Is Passive Investing Enough?

[@JW-se7br]

Listening to this guy talking about active investing has made me even more sure that passive is the way to go…

[@SteveMoore1969]

Steve Clapham was a hedge-find manager. Is selling his dying industry belief. If your tempament is to gamble, and after 5 years you fail to beat a bank account.. You will double-down and pay and hedge fund (who will fail to beat the market due to fees)

[@superslip103]

I agree

[@james2450]

Totally! Picking your own 15 stock portfolio sounds like a disaster waiting to happen!

[@Abdul_Rahman86]

He never gives a clear cut answer. I’m 100% into passive investing!

[@superslip103]

@@Abdul_Rahman86 yes he seemed to say you can actively invest, but do it with a small amount initially and use it to learn and make mistakes. This sounds more like Ramin's "Fun portfolio", which should be 10% only. Also, he said "if you learn a bit, you can do pretty well". But he didn't say you can beat the market. So why not just match the market for less work and risk? He said "passive investing is like hanging onto the coat tails of lunacy", but this lunacy has beaten active investors 90% of the time for 50 years. It was all a bit too hand wavy for me. I don't really know why he was on the podcast, to be honest.

[@ATA12354]

Well done Damo, this guy was all over the place, and rather the usual nodding away (which we all usually do too at home), you called him up on his points, nailed him on his contradictions and backed up the data that supports passive investing like you had the numbers on the back of your hand. Class interviewing 👏👏

[@DamienTalksMoney]

Thank you so much. I will admit I could have pushed back more it’s a fine balance being polite but assertive and it isn’t one I have found yet. But I really appreciate the support and I’m glad you enjoyed the chat

[@kw8757]

@@DamienTalksMoney A few awkward moments in that interview, but it was really interesting, very enjoyable.

[@rjScubaSki]

@@DamienTalksMoneyI don’t think you should have published it

[@MUNRO13]

People index because in the long term, it’s a sure thing. Or as close as it can be. Picking stocks is not for the masses. And we all know that most professional investors DO NOT BEAT THE MARKET.

[@kippsguitar6539]

For a different reason to retail investors, they have liquidity constraints, you certainly can beat the market with experience as a retail investor

[@Abdul_Rahman86]

I agree 100%. I spoke to a colleague who works in wealth and portfolio management. He told me his job is not to make massive returns, his clients are multimillionaires who know nothing about the stock market. His job is to beat inflation, preserve the wealth of his clients, and they only allocate a certain percentage of their money

[@ackibear]

I am forcing my way through this video. I keep yelling at my phone as he is only proving more and more why everyone should buy index funds.

[@Abdul_Rahman86]

What an amazing podcast!!! I’m a passive investor and this is very thought provoking. Here’s my take why I choose passive vs active. 1) money, I only invest £500 per month and I don’t see a major return on my money at that low contribution. 2) personality, I like to own many stocks. 3) simplicity. 4) I understand that there will definitely be undervalued companies but I know that my emotions and personal bias will definitely play a role. 5) this is just my personal reason why I’m passive. 6) time, my entire portfolio is in a sipp which I can’t access for 34 years, I imagine that I’m sure it’ll be worth more than. (No one knows). 7) time and effort, there’s a lot of work that goes into researching individual shares. 8) Most importantly, 95% of hedge funds have never ever beaten the market over the long

[@kalvaxus]

On paper, he's right. However he's not mentioning 'risk'. There's a lot of "as long as.." which is 80% of the hardest part. Also he's probably familiar with quite a high income, where he can easily lose money. Like if you only have 300 pounds left every month, I'd probably not even try stock picking.

[@Robert-ob1mp]

pick a stock a year to look at and see where it goes 🤷‍♂

[@andrewkemp_]

Sensible guy right here! Don’t listen to this guy who casually tells you it’s okay to lose money and speculate!

