Why Passive Investing beats Active Investing
I’m a big proponent of investing passively by maintaining a diversified portfolio of index funds. It definitely takes the fun out of investing, but as far as I’m concerned, taking risks with money that is earmarked for my daughter’s education and our retirement is not meant to be fun anyway. Its serious business.
So what do I mean by passive investing. For me, it means that I don’t stay awake at night thinking (and worrying) of ways I can beat the stock market and make millions of dollars or on the flip side, make sure that I don’t gamble away all my hard earned money.If you want to hear stories of why trying to beat the market is a waste of time, I would definitely recommend reading the book Wise Investing made Simple by Larry Swedroe.
The best definition for Passive Investing I have seen so far is: An investment strategy involving […]
Original post by Everything Finance