HomeLife

In the media - New Model Adviser

News

In the media - New Model Adviser

| |

1 minute read

We are very committed to the development of the financial services profession and often comment on financial related matters in the national press. Below is a link to an extract from our most recent article:

Alan Smith our CEO recently wrote in the New Model Adviser, commenting on the importance of taking into consideration failed funds when doing performance analysis.

“…Survivorship bias can lead to over-optimistic beliefs because failures are ignored, such as when companies that no longer exist are excluded from analyses of financial performance. It can also lead to the false belief that the successes have a special property, rather than being just lucky.

Many fund statistic studies only include funds in existence today, and this has material impact on the number of funds beating the market. In Europe, around 3,500 funds have been launched in each of the past 10 years and 2,400 have closed. Fund groups tend not to close down successful, high-performing funds.”

Check back on this blog for future media comment from Alan Smith and the team at Capital Asset Management.

Interested in this article?

Why not speak to one of our helpful advisors today to discuss how we can help you

Speak to an adviser today

Sign up to our blog

Each month our expert team create insightful content to help you navigate the world of personal finance. Sign up now to be the first know when we have a new article available.

Related Articles

Here are some similar articles we think you'll find interesting.

CAPITAL LIFE

The 5 financial mistakes that are costing you your future today

by Chelsey Southern

Managing your current and future finances successfully can be a minefield in today’s economic climate. There are a..

READ
CAPITAL LIFE

The 5 financial mistakes that are costing you your future today

by Chelsey Southern

Managing your current and future finances successfully can be a minefield in today’s economic climate. There are a..

READ
CAPITAL LIFE

Should you take your state pension now or defer it for more money later on?

by Don Fraser

There are already 12.6 million adults claiming the State Pension and the Baby Boomer wave of 1946 to 1964 still due..

READ