Index Funds are for LOSERS (Seriously)

[@FelineAirstrip]

ETF's are taking up more and more of my investments as I move closer to retirement. Will probably go 80% ETF's at some time - just cannot be bothered with individual stocks. Are there better strategies to invest for retirement?

[@WestonScally7614]

If you know enough to pick the winners from the loser in a market area (tech, transportation, finance, etc.), definitely do that over an area index fund. Talking to an expert is a better way to plan for retirement portfolio.

[@SaintYvess]

Opting for an inves-tment advisr is currently the optimal approach for navigating the stock market, particularly for those nearing retirement. I've been consulting with a coach for a while, and my portfolio kept increasing by 10% monthly.

[@FelineAirstrip]

pls how can I reach this expert, I need someone to help me manage my portfolio

[@SaintYvess]

*Victoria Louisa Saylor* is the licensed advisor I use. Just search the name. You’d find necessary details to work with to set up an appointment.

[@HarryBishopm]

I searched for her name on the internet, found her page, and reached out via ehmail to schedule a conver-sation. Thank you.

[@dunk8157]

If I could go back in time I would start again with just a Global or S&P500 index fund. I've wasted so much time and energy trying to pick the best funds or stocks and overall they have not performed as well as if I had just gone for a basic ETF. The thing is there is a massive industry that wants us to buy their funds as if we all swicthed to ETFs they would all be out of a job. Its like a massive secret that ETFs are not only cheap but the best option.

[@ALiBi212x]

My buddies love bragging about the growth they've gotten with specific stocks, but for some mysterious reason, they never want to talk about the value of their whole portfolio...

[@NelsenGChess]

right? this shit is a marathon and people seem to want to play it like a sprint.

[@drdavinsky]

I retired at 29. I made a video on real estate investing, stocks and compound interest.

[@Goodmorning592]

all time is their biggest enemy LOL

[@samuelwilliams7331]

I am 50% Index Funds and 50% Individual Stocks. It took 10 years of study and practice to outperform my indexes. I would send most people to indexes because the work and time it takes to outperform the index is not for normal people.

[@kevinsheeler6]

well said!

[@princediesel1]

100% correct

[@princediesel1]

People forget history, wait till the market goes back to the returns of 2000-2008

[@JosephDickson]

Agreed. I for one prefer indexes because I'm not willing to take the time and care to focus on individual stocks. It's not for me. But I'm more than okay with that. 😉

[@sam805236]

@@princediesel1 Buy low sell high! We're in a high market right now, but when the markets go down for whatever inevitable reason there will be lots of money to be made.

[@lorenzomizushal3980]

He's right. I've been losing since I've started. Finally gave index stocks a try and I've been winning ever since, not as much but so much better than losing all the time.

[@JoseHernandez-pi8hz]

I completely agree with your messages that an index fund will absolutely outperform any individual stock investor and you made that clear in this video. So sorry Rob .. the title WAS clickbait. But that’s ok because I’m with you on the fact that index fund investing is the way to go for long term retirement investing.

[@dushman888]

ya gotta admit it's a brilliant hook

[@luischumpitaz8883]

What are the best index funds? I want to do the the three funds

[@WorldWideWeasel]

@@luischumpitaz8883 VTI is a great chose

[@31088489]

Thanks , you saved 30 minutes of my life listing to this shit, I am downvoting and unsubcribe from now on and will share you word if i ever come across of people wanting financial advice , do not watch this old fuck

[@johngill2853]

@@luischumpitaz8883 total market index, Total Bond market index and total international stock market index are the three fund portfolio

[@hickok45]

Great video and message!

[@afridgetoofar1818]

It's Hickok45!

[@zzh315]

Mark

[@Osprey81]

If @hickok45 is watching, you know we are on right track

[@philipjohn1338]

Hi, hickok

[@hickok45]

@@Osprey81 Or, it might cause you to question your judgement. :-) Rob might be a rabid anti-gun guy, for all I know, but he is incredible. Love his videos. This particular video is pure gold. So many get all caught up in chasing this stock or that stock, much like the guy in Las Vegas who just knows he's going to get rich this weekend! :-)

[@TwinJalanugraha]

I have $1.2 million to prove that index fund has been the best.

[@rob_berger]

Nice!

[@cryptoenthusiast4999]

That’s awesome!

[@wekndjunki]

That’s awesome. I’m next.

