Eisler
One possibility is that investing skill exists but is very hard to identify. The biggest asset managers would love to hire the people with the most investing skill, and they have the most money to pay those people, but they can’t find them in any particularly reliable or comprehensive way. Somewhere out there is a person who’s spent years running a 4 Sharpe ratio at her $5 million friends-and-family hedge fund, or her Robinhood personal account, but she never gets a job at a big hedge fund. Why? Perhaps there is no way for information about her performance to ...