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Investing/Strategies / Retirement Investing
|Subject: Re: Withdrawal rates in retirement||Date: 4/3/2008 8:59 AM|
|Author: alchook||Number: 62117 of 77876|
You make his point.
In a well allocated portfolio why would you pay to have it managed when you can buy the World index for about 1.5% less then you pay for a managed account (1% plus an extra .5% for the yearly expenses in the managed fund).
You obviously do it to see if you can beat the index. Whether that's realistic or not is debatable.
Keep in mind, of course, that it's quite possible to do indexing poorly as well. I've read lots of columnists touting the advantages of indexing who recommend putting most of your assets into an S&P 500 fund. The S&P 500 is up about 20% over the past four years.
How often do you see TMF comparing the success of its newsletters to the S&P 500?
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