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After costs, only the top 3% of managers produce a return that indicates they have sufficient skill to just cover their costs, which means that going forward, and despite extraordinary past returns, even the top performers are expected to be only as good as a low-cost passive index fund. The other 97% can be expected to do worse.

Active management leads to lots of poor investor behavior. It sends people chasing after whoever has the hot hand at the moment.

The data strongly suggest that very good years in the U.S. stock market are followed by more good years.

The average investor does significantly worse than a simple index... It's literally because of the way our brains are wired.

You, your employer and your plan's investment managers fail to follow even the most basic rules of investing. You overtrade, chase performance, do not think long term. All of you - All Of You - have done a horrible job managing your retirement plans.

There's more honor in investment management than in investment banking.

Never stop investing. Never stop improving. Never stop doing something new.

Too many investors overvalue companies in the near term while undervaluing them in the long term.

My advice to the average investor in 1988 is to be patient and think long-term. It will take 18 months for confidence to get better and, in the meantime, this is absolutely no place for short-term money.