After the market closed on Friday, I noticed that PXLW was featured in Barron's.
Barron's also featured a piece about monkeys picking stocks better than "professional" managers.
It sounds outlandish, but there are several reasons why:
1. Most fund managers are trying to manage too much money with too few resources. This leads to mediocre stock-picking discipline.
2. They lean on Wall Street research too much. Benjamin Graham explained why Wall Street research is no better than throwing darts. See my Methodology for more this.
3. The easiest way to not lose clients is to not take chances. So, most of America's money is managed in a way that is meant to simply match the stock market's returns. They take the safe money instead of doing what they were trained to do (mainly because Main Street investors scurry at the first sign of losses, even if the long-term track record shows big consistent gains).
4. Add in the other duties the portfolio managers need to perform (regulatory, accounting, marketing, sales, etc) and it's easy to understand how monkeys could do just as well.
Take the power back into your own hands.
Disclosure: The author is long PXLW.