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Why should you get an inflation busting interest rate if you're not prepared to accept some risk? That would literally be money for nothing.
by mvc 5y ago
Why should you get an inflation busting interest rate if you're not prepared to accept some risk? That would literally be money for nothing.
- nicoburns 5y agoI'd argue that index tracker are effectively that. And they shouldn't be allowed for that reason.
- SketchySeaBeast 5y agoDo you not believe that ETF's should exist?
- nicoburns 5y agoI think my belief is closer to: they should exist if people want them to, but the returns (taking into account inflation, taxation, etc) should be negative or very close to zero.
- SketchySeaBeast 5y agoI don't understand. How would you feel if an investor hired someone to manually replicate and maintain a portfolio equivalent S&P 500? Because that's what an ETF that replicated the S&P 500 is doing, complete with management fees, it just works out be cheaper due to volume.
- nicoburns 5y agoExactly the same. I don't feel like investing in companies that are popular with other people (which is what the S&P 500 is) contributes anything to society, so I don't think it should be rewarded.
- SketchySeaBeast 5y agoSo venture capitalism or bust?
- aww_dang 5y agoTime preference? Putting aside the question of whether it should exist or not, there's a limit to FDIC insurance.