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Jack Bogle: 'This Is The Most Difficult Time To Invest'

Ken Tumin
Ken Tumin   |     |   5,947 posts since 2009

If you’re going to invest in stocks, it’s hard to argue against using diversified index mutual funds. CNNMoney.com has an interesting interview of the creator of the index fund, Jack Bogle, who provides his opinions about today’s markets. Here are some excerpts:

Bogle’s concern about shrinking dividends:

Corporations play games with earnings. I just don't believe them.

Bogle’s defense of index funds in the last decade:

When the S&P went down 37% in the crash, the average equity fund was down 39%, the average international fund was down 45%, and the average emerging-market fund was down 54%.

Bogle’s opinion on gold and other commodities:

Those alternative investments have no internal return. They are 100% speculation.