Keep pulling the thread on David Fagan.
According to the Bessenbinder Research Report, only 4% of stocks created all the net worth in the market since 1930.
Approximately 90% of large-cap fund managers in the United States underperform the S&P 500 after fees and expenses.
Over the last 15 years in Canada, 98% of Canadian equity managers failed to outperform the S&P/TSX index.
A 3 percentage point shortfall in annual investment returns, from a target of 8% to an actual 5%, resulted in a client of David Fagan having to work an additional 6 to 7 years before retirement.
Warren Buffett, in his 2013 shareholder letter, advised the trustees of his estate to invest 10% of cash in short-term government bonds and 90% in a low-cost S&P 500 index fund.
Although approximately 50% of assets in the US market are classified as passive, only about 23% are held in true index funds.
Index funds account for only 1% of the total trading volume in the US stock market.
Portfolio turnover can cost investors up to 2% of gross returns annually due to taxes and fees.
Stig Brodersen believes that 99% of people who want to compound their wealth should use index investing.
The Vanguard Total World Stock ETF (VT) has an expense ratio of 6 basis points (0.06%).
In a 1968 study by psychologists Robert Rosenthal and Lauren Jacobson, students randomly labeled as having 'exceptional potential' showed significantly larger IQ gains after 8 months.