3 Top Reasons to Go Beyond an S&P 500 Index Fund
Index fund investing has exploded in recent years as folks flock toward low-cost investment vehicles. But it's not just the low costs that have piqued investor interest. Index funds consistently beat the average mutual fund performance and hedge fund performance thanks to their simple structure, low fees, and automated process that strips out emotion.
The SPDR S&P 500 ETF Trust (NYSEMKT: SPY) is one of the best-known index funds. It has a staggering $408.1 billion in assets under management (AUM) and a gross expense ratio of just 0.094%. Yet the pool of total index fund AUM is well in the trillions.
Despite their low costs, there are many reasons why buying an index fund may not be the best choice for you.
Source Fool.com
