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To: Dinesh who wrote (118001)2/22/2014 5:17:45 PM
From: BiomavenRead Replies (1) | Respond to of 118717
 
>>wasn't much evidence. But there is

I was deliberately cautious about the way I said it. It's a difficult statistical question to decide whether or not managers' positive performance carries over from year to year, because there are of course a few (like Buffett and SImons) whose performance does carry over. So the question becomes whether there are more outperforming managers than you would expect by chance.

I know enough statistics to know that questions like this are not easily answered. All you can say is that on average there is little correlation between one year's outperformance and the next.

Peter