A simple idea made Jack Bogle special.
Some ideas are complex — quantum theory, for instance.
Some ideas are silly– drinking this kind of sugared burp water will make me irresistible to the opposite sex.
Some ideas are appealing but wrong — sadly we haven’t invented warp drive.
Jack Bogle had a very simple idea and he was right.
The ideal choice for investors is an index fund providing market returns less a minimal cost.
It’s easy to demonstrate that this is true by the evidence of history and large scale academic research – on average, active managers fail to equal the market, much less beat it.
Plenty of other investment managers believe the same thing yet instead offer you strange niche funds/ETFs, heavily leveraged double-or-nothing hedge fund gambles, high price/low return active funds, insincere hybrid index funds, high commission annuities, and more.
The difference is another simple idea Bogle holds to just as passionately: that the job of an investment professional is to do the absolute best he can for his client (e.g. what the now canceled Fiduciary Duty regulation would have required).
Celebrate Jack Bogle Day by letting him give you a present. Per Bloomberg’s analysis, Bogle’s determination has saved investors over half a trillion dollars in needless costs. Buy a low cost index fund. And thank Jack Bogle.
