"Smart money" are defined as the funds controlled by investors who should have special knowledge of the right kinds of investments to make. Essentially, the term refers to funds controlled by insiders or to institutional money. The implication is that if the individual investor can figure out where the smart money is going, he or she can follow suit and make above-average profits.
Given that the Dow Industrial is down 33.5% over the year and group average for 2935 International Stocks funds on morningstar.com is -45.1% over the same period should we still consider these money "smart"?
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