[@paulwillson3081]

This one was super fun, I never knew Martin O’Neil was so opinionated on active investing 😅

[@Tbc810]

It's funny how 100% of active fund managers believe they are in the top 10%... Buying an index fund doesn't mean you're loading up on expensive stocks and avoiding cheap stocks. It means you're buying stocks in accordance to their free float market capitalisation. No more and no less. I think what the guest is referring to is that the market awards a higher discount rate to the future earnings of companies that it (the market) perceives as risky, and an investor can theoretically increase their expected returns by loading up on those companies. It's simply a nod to value investing, which is academically sound but practically flawed.

[@tomlewis1017]

And funnily enough, if you ask these professional investors which other managers they would trust with their own money, they would probably just shrug their shoulders. Even they aren’t fully confident in consistently beating the market.

[@Mountainmaniavision]

I think there’s another aspect to this which isn’t being properly understood. If you have the ability to produce alpha (outperformance) consistently you are not going to sell that alpha to retail investors in the form of mutual funds. It just isn’t going to happen. Can retail investors buy shares in the Medallion Fund run by Renaissance Technologies? No, of course they can’t.

[@adamobrien12]

So what Steve is saying is that people in the finance industry make things sound really complicated whereas for only £1,197 you could attend his three courses that'll allow you to beat the market. Suspicious.

[@Bml_l]

Wow, some spicy takes in this one. Well done sticking to your guns Damo

[@johnjones6890]

Excellent job about taking him to task, guys!

[@davec3974]

If you can generate alpha by learning a bit about valuations and stock picking, then why do institutions packed with the world experts in this domain still usually fail at it? It's almost as if stocks are efficiently priced by the market... Seriously, taking this guy's advice will lead most people to financial harm and possibly ruin. It's irresponsible to even give him a platform, in my opinion.

[@superslip103]

Yep…exactly

[@wallysta]

The reason is two fold. 1 - The 2&20 fee structure. 2 - As he describes in the interview, if professionals deviate too far below the index, even for a short period of time people withdraw funds, so they can be hamstrung about holding too much of anything, when large cap growth is smashing every other asset class

[@JoeBloggs-yo9ou]

Big institutional investors are often driving the market with their buys and dont have the liquidity to get out of positions in a pinch if the markets turn sour. Smaller Independent investors and traders have much more potential to outperform the market than the big guys.

[@jc74435]

You don’t know whats expensive and cheap. The market does

[@darrengreenacre1142]

"I dont want to go into detail" ... Red flag for me there.

[@GuybrushThreepwood79]

Describes something as "easy" then goes on to point out all of the difficulties in doing it. Not only that, highlighted how much time it took him when doing it as a *checks notes* FULL TIME JOB!

[@jey_stone]

This guy just needs to be confronted very slightly on his opinion and his answer changes completely. He contradicts everything he says. Good job on pushing back on his point's, Damien.

[@nk9070]

As a financial plannner I can also confirm he is talking absolute nonsense 90% of the time. The contradictions are quite alarming

[@mccannger]

On the subject of outperforming the market, I always think of this quote: "luck seems like skill in the short term, but reveals itself in the long term". As Jack Bogle said of index investing, "don't look for the needle in the haystack, buy the haystack". To my mind, have a 10% 'fun' portfolio and leave the rest invested in the index and let time do the heavy lifting and win you will! As Einstein says, compounding is the 7th wonder of the world! Another golden rule to remember is: "you get what you don't pay for", i.e. keep fees low, low, low! There is no mystery to investing, start early as possible, save to the point it hurts a bit, automate your investment contributions, i.e. set it and forget it.

[@Dinin53]

Went from telling the average investor that with a little bit of time and intelligence, they could see better returns, to saying that the average investor could never do what I do. Also, if a stock is massively undervalued and then a multi-billion dollar hedge fund buys a sizeable stake in it, won't that in itself jack up the price? It's like someone predicting a pint will fall over and then shaking the table.

