It is said to be difficult to achieve returns surpassing the S&P 500. Only about 12% of actively managed funds have been able to exceed the S&P 500 over a long period of 15 years or more in the past. However, it is possible to outperform the S&P 500 in the short term of one year, and this report will explore how to achieve this. How can you surpass the market average? Let's consider.
In 2024, the S&P 500 rose by 23% to close at 5881.62. It was a fortunate market where it ended with over 20% increase for the second year in a row. According to Bloomberg data, only 10 out of 44 hedge funds surpassed the return of the S&P 500. While each company has its own investment strategies, the two companies that achieved top performance are using macro strategies.
Macro strategy involves analyzing the overall movements of economies, financial markets, political situations, etc. in countries and regions worldwide, and is an investment strategy that involves trading in financial markets such as stocks, bonds, currency, commodities, and futures markets. I explain these movements on YouTube every day and communicate the overall direction. What becomes important then is individual stock investments and...