When we consider on retirement saving, one question always occurred that is it always performing that long period of time. My answer is YES. If you went throw Equity Index Fund. Active Fund Managers may go wrong in 25 to 30 years time frame but index not. Because index fund were performing always with respective index.
As a nature index funds were cost effective than active funds. Index funds expense ratio is more cheaper than active funds. Most interesting thing about index fund is that, consumer were doesn't requiring restructuring time to time. Simply start a SIP in index fund, still continue to your goal date.
If we talk about performance of index fund, than, since date from 1979 to 2010, sensex return was near to 18% CAGR and similar return of index fund also. Worst to worst performing index funds were giving return with his respective index.
Always a passive investor............
As a nature index funds were cost effective than active funds. Index funds expense ratio is more cheaper than active funds. Most interesting thing about index fund is that, consumer were doesn't requiring restructuring time to time. Simply start a SIP in index fund, still continue to your goal date.
If we talk about performance of index fund, than, since date from 1979 to 2010, sensex return was near to 18% CAGR and similar return of index fund also. Worst to worst performing index funds were giving return with his respective index.
Always a passive investor............