[@DamienTalksMoney]

The pint analogy is brilliant

[@Mountainmaniavision]

Total cope by industry insiders who want you to pay for high fee funds or buy training on how to stock pick. If you want to index cheaply without using market cap as your weights just buy an equal weight index. If you believe in value factor buy value ETFs. Dude needs to post his own personal profit and loss count vs MSCI world over 20 years. I won’t hold my breath.

[@Mountainmaniavision]

Armies of fund managers and equity research teams with CFA charters and masters in finance *routinely fail* to touch the returns of their benchmarks over more than a couple of years in a row. If successful consecutive stock picks worked as a way of building your lifetime wealth nobody would bother going into other industries. I feel like this is total parallel reality stuff.

[@scottysrunningworld]

I can already tell this is going to be a very controversial eposide 10 min in

[@JohnBeeblebrox]

Fantastic conversation. Respectful challenges AND coherent/detailed reflections. Although I'm a bit of an Index fanboy I love hearing these sorts of well thought out "contrarian" views. Additionally, it seems your backroom team deserve a big shoutout 😊 (I retired 4 months ago and am very much a supporter of what you're doing...Keep it up).

[@rjScubaSki]

It wasn’t well thought out.

[@iCozzh]

This guy is genuinely handing out BAD advice. If youre going to invest in priv companies please keep 85% in the s&p500 etf. Play around with a small amount in singular companies if you must, dont bet the farm. Isnt worth it.

[@ThrowBackZone]

This video got me thinking: if passive investing is so straightforward, why are so many people still losing money?

[@DanRobards]

Love Damo absolutely bodying this kook 😂

[@Msqump]

The video is amazing, the way he bodies him is extraordinary. He does it with sheer elegance. When you think he can't body him any more, Damo goes and bodies him on the next level. Spot on with the comment Dan, great insight

[@ben11409995]

You can really see Carol's frustration with the active/passive argument. Nice one for keeping open and fair debate whilst not being afraid to ask the blunt questions about active management claims

[@gyundoanyumer1800]

I’m curious how much money he made by active investing. If active investing is the way to go why he tries to make money by teaching active investing through courses and podcasts. Total bulshit. Even the best of bests Buffet says invest in S&P 500 and never look back. Id rather listen to successful investors not investing teachers. Stopping the video at 18 min.

[@shaunfletcher7620]

No he doesn’t - he says for ‘most people’ it is the best way. He doesn’t do it himself, nor do any of the other highly successful private investors, nor ISA millionaires etc. The people out there who can successfully value businesses and have time, patience, the correct temperament and a strong stomach, should be able to easily outperform the market (Especially now the decades of artificial stimuli are behind us and an actual real investing cycle will be experienced by the vast majority of investors for the very first time). And just to pre-empt - it’s obvious on here that people do not know the difference between private investor and fund manager.

[@gyundoanyumer1800]

@@shaunfletcher7620He doesn’t do himself but advises others to do it 😂😂😂. He knows that he cannot beat S & P 500 in the long run but advises others to come to buy his courses (he didn’t promote himself in this video but that’s what he does in his website)🤣 and try to time and beat the market…

[@shaunfletcher7620]

@@gyundoanyumer1800I’m talking about Buffet, who has annihilated the S&P500 in the long term. If you took the time to actually listen to him rather than the evangelical passive only crowd, he says that the vast majority of US investors should just invest in the S&P500 as they won’t have the knowledge or temperament to navigate the market - However, anybody with a good understanding and the correct disposition should be able to comfortably outperform it in the long term.

[@fcruz_]

A very powerful message about the likely wrong expectations of an 8% average return in the next 10-20 years. This will kill the plans of many current passive investors in their 30s+ doing their calculations based on those returns. Beware of that situation as it is very likely scenario to happen.

[@peezpeez1317]

I doubt he was a good fund manager otherwise he would be retired with his billions and not be selling his expensive investing courses.

[@Msqump]

Wind your neck in and get back to work

[@JW-se7br]

This guy is giving major dodgy car salesman vibes

[@Marenqo]

It's not that we "don't understand" but that we don't have time!

