Why does Roxborough Capital not use low-cost index funds?
Index funds came to prominence as the result of empirical evidence that suggests the markets are “efficient” and that outperforming the broader market is difficult to achieve over time. The basis for this stance is the notion that investors are rational, and as such, the price of a stock reflects all of the publicly available information about the company at that point in time. Without an information edge, investors should seek to invest in properly valued stocks at the lowest possible cost.
