When you invest in an index fund, you're essentially buying a basket of stocks that represents a broad market or theme.
"That book makes a really good case for index funds."
They own the Vanguard 500 Index Fund Admiral Shares Fund (VFIAX), the Vanguard Information Technology Index Fund ETF (ETF, VGT), and the Fidelity MSCI Information Technology Index ETF (ETF, FTEC).
Note that ETFs, like index funds, offer an easy way to diversify and bundle several securities into one investment.
Since index funds are passively managed, they typically have lower costs than actively managed funds — and, historically, they outperform active funds.
Persons:
Carl, Mindy Jensen, JL Collins, Mindy, it's, They're, Collins, Jamila, Ali, Josh Lupo, Josh, Jack Bogle, Warren Buffett
Organizations:
Business, Independence, Apple, Microsoft, IRA, FIRE, Fund, Vanguard Information Technology Index Fund ETF, Fidelity
Locations:
American