The attached paper to be published in the Journal of Financial Economics, Do Stocks Outperform Treasury bills?, authored by Hendrik Bessembinder (May 2018), Department of Finance, W.P. Carey School of Business, Arizona State University is an elegant answer to the critical question of “Why Stock Market Investing is So… Hard”!
To quote from the paper: ” …the best-performing 4% of listed companies explain the net gain for the entire US stock market since 1926..”. The results highlight the important role of positive skewness in the distribution of individual stock returns! Click the link below for a PDF copy.