[@leticiaenraz8514]

My advice to everyone is this : if you want to grow big this year especially in your finances. Be willing to make investments. Saving is great but investing puts you on a pedestal where you wouldnt have to worry about savings as you do now. Thanks to larysa Caba, my portolio is doing really great and im proud of the decisions i made last year.

[@bigelbow4854]

I feel one Of the greatest challenges that we first timers face in the ma rket is that we end up losing all we have,making it difficult to find ourselves back to our feet. My biggest advice is to always seek the services of a professional just like I did when I ventured into it for the first time. Big thanks to Larysa Caba. I now make huge profits by weekly through her services while still learning to stand on my own.

[@fred5528]

I think she trades for everyone I meet. I met her twice at a meeting in Germany and after her lectures from Ella I had to personally ask her to be my financial advisor. she is definitely good.

[@annddyyy-6920]

I have never seen a trader as open and transparent as Larysa Caba with her clients. The way she decides to make a profit for her clients. she allows you to express your fears and she still rests your fears and that is my respect. I don't normally comment on videos, but this word should be included. she is really cool.

[@jasperflontes4289]

I just looked up her name online. she is licensed with credible certificates and has an amazing track record. Thank you for the message.

[@annddyyy-6920]

I feel this is quite an easy one. You already have her name which makes it easy for you. Just look up her name online. I’m sure you will come across her. That’s how I found her too.

[@chrisbarlow5968]

95% of fund managers do not beat the market ... Listening to this guy, I can see why .... It's easy to beat the market , just understand the basics 😂

[@kw8757]

And the other 5% won't beat it consistently over any meaningful time period.

[@VictorLaszlo-iz3il]

95% of fund managers don't get burned.

[@hachimaru295]

They try to make the big bucks with illiquid stocks and then everyone gets burned when they all reach for the exit door

[@andrewkemp_]

The worst part of the interview is he is casually saying to people it’s okay to lose money when you make some mistakes. Wrong, you you should put in passive index and expect returns. Do not take this guys advice please!

[@davem.4003]

Be careful. It is equally invalid to expect passive funds to rise almost constantly. Passive funds are a reflection of the wider market; they can and do fall and they will fall further. That is going to be a big challenge for investors that have been guided to invest in passive funds while we have been in a bull market for several years. I'm not suggesting that the approach is wrong, I don't think it is but it will be interesting to see how many can hold their nerve (including me) through "thin" as easily as through "thick".

[@kieron8051]

Damo is a fiend for the index. It is known. Index is a great way for people to get involved, efficient and cheap. I’m personally 70% index funds, 20% individual stocks and 10% crypto. Like you guys said on the crypto episode, having the exposure to crypto can amplify the overall portfolio performance and I’ll add that the same can be said for individual stocks. I only have one individual stock now, but I’ve learnt some lessons along the way for sure. Keeps it interesting and feeds my desire to learn and research. It’s also opened up a community of individuals with a similar interest, in my case, space!

[@DamienTalksMoney]

Massive fiend 🤣

[@banksarenotyourfriends]

​@@DamienTalksMoney you absolutely are though, and just look at the comments from all the people you've groomed

[@clarenceishmael9615]

I really enjoyed this one. He put an interesting perspective around the active/passive debate. Basically if you know what you're doing you can beat the market and if you don't stick to index/ETFs. Pretty much what the Munger and Buffet have been saying for years.

[@Mountainmaniavision]

Can you explain why the vast majority of active managers who have degrees in economics or maths plus CFA charters and years of industry experience routinely fail to match or beat their index? Do they just not know what they’re doing?

[@clarenceishmael9615]

@@Mountainmaniavision they're obviously not the creme of the crop!

