Vogel: Mutual fund managers' incentives are not aligned with the investors' incentives. He says if your mutual fund goes down like it did in 2008 and 2009, it goes down 50 or 60 percent. Outperform doesn't mean you actually made any money; these guys congratulate themselves for not losing as much as the index that they're measured against.
You have different options when it comes to investing. Phil discusses the realities of mutual funds, hedge funds and indexes. For show notes and more information visit www.ruleonepodcast.com
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