Consider taking a core-satellite approach to investing for your 2014 investment outlook.
Forget the flashy actively managed funds. For retirement, the Obamas use index funds.
In 2008, Warren Buffett bet that an index fund would beat a fund of hedge funds over a ten-year period. Right now, he’s winning.
In a competition against professional stock pickers and students, Orlando the cat handily won with his stock picks in 2012.
Even in the best of times, there’s always someone with a dire prediction for the stock market.
Index funds have, on average, returned more to investors than actively managed funds this year. That’s mostly due to the fact that they cost less.
I know nothing about cars. Short of becoming educated about modern fuel-injection engines, I walk into service stations like a willfully ignorant lamb. It’s all a vast mystery, and I’m surprisingly OK with that. Thus far, it’s worked out well — my car runs. Case closed.
It’s much more difficult to gauge service on products that are more abstract than cars. Things such as 401(k)s, individual retirement accounts, taxable brokerage accounts and the universe of investment options therein can be confusing. Not only that, the people paid to service these accounts, financial advisers, may benefit from the confusion.
Last week, Vanguard launched a Target Retirement 2060 Fund aimed at those people 18 to 20 years old who expect to retire 48 years from now. Most of the people reading this and I will be pushing up daisies by then, but for anyone just starting out in life, this is a great retirement planning
A team of economic researchers at Harvard University and Yale University rounded up MBA students and staffers and asked them to choose which index funds were the best investments. Despite having loads of experience and lots of brain power — the MBA students were from the Wharton School at the University of Pennsylvania, one of
To paraphrase Henry Louis Mencken, no one ever went broke underestimating the intelligence of the American people. Does that explain the overwhelming popularity of actively managed mutual funds compared to index funds? No – according to new research from Robert F. Stambaugh, a finance professor at the Wharton School of the University of Pennsylvania. Stambaugh