Can Mutual Fund Efficiency be the premise of selecting your Winners and dropping Laggards?
I compiled a chart right here with heatmap. Let’s see if this assertion holds.
Chart of Mutual Fund Efficiency – Final 12 months return each half yr foundation
What seems to me is that on this comparative heatmap foundation, if an asset class turns into inexperienced, it’s time to transfer to the opposite aspect.
Or, ought to or not it’s guess on the property which have turned pink or a shade of it?
Or, ought to we simply diversify as we don’t know what is going to work when?
Now, how would your funding portfolio change on the premise of this info?
Do you assume utilizing “reversion to the imply” foundation might be used for choosing the asset class / fund? (Winners develop into laggards and vice versa)
Wanting ahead to your feedback.