TY - JOUR T1 - Luck versus Skill JF - The Journal of Investing SP - 27 LP - 30 DO - 10.3905/joi.2002.319521 VL - 11 IS - 4 AU - Dennis M. Bein AU - Brett H. Wander Y1 - 2002/11/30 UR - https://pm-research.com/content/11/4/27.abstract N2 - If a manager has an outstanding track record, how can we tell how much this past success is due to luck versus skill? The complex nature of active portfolio management makes this assessment very difficult. This article provides a conceptual framework for thinking about this issue. A meaningful track record should reflect a significant number of investment decisions. It is not sufficient to simply outperform over what might appear to be a significant time horizon. ER -