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RE: LeoThread 2025-06-07 09:23

in LeoFinance4 months ago

Part 6/11:

Interestingly, studies indicate that most average stock investors tend to underperform market-index funds due to the costs associated with actively managed funds and the intrinsic emotional biases that can lead to poor investment decisions. Although index funds allow investors to effectively own a broad spectrum of stocks, they also carry the risk of high exposure to underperforming companies, diluting potential returns.

The Paradox of Indexing: Wealth Concentration