[@shaunfletcher7620]

@@Mountainmaniavisionbecause they are managers of a fund - not private investors - the fund will have mandates on what it can invest in and there are limits on the maximum percentage of each holding (Both by the fund and by law) - The passives will therefore have almost obviously outperformed in these conditions as most as their percentages have grown at a very concentrated way and with a massive tailwind of money printing. Going forwards it is unlikely to be the same investing landscape so will be interesting to see how things pan out.

[@lightweightben]

I have moved my pension to entirely indexed linked funds (but half in a specific theme). The fees are the problem. I get much more return on passive investing because the fees are so much lower and the returns are not much different. The difference between a 1% annual fee and 0.2% annual fee on a $1m balance is $8000 of fees a year. Now compound that over 30 years and you’re talking hundreds of thousands lost in fees.

[@BaileyMxX]

Yet the best performing fund out there would charge you 5% management fee and 40% performance fee and still net you a more than 30% return. Jim Simons renaissance, medallion fund. Proof that if the performance outperforms then fees are largely irrelevant. Still would have turned $100 into more than $2million in 30 years

[@lightweightben]

@@BaileyMxX cherry picking the best performing fund is not useful, how do you know they are going to be the best performing forever? Low fees and good general performance of passive investing means it’s a win. But of course active investors want to steal your money that’s the entire way they make their money. Passive is the easiest way to invest in good businesses with low fees and relatively high returns.

[@Robert-ob1mp]

having messed around with individual stocks for the last 4 months I myself have had a great deal of mistakes which have cost me a lot of potential returns. As a result of this though, I now have a better feel towards how dividends, quarterly reports, changes within a company etc. contribute towards sways each day and am glad that I took the dive now when I have as little money as I do😅 Worth giving what he's saying a go - at the time of writing this, most global index ETFs have made ~1%, Rolls Royce has risen >8%, the National Grid has gone up >18% and Tesco has soared almost 20%. I only wish I recognised value in some of these companies 3 months ago!

[@mooremoneymakin]

Pretty happy to just index and chill

[@sebastianj1521]

If the passive investment is buy experience shares so why very litle money managers get better results bit index

[@xaldath4265]

I absolutely love the pushback on the fees *and* the impact of working to earn more versus spend it trying to eek out a few extra basis points with much great downside.

[@petercorral19]

Such an interesting perspective to hear, haven't finished it yet though. Thanks so much for the upload 🙏

[@rjScubaSki]

Its garbage

[@coderider3022]

5-6% above inflation over decades is good enough for me, isn’t that the point of passive investing ? Channeling my inner Ramin…… what he says theoretically possible only.

[@gmauceri47]

Very useful and practical suggestions.Since I am planning to invest 10.000 euros in NVIDIA, I have already booked a flight from Italy to Santa Clara to discuss with the managers of NVIDIA their future plans.

[@johnristheanswer]

Buying shares at the top has proved a winning strategy over time. I`ll keep buying the indexes.

[@kaiserphoenix01]

Basically if you're Rich, go for Active as you will have connections to the best managers and funds that are not really accessible to the usual folk. If you're a normal person, stick to Passive.

[@coderider3022]

Dave Ramsey is a rich guy , has tens of millions invested and talks about his portfolio which appears to be equally weighted to large and small. I don’t think your end portfolio would be much different unless it’s aggressive private equity for risky stuff.

[@RichieBenno]

I saw an interview with Ken French and he said it takes around 64 years to know if a hedge fund manager can beat the market and is truly skilled. How can the average joe know if they are doing the right thing picking stocks?

[@dafruk1]

45ish minutes in when theyre talking about real returns dropping off is what worries me. With DC pensions being the norm we're all reliant on the market continuing to go up to fund our old age so it will be a huge issue.

[@theflyingscott1]

I got a distinct impression from the podcast interviewers but they were fixed on passive investing and their questioning a little bit defensive. The guest was clearly trying to state that with passive investing you have a ceiling whereby success will be limited by whatever the broad market does over a specific period of time. However, for skilled stock pickers, there is no ceiling and no limit to how much money can be made. I think the conclusion that can be made from this interview is that the majority of people must accept that they are distinctly average at best and just should stick to passive investing. For people who are talented and with an eye for numbers like those in accounting, finance, business etc., then they are far more likely to make more money than the mass population. There is no need to be defensive or pedantic about this realization. After all, does the average person believe that they can make better food than a Michelin star chef? Stock market investing is no different. The majority are amateurs and there are a few top guns out there who make mass fortunes.

