History Is Bunk
Fund A grew 15 percent a year. Fund B grew 3 percent. Don't be a sucker and buy Fund A.
Browse the entire Bad Advice series here.
The bottom line: Although common sense suggests that scrutinizing past performance should enable you to select funds that will perform well, it usually won't. There are some instances in which past performance is a good predictor of future performance: with index funds, for example, or in cases in which a fund's good results are due to low costs. In most cases, however, past performance is irrelevant.