The switch from MSCI to FTSE and CRSP indexes for 22 Vanguard funds is all about three things, says Vanguard principal Joel Dickson: cost, cost, cost.
Vanguard principal and ETF strategist Joel Dickson responds to worries that increased passive investing has led to more market volatility and that ETFs cause investors to gamble with their portfolios.
Investors should keep tabs on a few key indicators as Vanguard switches the benchmarks for 22 of its index funds.
Although some Vanguard funds underperformed their peers during the market rally, the firm had more portfolios in the top quartile of their categories than in the bottom quartile.
Morningstar's Dan Culloton sizes up the fund firm's top and bottom performers year-to-date, discusses CIO Gus Sauter's impending retirement, and more.
Greater scale brings greater efficiencies and lower costs, but growth also brings challenges, both operational and cultural, says Morningstar associate director of fund analysis Dan Culloton.
For many investors, the proliferation and tradability of ETFs serves as an unnecessary diversion to an otherwise sound investment program, says the Vanguard founder and former chairman.
The views expressed do not necessarily represent the views of Acropolis Investment Management, LLC. or its members.
I am not in any way affiliated with any of the funds and/or fund companies I write about
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