Few dispute the power of a strong brand. During a trip to the supermarket we place a bottle of branded tomato sauce into our trolley instead of the supermarket’s private label brand, even though it is more expensive. This though the taste of the private label brand may be more similar to the branded product than we realise.

Similarly, when investing we may take comfort in choosing a fund that is managed by a large fund manager whose brand we recognise, even though their product may be similar or even poorer than a competing offering that is less well known...

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