Charles Ellis published the attached article in August 1975 in the Financial Analysts Journal. It is a discussion about investment management.
The material is just as relevant today as it was in 1975. With so much information readily available now on the internet, the competitive field for investment performance has been significantly leveled.
The relative advantage of institutions has been diminished by the internet and the pervasiveness of data. The real advantage in the current environment is owned by institutions and individuals who understand the data as well as behavioral biases. Controlling behavioral biases has grown in importance for those, both institutional and individual, who seek to enhance their investment performance.
I consider an important reading of any serious investor.
Reading is fundamental to success. Enjoy!
