"Why You Should Choose Vanguard"

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Taylor Larimore
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"Why You Should Choose Vanguard"

Post by Taylor Larimore » Sun Nov 05, 2017 10:36 am


One of my favorite websites is "Biglaw Investor." This is a no-nonsense website written by Joshua Hunt, a New York attorney. Mr. Hunt writes in depth and in plain, honest English, about many of the most vexing decisions investors face--like this one:

Why Should You Choose Vanguard?

Thank you, Mr. Hunt!

Best wishes.
"Simplicity is the master key to financial success." -- Jack Bogle

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Re: "Why You Should Choose Vanguard"

Post by CABob » Sun Nov 05, 2017 12:43 pm

Nice article. I didn't learn much new but the reminder is always good. Would be a good reference to some of the questions that are posed on this forum. Thanks, Taylor.

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Earl Lemongrab
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Re: "Why You Should Choose Vanguard"

Post by Earl Lemongrab » Sun Nov 05, 2017 1:39 pm

Sorry, but that was mostly fluff. It didn't do any serious comparison between Vanguard and new low-cost offerings from other providers. It's the same old "Vanguard is not-for-profit so their interest is yours." Well that's not true. Their interest is the funds and the managers. You the shareholder have no input. They won't even tell you how much those executives make.

As I've said before, if this model was inherently superior it would dominate many other industries. Vanguard's lead is from starting the race earlier. The profit model is what comprises the bulk of the US economy, because for-profit companies have a need to attract customers and will compete on many facets. That includes cost. How many "Biglaw" firms are not-for-profit?

The article also doesn't compare Vanguard products with the newer low-cost offerings from other providers. It leaves the impression that there are none, and that Vanguard is the cost leader across the board by using average ERs rather than specifics.

That's not to say that Vanguard doesn't have good products. They do. Their selection and cost is still the overall best. That doesn't equate to good reasons to choose Vanguard the custodian either. I haven't had any assets there in something like eight years, as there are just better places. Still, the majority of my holdings outside of the 401(k) are Vanguard ETFs. I'm also happy to use other providers' ETFs when it makes sense.
Last edited by Earl Lemongrab on Sun Nov 05, 2017 2:26 pm, edited 1 time in total.
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Re: "Why You Should Choose Vanguard"

Post by saltycaper » Sun Nov 05, 2017 1:52 pm

Without Jack Bogle, there would be no index funds.
I stopped reading after this silly assertion.
Quod vitae sectabor iter?

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Re: "Why You Should Choose Vanguard"

Post by John Laurens » Sun Nov 05, 2017 2:02 pm

Vanguard’s solo 401k offerings are 3x more expensive than competitors Fidelity, Schwab, and TDA.


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