10 Truths Mutual Funds Can't Admit

Nice synopsis by Barry Ritholtz over at the "Big Picture" of an original "Marketwatch.com" article  by Ian Salisbury titled "10 Things Mutual Funds Won't Say".

Here's Barry's Summary of the original article:

10 things mutual fund companies won’t say

1. “Cheap funds often outperform pricey ones.”

2. “We can’t beat the market.”

3. “When skill fails, we just double (or quintuple) our odds.”

4. “People aren’t buying our product…”

5. “…except when we pay them kickbacks.”

6. “Hedge funds are our idols.”

7. “Our boards are rubber stamps.”

8. “Blame us for runaway CEO pay.”

9. “We played a starring role in the financial crisis.”

10. “Our lobby crushed bipartisan efforts at reform.”

I'll add perhaps the most important point to this list that should have been included but wasn't,  ETFs are for the most part much cheaper than your average mutual fund.  Point 1 in the original article is talking about cheap mutual funds relative to their more expensive brethren.