Future investment returns are unknown and past returns are useless as a criteria in investment selection.
Conventional wisdom tells us that a skilled financial expert who is in tune with the economy and markets can develop a useful market outlook and can have some success in predicting future returns of stocks. Clients expect their advisors to make forecasts, but at Financial Plan we adhere to the the efficient markets hypothesis, meaning that we do not believe that anyone knows the future price direction or magnitude of any security or market. We console ourselves with the fact that neither does anyone else!
In our professional opinion, the way to enhance returns is to eliminate the factors that drag them down: Risks, Costs, Taxes, and Mistakes.