We know two things for certain when it comes to the stock market. The first is that, eventually, the market will go down. The second is that when there seems to be a new pundit on the scene each week, claiming the market will go down, one of them will eventually be right. As you read the sky-is-falling headlines that plague financial news and consider what this means for your portfolio, keep in mind that you would be better off consulting the wisdom of a penny and not reading these articles at all.
Rick Ferri’s study shows that a heads or tails decision-making strategy would leave you better off than listening to the “experts” in Gurus Achieve an Astounding 47.4% Accuracy! As well as the esteemed penny has performed though, after taking into account the associated costs, it still underperforms a properly diversified buy and hold strategy.