Past performance is no indication of future results
Unfortunately, some investors learn that “past performance is not an indicator of future results” the hard way. GE Shows Past Performance Is Not an Indicator of Future Results. Near the end of 2017, General Electric (GE) gave a perfect illustration. GE has been around for 125 years, and has been a component of the Dow Jones Industrial Wi-Fi: Past Performance is No Indication of Future Results Predicting the future is never easy, but relying purely on the past as an indicator of what might happen next is hardly a good idea While past performance may be no guarantee of future results, it seems that past performance is a pretty good indicator of future performance. Editor's note: Originally published on July 11, 2014. Every money manager must say that past performance is not an indicator of future results, but most investors ignore this warning. "Past performance is no guarantee of future results" is generally treated as a w arning label: Don't assume an investment will continue to do well in the future simply because it's done well in the past. "Past performance is no guarantee of future results." So where does the line “past performance is not indicative of future results” come from? It’s actually in every mutual fund prospectus or investment disclosure. The reason it’s included is so investors understand that past results don’t guarantee future results. Seems odd right? Investment advisors use past performance to sell you Past performance is no guarantee of future results. That's an often repeated phrase in investing. Investors, however, seem to be of a different mind. In a TIAA-CREF survey, 36 percent of
Editor's note: Originally published on July 11, 2014. Every money manager must say that past performance is not an indicator of future results, but most investors ignore this warning.
So where does the line “past performance is not indicative of future results” come from? It’s actually in every mutual fund prospectus or investment disclosure. The reason it’s included is so investors understand that past results don’t guarantee future results. Seems odd right? Investment advisors use past performance to sell you Past performance is no guarantee of future results. That's an often repeated phrase in investing. Investors, however, seem to be of a different mind. In a TIAA-CREF survey, 36 percent of That's why the SEC requires funds to tell investors that a fund's past performance does not necessarily predict future results. You can learn what factors to consider before investing in a mutual fund by reading Mutual Fund Investing: Look at More Than a Mutual Fund's Past Performance. “Past performance is not an indicator of future outcomes.” That’s a variation of a disclaimer you’ll see in mutual fund marketing materials.
18 Dec 2018 "Past performance is no guarantee of future results" is generally treated as a w arning label: Don't assume an investment will continue to do well
5 Nov 2019 Studies show past performance is not a sufficient condition when selecting a fund . whether past performing funds do actually perform well in the future. The results show that past performance does matter—picking a fund
Past performance does not guarantee future results. Short-term performance, in particular, is not a good indication of the fund's future performance, and an
Past performance is not an indication of future performance. Returns for periods longer than 12 months are annualised. Total returns are calculated after Past performance is not an indication of future performance. Returns for periods longer than 12 months are annualised. Total returns are calculated after Composite returns represent past performance are not to be used as an indication of future results. Source for related performance data: Nicola Wealth and
Past performance does not guarantee future results. Short-term performance, in particular, is not a good indication of the fund's future performance, and an
historical performance is a good indication of the future (IF - All things stay the same! Tobacco companies were golden, their products were cheap, addictive, 23 Jan 2018 Past performance is no guarantee of future results. We have all seen mutual fund ads stating this Securities and Exchange Commission (SEC) 10 Jul 2017 I agree the past results won't guarantee future results, but seems that Past performance is an "indication" of Future performance, If you at
Sylvie Fox — ‘Past performance is no indication of future results’ To see what your friends thought of this quote, please sign up! Past Performance Is Not an Indication of Future Results. Our brains are wired to think that past performance is THE indicator of future results no matter what it says in the prospectus. In fact there are an infinity of arbitrage strategies which USUALLY have small positive returns; but, when they fail, they fail spectacularly. Past Performance and Future Results “Past performance is no guarantee of future results.” This is one of those legal incantations of gravity and vague importance that have become so familiar that we do not fully appreciate the meaning. “You have the right to remain silent.” is another example.