“How Do Fund Companies Hide Their Poor Performers?”

Many investors get pulled into a portfolio or fund that has performed well, only to find that they don’t ever enjoy the returns that were described. Today, Paul answers a question about why fund companies never seem to have poorly performing funds. Paul shares that mutual fund companies phase out “bad” funds and hold onto good ones, which gives investors the impression that they will get in on the past performance of an investment.   Paul pivots to the news that gold has gone up, but that doesn’t make it a good investment now. Paul explains relative loss, a concept that will help you understand that when your account goes up, that doesn’t mean it performed well or that you even received the return of the investment you’re in.    Want to cut through the myths about retirement income and learn evidence-based strategies backed by over a century of data? Download our free Retirement Income Guide now at paulwinkler.com/relax and take the stress out of planning your retirement.   This material is for general educational purposes only and is not personalized investment, financial, tax, or legal advice. Past performance does not guarantee future results. Nothing here is an offer, solicitation, or recommendation for any security or strategy. All financial decisions involve risk, and you should consult qualified professionals before acting on this information. Advisory services offered through Paul Winkler, Inc., an SEC-registered investment adviser.