Indexing as a brute force solution to stock picking

If you think about it, indexing is a brute force solution of the problem of picking stocks. It is difficult to know which stocks will do well and which ones won’t, so your best bet is to buy them all and hope the aggregate return is positive. You can extend this idea across asset classes as well by diversifying your portfolio.

via Success by Exhaustion – Of Dollars And Data at Of Dollars And Data