[@ianbarrett4166]

@@rob_berger how much you got?

[@19grand]

Yes, but what are the details? How long did it take. How much did you start with?

[@kathleenstoner.n7499]

Legends to embrace if you want to get rich investing Bob and Gary Joe Wilde.

[@Brussardjnr]

cardone too. Don't know why Gary Joe Wilde chose not to own a video channel here like other pros. He is older and even more advanced.

[@sakhalittle9206]

@@Brussardjnr Obeying regulations he is not permitted to own or operate an investing video channel.

[@patriciacleveland2588]

@@sakhalittle9206 Chris and Briana used to promote him in their vids. It's been a while though. Learned he is a mentor to quite a good number of reputable pros here.

[@pizzaguy7998]

@Kentucky Same here.

[@Sunnynyc718]

Nice to come across another investing Stoner!! ;D

[@STAXONDECK1]

S&P 500 will probably still beat you in the long run

[@brady2308]

It definitely will.

[@princediesel1]

People forget investing is a long term lifestyle, not one year or two

[@BigChrisENT]

Basically 🤷🏿‍♂️

[@boxer6796]

And without lifting a finger. You can't beat the U.S Economy!..Slow and steady wins.

[@daughterofthemosthigh3417]

Is that what I should invest in, s&p 500? I’m totally new to this so just wondering if that’s what u mean.

[@Carl-iw9sy]

Great advice that helps me stay the course and ignore all the 'get rich quick' distractions going around. In the past I've lost money due to FOMO as many people have, but now a more mature and skeptical me is making better financial decisions. Thank you.

[@MrNoBSgiven]

And one more thing - investing in an index fund will allow you sleep much better, which is much better living then constantly checking your portfolio.

[@Trewq79]

This so much. I started investing in hand picked stocks. Whenever I had down days, I felt like garbage for making such bad calls. Now I'm investing in ETFs like the S&P 500 and NASDAQ ETFs. If I have a bad day, I just say "well, I guess the entire market is down" and move on.

[@esb9814]

yup this. same with paying off your house....in a perfect world is it the best financial strategy? probably not, but you have to factor in peace of mind over many years

[@goofe.washington953]

I wish more of the discussion addressed not simply “performance”, but instead focused on “risk-adjusted performance”. It irks me that the amount of risk of a portfolio is not central to these discussions.

[@DavidEVogel]

Maybe because "risk reward trade-off " is a given, and doesn't need to be mentioned. As far as a way to judge risk I know of none. I look at an investment, mutual fund for example, and only buy something with a 10 year history.

[@royjones59344]

Great message. The entire financial industry is designed to make you feel idiotic by indexing but The numbers are overwhelming over a long time period.

[@royjones59344]

Yes. Indexing for the vast majority of people is the best way to go. Make sure you invest in a broad index like the S&P 500 and you will to great over time.

[@albundy3929]

@@royjones59344 gotya. any youtubers that i should follow and binge?

[@royjones59344]

@@albundy3929 I would watch anything with Jack Bogle that's a great start

[@starmorpheus]

@@albundy3929 Read "The Little Book of Common Sense Investing" By Jack Bogle (He's the founder of Vanguard) As for youtubers, I would highly recommend 'Ben Felix' and the channel you're currently on 'Rob Berger' haha.

[@mt9727]

@@royjones59344 indexing is the best for everyone , always.

[@sleepyhead7391]

Man I really needed to hear this after listening to all of my friends bragging about "stonks" for the past year. I'm going to stick to the script of total us stock and international stock and DCA. You've earned yourself a new subscriber!

[@Zycoreination]

I have learned to be excited about index funds. I can dream and make that dream a reality in a few decades for me and my wife.

[@Ray_Blanchette]

I've slowly been pulled towards investing on higher risk things like crypto and underperformers that have potential to turn massive profit and thankfully I came across you. This video was what I needed to get my head back on straight and come back to the strategy I first had when I decided to invest. Thank you

[@ThePhukst1k]

This concept of taking risk for a higher return, is complete nonsense. We hear professionals use this in discussion based on widely adopted academic theory as it pertains to allocation. Purchasing an asset at a very low price, is likely to produce higher cash flows because the initial cost of capital is low. If the under-performers you are referring to are these meme stock Aark Invest and chewy’s of the world, I would expect them to do so. This has to do with the time value of money and the discount rate of future cash flows. Of which, many have none. The future cash flows of an asset are the very foundation of what defines an asset as an asset, as it pertains to financial logic. Beanie babies, Spacs, Crypto, NFT’s, McDonalds meal toys, lil homies, Alpha fund ETF’s, do not produce anything. They do provide revenue for people/business that monetize and sell them to you!

