Am I in an echo chamber or are index funds really the best?

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Index funds are the simple easiest way with less risk. Individual stock picking can yield tremendous gains but at the cost of time and risk.


The alternative to index funds is “I want more money than the overall market will produce in the aggregate, and I want it faster.” But the caveat is that you need to add “I am willing to take the chance that I’ll pick the wrong investments and lose much more than the overall market, also losing valuable time in the process.” Why search for the needle when you can buy the haystack? BTW, Jack Bogle has passed away. He’s not trying to sell you index funds. His idea and the decades of investors who successfully followed it speak for themselves with results. One way to entertain yourself is to keep the majority of your investments in index funds, and use a small amount to speculate. Even some Bogleheads will admit to doing that, and their community is indeed an echo chamber, however sonorous those echoes might be!


The two communities you outlined are pretty well aligned so “echo chamber” isn’t the worst way to put it, but in this case, the echoes tend to give pretty good advice!


The Boglehead philosophy is entirely sound, and I would urge any young investor to adhere to it. It’s not “too easy”, because it does require you to sit and wait quite a bit. Your other course is you can try to outperform the market and fail.


You can do both. 70/90% index and the rest individual stocks.