Comments on: The Individual Investor’s Guide to the Top Mutual Funds http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/ Common sense advice on money saving tips, how to get out of debt, high interest savings accounts, cd rates, money market accounts, mortgage rates, money management and more. Wed, 19 Jun 2013 14:10:54 +0000 hourly 1 http://wordpress.org/?v=3.0.1 By: Dustin http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-125376 Dustin Mon, 31 Mar 2008 03:52:18 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-125376 @JD That'd be swell, JD. I'll check out some of the books as well. I actually just bought a book. It's called The Teenage Investor. I'm 27. Sure, sure, yuck it up all you want, but my theory is that a book geared toward kids is less likely to try to explain jargon using other jargon. I'll let you know how that pans out ;) @JD

That’d be swell, JD. I’ll check out some of the books as well. I actually just bought a book. It’s called The Teenage Investor. I’m 27. Sure, sure, yuck it up all you want, but my theory is that a book geared toward kids is less likely to try to explain jargon using other jargon. I’ll let you know how that pans out ;)

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]]> By: J.D. http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-125348 J.D. Sun, 30 Mar 2008 23:43:54 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-125348 MITBeta is right -- reading a good book on the subject will probably help. (The book I mentioned here explains all the numbers.) On the other hand, it'd probably make a good blog post to try to explain this info, too. I'll see what I can do. :) MITBeta is right — reading a good book on the subject will probably help. (The book I mentioned here explains all the numbers.) On the other hand, it’d probably make a good blog post to try to explain this info, too. I’ll see what I can do. :)

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]]> By: MITBeta @ Don't Feed The Alligators http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-125346 MITBeta @ Don't Feed The Alligators Sun, 30 Mar 2008 23:38:26 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-125346 @Dustin: Read, read, read. Vocabulary is always increased by reading more stuff. I suggest books like A Random Walk Down wall Street by Burton G. Malkiel as a great place to learn about many of the terms and issues represented on that data sheet. Of course in reading it you may come to believe that many or most of those statistics are perfectly meaningless since they represent what HAS happened and have very little bearing on what WILL happen. See J.D.'s post on "25 of the best books about money" (find the link in the top right corner of any page here...) for more great book suggestions. I've been working my way through this list for many months. @Dustin:

Read, read, read. Vocabulary is always increased by reading more stuff. I suggest books like A Random Walk Down wall Street by Burton G. Malkiel as a great place to learn about many of the terms and issues represented on that data sheet. Of course in reading it you may come to believe that many or most of those statistics are perfectly meaningless since they represent what HAS happened and have very little bearing on what WILL happen.

See J.D.’s post on “25 of the best books about money” (find the link in the top right corner of any page here…) for more great book suggestions. I’ve been working my way through this list for many months.

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]]> By: Dustin http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-125316 Dustin Sun, 30 Mar 2008 20:43:58 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-125316 Guys, bear with me, but I've got a rookie question. When I look at that Vanguard STAR page JD scanned in, or Google Finance, I don't know what it is I'm looking at. I'm immediately affronted by acronyms and jargon I'm not familiar with. How does one learn how to read pages like this and understand them? Thanks. Guys, bear with me, but I’ve got a rookie question. When I look at that Vanguard STAR page JD scanned in, or Google Finance, I don’t know what it is I’m looking at. I’m immediately affronted by acronyms and jargon I’m not familiar with. How does one learn how to read pages like this and understand them? Thanks.

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]]> By: mapgirl http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-124969 mapgirl Fri, 28 Mar 2008 17:23:47 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-124969 JD- You forgot to tell people the membership fee might be a deductible investment expense because it is a research tool for investing. IIRC, investment research costs are deductible, so newsletters and magazines you use to self-educate fall into that category. JD- You forgot to tell people the membership fee might be a deductible investment expense because it is a research tool for investing.

IIRC, investment research costs are deductible, so newsletters and magazines you use to self-educate fall into that category.

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]]> By: Adam http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-124954 Adam Fri, 28 Mar 2008 16:28:35 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-124954 JD: http://quicktake.morningstar.com/fundnet/Snapshot.aspx?Country=USA&ss=gf&Symbol=VGSTX You can get more detailed reports, but they are a premium service. JD:

http://quicktake.morningstar.com/fundnet/Snapshot.aspx?Country=USA&ss=gf&Symbol=VGSTX

You can get more detailed reports, but they are a premium service.

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]]> By: Suz http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-124933 Suz Fri, 28 Mar 2008 15:13:17 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-124933 I agree with the author of "Cash-Rich Retirement" that looking at the PAST performance history of funds may not be very helpful going forward as millions of Baby Boomers begin selling off assets. When we look at "superior" funds, aren't we identifying ones that performed well in the previous financial and demographic cycle, but may not perform well in the cycle ahead? These kinds of reports strike me as stale. I agree with the author of “Cash-Rich Retirement” that looking at the PAST performance history of funds may not be very helpful going forward as millions of Baby Boomers begin selling off assets. When we look at “superior” funds, aren’t we identifying ones that performed well in the previous financial and demographic cycle, but may not perform well in the cycle ahead? These kinds of reports strike me as stale.

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]]> By: J.D. http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-124926 J.D. Fri, 28 Mar 2008 14:51:26 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-124926 I haven't seen a Morningstar report. What's the best way to access them? I'd love to take a look. I haven’t seen a Morningstar report. What’s the best way to access them? I’d love to take a look.

