Why Most Investors Are Earning Less Than They Think — And What to Do About It
Most investors believe they’re coming out ahead. They point to the extra income they’ve earned through investing—vehicles, vacations, college tuition—and assume that the time spent reading investment books, watching financial news, and meeting with advisors is paying off.
But are they truly outperforming?
For 40 years, I was in this same category. I even ran a trading group for a time. Yet, despite all the effort, I still couldn’t beat the S&P 500—which, let’s be honest, should be the bare minimum benchmark for determining real investing success. After all, anyone can buy the S&P. If your strategy doesn’t beat it, are you really making money?
Here’s the truth that many investors don’t want to admit: 85% of investors underperform the S&P. The average investor earns returns that are five percentage points below the index. Despite the time, research, and energy spent, the results are simply not keeping up.
Why? Because picking high-performing stocks or funds is hard. And identifying long-term winners is even harder.
So what’s the solution?
You need a strategy that does the heavy lifting for you. One that:
- Picks the stocks
- Continuously improves over time
- Doesn’t rely on timing the market
That’s where a model comes in.
For over 26 years, the Stars Model has delivered results. In fact:
- Over the last 14 years, it has outperformed the S&P by an average of 19 percentage points per year
- Over the past 10 years, it beat every ETF by an average of 10 percentage points annually
If you’re serious about growing your wealth and tired of underperforming, it’s time to take a smarter, proven approach.
Learn more about the Stars Model in my book, Earn Twice the S&P, and dive deeper into the results on my website: www.leeekholm.com