Comments on: We Should Buy Index Funds Instead of Stocks Even If We Can Beat the Market http://moneyning.com/investing/we-should-buy-index-funds-instead-of-stocks-even-if-we-can-beat-the-market/ A personal finance blog where we share insights on carefully saving money, investing, early retirement, mortgages, stocks because the little things matter in achieving financial freedom! Sat, 21 Nov 2009 10:57:14 -0800 http://wordpress.org/?v=2.8.6 hourly 1 By: cj http://moneyning.com/investing/we-should-buy-index-funds-instead-of-stocks-even-if-we-can-beat-the-market/comment-page-1/#comment-2898 cj Mon, 19 Nov 2007 12:21:37 +0000 http://moneyning.com/investing/we-should-buy-index-funds-instead-of-stocks-even-if-we-can-beat-the-market/#comment-2898 what stocks shold i buy what stocks shold i buy

]]> By: MoneyNing http://moneyning.com/investing/we-should-buy-index-funds-instead-of-stocks-even-if-we-can-beat-the-market/comment-page-1/#comment-2677 MoneyNing Thu, 08 Nov 2007 22:02:28 +0000 http://moneyning.com/investing/we-should-buy-index-funds-instead-of-stocks-even-if-we-can-beat-the-market/#comment-2677 Raj: There are many people that can beat the market. There are just many more people that don't. Good luck with your investments and I hope you are one of the people that are better than average! Randall: It's often very hard to separate everything. You are special so cherish that talent! Raj: There are many people that can beat the market. There are just many more people that don’t. Good luck with your investments and I hope you are one of the people that are better than average!

Randall: It’s often very hard to separate everything. You are special so cherish that talent!

]]> By: Randall http://moneyning.com/investing/we-should-buy-index-funds-instead-of-stocks-even-if-we-can-beat-the-market/comment-page-1/#comment-2668 Randall Thu, 08 Nov 2007 11:36:03 +0000 http://moneyning.com/investing/we-should-buy-index-funds-instead-of-stocks-even-if-we-can-beat-the-market/#comment-2668 I don't feel (personally) that the two are related; The urge to save vs. the desire to invest. I invest in mutual funds rather than stocks, but that $5 Starbucks coffee still hurts. It's kind of the "Penny Wise, Pound Foolish" but in reverse. I pay careful attention to the investments, but take MORE care in buying stuff. I don’t feel (personally) that the two are related; The urge to save vs. the desire to invest. I invest in mutual funds rather than stocks, but that $5 Starbucks coffee still hurts. It’s kind of the “Penny Wise, Pound Foolish” but in reverse. I pay careful attention to the investments, but take MORE care in buying stuff.

]]> By: Raj http://moneyning.com/investing/we-should-buy-index-funds-instead-of-stocks-even-if-we-can-beat-the-market/comment-page-1/#comment-2655 Raj Wed, 07 Nov 2007 18:54:31 +0000 http://moneyning.com/investing/we-should-buy-index-funds-instead-of-stocks-even-if-we-can-beat-the-market/#comment-2655 I think you can beat the market. I think it happens a lot. You can be a value investor without utilizing index funds. I recommend reading the Intelligent Investor by Benjamin Graham. Raj <a>PersonallyFinanced.com</a> I think you can beat the market. I think it happens a lot. You can be a value investor without utilizing index funds.

I recommend reading the Intelligent Investor by Benjamin Graham.

Raj
PersonallyFinanced.com

]]> By: MoneyNing http://moneyning.com/investing/we-should-buy-index-funds-instead-of-stocks-even-if-we-can-beat-the-market/comment-page-1/#comment-2648 MoneyNing Wed, 07 Nov 2007 18:11:53 +0000 http://moneyning.com/investing/we-should-buy-index-funds-instead-of-stocks-even-if-we-can-beat-the-market/#comment-2648 Carl: Great testimonial for index funds! :) I think they are great and something that works for 98% of people out there. However, I bet 98% of people buy stocks since it is more exciting! Carl: Great testimonial for index funds! :) I think they are great and something that works for 98% of people out there. However, I bet 98% of people buy stocks since it is more exciting!

]]> By: Carl http://moneyning.com/investing/we-should-buy-index-funds-instead-of-stocks-even-if-we-can-beat-the-market/comment-page-1/#comment-2641 Carl Wed, 07 Nov 2007 14:06:35 +0000 http://moneyning.com/investing/we-should-buy-index-funds-instead-of-stocks-even-if-we-can-beat-the-market/#comment-2641 Very few people can actually beat the market on a regular basis. Even professional investors (active mutual fund managers) on average underperform the index funds mainly because they charge fees for their efforts. The main reason I would choose index even if I could do better (and I cannot) is that the stock market should be a long-term fire-and-forget type investment, not a speculation. If you invest actively, you are always preoccupied with the market and there is always an itch to make a trade. Even if the trade is sound, you lose some money on commissions and fees. I think of my stock funds with a 30 year horizon. I hope to structure my finances so I will not need to touch my shares. I rather spend time with my family or work on my career than fret and worry about stock price. That I think is the true beauty of the index fund. Very few people can actually beat the market on a regular basis. Even professional investors (active mutual fund managers) on average underperform the index funds mainly because they charge fees for their efforts.

The main reason I would choose index even if I could do better (and I cannot) is that the stock market should be a long-term fire-and-forget type investment, not a speculation. If you invest actively, you are always preoccupied with the market and there is always an itch to make a trade. Even if the trade is sound, you lose some money on commissions and fees.

I think of my stock funds with a 30 year horizon. I hope to structure my finances so I will not need to touch my shares. I rather spend time with my family or work on my career than fret and worry about stock price. That I think is the true beauty of the index fund.

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