[@michalsladek8809]

-if you get average market return you will be above average investor (by far) -unlike almost any other profession / activity higher education, effort and time spent and does not usually bring better results in case of stock market investing- so stock market is vastly different

[@theflyingscott1]

@@michalsladek8809 with respect I disagree. I myself am one of the people who I refer to as being distinctly average. I'm a geologist by profession and I don't have the time nor the inclination in training myself to be more financially astute and to be able to stock pick. However one of my closest friends, who is a foreign exchange dealer in Aldgate, London has grown his SIPP and his partner's from £350,000 cash investments in each one respectively to over £1 million in each SIPP pension in approx a decade. The majority of people simply cannot do this. And as much as we hate to admit it, there are people in the world who are incredibly talented and hardworking and can do this decade after decade. That is simply the point I'm trying to make. Passive investing is great for the majority but there are some people who can actively invest and destroy all benchmarks. Admitting that there are incredibly talented people in this world seems to offend and insult many. yet talent is a fact of life. I wish I had more of it in this sphere so that I could grow my investments at a faster rate than I am currently doing 🙏🏻

[@rjScubaSki]

The guy is an absolute clown of a training scammer who has been given free advertising. Its disgusting.

[@carlyndolphin]

Why most active managers can’t beat the market then?

[@nickflemming-nichol908]

I think this guy doesn't quite understand the normal investor. No six weeks of analysis is possible, no great market knowledge, jobs in industries other than the small area of finance that would help. Professional investors fail to beat the market, individual investors have little chance and most shouldn't risk it with the vast majority if their funds. Great job with the interview - challenged well but stayed respectful. Makes me even happier with my choice to invest everything in passive index funds (except employer share save schemes!)

[@it05y25]

I mean the obvious question is "If you can reliably beat the market why the fuck are you telling anyone your secret?" I don't think sombody smashing life at multibillion dollar funds and beating the market would realise there's more money to be made training people... More like his own funds didn't outperform the market with much consistency.

[@chrisballUKtoNZ]

ohhhhhhhh yooooo T man.... that first buzzer was tense hahahhahaha i felt the pain (but i also already knew what P/E ratio is)

[@st.george007]

I once heard Buffet say you should invest like you are only allowed 25 trades in your life.

[@Felikios]

Passive investing is safer I cannot think how it disrupts/affects the market though since as passive investing grows the big companies have stable buyers no matter what. I believe in passive. You can have 5-10% to play with stocks so you leave the rest of portfolio alone and boring. But be prepered for ups and downs :)

[@regresscheck]

The guy is either delusional or dishonest to listeners. Given that he sells courses, definitely the latter.

[@coderider3022]

Always suspicious of people like this who claim success. They should be on a sunny beach without a care in the world if their approach works.

[@brightbluesmurf]

As an active investor it's very hard to convince a passive index investor that you can make better returns over the long term. Maintaining an active portfolio of cheap stocks can be a tough challenge (l built a portfolio during the lock down and I've just had to be patient to see the recovery). Is that bargain a stinker or something that can be turned around? When do l buy? When do l sell? So a passive index fund is something I'd just recommend to most friends and leave individual stocks to people that will spend the time and effort needed to keep the plates spinning.

[@rjScubaSki]

You’ll fail

[@JoeBloggs-yo9ou]

​@@rjScubaSkinot necessarily. Those that put the time in to learn how to invest properly wont in the long run, however most people wont put the time and effort in which is why most who pursue investing in individual stocks fail since they dont complete the learning curve.

