We originally posted this nearly three years ago!! Since then Jack has passed on, but his word are here to stay. Enjoy this read…again. We sure do miss him!
WE THOUGHT YOU MIGHT FIND THE INFORMATION JACK BOGLE (FOUNDER OF VANGUARD) SHARED DURING A RECENT BLOOMBERG INTERVIEW TO BE INTERESTING. HE IS FASCINATING AS EVER AT AGE 87! INTERESTING TO NOTE THAT ADDIS & HILL’S INVESTMENT PHILOSOPHY AND RISE OF INDEXING HAS BEEN RUNNING IN TANDEM. WE ARE MORE CONFIDENT THAN EVER IN OUR INVESTMENT APPROACH.
“What’s clear is we’re in the middle of a revolution caused by indexing. It’s reshaping Wall Street, it’s reshaping the mutual fund industry. And it’s doing something very simple: shifting the allocation of stock market returns away from Wall Street and toward Main Street. We’re beyond the beginning, but nowhere near the end. Actively managed funds have been losing to index funds, in terms of cash flow, for eight consecutive years now. And it’s cascading now. Investors love it; Wall Street hates it. Mutual fund managers don’t like it either. Money is leaving them and coming to us every single day. We’re now doing a billion dollars a day. This is just totally beyond anything else in the industry’s history.” – Jack Bogle
Full Article:
Q&A With Jack Bogle: “We’re in the Middle of a Revolution.”