Thursday, February 3, 2011

Mark Cuban: Asset allocation is for suckers

Blogged the Dallas Mavs owner:

"That is a suggestion for a 'moderate investor'. Let me translate this all for you. 'I want you to invest 5pct in cash and the rest in 10 different funds about which you know absolutely nothing. I want you to make this investment knowing that even if there were 128 hours in a day and you had a year long vacation, you could not possibly begin to understand all of these products. In fact, I don't understand them either, but because I know it sounds good and everyone is making the same kind of recommendations, we all can pretend we are smart and going to make a lot of money. Until we don't.'

"Asset allocation is about making you a sucker."


Wall Street's new lie to Main Street – Asset Allocation
By Mark Cuban
January 24, 2011 | blog maverick

URL: http://blogmaverick.com/2011/01/24/wall-streets-new-lie-to-main-street-asset-allocation/

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