivalent of Ronaldo or Messi?
It’s a story about expectations. Your fund manager goes into business because they want to become in investment terms Ronaldo or Messi. They don’t go into the business to become a non-descript player in the third division. The chances are however, they will be a non-descript player in the third division. They may have a great game from time to time…score a success on the odd occasion, but they are not Ronaldo or Messi.
As an investor, if you could find the next Ronaldo or Messi. to look after your money…continual outperformance, that would be a tremendous success. But how do you spot the next Ronaldo or Messi investment managers?
As for the non-descript player in the third division of fund managers, their job is safe if you leave your money with them. You may stay with them in the hope they become the next Ronaldo or Messi. That way you outperform. Sadly, the odds are against you.
Faced with employing a non-descript player in the third division, what are your alternatives? What can you do to change your fate? And yes, there is always something you can do. Want a conversation?