[@chrisdoody3067]

Disagree with the crypto comment Nick. Crypto produces financial freedom. Why should the government have their hands on every transaction you make, let alone have the ability to make more whenever they want?

[@yakalaka6376]

Have to agree with you about the government chris. Tired of these jerkoffs shoving their hands in our pockets.

[@Tomekkplk]

@@chrisdoody3067 This didn't age well.

[@chrisdoody3067]

@@Tomekkplk You saying the government should have full control of monetary policy with this uncontrollable debt and inflation?

[@Roger-il8iw]

I put my family in Mostly VOO, with a small Bond position, Some VGT and some real estate. Then a small international etf position. Set it and forget it.

[@Roger-il8iw]

@@PercyJackson93 if you are in the US fidelity is widely regarded as the best. It’s free. Just buy VOO until you learn what you are doing.

[@Roger-il8iw]

This is just my opinion though. Do a lot of research. And don’t buy single stocks until you really know what you are doing.

[@circrna]

@@Roger-il8iwcheck the fine print. See how often dividend compounds. I believe less frequently than Vaguard (used to be). At the end returns might be the same. Also Fidelity may have restriction moving the funds to different broker.

[@watdaheyo49]

I love your practical advice. I invest most of my money into index funds but do allow myself to speculate with single stock purchases. I now use the money I would spend in Vegas on single stock purchases which are much more exciting for me and keeps me engaged with market news and trends. Keep up the great content!

[@ph5915]

I wouldn't say index funds are for losers. They are (typically) mathematically weighted formulations of companies within the index being tracked. They are also diversified. They should typically track very very closely to how their index performs, minus the small fund fee. Buy and hold over the long term, for the average person is the best bet to not "beat the market" but closely track it. Buffett, Bogle, Munger, etc., have spelled out that actually buying individual stocks should entail some serious deep diving into the company, it's products, it's management, it's industry, into at least the quarterly financial statements, that's a lot of work to keep up with, year in and year out.

[@AbsalomMcVey-i1f]

I suggest you may not have understood what he meant by 'loser'. He means as opposed to those who measure success by a, not only big but huge financial investment success - but a short-term success. He presents that over a decade, calm, consistent investing in a low-cost, index fund will out perform the flashy, consistent attempt to achieve the huge success.

[@DrBilly90210]

Like a lot of things in life, it's not so much about hitting the grand slam, as much as it is avoiding the triple play.

[@user-wo9jj6ii6t]

however, I would argue that if you use risk adjusted returns as the only variable, index funds will always be #1 baby!

[@mikefixac]

Really liked this. Thank you Rob. Surely index funds are the way to go. The nice part about Roth is not having to worry about any tax consequences or reporting. So if a stock is bought and sold within a year, no worries about cap gains.

[@micalda1]

Making 160% in the ARK ETF in 1 year is the equivalent of Appalachian State beating Michigan in football in 2007. This type of matchup could happen 100 times and App St might win 1 time. This is true in the stock market too.

[@reversiontothemean6129]

You HAD to bring up that game?????? Now I can't sleep tonight. Thanks lol

[@patty109109]

ARK down exactly 66% from its 2021 high as of today, meanwhile DOW just set a new record today and S&P500 is a percent shy. I agree go with index funds. Let others worry--and that is exactly what they do--about their stocks.

[@darcysalmon7781]

Hey... I was that Index Fund in High School (never thought of that analogy before)... the happiest, busy Nerd ever. Some 45 years later, I am still that happy Index Fund. Yes, I actually did do something crazy with my investments a year ago. I took out about 5% to buy a 2nd family home in FL... (thank you Index Funds!). I just thought of it as diversifying my portfolio a bit (since Real Estate is a Capital Asset) ... and it is real nice to stay in my own home when we travel to FL for several months. Yup... love my Index Funds. Great video yet again!

[@allenbournes4697]

Darcy - can I respectfully ask what was your yearly contribution and what was the final value of your account after 45 years?

