Mutual funds or index funds reddit

Take a closer look at Schwab Target Date Funds. We offer two series of mutual funds targeting retirement dates in five-year increments: Schwab Target Index 

Returns from 2009 to 2017 average out to 11.55% a year for the index funds (CDN, US, INTL, I skip bonds) vs 22.71% a year for the 3 funds I linked above. I know the MER's of the mutual funds are high and past returns are no indication of future returns, but it's hard to ignore numbers like these. The Vanguard Total stock index has a very small amount of small cap US stocks. You need to include Small Cap Value index in your portfolio as one of your 5 no matter what. Read Paul Merriman articles where he gives all sorts of data that show this is best performing asset class over last 100 years. For mutual funds, the standard advice is to go with a low fee index fund. The first one I heard about, and the one I have a lot of my investments in, is VTSMX. There's an even lower fee version called VTSAX which you can get directly through Vanguard. No fees for buying and selling Vanguard's mutual funds. No tax or penalty for shifting among investments within a retirement account. After you meet the opening balance requirement for a fund ($1K for target date, $3K for other mutual funds), you can then add more in smaller amounts.

I am curious what value there is in offering index funds for nothing to customers. It seems a little suspect on the face of it. Like, is there going to be some sort of 

An index ETF will provide more tax advantages than index mutual funds because mutual fund managers often distribute taxable gains at the end of the year. "The challenge for individual investors is The big differences between an index fund and an actively managed mutual fund are the investment objective, who (or what) manages the investments and fees. Here's the difference between index funds and mutual funds and why an index fund will almost certainly be a better investment than an actively managed mutual fund. These are regular mutual funds, which can be availed without a Demat account and also through SIP method. Theses system offer better liquidity and stability. The above are the ways to invest in index funds, other than that there is one prerequisite to investing in index funds, which is KYC compliance. If you're saving for retirement in a Roth IRA, index funds and mutual funds are two of your investment options. Both help diversify your portfolio, but they have very different investment Index funds can be a great place to begin building a portfolio of mutual funds because most of them have extremely low expense ratios and can give you exposure to dozens or hundreds of stocks representing various industries in just one fund. Therefore, you can meet the initial goal of getting a low-cost, diversified mutual fund. Find out why funds offered by Vanguard, the leading provider of low-cost mutual funds, index funds and ETFs, are good for your portfolio.

Many popular index mutual funds also have equivalent ETFs. Compare VTSAX to VTI. One is a mutual fund and one is an ETF but the goal, expense, etc. of both 

Dec 3, 2019 Jim is probably one of the leading experts on Fidelity mutual funds in the United States and I come at this with a little bit of expertise about  Oct 23, 2016 And while a 401(k) plan might offer a small collection of plain-vanilla mutual funds that, say, track a major stock index or invest in bonds, the  Dec 19, 2018 “Impact investment” funds advertise great returns and social impacts. an impact investing fund and a general index fund, and decide if they're  Over the last five years, the S&P 500 Growth Index has returned 14.22% per year. Another option is to invest in one of the many mutual funds that focus on  Nov 24, 2019 With equity mutual funds in Canada “boasting” an average MER of Use Index Funds that are already individually diversified to build your  Sep 9, 2019 Index funds may sound intimidating, but they're really just a type of mutual fund, an all-in-one investment that diversifies your money across a 

Take a closer look at Schwab Target Date Funds. We offer two series of mutual funds targeting retirement dates in five-year increments: Schwab Target Index 

Apr 25, 2019 Recently, Indiabulls launched Nifty 50 ETF, while DSP Mutual Fund has increased its offering in the space with twin funds — DSP Nifty 50 Index  Nov 25, 2016 Target date funds are portfolios — usually made up of mutual funds much higher annual costs than, say, stock and bond index funds also  Dec 27, 2016 The compound annual growth rate for stocks on the S&P Index for the last 30 years has (Note: you'll get an entirely different view from hedge funds or mutual funds. Cruise around on the Reddit Personal Finance forum. If your closed-end fund is actively managed to outperform a benchmark index, There are two types of mutual funds — open-end funds and closed-end funds. Take a closer look at Schwab Target Date Funds. We offer two series of mutual funds targeting retirement dates in five-year increments: Schwab Target Index  Dec 3, 2019 Jim is probably one of the leading experts on Fidelity mutual funds in the United States and I come at this with a little bit of expertise about  Oct 23, 2016 And while a 401(k) plan might offer a small collection of plain-vanilla mutual funds that, say, track a major stock index or invest in bonds, the 

The big differences between an index fund and an actively managed mutual fund are the investment objective, who (or what) manages the investments and fees.

Today everyone is screaming to invest in index ETFs. People argue to not even think about it, to just do it. In general I think not thinking about your investments is   Apr 4, 2019 Reddit's June challenge is all about checking on your investments, For those who don't know, an index fund is a mutual fund that tracks entire  Jun 11, 2018 19 answers to 19 investing questions from Reddit users. Are you using index mutual funds or ETFs? Are you willing to use U.S.-listed ETFs or  Feb 5, 2020 Index funds: An index fund can be a mutual fund or ETF; either way, your investment will track the performance of an index. This has led many  Jan 7, 2020 Vanguard has been commission-free on all of its mutual funds since 1977, “ Now, many competitors use low-cost index funds as loss leaders 

I assume you mean ETFs versus mutual funds? There's plenty of ETFs that are index funds. If you have a taxable account at any other brokerage than Vanguard,