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]]> By: Michael http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-124921 Michael Fri, 28 Mar 2008 14:30:11 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-124921 This isn't impressive. Have you seen a Morningstar report? This isn’t impressive. Have you seen a Morningstar report?

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]]> By: MITBeta @ Don't Feed the Alligators http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-124889 MITBeta @ Don't Feed the Alligators Fri, 28 Mar 2008 12:20:06 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-124889 @ JK: I think that "funds of funds" have to disclose all fees, direct or indirect. I did a search to see if Target Retirement Funds were "double dipping" on the expenses and it turns out that they do not. I would expect the same thing from the Star Fund, especially considering Vanguard's typical low cost. @ JK:

I think that “funds of funds” have to disclose all fees, direct or indirect. I did a search to see if Target Retirement Funds were “double dipping” on the expenses and it turns out that they do not. I would expect the same thing from the Star Fund, especially considering Vanguard’s typical low cost.

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]]> By: JK http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-124861 JK Fri, 28 Mar 2008 03:16:20 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-124861 If you look closely at VGSTX, you will notice that it is a non-managed fund that invests in other Vanguard products. So while there is no direct expense ratio for this fund, I would imagine that it is paid on each Vanguard fund that the STAR fund holds, though not directly out of this particular aggregate fund. If you look closely at VGSTX, you will notice that it is a non-managed fund that invests in other Vanguard products. So while there is no direct expense ratio for this fund, I would imagine that it is paid on each Vanguard fund that the STAR fund holds, though not directly out of this particular aggregate fund.

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]]> By: BxCapricorn http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-124856 BxCapricorn Fri, 28 Mar 2008 02:08:35 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-124856 Lifetime member, way to go J.D.! Best investment you can make (and you'll see that once we exit the "trader's market" and resume regular investing patterns). Remember to run your stock screeners mid-month when they get the data updated. Lifetime member, way to go J.D.! Best investment you can make (and you’ll see that once we exit the “trader’s market” and resume regular investing patterns). Remember to run your stock screeners mid-month when they get the data updated.

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]]> By: Rick@IncreaseRevenue http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-124855 Rick@IncreaseRevenue Fri, 28 Mar 2008 02:02:26 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-124855 What does this book provide that Yahoo! Finance and Google Finance fail to offer? I find these sites usually provide the generic overview that this does and the user can simply drill down news stories and prospectus information. Thanks in advance! What does this book provide that Yahoo! Finance and Google Finance fail to offer? I find these sites usually provide the generic overview that this does and the user can simply drill down news stories and prospectus information.

Thanks in advance!

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]]> By: Funny about Money http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-124854 Funny about Money Fri, 28 Mar 2008 01:55:33 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-124854 It looks like you can buy this book for $5.48. Did a search and something called alibris came up on buy.com, where copies are allegedly for sale at that price. Is yours a newer edition than 2002? It looks like you can buy this book for $5.48. Did a search and something called alibris came up on buy.com, where copies are allegedly for sale at that price. Is yours a newer edition than 2002?

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]]> By: MITBeta @ Don't Feed The Alligators http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-124848 MITBeta @ Don't Feed The Alligators Fri, 28 Mar 2008 00:59:27 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-124848 Past performance is not an indicator of future returns... :D Past performance is not an indicator of future returns… :D

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]]> By: Hannah http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-124845 Hannah Fri, 28 Mar 2008 00:50:41 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-124845 I'll definitely look into that, it seems good! Though I'm personally not a fan of mutual funds at all, the premise of the AAII seems to be pretty good and after looking at their website I'm definitely interested (though not American) I’ll definitely look into that, it seems good! Though I’m personally not a fan of mutual funds at all, the premise of the AAII seems to be pretty good and after looking at their website I’m definitely interested (though not American)

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]]> By: J.D. http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-124844 J.D. Fri, 28 Mar 2008 00:26:12 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-124844 You're right -- that is a curious omission. In the book, there are actually a block of five Vanguard funds in a row with incorrect (mostly 0.00%) expense ratios. Sounds like an editing error, and an important one at that. You’re right — that is a curious omission. In the book, there are actually a block of five Vanguard funds in a row with incorrect (mostly 0.00%) expense ratios. Sounds like an editing error, and an important one at that.

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]]> By: James Kew http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-124842 James Kew Fri, 28 Mar 2008 00:08:32 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-124842 It doesn't list the expense ratio at all, just the fees -- which seem accurate to me, STAR doesn't charge any loads or 12b-1 fees. Which seems an odd omission. As Anne says, the ER is a pretty important number. (On edit: Ah -- immediately after posting I noticed the line under the Per Share Data listing the historical ER. Yes, that does seem wrong.) It doesn’t list the expense ratio at all, just the fees — which seem accurate to me, STAR doesn’t charge any loads or 12b-1 fees.

Which seems an odd omission. As Anne says, the ER is a pretty important number.

(On edit: Ah — immediately after posting I noticed the line under the Per Share Data listing the historical ER. Yes, that does seem wrong.)

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]]> By: Anne http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/comment-page-1/#comment-124832 Anne Thu, 27 Mar 2008 22:44:13 +0000 http://www.getrichslowly.org/blog/2008/03/27/the-individual-investors-guide-to-the-top-mutual-funds/#comment-124832 0.00% expense ratio? Vanguard's site says 0.32%. That's a pretty important number to have. 0.00% expense ratio? Vanguard’s site says 0.32%. That’s a pretty important number to have.

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