How hard is it to beat the market? Even AI can’t do it.

Advanced ➔ Results FA CenterHow hard is it to beat the market

Many ETFs and stock s use artificial intelligence in an effort to get an edge

But most still don’t outperform their benchmark

ETResizeListen(6 min) Photo: Getty ImagesArtificial intelligence is an amazingly powerful tool for — but it’s no match for human-run investment management

Here’s why: If one investment firm was the only one of its Wall Street peers utilizing AI, it’s conceivable that it could beat the market

But when nearly all firms are using the nology, as is becoming the case, then the arithmetic of active management guarantees that the average manager will lag the market

The Author Mark HulbertMark Hulbert is a columnist for MarketWatch

His Hulbert Ratings service tracks investment s that pay a flat fee to be audited

Terms of Use DPrivacy NoticeCookie Notice MarketWatchCustomer Center UsNewsroom RosterVirtual Stock ExchangeMarketWatch GuidesCopyright PolicyManage NotificationsCancel My SubscriptionCompanyDow JonesCode of ConductCorrectionsRes & LicensingDigital Self ServiceYour Ad ChoicesCorporate SubscriptionsAccessibilityDow Jones NetworkThe Wall Street JournalBarron'sInvestor's DailyBigChartsFinancial News Londonrealtor

ComMansion GlobalDow Jones Smart MoneyIntraday Data vided by FACTSET and subject to terms of use

Historical and current end-of-day data vided by FACTSET

All quotes are in local exchange time

Real-time last sale data for U

Stock quotes reflect trades reported through Nasdaq only

Intraday data delayed at least 15 minutes or per exchange requirements.