Harry’s Account

How would a portfolio of indexes – with 40% in bonds – have fared from: August 15, 2008 when compared to a portfolio of actively managed mutual funds?

The starting date wasn’t chosen randomly. 

A friend of mine, we’ll call “Harry,” switched his account from actively managed funds to indexes last August–and I’m revealing his account here.

Compared to actively managed mutual funds that have a minimum of 40% in bonds and 60% in stocks, this diversified portfolio of indexes has performed spectacularly. 

And it would also be far more tax efficient than any of the actively managed funds.

To see how his investment account has fared in comparison to actively managed mutual funds:

Go to the right menu and look for “Harry’s Account,” or

 go to the most recent post


1 Response

  1. Carol says:

    I need help. I'd like to put my sons investments into indexed funds but he only has $1700. All the funds I see have a minimum of 3K. I'm not ready to give him $4300 to get to these limits. Where do I go to find investments that have smaller minimum entry points?

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