[@darcysalmon7781]

@@allenbournes4697 It was an entire career, so it was a lot of years. I would say it was anywhere from 15% to 40% at any given time. My husband and I always tried to live on one income (when ever both of us were working). We easily had a million when we originally retired (today several million)... and that is after paying for a lot of college for ourselves and our children. Also spent a substantial amount on our family home, vacations, and educational experiences (lessons, trips...) for our children... You can't replace time, so our family was highest priority. Anyway it all worked out fine.

[@chadpenton2071]

@@darcysalmon7781 Amazing story. Love to hear it

[@jrus018]

My Simple (16yrs old) Portfolio 100% Roth IRA = VTSAX (Vanguard) 100% 403k = FSKAX (Fidelity) I always max out my Roth IRA in the first week of the year yearly. 5% of my salary per paycheck goes to my 403k. imo Total Stock Market beats S&P500.

[@970_5oh]

Can you help me? I’m new to these things

[@srf2112]

I believe a better way to phrase this would be to say you're never going to be the top winner but you will end up a winner in the long run and that's the important point. Another great video sir.

[@Sebbyguti]

Index investing + individual stocks that pay you dividends works pretty great

[@starmorpheus]

Look up "Dividend Irrelevance Theory" for the second half of your comment.

[@Otis-the-III]

Instead of trying to chase performance by investing in past winners, building a well-diversified portfolio can help you take advantage of the strong returns of any year's favorites.

[@Syrxen]

Thought this was going to be one of those bot comment chains 😂

[@harshvardhansinha]

​@@SyrxenSame here 🤣🤣

[@FetaCheeseLena]

Man, it's driving me nuts that I missed the last half of that last second..

[@matthewharrigan3568]

The brilliance of index fund investing is it let's you focus on the important things like saving enough, reducing taxes and fees, and getting the asset allocation. If you want to do more, maybe a small value tilt, or risk parity ideas, or a bit of leverage, which are all compatible with indexing, are more likely to improve results than picking specific stocks

[@WLyons9856]

Exactly. It teaches you to save your money and watch it compound instead of gambling with it.

[@miks301]

That and it gives you more time to figure out how to make more money.

[@andrews5320]

The problem that I can't figure out with Index Funds is investors don't own the underlying shares (the fund manager does) and there is no opportunity to vote a proxy at the annual meeting. This means that whoever the fund manager is gets the votes and I'm not sure that person has fiduciary responsibility. So if the index fund manager thinks cigarette smoking is bad, and Phillip Morris is in the index the fund manager can vote for a activist program that is bad for Philip Morris. Rationally, it would seem the fund manager would want all the companies in the index to do well but 1) its an index and if one company falls off the list another is added and 2) the world is not rational.

[@travis1240]

Good advice. I also trade individual stocks with a small percentage of my portfolio. It helps keep the FOMO demons at bay.

[@jonk1370]

Same, thats a great strategy

[@timhanser1943]

Well done 👍

[@elinsd]

Lol

[@withwilk7473]

4x on Arc is like 4x on any crypto. Take your lottery win, don't think you're smart, and invest it for the long term. Property or indexing, preferably both. Slow and steady always wins the race.

[@gthree0239]

I tend to drive near the speed limit. When going somewhere with my family the all always complain. Honestly it sometimes gets to the point where I have to raise my voice and tell them they need to stop. However, there’s always that guy who’s weaving in and out of traffic. That guy races ahead then hits the red light and who catches up? Me! I do, the tortoise. I back off the throttle when I see the red light coast and time it so that I hit it without ever having to stop. I usually get ahead of the crazy driver. But many times he catches me and passes and the whole process starts all over again. Today this exact thing happened. Me and the crazy guy were headed to the same place. He took a wrong turn and I beat him to the softball game by about 5-10 minutes. The tortoise typically wins in the end.

[@SuperPresidentObama]

Every month I am training my mind to be patient by investing $100 in S&P 500 index mutual fund and planning to increase that investment by at least 10% each year. I am hoping to become a proud loser after 25 years. BTW this investment transaction hits my checking account before my other major expenses.

[@markalot]

I love the fact many commenters here have not watched the video. It's great clickbait IMO, and anyone who really wants to learn about investing will watch the entire video. I've been in index funds for 30 years and I've steadily grown a very nice sum of money.

[@sycipcroll]

Rob, I'm slow glad you posted a video on this topic. A good reminder for me to not get emotional and stay the course of passive investing. Thanks!

