Professional money managers can make mistakes with their money too

Are managers of large investment funds good investors on a personal level? Not necessarily, says Patrick Augustin, Associate Professor of Finance at McGill Desautels. “There can be a correlation, but also not,” says Augustin. “It’s very difficult to beat the market, on average. We see people doing it, but it raises the question of is it luck, or is it skill? That being said, we can always limit mistakes. And financial education can help limit them.” In a recent episode of the Money Talks podcast, Augustin expands on these ideas while also discussing his role as Academic Director of the new Master in Management of Finance in Luxembourg.