RT Journal Article SR Electronic T1 Luck, Skill, and Investment Performance JF The Journal of Portfolio Management FD Institutional Investor Journals SP 131 OP 134 DO 10.3905/JPM.2009.35.2.131 VO 35 IS 2 A1 Bradford Cornell YR 2009 UL https://pm-research.com/content/35/2/131.abstract AB This article presents a simple procedure for assessing the relative impact of luck and skill in determining investment performance. The procedure is then applied to the large-cap value managers. The results are consistent with earlier work that suggests that the great majority of the cross-sectional variation in fund performance is due to random noise.TOPICS: Portfolio construction, statistical methods, mutual fund performance