Investing For Beginners – Active Vs Passive Funds.
Posted: June 29th, 2010 | Author: Joe | Filed under: Investing, Retirement | Tags: 401(k), active funds, index funds, Investing, Retirement, Stock Market | No Comments »A few weeks ago, I responded to a reader’s question about How To Start Saving For Retirement At 40. In that post, I made mention that you can’t really save for retirement – you must invest for retirement. I also said that it’s beneficial to have an understanding of the basics of investing, even if you leave your retirement planning to your 401k plan administrator.
One of the basic concepts of investing is the idea of active funds and passive funds.
I’ve just come across this post about active vs passive funds by Craig Ford at Christian PF.com that does a good job of breaking down the differences between active vs passive funds and which is better.
As I say, even if your interest and involvement in retirement planning doesn’t go beyond your company 401k plan you should at least know the general idea beyond these funds, so check it out!
