Home Immigration Is It Better To Invest in Index Funds or ETFs? – Ep. 16

Is It Better To Invest in Index Funds or ETFs? – Ep. 16

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Is It Better To Invest in Index Funds or ETFs? – Ep. 16

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In this episode, we answer Alice’s question about index funds vs. ETFs. Alice has the option of investing in index funds or their ETF equivalents . . . and, in this episode, we address which ones we think are better!

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37 COMMENTS

  7. Ugh….just invest, it’s all literally the same, find one or two funds with a low expense ratio and buy buy buy. I use VTV, ESGV, and VSGX. Not the lowest expense ratios there I know but it’s diversified and I feel good about it. 9 times out of 10 any fund you choose will have virtually the same components.

  8. In Europe we can't buy Index Funds but we can buy ETFs. Most platforms (like Trading212 & IBKR) you can buy fractional shares of ETFs too which makes it easier for any investor to invest on their budget. Thanks for the knowledge and information you always provide.

  9. I currently work for the Govt and I invest in the C and S Fund. I plan on getting a side hustle and invest in VFIAX. I learned a lot in this episode. Thank you!

  10. What do you guys think about going mostly in VOO I got in the market in 2020 and I’m getting crushed by single stocks I did get VOO at 260.00 and now I’m going to keep loading 162 shares so far !!!! Do you think it could be a LongTerm Smart Move ?

  12. @Our Rich Journey Podcast Why is there more capital gain in an index fund vs ETF? And what is the difference between an "Index" fund and an ETF? I thought you could have an index investment in both the ETF and Mutual Fund. I"m trying to untangle my understanding fo he Index Fund vs Mutual and ETC…

  14. What about M1 Finance, which allows you to invest in ETFs automatically on a recurring basis (because allows for purchases of fractional shares)?

  18. Great explanation!!
    I invest in VTSAX and VYM in my brokerage account.
    I maxed my ROTH and I am happy that they increased contributions allowance for 2023.
    Thanks so much guys. I am 58 and learning from you.

  19. I’m so grateful for these videos . I am very new to investing. I have the account set up, but I have not invested because of my own confusion between investing in ETFs vs index funds. Can you explain how to max out your 401(k)? What does that look like?

  24. Amon & Christina, 

    Thank you for your insight regarding this topic. I've been mentally grappling, for months, about this topic. My reasoning around not automating, despite desiring to, is because I am an entrepreneur and my income is variable. I often times find myself budgeting for essentials and only having maybe $50 to put into the market, as opposed to my $100 a week goal. So to ensure I don't overdraw my account, I have gained the disciple to manually transfer funds into my Fidelity account and manually purchase FXAIX weekly regardless of how the market is doing.

    I desire to see more entrepreneur tailored investing tips that address the realities of entrepreneurs.

    Thank you again.

  25. Hi you guys! Question, if I don’t qualify for an HSA because my health insurance policy is a low deductible. What are some other alternatives for this scenario you suggest then?

  33. Thank you for explaining this. Is there a contribution limit to investing in ETFs via a brokerage account? Sounds like no, but contribution limits are confusing to me.

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