Like managed funds? Reading this might change your mind
Today the index fund debate continues with two posts: One posing new questions for pro-indexers -- and this -- featuring the writings of John C. Bogle of Vanguard fame.
If, like me, you invest in actively managed funds and have not yet studied Mr. Bogle's findings, you owe it to yourself to read this post...
Be forewarned: After reading Mr. Bogles arguments, you may be tempted to swear off actively managed funds forever! Here's the link...
Three Challenges of Investing: Active Management, Market Efficiency, and Selecting Managers.
My thanks go out to JC for bringing this link to my attention. See JC's comments to this post for further reading recommendations.
- Read the post that got it all started
- Learn how to submit your post to the debate
about - feedback - disclaimer
• VirtualBank gives you up to 5.13% APY for your savings!
• Blue Cash from American Express: 5% Back on Gas, Up to 5% cash back on eligible purchases, No Annual Fee, 0% Introductory APR for 6 months, Pay over time
• Try Starwood Preferred Guest Credit Card from American Express. Great rewards and first year fee free!
• Bad Credit Home Loans
• Life Insurance in 10 minutes if qualified. No medical exam.
Thanks to everyone who has already contributed to the index fund debate. I believe many readers, myself included, are benefiting from your comments. Pro-indexers are building a good case for indexing long-term investments -- but what do you recommend for someone facing retirement, with a ... Read
Today the index fund debate continues with two posts: One clearly pro-index -- and this from Fidelity Observer -- asking pro-indexers for their response to new factors that make managed funds more compelling. Any takers? Read
Over time, are all actively managed funds a loser's game? Are investments in index funds -- like the S&P 500 -- really as smart as pundits lead us to believe? Answers to these questions impact my pocketbook. And after viewing reader's thoughtful comments to my ... Read
Several readers posted comments to my recent: Why I no longer own an S&P 500 index fund. Most comments pointed to the benefits of index funds and asset allocation. And a number of comments challenged the thinking behind my preference for actively managed funds. At ... Read
The problem I've had with managed funds have been those pesky fees and other costs. I've heard people brag about making 10% in XYZ. When I look it up, it shows 2.5% expense ration. Add to it inflation at 3% and all of a sudden, they're really making 4.5%/year. How is this better than just buying a 10 year treasury or 30 year treasury?
Personally, I prefer ETFs with the lowest expense ration possible.
My personal favorite is QQQQ. You can also write covered calls on it to further enhance your portfolio.
