Thread: Investing Poll
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Old 05-20-2007   #23 (permalink)
ryberg
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Join Date: Sep 2002
Location: wandering between the Village Vanguard, NYC, 1961 and the Plugged Nickel, Chicago, 1965
Posts: 10,841
Glad you figured out the poll stuff.

For those trying to figure out if they should trust some mutual funds manager or a broker with their money or go the DIY route, as your poll options seem to imply, you want an index fund. At this link, the Motley Fool folks, who will tell you you should have your head examined if you go with any kind of mutual fund that's not an index fund, say:

Quote:
During the 1990s, the S&P 500 has provided an annualized return of 17.3%, compared with just 13.9% for the average diversified mutual fund. . . . S&P index funds have garnered a lot of attention over the last couple of years for good reason. The Vanguard S&P 500 fund has outperformed over 90% of all domestic equity mutual funds over the past three and five years (and a much higher number if you include bond and international equity funds).
With an index fund, once you choose the fund, you're done, and you don't have to pay a manager basically anything. They're very cool.

You can hear them deride all non-index mutual funds in humorous fashion at this link, as well, if you like.

Steve
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