Q. Barbara asks: Since we talked about exchange traded funds (ETFs) a couple of weeks ago, I've been considering ETFs versus managed funds. If one of the benefits of ETFs is low costs, does that mean managed funds, which generally appear to incur higher fees, are a bad investment?
A. Dan Dividend responds: Certainly not - although it's best not to rush out and buy that g
Tuesday, April 20th 2004, 1:18AM
by The Landlord
reat new fund touted in a glossy brochure without first understanding the fees involved and what you are actually investing in. This goes for any investment.
It's true that many passive index-tracking funds, such as ETFs, have outperformed a great number of managed funds in the past, especially after tax and fees have been taken out of the managed funds' returns.
But that doesn't mean managed funds aren't worth considering. They offer investing opportunities that might not be accessible to individual investors.
