Millions of Americans invest in stocks and bonds every day, mostly through mutual funds in retirement plans.
Many of those Americans are making the single, biggest mistake an investor can make: Paying extra and not getting extra.
Two types of funds:
Professionally managed that charge a management fee and unmanaged index funds that charge comparatively little.
Small change? Consider this:
A typical 401K investor can pay over $100,000 in management fees over their working life. Study after study has shown that professional managers rarely beat unmanaged index funds.
Why can't Wall Street wizards deliver?
Mainly because they can't create enough extra money to over the fees they're charging. Many hedge fund managers, some of whom collect billions in fees from the richest investors, also can't beat unmanaged index funds.
Beating the market is hard, but buying the market with index funds is easy.
Take a look at your investments and make sure you're getting what you're paying for.
For more information, visit Moneytalknews.com