[@NAZAXP]

What you mean with passive investing? I’m not much experienced in this field. Thanks

[@Marthastewart209.]

@@NAZAXP 7:39 Meaning to buy and hold. Active investing means to constantly buy, sell, trade, reinvest etc (think day trader or RobinHood).

[@iseeu-fp9po]

@@NAZAXP I think he meant saving on a regular basis and investing those savings into an index fund. Like say, 100$ that is automatically transferred into the fund/funds of choice each month. That way you are just "passively investing" into that/those fund(s) without caring about the current price of each investment. Over time you will have an average of the market. Google "dollar cost average". It's a very easy way to save and you don't have to worry about "the noise" of the market. It's not a "get rich quick"-scheme. Of course no investment is without its risk, not even index funds, but they are a lot safer than picking individual stocks. My two cents on the matter.

[@imdoc7872]

I invest 15% of my income in retirement accounts, 90% allocated in an s&p500 index fund and 10% short term treasury bonds. I don’t look at it or mess with it. Any extra money I invest in individual stocks and crypto.

[@andrewoliver189]

100% agree with everything you said on here... including dabbling a little. It makes investing fun, keeps me interested in the market, and my wife and I enjoy picking stocks and seeing where they will go. That said 90% of investing dollars go to my Vanguard TDF that is essentially a 3 fund portfolio that automatically rebalances as as I cruise towards retirement.

[@michaelmoreton5042]

There is a concern about the US.That the political trends will lead to an implosion.Perhaps moving from US indexes to International is appropriate.

[@altriish6683]

It's all about getting enough growth for significantly reduced risk of serious losses. No single stock risk, very strong resistance to black swan event risk, reduced risk of poor selection. All this stuff is why it's a great option for the long term.

[@petermuller723]

Yes!

[@iPizzaSlice]

No it is not. It’s all about the company making profit for you, the owner of the company (owning shares = owning the company). That’s why I look at dividends as salary, which I’m entitled to receive. Like… I wouldn’t invest in a company if it doesn’t pay my bills… just like I wouldn’t work for free…

[@metis9597]

@@iPizzaSlice That's a terrible strategy. You'll pay tax on dividends even if that's not a great period for your pocket. Instead you could sell some action and obtain the same result (but when you want to, not waiting for the companies to give you "a piece of the action")

[@robertmeyers3640]

Every study in the last 50 years shows passive outperforms active. And there are dozens and dozens of them

[@ankitrawat06]

I think index investing gives you piece of mind rather than staring at the idiot box 🖥 for graphs to go up and down ... because you know in long term slow and steady wins the race..moreover there will always be someone more fancy like ARK but will it be sustainable in long run..I doubt that.

[@richardmesa505]

Although investing in index funds won't be #1 , wouldn't it give a better stepping stone to accumulate more profit for later on individual stocks???

[@jackfordmac]

It’s the best long term strategy - no one gets it right consistently. No fund manager out performs year on year, no stock goes on and on, you won’t beat it.

[@afridgetoofar1818]

"wouldn't it give a better stepping stone to accumulate more profit for later on individual stocks???" What does that even mean? The point is that most stocks fail to beat the Index over the long run, so you really don't have to invest in individual stocks.

[@bubbafatas2588]

Index funds are loaded with garbage stocks in a downturn or sideways market will destroy the earnings!

[@wavydimples49]

I’m 22 and within the last few months I’ve purchased a lot of shares of VOO & VTI for long term

[@bkozulla5841]

You really don’t need both. Add a small cap fund… Just a thought.

[@wavydimples49]

@@bkozulla5841 any recommendations?

[@computerlearingchannel4257]

@@wavydimples49 buy blue chip stocks and legit small company stock like sofi

[@wavydimples49]

@@computerlearingchannel4257 I have some blue chips. Thinking of adding some small cap fund

[@computerlearingchannel4257]

@@wavydimples49 honestly tho i dont get why the etf virgins try to make the stock market a complex thing to invest in. If there legit companies there legit companies

[@edgonzalez186]

Had me fooled with the title. Regarding being #1... an athlete, for example, a golfer that finishes on average a 7th place in every tournament will out earn everyone in prize money. It's true, champions get the fame and glory (and more money from outside sources) but, Mr. 7th place over a 15 year period will cash out lots $$$.

