Monday, 9 March 2009

Kay (again)

FT columnist John Kay has a new book out, "The Long and Short of It", which is notable for having one of the worst covers ever known on a book and being a wise but rather difficult read.

This is surprising given that that book is intended for the general reader. Indeed, it is more impenetrable than his previous book, which explained (quite brilliantly) how all of the world's economies work.

So for the even more general, general reader, it is worth a read of this article by Kay n the Sunday Times, which summarises most of his main points.

- most professional fund managers are not able to outperform the market
- all they do is follow conventional wisdom (this is their learning and advice)
- so there is no need to pay them fees
- it is not *that* difficult to learn the basics yourself
- and it will probably be the best paid work you ever do

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