Dumb Money Beats Smart Picking Big Winners in Stocks This Year
- Seven of the top 50 retail favorites have risen at least 50%
- Hedge funds score two, and both are also big with mom-and-pop
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Looking for the smart money in equities these days? Try taking a peek at your next-door neighbor’s portfolio.
A basket of the 50 most-popular stocks among individual investors has rallied 13% this year, compared with an 8.7% gain for a gauge of hedge fund favorites, data compiled by Goldman Sachs Group Inc. show. While both exceed the benchmark S&P 500 by wide margins, the scorecard is good news for the recently emboldened retail class.