By Jay Mooreland via Iris.xyz

Every year Barron’s gets together a roundtable of “Wall Street’s Smartest Investors” to make stock picks for the coming year. I honestly don’t know what makes them the “smartest”, but one thing I can tell you – it isn’t performance.

2018 Scorecard

In early 2018, Barron’s had nine experts recommend securities they believed would outperform the market. The group made a total of 49 recommendations. The worst portfolio of recommendations by an analyst ended up losing 29%. The best was up 10%. If you had invested in the Smart Investor Index (invested equally across all 49), you would have lost 11.4%.

This compares to a total return performance of the S&P 500 of -4.4%. That is some significant underperformance! I am not even sure a dart throwing chimp (or a group of them) could match that underperformance. Actually – that would be a worthy experiment. It could be “World’s Smartest Investors” versus “A Random Sampling of Chimps”.

Click here to read more on Iris.

Subscribe to our free daily newsletters!
Please enter your email address to subscribe to ETF Trends' newsletters featuring latest news and educational events.