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Strategies & Market Trends : MDA - Market Direction Analysis
SPY 671.910.0%Nov 14 4:00 PM EST

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To: James F. Hopkins who wrote (2927)12/27/1998 6:06:00 PM
From: Haim R. Branisteanu  Read Replies (1) of 99985
 
Jim, as you analyze the SPX take read this

cbs.marketwatch.com

If I would need to invest in something and not active in the stock market I would go for the SPX funds. Best performance over 3 years with relative little volatility.

Big funds are just index funds in disguise,


The fact is most large funds do tend to a middle ground --
they become pseudo-index funds. Here, the portfolios of
each are diversified across about 500 funds. And their one
year returns are close at about 22.6%, while Vanguard wins
on a three-year return basis. Of course there are some big
differences in other areas:
- Management: Vanguard is passive, Magellan actively
managed
- Loads: Vanguard is a no-load, Fidelity charges a
front-end of 3%
- Expenses: Only 0.19% for Vanguard, Magellan is
0.61%
- Turnover: Vanguard is only 5%, with 34% for
Magellan Fund
In the past, loyal investors tended to forgive Magellan for
these little indulgences. However, this appears to be changing
as new money is pouring into Vanguard's S&P 500 index
funds at a faster rate in recent years:


BWDIK
HAim

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