[@jrus018]

seriously... i started my index fund on both ROTH IRA and 403k when i was 21, VTSAX on my Vanguard ROTH IRA, and Fidelity FSKAX 403k, i always max out my Roth yearly and dumping 5% of my salary per paycheck on my 403k, im currently 36yrs old. so what do u think will be the compound interest of both of those account on those index funds!?!?? answer... i will be retiring on my 40

[@scholaroftheworldalternatehist]

Wait how much did you gain compared to your principal?

[@jrus018]

@@scholaroftheworldalternatehist im gaining 15-20+% on each account yearly i barely even check those account, rarely like 4-6x in a year, i max out my ROTH IRA in the first week of the year, #VTSAX&CHILL total stock market beats everything on index fund imo, i forgot what years but the lowest gain i got was like 9% and 11%, but the rest has been prosperous the highest was 24% compound interest calculator can give u ideas how much u can make

[@adamhong8263]

then you should be a multi multi multi millionaire or billionaire and you can beat warren buffet . you cannot beat the sp500 over a 20 yr run.

[@胖卡比-j6k]

people believe things almost like a cout. you can just buy what's doing well and change it when the tide turns.

[@brianh6]

You can beat the S&P 500 over a 20 year run. I've way outperformed the S&P 500 over the last 5 years. All I have to do is put my money in an S&P 500 index fund for the next 15 years and I'm guaranteed to outperform it over 20 years. Also, the Nasdaq has outperformed the S&P 500 since it started 50 years ago.

[@scholaroftheworldalternatehist]

@@brianh6 Well what did you buy to outperform it?

[@wread1982]

@@brianh6 if you invested into QQQ in 2000 it would of taken you 15 years just to break even and get your money back

[@brianh6]

@@wread1982 I agree completely that investing at the top of a bubble is a horrible idea. You've picked the absolute worst time in history to invest in the tech stocks. As I said the Nasdaq has been around for 50 years. The vast majority of the time any starting point would have been fine. Occasionally bubbles happen, but nobody is being forced to put all their money in the stock market during them.

[@nighthawk82]

if you re consistently adding to one index fund, yes you won't be the best but you will be better in investing than 90% of investors. enough reason to just invest in them. even if it's only to additionally diversify your portfolio

[@TheNORegretShow]

Benjamin Graham's book the Intelligent Investor talked about this. During bull markets every fund manager looks like a genius. After the Dot-Com bubble popped what happened to all those superstars.

[@DavidEVogel]

Peter Lynch, the manager of the Magellan Fund, retired.

[@TheNORegretShow]

@@DavidEVogel You male zero sense Peter ran that fund from 1977-1990. Dot-Com happened in the 2000's troll somewhere else.

[@ljrockstar69]

Hi, I have a questions on unrealized capital gains. If Kamala Harris is president, will it affect these unrealized capital gains in our etf investments? She said she will tax unrealized gains.

[@libation14221]

My core funds at 73 years old are Wellington and Wellsley from Vanguard. About 25 % of my portfolio . The rest is dividend equity funds (You hate)...

[@libation14221]

I'm moving out of Wellsley and adding it to Wellington.

[@wolfy7531]

I would like to add that chasing the new high performers also requires you to sell those assets when they fall out of favor -> pay taxes on your great gains. A buy and hold strategy is much more tax efficient.

[@ArthurDentZaphodBeeb]

The guys crowing about ARKK are now drowning their sorrows. QQQ and Berkshire are both better performing than ARKK since ARKK's inception. So much for Cathy Wood's 'divine' stock picking.

[@scott1lori282]

My Fidelity index funds are at slightly over s&p right now. I don't buy stock on my own anymore. I have the Robinhood app and trade on the shitter but I'll never get rich with it. I'm up 100% but I consider it a video game with $1000 to lose. Meanwhile my Fidelity account keeps growing.

[@Metsfan1986]

If more people were able to understand individual companies more, they would actually do well long term the vast majority of the time in. The sad reality of it is many lack that knowledge. I much prefer dividend reinvestment in individual blue chip companies. In companies that I use daily and have a very solid understanding of. Index funds are more of a set it and forget it thing for many people. It tracks the markets for the most part that have gone up historically. You're typically not getting extravagant gains with them. Especially in the shorter term. And people are simply fine with them. I also don't see why you can't own both ETF's and individual stocks at the same.

[@pixelezio]

Just had this video recommended to me today and it has aged beautifully.

