Published on 26 Sep 2020 on Simply Wall St. via Yahoo Finance
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Investors can approximate the average market return by buying an index fund. Active investors aim to buy stocks that vastly outperform the market - but in the process, they risk under-performance. Investors in Insurance Australia Group Limited (ASX:IAG) have tasted that bitter downside in the last year, as the share price dropped 33%. That contrasts poorly with the market decline of 7.5%. However, the longer term returns haven't been so bad, with the stock down 19% in the last three years. Unhappily, the share price slid 3.3% in the last week.