[@Crox-bd3pt]

Investing in a low cost index Global Index tracker makes Sense. Good luck picking the future winners. Twenty five years ago, one of the biggest mobile phone companies was Nokia, Yahoo was the largest search engine in the world. When Smartphones came along The leader was Blackberry. In terms of scale, Where are they now?

[@darude1420]

It's very interesting listening to both sides of the story. I started investing in individual stocks a few years ago, and really felt the pain, especially in the 2022 bear market and from that I learnt a lot. I have been gradually moving all my stocks to global index funds over that time, there are just a handful of positions in bad companies left where I'm waiting to "break even". But I can see that with patience in top companies how much higher the returns can be. I'm therefore happy to leave a fixed amount invested in just 2 or 3 individual stocks for several years (or until it is way overvalued) but will continue to long term passively invest in global funds. I value time with family more so I can't research and keep tabs on any more than just a few stocks.

[@JohnBlackburn1975]

I think we makes an interesting point when he says there is no guarantee the stock market will continue to go up long term despite the fact that this is an article of faith for many. We may be in for decades of Stagnation. Don't know if this is true but interesting to challenge the orthodoxy that stocks are a one way bet if you invest over decades

[@markwilliams8058]

US market apart from the magnificent 7 have not really grown since covid, so you'd expect the S&P 500 index will explode as interest rates in the States get cut and these other 493 companies come through to fruition. I'd rather back the S&P for now. Yes America is dominant and other nations are looking competitive China, Indian etc but not there yet. Also, Dave Ramseys babystep is probably the best advice I've followed, and now in baby steps 7, I expect to improve my position with indexes and ETF's.

[@topsparks4794]

Guy is talking waffle, the pros ain’t beating the market much better than passive investors, stay passive don’t listen to this dude

[@juliat50]

I have made a lot more in individual stocks/Bitcoin personally. Taking profits has been the key for me. I also hold index funds and money makret funds to tame the volatility.

[@JoeBloggs-yo9ou]

Individuals stocks and other assets are how one outperforms the market however people have to know when to take profits and to cut losses to manage their risk and reward ratio. The best traders often make triple figure % returns anually and they arent doing that by buying and holding, they are doing it by hopping in and out of the market and diligently managing risk.

[@walkingmadman]

A great interview and a different view point. If only there was an index fund for under valued stocks lol

[@Car-guy307]

Half of active fund managers underperform the passive index approach!

[@PhillCurtis]

Dont forget hes selling you something. Take everything with a pinch of salt. Think how many of your viewers will think hes a reasonably guy, let me use his training course..

[@UKGeezer]

I gave you a like for your pushback, not for the advice this guy was giving. As an educator, he should be much more cautious about suggesting index funds are not always appropriate for the average Joe. I get was he was driving at, but he should of made it crystal clear that his suggestions about individual stocks are not appropriate for most people.

[@paulturner4419]

Notice that he doesn’t really mention risk management and when to sell. I doubt his personal strategy has been tested in an extended bear market.

[@manwithaplan6224]

I find index funds are automated so easy to cost avarage into every month. Picking can be fun, but it is time-consuming and harder to do on a constient basis.

[@torianvil9594]

“As long as you pick the right stocks, you’ll do better than the index” Genius! Why didn’t I think of that! 🫠

[@BaileyMxX]

Everyone looks a genius in hindsight 😂

[@NirmalSingh-bk6ss]

Red Notice by Bill Browder , fantastic book!

[@DeputyChiefWhip]

This guy is talking about a casino!

[@andyodoherty1323]

I have 33 stocks one of which is FTSE100 short and another two are UK Gilts

[@paraponon]

It's FEWER than 15-20 stocks, not less than 15-20 stocks!

[@minimad8793]

Although an alternative view on the stock market and next level stuff visiting companies, I don't think he is the best for the target audience you cover guys.

[@carlyndolphin]

I’m sure a few active managers can outperform the market, but personally I’d rather receive a lower return and buy a passive index

[@kw8757]

Even if they beat the market, they can't do it consistently over a period of time. And how do you know in advance who is going to beat the market? You can't know. Indexing for me too.