[@benadam8341]

Hedge funds is wasting Money, why waste your money on Traders, its like paying an extra tax!

[@patblack2291]

Looking at someone's gain without looking at that person's risk is looking at half the reality.

[@banesik5444]

I’m my early 30s trying to understand index funds. Trying to understand stocks to hopefully retire early. Any books 📚 to recommend is highly appreciated

[@mrdisco99]

Big short term gains are a distraction. If you're serious about long term, index funds are where the smart money is.

[@playit00]

Thank You for sharing this valuable information. I needed to hear this because I've been paying 2-3% on my mutual funds for 20 years and now I am 53. I'm just hoping that I'm not too late to invest in Index funds. Thanks again Rob. Cheers!

[@jmc8076]

A late U-Turn is better then no turn.

[@BLR653]

Don't forget the tax efficiency of index fund investing - try holding an active managed fund in a brokerage account - get whaloped with taxes!

[@cryptocoinkiwi8272]

It is like a gambler. They only talk about their wins not their losses. Nobody is going to put a bunch on videos on YT about how much of a loser they are.

[@brentgile1735]

Have been investing in a no load balanced mutual fund in my Roth for years. One fund, balanced 65/35, dollar cost averaging in equally each month on a down market day. Going all in on equities doesn't appeal to my risk tolerance. Even Ben Graham said you shouldn't invest more than 75 percent of your portfolio in equities. Additionally I enjoy the simplicity of a one fund solution and have enjoyed a steady 9+ percent return for years

[@jeffb.2469]

So maybe the Wellington Fund.

[@rkgsd]

Side Note: I'm trying to figure out what kind of double-door that is behind you. At first glance it looks like a French door, but I see a door knob on the left side, not in the middle. There's also door hinges in the middle that french doors don't have.

[@williamnigh5979]

Hi Rob, I think your video content and presention are excellent. Comment: when I look at the S&P 500 I see much more than a represention of the US economy. I see international conglomerates such as Apple, Amazon, Microsoft, Alphabet, and even GM with tens of millions of international consumers. The world is now so intertwined economically. I’m not saying the approach to own the international index is unnecessary, far from it. But I think the S&P is alot more than US-based or focused companies.

[@kevpen68]

"Boring is better. Boring people sleep better, live longer and are generally happier in life....." A quote given to me a long time ago from a boss when I asked him about investing.

[@athrunzala798]

Just looked up that ARK etf...oof

[@davidkim3854]

I look at investing in index funds as being able to own fractional shares of the best performing stocks of today. Some are too expensive and too risky for dollars allocated just to own them outright.

[@getitgurlin]

Subscribed just on this video! Would you say that index funds are the nerds of high school? That was me! I went to get my PhD which has put me behind in the short term, but I’m hoping will be a long term investment.

[@EricGlenSnyder]

Realized around 1997 at 27 years old that most funds underperform S&P and other indexes, and good funds usually have a specific manager (not a team) who will retire (and returns go down) many years before investors retire... Buying a few individual stocks is fun (owned apple since 2013...and CTSH...but also GE since forever ago). SCHD is a good way to try beating the S&P500 with higher yield w/o huge risk. S&P500 is not equally weighted don't forget, so it's not"the market"....it owns more of the larger companies (which hopefully continue higher - sort of a momentum fund).

[@alansterling3481]

So I have noticed that the people that tell me how well their investments are CONSTANTLY doing are also the ones that work the most overtime. They are also the ones that tell me how much they won at the casino over the weekend. If they are always doing so well in the market and the casino, why do they continue coming to work? As much bragging as they are doing the should be able to live off of their gains/winnings.

[@BLR653]

Very well said. These fads are not sustainable for more than a few months..... not decades like building true wealth requires. When I heard the stir caused by Kathy Wood's funds it reminded me exactly of the chatter around the Janus Funds in the late 90s. Same thing. All the hot money poured into the tech funds and they got crushed.

[@shun2240]

the title had me shocked

[@mohitnikumbh593]

I am lucky that YT recommended me this video 1 year after it's release. As of 3rd Feb 2023, Ark's etf is down by 64% in past 1 year where as S&p is down by 8%. Btw, did I mention the difference in expense ratios? It's astronomical for an etf. Please do your own research and stay away from such clickbait videos.

[@last9up]

Thank you for this video. I have been feeling like I'm missing out. But this makes me feel better about my choice. It's not a sprint it's a marathon.

