The case for low-cost index-fund investing

26 April 2018 | Portfolio construction

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Glasses on paper

The growth of index investing has become a global trend over the last several years, with a large and growing investor base. This paper discusses why we expect index investing to continue to be successful over the long term – a rationale grounded in the zero-sum game, the effect of costs and the challenge of obtaining persistent outperformance.

We examine how indexing performs in a variety of circumstances, including diverse time periods and market cycles, and we provide investors with points to consider when evaluating different investment strategies.

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Important information:

The value of investments, and the income from them, may fall or rise and investors may get back less than they invested.

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