The Average Investor Lost 3.1% In 2015 [INFOGRAPHIC]


Contrarian investors pride themselves in running a different direction than the majority of the pack. They find opportunities in asset classes that are universally hated by the masses, and try to carve out their own convictions by downplaying popular sentiment.

H/T Visual Capitalist

The Average Investor Lost 3.1% In 2015

Here’s a few insights from 2015 that come from their data:

Vanguard’s move into PE may change the landscape forever

Private equity has been growing in popularity in recent years as more and more big-name funds and institutional investors dive in. Now even indexing giant Vanguard is out to take a piece of the PE pie. During a panel at the Morningstar Investment Conference this year, Fran Kinniry of Vanguard, John Rekenthaler of Morningstar and Read More


1. The average investor in the U.S. was down 3.09%.

Here’s the breakdown of performance by region:

 

About one-third of total investors made money on the year, while two-thirds lost money on the year. Regionally, the Southeast did the poorest over 2015, mainly because of an overexposure to energy in their portfolios.

So far, the average investor is already down 5.1% in 2016 YTD:

Performance YTD in 2016

2. Older investors did better in 2015.

Performance by age

In a risky and volatile year, it is no surprise to see that more conservative and experienced investors did better. Openfolio’s insight here is that younger investors tend to concentrate more on individual stocks, and lack portfolio diversification.

3. Teachers had the best-performing portfolios.

Teachers were the best-performing profession in 2015

Energy professionals particularly suffered, likely because of overexposure to the oil patch in their investment portfolios.