The popularity of exchange-traded fund (ETFs) grows by the day. These baskets of stocks, bonds and other assets offer low costs, intraday tradability and plenty of diversification. They’re wide-scale investments at the push of a button. No wonder investors big and small, across the globe, have poured more than $4 trillion in assets into ETFs.
Investors who zero in on their portfolio’s bottom line are missing the point, and they could be pressured into making a costly mistake.
Vanguard, long considered the king of low-cost indexing, has lost its throne—for the time being. In what must be a vexing twist for the Malvern, Pa., fund firm, which has long trumpeted the importance of low fees, the crown for the lowest-cost index funds now belongs to Schwab.
Wednesday is officially here, and that means we could all use a little mid-week pick-me-up. So who do we turn to for some inspiration? As investors, that answer is almost always the wise and successful Warren Buffett, a man whose success on Wall Street is matched only by his positive outlook on life.
Two recent court decisions serve as a good reminder that just because your 401(k) plan provider is likely scrutinizing its fees these days, it’s under no obligation to offer you the lowest-cost investments available.
Make sure your portfolio’s design is truly “modern,” because the stock market is a completely different world than it was in the ’50s, when the theory of diversification (which many advisers still follow) was developed.
Corporate America is firing on all cylinders, but share prices are high and so are risks.
Most of the financial advice you see focuses on telling individuals what they need to do to be a success in retirement. Read more
A handful of stocks is responsible for virtually all the gains in the stock market since 1926. The rest…
This column, like most articles about investing, usually tells you where to put your money—which stocks, bonds, sectors or asset classes are likely to yield superior returns in the future. What the pundits typically ignore is where not to put your money. Which investments should you shun? But I take up the challenge and identify four categories that you should avoid.