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Want to Outperform 98% of Professional Mutual Fund Managers? Buy This 1 Investment and Hold It Forever.

The Motley Fool

Professional fund managers tend to be highly educated, hard-working, and extremely smart. So, finding a way to outperform these finance whizzes might seem impossible. But it doesn't take a highly complex trading plan to come out ahead of 98% of professional mutual fund managers over the long run.

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A Financial Mystery: Investors Paying Tens of Billions of Dollars to Underperforming Mutual Funds -- When Index Funds are Cheaper and Perform Better

The Motley Fool

Earlier this year, finance researcher Stewart Brown published a paper that featured a startling introduction: There is a large financial anomaly hiding in plain sight. Active vs. passive funds It's quite a problem, and a seemingly puzzling one, too. Not everyone understands the power of simple index-fund investing , though.

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Is It Too Late to Buy Berkshire Hathaway Stock?

The Motley Fool

Berkshire Hathaway is like a conglomerate on steroids; it operates in the finance, energy, utility, transportation, retail, construction, and manufacturing sectors, among others. In many ways, Berkshire Hathaway is more like a mutual fund than a traditional company. Believe it or not, that's not a complete list!

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5 Successful Financial Habits of Baby Boomers

The Motley Fool

They invest heavily in stocks and mutual funds Baby boomers have the largest percentage of their wealth in stocks and mutual funds. They're more honest with their partners about finances When you've merged your finances with a romantic partner, it's important to be honest about your spending and any debts you may have.

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This Dave Ramsey Retirement Advice Is Wrong and Dangerous

The Motley Fool

Image source: Getty Images Popular personal finance expert Dave Ramsey recently gave some retirement advice that made many financial planners shudder. In addition to calling for an 8% withdrawal rate, Ramsey also suggested that retirees keep 100% of their money in stock-based mutual funds. Consider this simplified example.

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5 Things 'Financially Literate' People Always Avoid

The Motley Fool

To stay on top of your finances, aim to only spend what you can pay off at the end of the month whenever possible. Financially savvy people understand that high-yield savings accounts (HYSAs) are a better option for storing their emergency funds. Making small, consistent steps with your personal finances leads to big results over time.

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3 Investing Habits of Millionaires

The Motley Fool

In particular, people with net worths of $1 million or higher tend to have more of their money in the following: Stocks/mutual funds Real estate Business interests Those in the $10,000 and $100,000 tiers invest in those, too, but not nearly as much. Take the professionally managed hedge funds available to wealthy investors.