Re: Why Mutual Funds are better than Index Funds
Meh.
Prior performance is no indication of future performance. The reason actively managed funds underperform index funds is the MER difference, pure and simple.
In the last couple of decades, when the total market returned 10+%/a, a 2% MER was painful but bearable. With the market probably returning <7%/a over the next couple of decades....ugly.
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