In the light of these logical facts, it is indeed amazing that the average mutual fund has 77 positions. More important, their top 10 holdings represent just 25 percent of assets. Over one-third of mutual funds have greater than 100 positions each. 12 It is no wonder that 80 + percent of mutual funds consistently lag the S&P 500 Index. It is also no wonder that fewer than 1 in 200 mutual funds delivers long-term annualized performance that beats the S&P 500 by three percent or more. 13
