March 15, 2011

Japan Disaster and Investing

The disaster in Japan reminds us that investing is never easy. This is a human tragedy for sure and to think of ones financial situation seems kind of petty.

The earthquake, tsunami and subsequent nuclear plant issues are just some of the absolutely unpredictable events that affect investors at every level.

This is a reminder that markets are indeed global and investing is never ever easy.

The best that we can do is have a long term strategy that includes saving the most that we possibly can and investing some of that in the lowest cost possible funds or exchange traded funds.

Every study on the subject conclusively proves that fees and costs are the number one factor in determining investing success.

Simple index fund investing will ultimately beat the 90% of people who insist on buying and selling trying to beat the market.  Simple index fund investing by definition is easy too.  Investing is truly one of the few things in life where less is more!!!

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