“If you invested in a very low cost index fund - where you don't put the money in at one time, but average in over 10 years -you'll do better than 90% of people who start investing at the same time.” PeopleIfsYearsCostLowsInvestingAverageFundOne TimeIndex Funds Author:Warren Buffett
“Democracy is a process by which the people are free to choose the man who will get the blame. Education is a method whereby one acquires a higher grade of prejudices. In spite of the cost of living, it's still popular.” PeopleMenStillsProcessDemocracyHe ManHigherCostPrejudiceMethodBlameInvestingAcquireSpiteGradesCost Of Living Author:Laurence J. Peter
“The best way in my view is to just buy a low-cost index fund and keep buying it regularly over time, because you'll be buying into a wonderful industry, which in effect is all of American industry... People ought to sit back and relax and keep accumulating over time.” PeopleWayViewsWonderfulEffectsIndustryOughtCostLowsInvestingBest WayBuyingRelaxFundIndex Funds Author:Warren Buffett
“Active management is a zero-sum game before cost, and the winners have to win at the expense of the losers.” GamesWinningCostManagementInvestingActiveWinnerExpensesZeroLoserZero Sum GameActive Management Author:Eugene Fama
“Index funds have regularly produced rates of return exceeding those of active managers by close to 2 percentage points. Active management as a whole cannot achieve gross returns exceeding the market as a while and therefore they must, on average, underperform the indexes by the amount of these expense and transaction costs disadvantages.” WholeAchieveReturnAmountCostManagementRateInvestingAverageActiveManagersFundExpensesGrossPercentagesDisadvantagesTransactionsIndex FundsActive Management Author:Burton Malkiel
“Properly measured, the average actively managed dollar must underperform the average passively managed dollar, net of costs. Empirical analyses that appear to refute this principle are guilty of improper measurement.” PrinciplesCostDollarsInvestingAverageGuiltyAnalysisMeasurementActive Management Author:William Forsyth Sharpe
“Will customers keep supporting the enormous overhead required to sustain ineffectual, unproductive stock picking across an array of thousands of individual funds devoted to every investing 'style' and economic sector or regional subgroup that some marketing idiot can dream up? Not likely. A brutal shakeout is coming and one of its revelations will be that stock picking is a grossly overrated piece of the puzzle, that cost control is what distinguishes a competitive firm from an uncompetitive one.” DreamIndividualPiecesEconomicStyleCostInvestingMarketingCustomersEnormousIdiotFirmRevelationsFundDevotedBrutalPuzzlesOverratedOverheadUnproductive Author:Holman W. Jenkins, Jr.
“It is difficult to systematically beat the market. But it is not difficult to systematically throw money down a rat hole by generating commissions and other costs.” DifficultCostBeatsInvestingHolesRats Author:Michael Jensen
“The cost of performing well in bad times can be relative underperformance in good times.” WellsCostInvestingPerformingGood TimesRelativeBad TimesPerforming WellUnderperformance Author:Seth Klarman
“Market-cap based indexing will never be driven from its deserved perch as core and deserved king of the investment world. It is what we should all own in theory and it has delivered low-cost equity returns to a great mass of investors... the now and forever king-of-the-hill.” WorldShouldForeverTheoryReturnKingsCostMassLowsInvestmentInvestingDrivenCoreHillsInvestorsEquityCapsIndexing Author:Cliff Asness
“Transfer payments discourage the recipients from earning income in the present and from investing in their potential to earn income in the future. People respond to a reduced cost of idleness by choosing to be idle more often.” PeopleCostInvestingIncomeIdleEarningIdlenessPaymentDiscouragingTransfers Author:Robert Higgs
“If a woman is making $85,000 a year, putting aside 20% of her income, putting it in a bank, earning very little...Over the course of her life vs. investing, this can cost her $1.5 million, $2 million, $2.5 million. Life changing amounts.” IfsYearsLittlesCoursesMillionsAmountCostInvestingIncomeLife ChangingEarning Author:Sallie Krawcheck
“We think about the enormous costs of homelessness, or the enormous cost of HIV/AIDS, over the long term, as people visit emergency rooms, etc. The more we are investing in that ounce of prevention the better off we're going to be.” PeopleThinkingLongTermRoomsCostInvestingAidsEnormousLong TermEtcBetter OffEmergenciesHomelessnessHivPreventionHiv AidsEmergency Room Author:Barack Obama
“Regulating and taxing marijuana would simultaneously save taxpayers billions of dollars in enforcement and incarceration costs, while providing many billions of dollars in revenue annually.” CostDollarsInvestingBillionsMarijuanaProvidingEnforcementRevenueTaxpayersIncarceration Author:George Soros
“China is investing in factories in Eastern Europe, not because their labor costs are lower, but because they want to be closer to their markets.” WantCostEuropeLaborInvestingChinaFactoriesEasternEastern Europe Author:Michael Bloomberg