SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : America On-Line (AOL)
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: 1SFG who wrote (824)1/1/1999 9:02:00 PM
From: sam  Read Replies (2) of 41369
 
"I would like you to explain how an index fund manager can control the value of his fund if he is REQUIRED to buy ONLY specified stocks."

I'd venture to guess that not all funds are weighted exactly the same. Some are -- obviously. Some aren't. (You'd be best advised to read the prospectus very carefully.) Nor were they all buying Thursday after the market closed. Many were -- no doubt. But -- why do you think the market jumped so much after the S&P disclosed last week that AOL would be added to the index?

Am I blaming the manager (or 'caretaker' as you call him) for his loses? No. But I won't risk losing my money in his fund either -- if I believe I can get a better return elsewhere. Regardless of how the stocks are "chosen." Query: Why are we paying so much in management fees to these funds if all they are doing is -- well -- nothing I can't do with a simple computer program and a discount broker?

Good luck with your investments.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News