Past Performance Does Not Guarantee Future Results: Popular Quote/Disclaimer Explained in One Minute @OneMinuteEconomics
Past Performance Does Not Guarantee Future Results: Popular Quote/Disclaimer Explained in One Minute  @OneMinuteEconomics
Uploaded November 2019 | Updated September 2026, 25 minutes ago
You have most likely at the very least occasionally come across the (in)famous quote about past performance not guaranteeing future results. Let's just say it's one of the most commonly-used one-sentence disclaimers in the world of finance.

Perhaps it is your broker who told you that past performance does not guarantee future results, maybe it was someone who sells indicators, it doesn't really matter.

What matters is understanding just how true the quote is.

There is a world of difference between simply stating you understand that past performance doesn't guarantee future results and internalizing this principle. Time and time again, investor roll their eyes when you mention this "obvious" quote, yet the same investors seem to ignore it completely a few days or weeks later.

Make no mistake: if you don't meaningfully "get" that past performance does not guarantee future results and incorporate this axiom into your investing strategy, the market will not be kind to you. Which is why, in just one minute, I've explained what it is all about in a way which should leave little room for interpretation :)
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Past Performance Does Not Guarantee Future Results: Popular Quote/Disclaimer Explained in One Minute

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