Better than beta?

摘要

What exactly are fund managers selling? At heart, they are offering exclusivity. In the complex world of financial markets, the client wants the best brains to look after his money. Picking the right fund manager is like shopping at Saks Fifth Avenue or having your shoes made by Ma-nolo Blahnik. But unlike a posh retailer, a fund manager cannot guarantee to provide a superior service year after year. Indeed, he cannot even be sure of offering a positive real return. All too often, clients hand over their money to managers that have performed well in the past, hoping that this superior record was down to skill rather than luck and that it can be replicated in the future.