[@TheUnluckyGama]

Most have to beat the index by 1-2% annually to even break even. It's just unsustainable long term

[@stevenkavanagh4347]

I take the view that the index includes some dogs- so if a portfolio is constructed excluding them then it would be likely that you beat the index.😃

[@clansey1973]

Sunlight is the best disinfectant, I guess. Giving this man exposure isn’t probably very wise. Didn’t come over very well did he?! 🙈

[@Travel_Day_Dreams]

The take away from this conversation seems to be that if you want to stand a chance of making a better return than the market then you need to invest large amounts of time & effort learning about businesses you are interested in, invest very selectively after looking extensively into their financials, then hold the stock for a long time. That hardly sounds like the average investor does it? Passive still seems to be the only way the average investor can see a reasonable return on the money they've invested in the long term, or we could just Yolo Gamestop again and shut our eyes.

[@hachimaru295]

witht the least stress too esp during a downturn

[@nickjoslin1466]

If you listen to this guy, he does speak sense. At least to me anyway!

[@PhillCurtis]

"Its great fun" "it might be a hobby" It will be, right until those people lose money. Then theyll be burnt by the market and have wasted time.

[@Sean-y9c]

Reassurance not to actively manage a portfolio 😂

[@husein9115]

If this chap is a successful professional investor - why is here essentially trying to sell his training courses? Can’t he make his money investing?

[@Chipchap-xu6pk]

Hedge funders get to fly over to the company and talk to their execs. The market in general gets quarterly earnings. This is bordering on insider trading and this information imbalance is why I'm going to steer away from stock picking.

[@hachimaru295]

and they pick more dodgy stocks with less regulation but hey its not their money .......... havent seen neil woodford down the dole office

[@davidandhelen4657]

Yeah, not convinced.

[@Goady1000]

How do I reduce my tax bill? I do lots of overtime so am I higher rate tax payer now

[@rjScubaSki]

Shove it in your pension

[@Goady1000]

@@rjScubaSki hmm but the government already put 29% of my pay into it for free

[@Steven-jn2cw]

Well well well, what have we here? Ah yes a typical active fund manager who thinks he is better than everyone else. His answers were all over the place and he contradicted himself on multiple occasions. To be fair he did make some very good points too, but he was not very convincing overall.

[@Michael-lu9eu]

Hi Damo tehe! 🎉

[@stephenhails1731]

🍿

[@archieman123]

Now further convinced to stay in an index then. I’m sure this fella is excellent at what he does but I’m not 😂

[@67eamonn]

This guy's thesis (if you can call it that) is so riddled with provisos and contradictions to render it worthless.

[@RoryMcveigh-b6i]

Bit too sure of himself.

[@dar4171]

Your body language says you aren’t convinced by this guy’s views. 😂

[@867171090]

It's like listening to Trump in even more annoying accent. I spent 2 years understanding a stock market to make my conclusions that I am much better off with my index funds I have on Vanguard than my fun stock portfolio. He is a perfect example of snobby fund manager who realised that he is not that good of investor and stopped managing funds and started selling his stupid courses because he can make more money from it than managing funds.

[@Dr.JubairsFinance]

First!

[@lukeb9637]

This dude seems mega defensive all the time. Handled well though!

[@keithclunk3125]

@5:20 Damo poses the key question most likely held by every investor, including me, but was interrupted by .. well, you know who. Problem is that guy is so inexplicably obtuse that he doesn't even realise that was the critical question to pose.

[@martinturner9720]

But he did answer that - professionals don't do better because their timescales are completely different to passive, and in the main, much shorter. Pretty whingy stuff

[@Steven-jn2cw]

This guy is speaking BS

[@rjScubaSki]

Training scammer. If you have run out of decent people to interview, just don’t bother. 1. Have you outperformed the benchmark index? 2. Why are you not running a fund?