Buy What You Know?

When Peter Lynch managed Fidelity Magellan fund he inspired investors to “buy what you know.” Years later he changed his tune advising that the investing “would be better off in an index fund.”

Recently the Wall Street Journal revisited the concept in an article entitled “How ‘Buy What You Know” Can Burn Investors.” It seems that individual investors can’t find a way to successfully beat the market.

Read the WSJ article (subscription may be required)

Don McDonaldComment