Bogle Sounds a Warning on Index Funds

Re:Bogle Sounds a Warning on Index Funds by conanbatt on Friday November 30, 2018 @03:16PM (#18572226)

Index-funds also have a huge risk: as they become too large, they become distorting how pricing of companies work: i.e. just IPO'ing gets you purchasers.

At some point, the phrase "passive management > active management" will become verifiably false.

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Re:Bogle Sounds a Warning on Index Funds by xal on Friday November 30, 2018 @03:46PM (#18572478)

It takes a long time and after IPO before useful indexes pick you up.

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Re:Bogle Sounds a Warning on Index Funds by conanbatt on Friday November 30, 2018 @04:54PM (#18573046)

A bureaucratic detail.

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Re:Bogle Sounds a Warning on Index Funds by akimball on Saturday December 01, 2018 @10:38AM (#18577173)

This comment may explain why we are governed by bureaucracies

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Re:Bogle Sounds a Warning on Index Funds by eloff on Friday November 30, 2018 @03:38PM (#18572419)

This. I haven't heard anybody talking about this before, but it seems like there's an unavoidable tipping point here. I wonder if we've already reached it. Rightly or wrongly I trust my stock picking over an index fund now. At least I can take responsibility for the outcome.

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Re:Bogle Sounds a Warning on Index Funds by conanbatt on Friday November 30, 2018 @04:53PM (#18573038)

I think just as the market will find a balance between passive/active, individual investors will most likely also find benefit in doing part passive part active.

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