For those that have taken to indexing over the last several years, we have John Bogle, pioneer of indexing and founder of The Vanguard Group and Vanguard index funds, to thank. A recent study by Standard & Poor’s revealed that “actively managed mutual funds beat their benchmark index in 2009. No surprise here: Just [...]
Category Archives: Active Versus Passive Investing
Avoiding Mutual Funds Fees and Retire Earlier
Tuesday, March 9, 2010
The more you read, the more you will uncover the ongoing discussion of how mutual funds are being challenged to reveal the true costs of investing in them. As an article I recently ran across by Ruthie Ackerman demonstrates, “Ask a broker why 12b-1 fees exist and you’ll get a variety of answers. The fees [...]
Behind Closed Doors – The Untold Story About Diversification
Monday, March 8, 2010
Have you ever been a part of one of those trusted conversations where you become privy to information that is so powerful it would disrupt the status quo?
Think of the conversations that occur behind closed doors at the White House, corporate boardrooms or U.S. Central Command. We all understand that there are elements of those [...]
Trusting Yourself With Buy and Hold Investing
Saturday, February 27, 2010
Jason Zweig of the Wall Street Journal recently wrote an article ‘Will We Ever Again Trust Wall Street?’ that brilliantly steers one to consider employing a buy and hold investment strategy over an actively managed portfolio. “Buying and holding a diversified stock portfolio still makes sense. Paradoxically, as fewer people cling to their faith in [...]
An ETF is a Great Investment Choice
Saturday, February 27, 2010
When evaluating your investment choices and trying to understand ‘what is an ETF?’ it is in your best interest to read a recent article in USAToday ‘Is an ETF the right investment for you? Look beyond the hype’that defines exchange traded funds and warns investors on types of ETFs to steer clear of. For those [...]
Mutual Fund Fees Siphon off 33% – 50% of Your Money Within 10-15 Years
Tuesday, February 16, 2010
Perhaps the typical 2% management fees charged by mutual funds and financial advisers don’t look too damaging at first glance-especially if you believe the managers will deliver on their market beating promises. But because of the Law of Compounding, taxes and fees paid to Wall Street to “beat the market” will compound over time and [...]
