Index Funds vs Picking Stocks. Thirty Years Of Data. One Clear Winner.

Eighty-eight percent of actively managed large-cap funds underperformed the market over the last fifteen years. Over twenty years, that number climbs above ninety percent. We run thirty years of real data — the dot-com crash, the 2008 financial crisis, the pandemic — to find out what actually wins. The gap is much larger than most investors realize. Narration in this video is generated with AI (ElevenLabs). This video is for educational and entertainment purposes only and is NOT financial advice. Chapters: 00:00 Hook 00:59 The Setup 01:57 The Research 06:19 The Simulation 09:24 The Behavioral Tax 11:52 The Verdict 13:35 Subscribe Sources: - S&P Dow Jones Indices. SPIVA U.S. Scorecard. Mid-Year 2023: https://www.spglobal.com/spdji/en/research-insights/spiva/ - Buffett, W. Berkshire Hathaway Annual Shareholder Letter. 2016: https://www.berkshirehathaway.com/letters/2016ltr.pdf - Dalbar. Quantitative Analysis of Investor Behavior (QAIB). 2023. - Bogle, J. The Little Book of Common Sense Investing. Wiley, 2007. - French, K. R. (2008). The Cost of Active Investing. Journal of Finance: https://doi.org/10.1111/j.1540-6261.2008.01368.x - Fama, E. F., and French, K. R. (2010). Luck versus Skill in the Cross-Section of Mutual Fund Returns. Journal of Finance, 65(5), 1915–1947. About CashCinema: CashCinema explores money, markets, and the math behind the decisions everyone makes. Every dollar has a story. Subscribe: https://www.youtube.com/@CashCinemaHQ More simulations: https://www.youtube.com/@CashCinemaHQ/playlists #IndexFunds #StockPicking #PassiveInvesting #InvestingStrategy #CashCinema

Added 23 May 2026