polksalet Posted May 18, 2008 Share Posted May 18, 2008 Any comments? http://www.consumerismcommentary.com/2008/...ments-you-need/ Quote Link to comment Share on other sites More sharing options...
AtomicCEO Posted May 18, 2008 Share Posted May 18, 2008 Vanguard is associated with all my long term accounts. As far as I can tell, they are hippies in that they actually believe they will make more money by taking care of your money than by maximizing short term profits by spamming you with fees. Someone please tell me if I'm wrong. I clearly need more investments in international funds though. In my amateur view, I'm killing myself over the last few years by not doing that. Quote Link to comment Share on other sites More sharing options...
Avernus Posted May 18, 2008 Share Posted May 18, 2008 Vanguard is associated with all my long term accounts. As far as I can tell, they are hippies in that they actually believe they will make more money by taking care of your money than by maximizing short term profits by spamming you with fees. Someone please tell me if I'm wrong. I clearly need more investments in international funds though. In my amateur view, I'm killing myself over the last few years by not doing that. my 401k was with Vanguard...I was more than pleased, but too bad I had to pull my money out early.. when I start a new one, Vanguard is my top choice.. Quote Link to comment Share on other sites More sharing options...
JoJoTheWebToedBoy Posted May 18, 2008 Share Posted May 18, 2008 Vanguard is all I use in my 401k. At one point my company changed our 401k and we were using Fidelity. They sucked ass..... Within 2 years the company dumped them (employee revolt) and Vanguard was brought back. Quote Link to comment Share on other sites More sharing options...
muck Posted May 18, 2008 Share Posted May 18, 2008 There is a lot to be said for less liquid investments for the very long term creation of wealth. Quote Link to comment Share on other sites More sharing options...
Chavez Posted May 18, 2008 Share Posted May 18, 2008 (edited) Vanguard is associated with all my long term accounts. As far as I can tell, they are hippies in that they actually believe they will make more money by taking care of your money than by maximizing short term profits by spamming you with fees. Someone please tell me if I'm wrong. Nope, you are correct.* David Swensen (Chief Investment Officer of Yale's endowment; he might know a thing or two about investing) highly recommends Vanguard in his book Unconventional Success. * - well, I don't think they are actually hippies, but their fees are as investor-friendly as you'll find. Edited May 18, 2008 by Chavez Quote Link to comment Share on other sites More sharing options...
Double Agent Posted May 19, 2008 Share Posted May 19, 2008 All of my wife's IRA money goes into Vanguard. All of mine goes into American Funds. I really like Vanguard, but I'd choose American Funds over them any day because of the available options. Quote Link to comment Share on other sites More sharing options...
Piles Posted May 19, 2008 Share Posted May 19, 2008 All of my wife's IRA money goes into Vanguard. All of mine goes into American Funds. I really like Vanguard, but I'd choose American Funds over them any day because of the available options. Correct me if I'm wrong but don't virtually all of the American funds have either a front end or back end load? That's not where I want to be putting my money. Quote Link to comment Share on other sites More sharing options...
geeteebee Posted May 19, 2008 Share Posted May 19, 2008 (edited) Correct me if I'm wrong but don't virtually all of the American funds have either a front end or back end load? That's not where I want to be putting my money. I am pretty sure american funds are no load, but they do pay 12b1 fees to brokers and can only be purchased through them. That being said, overall they are very good funds...if you don't mind dealing with a broker. For generic mutual funds, either Vanguard or American Funds are fine options. Edit: I just checked their website and I was wrong, they do have share classes with loads....but if you have at least $1,000,000, then they won't charge you a load. So, I'll revise what I said above by saying for a load fund, the American Funds aren't bad, but a no load fund would usually be a better option. Edited May 19, 2008 by geeteebee Quote Link to comment Share on other sites More sharing options...
Double Agent Posted May 19, 2008 Share Posted May 19, 2008 Correct me if I'm wrong but don't virtually all of the American funds have either a front end or back end load? That's not where I want to be putting my money. Vanguard does offer some no load funds. I'm not sure all of them are no load. Vanguard is great...but I look way beyond the "no load" benefit. I just really like the options American offers. And IMO they have a great 529 plan. Quote Link to comment Share on other sites More sharing options...
Atlanta Cracker Posted May 19, 2008 Share Posted May 19, 2008 Correct me if I'm wrong but don't virtually all of the American funds have either a front end or back end load? That's not where I want to be putting my money. I think the most important thing to consider is the net money you make after fees along with the risk taken to achieve that return and not the fact that there are fees. Would you choose a fund with a 1/2% fee and a total return of 5% or a fund with a 2% fee and a total return of 12% ? Besides, in most 401ks you get the lowest cost share class with any loads being waived anyway. Quote Link to comment Share on other sites More sharing options...
TheShiznit Posted May 19, 2008 Share Posted May 19, 2008 I think the most important thing to consider is the net money you make after fees along with the risk taken to achieve that return and not the fact that there are fees. Would you choose a fund with a 1/2% fee and a total return of 5% or a fund with a 2% fee and a total return of 12% ? Besides, in most 401ks you get the lowest cost share class with any loads being waived anyway. I agree...a lawyer friend of mine would never invest with me because I charge a management fee....so he invested himself through vanguard. When he was complaining and bragging about his accounts, I would bring him morningstar reports of ten funds that kicked his funds arse....but since he would have had to pay a load...he wouldn't buy. This makes zero sense to me....however, I do managed money, so I don't charge loads anyway...just an annual flat rate fee. Quote Link to comment Share on other sites More sharing options...
CaP'N GRuNGe Posted May 19, 2008 Share Posted May 19, 2008 FICDX Quote Link to comment Share on other sites More sharing options...
Piles Posted May 19, 2008 Share Posted May 19, 2008 I think the most important thing to consider is the net money you make after fees along with the risk taken to achieve that return and not the fact that there are fees. Would you choose a fund with a 1/2% fee and a total return of 5% or a fund with a 2% fee and a total return of 12% ? Besides, in most 401ks you get the lowest cost share class with any loads being waived anyway. I don't disagee but you can show me a loaded fund with a 12% return and I can find a similar no-load with a 12% return. I'm not willing to pay a load because it simply is not worth it with all the no load options that are available. Not to mention the ETF's. Quote Link to comment Share on other sites More sharing options...
Piles Posted May 19, 2008 Share Posted May 19, 2008 FICDX Great fund, wish I would have bought it some time ago. POT has been a great holding for them. Quote Link to comment Share on other sites More sharing options...
Atlanta Cracker Posted May 20, 2008 Share Posted May 20, 2008 I don't disagee but you can show me a loaded fund with a 12% return and I can find a similar no-load with a 12% return. I'm not willing to pay a load because it simply is not worth it with all the no load options that are available. Not to mention the ETF's. And as long as you evaluate the risk/return measures equally then go right ahead. The main thing you don't want is a cheap 12% return in a great market along with a cheap -12% return in a down market when you could have paid a little and got 12% upside with only -2% or so downside net of fees. All I am saying is that if the first thing you look at to cut down the choices is fees then you are approaching it wrong. Quote Link to comment Share on other sites More sharing options...
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