Optimal Finance Daily - Financial Independence and Money Advice cover image

1774: What You Should Know About Index Funds by Kumiko of The Budget Mom on Total Stock Market Investing

Optimal Finance Daily - Financial Independence and Money Advice

00:00

Index Fund Investing - What You Should Know About Index Funds

Index funds have lower expense ratios, but how do they perform compared to actively managed mutual funds? While an index fund will generally match the index, it could vary a little depending on the ratio of stocks owned. 82 point one four % of actively managed funds have under performed the s m p 500 over the past five years. So called expert on manager's due to so passive investing is not only more cost effective than active investing, you'll typically enjoy better portfolio performance as well.

Play episode from 05:51
Transcript

The AI-powered Podcast Player

Save insights by tapping your headphones, chat with episodes, discover the best highlights - and more!
App store bannerPlay store banner
Get the app