[@bephrem]

If my financial advisor doesn’t look like the Trivago guy I don’t want them

[@yakalaka6376]

😂

[@jimclark5037]

yeah dollar cost averaging into a mostly low cost Index fund portfolio over 30 years and ignoring it did very well for my wife and i! sure someone with lots of financial experience could have done better, but we're happy with results. ... and this WAS click bait ha ha ha

[@Ok3chi]

I legitimately think you release the best personal finance/investing information on the web.

[@mdf3911]

"Success has many father's, but failure is an orphan"...

[@PassRush49]

President John F. Kennedy.

[@mdf3911]

@@PassRush49 yes and Benjamin Franklin I believe. Ecclesiastes, "nothing new under the sun"

[@markwalters7498]

Since it’s now March Madness, this discussion made me think of winning games. A team that wins when they get hot and hit a lot of 3’s will lose when they’re cold. On the flip side, a team that goes out and plays solid D and has a consistent boring offense will likely win more in the long run.

[@mrcortadito]

Hi Rob, I agree with your video that over time index funds will outperform. But, why? Is it their buy and hold approach? or is it the market cap weight method? A combination of both? Can you do a video digging into it? I always believed on "know what you own" approach and I have struggled with that on my approach to index funds. If I dissect them based on allocation, which is based on company market cap, I struggled placing allocations that way. Yet this is the vehicle that gives you the average return on the market and money managers fail to beat it.

[@wread1982]

It’s because the top 20 stocks 20 years ago are different from today except for Microsoft. Index funds put the best stocks in the highest weighting for you without taking a tax hit each time like an active mutual fund. Also less fees. Index funds are done by market cap and which companies are actually making money so it takes a lot of risk out. Every tech stock was once the next Tesla, competition comes along... humans just can’t out stock pick a computer screening market caps and financials.... even if you do get lucky with a Tesla or apple they could fall back to zero someday and your left with nothing where as an index fund keeps on chugging along forever

[@thefunplace4269]

I want to buy the S&P 500 Index ETF (SPY) but it is outrageously expensive.

[@fredyrosales295]

I have the fidelity mutual fund for sp 500. Cheaper than SPY.

[@malkov0001]

Please cut out the crap and keep it under 10 minutes!

[@carakerr4081]

We very much appreciate your wisdom and advice. We are in our 50s and late starting to invest but better late than never. God bless you! And thank you 🙏

[@ovieembu]

It's all about the fees peeps!!

[@ZaideZaide770]

Great message.....The Hare and the Turtle.....Slow and steady wins the race.

[@thehylander266]

I think the ARK funds have a place to speculate with if you have side cash toy want to get to add to your portfolio. Get in whenever it’s down by 50% or more to lower risk dramatically and increase in the asymmetry of the trade.

[@kingstilletto]

I bought quantity at a certain price of a quality stock in a bear market. Returns are coming in now apply to index funds.

[@bertlouis6082]

Even though for the most part I'm an individual stock investor your advice is good for the average investor. Probably best advice I've seen on your channel. You have to have the time, inclination and strong analytical skills to be successful managing an individual stock portfolio.

[@CallsignEskimo-l3o]

There's a lot to said for core/satellite investing. Keep 90% in low cost ETFs and 10% in satellites.

[@slavchonikolov5115]

Exactly what i try to do.

[@bardwelldavidjelliff7632]

For me I have time and a pension. I have the flexibility to invest in two high risk, low cost, dividend paying index funds. The decision for me is think longterm, let the dividends reinvest and allow the 4% match to accumulate and build; in the end, I have been happy with my decision because I can afford it and over time I will be comfortable.

[@jamesahn2385]

Thank you so much for this, Rob. I’ve been binging all your videos on this Sunday afternoon, and learning/confirming a lot, but this was the first dedicated exclusively to the emotional aspect of investing and I thought you hit it out of the park, especially since it was a live stream. Please keep up the great work and looking forward to viewing more videos.

[@thegreat9481]

Im heavy in index funds particularly for retirement. I experiment in a taxable account with individual stocks, my retirement is not for play.

[@Dr2009king]

Love that your channel is getting the attention it deserves.

[@dynamo3059]

index funds have only been a thing for the last few decades where interest rates have been falling steadily down to zero. they won't have that tail wind anymore anymore in the future so hard to say they will out perform individual stocks in the future.